Drinks Ad Spend Will Decline According To Report
According to a Datamonitor report, advertising spend in most drinks markets will decline as a proportion of marketing spend between now and the year 2000, while below-the-line activities such as PR and sponsorship are set to increase their share.
The report states that the importance of PR and sponsorship will increase as marketers continue to move away from traditional above-the-line methods of advertising. At present £24m is spent on PR and by 2000 this is forecast to hit £30m. Datamonitor predicts that much of the increase in spend in sponsorship will be the result of greater spend on broadcast sponsorship.
Advertising spend on soft drinks however, which has increased at an average rate of 18.7% each year for the last five years, has outstripped all other drinks categories in the UK which have experienced a decrease.
Drinks Marketing Budget Forecasts 1995-2000
| £m 1995 | £m 2000 | % Ch | |
|---|---|---|---|
| Advertising | 319 | 329 | 3.1 |
| Direct Marketing | 23 | 25 | 9.7 |
| Sales Promotion | 89 | 97 | 9 |
| Sponsorship | 26 | 30 | 15.2 |
| PR | 24 | 30 | 25.2 |
| Other | 24 | 31 | 29.7 |
| Total | 505 | 542 | 7.3 |
Datamonitor: 0171 625 8548