蘑菇AV

While ad spend allocated to in-store retail media has yet to take off, consumers are ready and willing to engage with digital in-store formats, according to a new survey by 蘑菇AV in collaboration with Placer.ai.

One in 40 US ad spending dollars went to OOH in 2023, but that ratio will be 1 in 50 ad dollars in 2028, mainly due to the very rapid increase in ad spending going to connected TV (CTV) and other digital formats. Advertising for local services and entertainment accounts for almost one-third of all OOH spend.

On today's podcast episode, we discuss whether search, social, connected TV, or retail media has been driving growth the most this year, how much non-cyclical ad growth has been fueling this year's numbers, and what to expect from ad spend in 2025. Tune in to the discussion with host Marcus Johnson and our analyst Ross Benes.

The race to attract small advertisers with AI is on: Taboola is the latest ad tech firm to target small businesses in an effort to grow the ad spend pool.

This year, as the digital ad spend outpaces the time consumers are spending on the medium, media companies are leaning into revenue drivers like commerce media while also investing in content that builds community.

The majority (77.7%) of ad spend in the US is digital. Retail dwarfs all categories in terms of sheer size, but its position as a growth driver falls this year as telecom takes the top place.

By 2027, more than 75% of worldwide ad spending will go to digital, and 20 of our 29 markets will be majority digital. Emerging, recovering, and advanced economies are all doing well. Central and Eastern Europe will lead the world in ad spending growth.

B2B social ad spending will account for nearly half of B2B digital ad spending in 2024, at 46.3%.

Ad spending takes off as businesses invest in digital platforms. Digital ad spending in Spain is on track for robust growth from 2024 to 2028, per our forecast, demonstrating a clear market shift. The progression begins at $4.02 billion in 2024, which represents a 16.5% YoY increase. By 2028, spending will reach $6.88 billion, with YoY growth decelerating to 11.8%.

Ad spending growth is tapering off, but major changes are coming to the market, including the deprecation of third-party identifiers, a new era in TV ad measurement, and growing use of AI in advertising.

How We鈥檙e Revising Our Commerce and Ad Spend Forecasts. To reflect the uncertainty around the tariffs, we鈥檝e developed three possible scenarios to show retail spending and ad spending in 2025:. Limited tariffs: Our existing forecast, produced in Q1 2025, now serves as the scenario with the least amount of disruption.

Instacart expands Caper Cart ad opportunities to capitalize on in-store retail media demand: The company joins Ahold Delhaize in beefing up its offerings to give CPG advertisers more ways to reach shoppers.

In January, we forecast that if a TikTok ban was enforced, about 4 in 10 of its ad dollars would wind up with Meta. YouTube was the next largest recipient and would receive about one-tenth of TikTok鈥檚 ad dollars. Despite the changes in the media landscape, upfront advertising is here to stay.

Total ad spending will grow to almost $32 billion in 2026. That includes all advertising, both to consumers and to healthcare providers.

The German market has more ad dollars assigned to retail media than do either the French or UK markets. Retail media has had a head start in Germany thanks to Amazon. This year, retail media ad spending will account for 19.5% of all digital ad spending in Germany, 14.2% in France, and 12.5% in the UK. But growth won鈥檛 falter, even against a strong performance in other categories.