INTERNET advertising in the UK is set for double digit annual growth over the next four years, according to new research by PwC.
The auditor says the boom in online advertising will provide an increasingly important source of income for traditional media owners as they expand onto new platforms.
Overall, the advertising market grew nine per cent in 2010 after an 11.3 per cent slump in 2009. The market had a value of £14bn last year, which PwC expects to grow by 4.8 per cent, compounded annually from 2011 to 2015, to a value of £17.7bn - with online advertising outstripping the average sector growth level.
The overall media and entertainment market is set to grow by 3.7 per cent a year to a value of almost £60bn by 2015. However, consumer spending will grow at a slower 2.7 per cent a year to reach £32.7bn, excluding £9.2bn of spending on internet access.
PwC media head Phil Stokes said: “The coming five years will see digital technologies progressively increase their influence across the industry, and that rapid change in technologies and consumer behaviours will continue across all segments.”