Media advertising spending is rising at its fastest rate in seven years, with service providers, which includes the financial services sector, topping the list, according to the Bellwether Report’s second quarter update.
The report shows that 24 per cent of firms’ marketing budgets rose in the second quarter and only 15 per cent of bud-gets dropped, delivering a net balance of 8.6 per cent, the highest since the first quarter of 2004.
Internet marketing budgets outperformed all other sectors, with 21.8 per cent of firms reporting an increase followed by main media ad spend at 20 per cent and direct marketing at 18 per cent. This is the fastest growth rate of main media ad spending since 2000.
Bellwether Report author Chris Williamson says the service sector is seeing very strong balance sheets at the moment, including financial services.
He says: “There are certainly no signs from this survey that Bank of England base rate hikes have had an impact on business confidence. Importantly, increasing numbers of companies are investing in main media advertising to build brands and develop new products.”