PR in marketing group hardest hit in Q4 Bellwether Report

The fourth quarter IPA Bellwether Report has revealed that budgets in the category that PR falls into have dropped more than in any other marketing discipline, despite marketing budgets having generally been revised upwards.

Marketing budget: Q4 breakdown
Marketing budget: Q4 breakdown

The ‘all other’ category of the Q4 2011 Bellwether Report, which includes PR, recorded a drop of 7.1%. The only other category that dropped was ‘main media’, which went down by only 1.2%.

However, overall, 20% of survey participants recorded an increase in spend, versus 19% that noted a reduction.

The quarterly survey of marketing expenditure revealed that business optimism is falling further in the face of economic uncertainty, to levels seen before the onset of the 2008/09 financial crisis.

Marketing executives’ confidence for the industries in which they operate has fallen to an 11-quarter low. The net balance of -44.9% was down from -23.3% in Q3.

Additionally, executives reported that financial prospects for their own companies had dropped for the first time since Q1 2009.

Nicola Mendelsohn, IPA president, executive chairman and partner, Karmarama, said: ‘A further decline in confidence is hardly surprising due to the overriding mood of uncertainty for the year ahead.’

The Bellwether Report surveys marketing executives in 300 UK companies.

The PRCA trends barometer for Q4 2011, revealed today, makes similar findings about shrinking budgets and reducing optimism.

Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in