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Christmas campaigns to boost Q4 ad spend to almost £5bn

Q4 ad spend is likely to reach almost £5bn this year thanks to Christmas advertising spend according to The Advertising Association/WARC Expenditure Report.

With brands fighting for their share of the predicted £90.7bn consumer spend Christmas 2014 is predicted to be the biggest to date for advertising with The Expenditure Report showing that Q4 ad spend has increased by almost a quarter (24 per cent) over the last five years.

With spending habits moving online the internet will see the highest ad spend, with £1.9bn predicted for Q4 2014. TV advertising spend, which was overtaken by internet advertising for the first time in 2011, is likely to reach £1.3bn.

With mobile spending up 138 per cent last year, mobile advertising is now a key channel for advertisers with brands forecasted to spend £476m on the medium, a 49.9 per cent increase on 2013 spending figures (£317.5m) and 576 per cent greater than 2011 (£70.4m).

Karen Fraser, director, Advertising Association, commented: “The Christmas ads don’t just announce the start of the festive season – they’re evidence of competition in action, to the benefit of business, the economy, and shoppers alike.”

The predictions come as many big brands release their Christmas campaigns with John Lewis’ anticipated 2014 offering Monty the Penguin launched today and Debenhams ‘Found It’ earlier in the week.

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