MEDIA: Digital boosts media spend

UK consumers will spend an extra pounds 400m on media brands and services in 1999, according to a new report by the Henley Centre.

UK consumers will spend an extra pounds 400m on media brands and

services in 1999, according to a new report by the Henley Centre.

The ’Media Futures’ report predicts the average person will spend around

pounds 450 next year on media - a rise of around pounds 8 per head. Much

of the rise is being driven by more digital choice.

In terms of consumer spend per medium, analysis suggests an extra pounds

7 will be spent on viewing per person (largely accounted for by

multi-channel and digital television), and an extra pounds 2 spent

interacting per person (this includes home computers, CD-ROMs, video

games, the internet and interactive services through digital


’Media Futures’ also predicts that time spent on media will increase by

six minutes per person per week. The analysis suggests an extra 18

minutes per person per week will be spent on listening, and 18 minutes

on interacting.

Reading will decline by six minutes per person per week, while viewing

will decline by 24 minutes.

The report says the time spent consuming media has not increased in line

with the explosion of media. The study’s findings reveal that newspapers

look set to be the media losers of the future in terms of time and money

invested by consumers, while magazines and cinema will both enjoy

increases in attention.

The TV sector, driven by digital and multi-channel TV, will do well in

terms of money spent on them by consumers but will not have any more

time given to them. In contrast, consumers will spend more time on home

computers and video games, but less money.

Books and recorded music will increase in time share but lose money

share, while radio will remain virtually constant.

Sian Davies, a director at the Henley Centre, said: ’We effectively have

a Niagara of supply and a pint pot of demand. While that demand remains

constant, media owners and content providers can only gain market share

by stealing from each other.’

The research is based on a sample of 2000 people.


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