Latest AOP and Deloitte report reveals more than a quarter of UK publishers achieved annual growth of more than 25% for the first time since early 2014
London, UK – Deloitte, the business advisory firm, and the Association of Online Publishers (AOP) today released the latest findings from its Digital Publishers Revenue Index Report (DPRI). The report reveals that UK publishers have experienced positive growth in the last year, with 26% of participants displaying annual growth of more than 25% for the first time in five successive quarters.
The AOP Sentiment Index Report, part of the DPRI which questions AOP board members on how they anticipate the market will perform over the coming year, showed UK publishers had a positive outlook; 100% of participants expect to see growth in digital advertising over the next 12 months. Publishers cited advertising revenue as their focus for growth during the next quarter, while fewer cited cost reduction as a source for future growth, a 24% decline compared to the previous quarter.
Mobile advertising revenue continued to rise in Q2 of 2015, showing an increase of 21%* over the year, with a 44%*Â growth in smartphone display advertising revenue.
AOP Managing Director, Tim Cain, commented: “The Q2 report once again highlights that advertising revenue reflects the increasing consumption of media on mobile and will remain a key focus for publishers during the next quarter. Publishers and advertisers alike need to recognise the impact of cross device, particularly mobile, when planning budgets and understand the value different devices hold along the path to purchase.”
| UK Digital Publisher Advertising Revenue Growth Q2 2015 vs. Q2 2014 AOP & Deloitte DPRI Report |
|
| Digital advertising format | % Change* |
| Total | 5.9% |
| Desktop Video | 15% |
| Recruitment | 4% |
| Sponsorship | 34% |
| Display | -4% |
| Classified | 19% |
| Mobile (smartphone, tablet) | 21% (44%, -9%) |
Industry average derived from revenue data supplied by 23 AOP publisher members.
Howard Davies, Deloitte media partner, said: “Publishers are now aiming to achieve growth through increasing advertising revenue rather than simply cutting costs. The optimism surrounding digital marketing is refreshing to see. This sea-change is largely down to the continuing growth of mobile and video advertising revenue that has been prevalent in the last 12 months and looks set to continue.”
| UK Digital Publisher Advertising Growth 2014 – 2015 (Year on year growth) AOP & Deloitte DPRI Report, Q2 2015 |
||
| Â | % Growth | |
| Year | Mobile** | Video*** |
| Q3 2014 | 50.8% | 3.4% |
| Q4 2014 | 90.0% | 20.2% |
| Q1 2015 | 80.0% | 17.1% |
| Q2 2015 | 21.5% | 15.1% |
Mobile % growth for Q3 2014 includes mobile subscriptions revenue
About Deloitte
In this press release references to Deloitte are references to Deloitte LLP, which is among the country’s leading professional services firms.
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.
The information contained in this press release is correct at the time of going to press.
About The Association of Online Publishers
The UK Association of Online Publishers (AOP) is an industry body representing digital publishing companies that create original, branded, quality content. AOP champions the interests of media owners from diverse backgrounds including newspaper and magazine publishing, TV and radio broadcasting, and pure online media. For more information please visit www.ukaop.org.
