GroupM predicts 4% UK ad growth

Ad spend in the UK is set to grow 4% in 2007 and 5.1% in 2008, up from 1.8% in 2006, GroupM predicted.
This compares to an estimated 4% growth in advertising revenue across Western Europe, unchanged from last year, and 19% across Central and Eastern Europe, which for the purposes of this report includes Russia, Romania and Slovakia.
GroupM expects a 6% increase in global ad spend in 2007, and 7% in 2008, bolstered by the 2008 Beijing Olympics and the US Presidential Election in the same year, likely to add an extra $2bn in ad spend in the US.
The Asia Pacific region will contribute 30% to global ad spend this year and 38% in 2008, again fuelled by Olympics-related ad demand.
The internet still supplies the bulk of new ad revenue, but could be approaching saturation point, according to the GroupM report, which forecast a fall in contribution to 28% in 2008 from 32% in 2006 and 30% in 2007.
WPP Group is due to post its half-year financial results on Friday.

This article was first published on Media Week