蘑菇AV

With US commerce media ad spending surging 21.8% this year, optimizing those dollars will become increasingly important. According to McKinsey, 28% of global marketers already use GenAI for media optimization鈥攁n area Celeste targets directly. Optimization, segmentation, and analysis are some of the top use cases for AI within a campaign lifecycle, per recent IAB data.

Retail media ad spending growth will outpace all other digital formats in 2025. Among the markets we track, we expect growth to far outpace all other channels鈥攅ven though it has moved past the initial hypergrowth phase. In France, for example, retail media ad spending is forecast to grow at nearly three times the rate of other ad formats. Brand confidence will build as standards become entrenched.

鈥淪tandardization will allow RMNs to maintain and capture the current sizable growth trajectory of retail media ad spend. Essentially, all boats will rise with the tide.鈥�. State of play: With over 80 RMNs in the US alone, it鈥檚 difficult for advertisers to manage campaigns across multiple platforms, especially as retail media continues to move off-site.

Despite this, healthcare and pharma underindexes on digital media ad spending compared with other industries. Marketers will spend 27.8% of total media advertising budgets on conventional channels this year, per our forecast.

Although traditional radio advertising remains a $10.5 billion business in the US, it鈥檚 slowly shrinking. Digital audio advertising, by contrast, will grow 6.8% in 2024 to reach $7.12 billion.

US social media ad spending will ride the momentum platforms built in H2 2023 thanks to AI, social video advertising growth, and a fixation on bottom-funnel outcomes.

By 2026, nine streaming services will generate over $1 billion in ad revenue, up from just two in 2020, according to 蘑菇AV鈥檚 forecast. To build that revenue, players across the connected TV (CTV) space are eyeing more ad dollars, which will have a significant effect on marketing budgets and consumer experiences.

Display will make up 25.0% of retail media ad spending, 11.0% of which will be video. In-store advertising makes up a small but growing share of dollars spent. Walmart Connect and Loblaw Advance have in-store digital signage available from their buying platforms, according to the October 2024 鈥淩etail Media Report Card: Canada鈥� from Mars United Commerce.

Non-endemic advertisers will play a key role in funding travel media ad spending. While retail media ad spending is largely driven by endemic advertisers (advertisers promoting brands and products sold directly by that retailer), travel media will be driven by ad spend from non-endemic advertisers.

But while social networks will account for nearly a quarter of total US media ad spending, digital audio services will represent just 1.8%. The disparity is partially explained by the popularity of digital audio platforms鈥� ad-free subscriptions, which are unavailable on major social platforms. But social platforms鈥� early prioritization of automation in ad serving and buying also factors in.

For the second half of 2023, US retail media ad spending will reach $46.38 billion, per Insider Intelligence鈥檚 forecast. Meanwhile, connected TV (CTV) ad spending will also post growth of 20.0%. In response, marketers in 2024 will create dedicated retail and media strategies to leverage retail data sets in CTV.

US omnichannel retail media ad spend will hit $129.93 billion in 2028, according to our forecast, up from $54.85 billion this year.

US retail media ad spend will hit $45.15 billion this year, an increase of almost 20% over 2022, according to our forecast. Growth will accelerate each year through 2027, when we expect spend to reach $106.12 billion.

US retail media ad spend will more than double between 2023 and 2027, reaching a total of $109.40 billion, according to our forecast.

There鈥檚 no stopping the retail media juggernaut. At $45.05 billion in US spending in 2023, it鈥檚 already far ahead of connected TV and closing in on traditional TV.

US omnichannel retail media ad spend will account for nearly a quarter of total media ad spend by 2028, reaching $129.93 billion, per our forecast. This growth will be fueled by a surge in retail media search, non-endemic partnerships, and off-site placements. However, financial media networks may give retail media networks some competition for advertiser dollars.

Retail Media Ad Spending Benchmarks. Retail Media Ad Spending. Retail Media Ad Spending, by Channel. Retail Media Ad Spending, by Format. Retail Media Ad Revenues, by Company. TV and CTV Ad Spending Benchmarks. Combined TV and CTV Ad Spending. TV and CTV Ad Spending, by Distribution Method. Traditional TV Ad Spending. CTV Ad Spending. CTV Ad Revenues, by Company. Social Network Ad Spending Benchmarks.

Drawn by more robust branding- and performance-based formats, improved on-site and off-site targeting, and deeper first-party insights, retail media ad spending in Latin America will reach $2.54 billion in 2025. This will mark the first time the format represents a double-digit share of total digital ad spending in the region, at 11.0%.