Direct Marketing International Online DMIonline.net logo image

THE ONLY GLOBAL BUSINESS TITLE FOR DIRECT AND INTERACTIVE MARKETERS



This article appears in categories...

Marketing spend under scrutiny after UK Government freeze

July 27th, 2010 · No Comments

The UK’s Central Office of Information (COI) has published its annual expenditure figures for 2009/10, reflecting the combined spend of numerous government departments and public sector bodies that used its services during the year.

A freeze has since been placed on government advertising and marketing spend by the new coalition Government. During this financial year, only essential new and existing campaigns will continue. 

The COI is currently scrutinising expenditure and looking for the most effective ways of allocating budget. Chief executive Mark Lund said the COI was playing its part in helping to reduce the national deficit: "This year we are more focused than ever on achieving outcomes at a much lower cost. We anticipate more partnerships with brand owners, media owners and civic groups, as well as increasingly innovative approaches to joining up paid-for and other media channels."

The COI report shows that during 2009/10, government spent a total of £531m on marketing and communications through the COI, down £9m on the previous year. Expenditure on advertising accounted for £193m of this total, compared to £211m in 2008/9. Digital marketing expenditure (online advertising) rose ten per cent to £44m. 

The COI is assessing new opportunities offered by the evolving media landscape and aims to drive significant cost savings – it was able to negotiate a 47.7 per cent reduction in media costs against recognised industry benchmarks, a saving of £204m. And it made £52m worth of savings across a range of other services including publications, direct marketing and events. 

In the year ahead, the COI says its new media buying contract with M4C will generate further savings for any essential advertising required.

The COI has developed guidelines and papers to help streamline procurement of communication and marketing services – among them one on behaviour change and another on the financial benefits of marketing.  

Email This Post Email This Post
Printer Friendly

0 responses so far ↓

  • There are no comments yet...Kick things off by filling out the form below.

You must log in to post a comment.

``