Spending on highly-anticipated Christmas adverts in the UK is hitting record highs.
Advertisers are projected to spend £10.5 billion over the festive season, according to industry trade body the Advertising Association and data provider WARC. Films have already been launched by the likes of Aldi, Marks & Spencer, Boots and Asda.
The record spending on campaigns by retailers hoping to stand out and attract Christmas shoppers is an almost 8% increase from the £9.7bn spent last year. Excluding the post-pandemic recovery year of 2021 the rise will be the biggest since records began in 1982.
James Murphy, chief executive of Ogilvy UK, who has previously worked on campaigns for M&S and John Lewis - the behemoth of Yuletide adverts - described Christmas as the "UK Super Bowl of marketing". Mr Murphy added: “Christmas ads have evolved from just showcasing products to focusing on storytelling.”
The data also highlights a shift in spending from television to digital. While TV advertising is still important for retailers' Christmas adverts, with films this year still being shown on soap ad breaks and during hit shows such as This Morning, advertising through search engines is expected to rise almost 9% to more than £4bn, with online ads including on social media sites rising the most by 16% to just under £4bn. The amount of money expected to be spent on TV advertising has fallen almost 5% to £1.4bn.
In 2023 Aldi was seen as the most affective supermarket ad, with them bringing back the popular Kevin the Carrot character. Kevin is back this year for the ninth time in a row, while Dawn French has reprised her role as the Christmas Fairy while also having a cameo role as herself.
Lynne Deason, head of creative excellence at market research firm Kantar, said: "Consistency pays in advertising, and it’s good to see retailers like Marks & Spencer and Aldi using their campaigns to build on familiar ideas and characters to cement their place in consumers’ minds. Sticking with the same creative approach often makes it easier for people to know which brand is being advertised. It can build a sense of nostalgia too, adding to the entertainment factor.
"Brands are starting to invest in more unique and original ideas that tap into the zeitgeist. Waitrose, for example, is entertaining audiences with its fresh ‘Who Dunnit’ style campaign, creating a conversation beyond the ad itself and anticipation for the next instalment. As brands compete for our attention – and our festive pounds – using advertising to reinforce what makes them different in a way that’s relevant and meaningful will be key to justifying prices and growing in the long run.”