Total advertising revenue will grow by 5% in 2000 to just under £9900 million, according to the latest estimates from Optimedia. The internet will continue to generate record increases in revenue and significant growth can also be expected in the outdoor and radio industries. During 1999 total ad revenue grew by an estimated 7% to a total £9,379 million. This shows a slightly higher increase than predicted, mostly due to the influx of dotcoms in the latter half of the year. TV, radio, cinema and the internet all experienced revenue growth of over 10% during the year, with the internet showing an massive 167% year-on-year increase.
Optimedia predicts that 2000 will be the year that the internet really moves into the mainstream, and estimates that revenue will grow to £120 million. This will see its annual revenue move ahead of cinema, which is expected to take £115 million during 2000. By 2003 Optimedia estimates that the internet will be taking more revenue than the radio industry. Radio will continue to experience high inflation for the next few years, however. During 1999 the industry had the highest rate of inflation for the media covered in the report; an estimated 11% inflation was predicted and this is expected to continue in 2000.
