ITV experienced a 10% dip in advertising spend revenues at the beginning of 2023 and the broadcaster has warned of further declines in the second quarter.
While ITV chief executive Carolyn McCall affirmed that the first quarter dip was not alarming given the performance of the wider market, the company has predicted a 12% decline in the second quarter and a further 14% for next month alone.
Despite the ad spend fall, ITV’s streaming platform ITVX and its coverage of Love Island and the FA Cup has proven to be popular with Brits.
Despite a general decline in ad spend, ITV has seen sizeable growth in digital ad revenues in its media and entertainment business, with the area rising by 30% to £87 million in the first quarter of this year. Digital ad spend in this sector is also predicted to increase by over 20% in the second quarter of 2023.
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“Total advertising revenue in the first quarter was down 10% – as expected and better than the wider TV advertising market,” McCall told the Evening Standard. “We are looking forward to the third quarter with Love Island and the Rugby World Cup set to draw large broadcast and streaming audiences.”
“ITV is successfully executing phase two of its More Than TV strategy, despite the current challenging macro and geopolitical environment, as we continue to satisfy the growing demand for content globally and the desire for advertisers to secure both mass reach and targeted digital audiences.”
