IPA's Bellwether reveals waning confidence

IPA research has revealed that marketing spend has been revised downwards for a second successive quarter and that marketing executives are less confident in their companies' prospects for the first time this year.

Mendelsohn: ‘disappointing’
Mendelsohn: ‘disappointing’

A tough trading environment has caused 23 per cent of companies to report a reduction in marketing spend, compared with 18 per cent posting a rise in the third quarter, resulting in the sharpest revision downwards since the end of 2009, according to the IPA Bellwether Report. This net 5.5 per cent reduction compares with a 1.8 per cent decline in the second quarter.

Around 31 per cent of respondents have grown more pessimistic about their own companies’ prospects, compared with 28 per cent who are more optimistic.

Nicola Mendelsohn, the IPA president, said: "Although this is disappointing, it is by no means terrible."

The results follow a report earlier this week from the Advertising Association and Warc showing that, while UK adspend grew 3.8 per cent year on year in the second quarter (excluding direct mail), predictions for the remainder of 2012 and 2013 are not as strong as previously anticipated.

Subscribe to Campaign from just £57 per quarter

Includes the weekly magazine and quarterly Campaign IQ, plus unrestricted online access.

SUBSCRIBE

Looking for a new job?

Get the latest creative jobs in advertising, media, marketing and digital delivered directly to your inbox each day.

Create an Alert Now
Omnicom shuts M2M in UK after account losses
Share

1 Omnicom shuts M2M in UK after account losses

Omnicom has shut its media agency M2M in the UK following a string of account losses and Alistair MacCullum, the chief executive of M2M, is stepping down.

Brands that forge an emotional tie are best protected from copycats
Shares0
Share

1 Brands that forge an emotional tie are best protected from copycats

Forging an emotional tie with consumers is one of the strongest ways to protect your brand. Products can be copycatted, but the distinctive identity of a true brand can never be replicated argues Nir Wegrzyn, CEO of BrandOpus.

Just published