Marketing Budgets To Rise In 2003, Says Study

Marketing spend is expected to rise in most major countries next year, according to a new report from the French advertising group Havas.

The study produced in conjunction with the London Business School has predicted that expenditure in the UK will grow 5.3% next year after a 4.2% rise in 2002. Above-the-line advertising (press, television, radio, cinema and posters) is set to fall 2.4% this year but this will be partially offset by the 1.5% increase in direct mail and the 0.7% rise in interactive advertising.

In 2003, above-the-line advertising will slip by 0.2% while direct mail rises 1.5% and interactive advertising climbs 0.9%. The shift reflects the changing priorities of advertisers, many of whom now regard traditional forms of media as expensive and believe that direct marketing offers better value for money.

The US, France and Germany will all see significant increases in marketing spend next year but Japan is set to experience a second successive year of decline.

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