UK ad spend to reach record £10.5bn during festive season

The latest figures from the Advertising Association (AA) and WARC show UK advertisers are projected to spend a record £10.5 billion during this year’s festive season, marking a 7.8% increase on the £9.7 billion spent last year. 

The AA/WARC report highlights the growing importance of digital media channels, with online display advertising, including social media, expected to see a 15.8% rise in spend.  

Other digital platforms, such as online radio and broadcaster video on demand (BVOD), will see increases of 8.8% and 7.8%, respectively, while out-of-home advertising receives a projected 8.1% boost 

The research comes as Kantar’s latest data reveals that consumer enthusiasm for Christmas ads is at an all-time high, with 59% of people stating they ‘love’ Christmas TV ads, up from 51% in 2023. Additionally, 56% of consumers eagerly anticipate the season’s ads, a significant jump from last year’s 48%. 

Speaking about the latest data, Matt Bourn, Director of Communications at the Advertising Association, said: “The investment we see here in this Christmas advertising spend is an investment in growth which supports jobs up and down the country.  

“As ever, we will see the very best of advertising with all the creative flair that the UK advertising industry can bring to help businesses secure fame and success.” 

Iconic UK brands such as John Lewis, Tesco, Sainsbury’s, Marks & Spencer and Boots have already launched highly anticipated Christmas ads this year, alongside global giants like Amazon, Disney and Coca-Cola.  

AA/WARC Q4 2024 Forecast for ad spend 

*Note: Broadcaster VOD, digital revenues for newsbrands, magazine brands, and radio station websites are also included within online display and classified totals, so care should be taken to avoid double counting. Online radio includes targeted in-stream radio/audio advertising sold by UK commercial radio companies, together with online S&P inventory.