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We鈥檒l be watching whether it can sustain Platform growth above 15% as comps tighten later in the year鈥攅specially without the benefit of last year鈥檚 political ad spending.

Read the full report, US Travel Industry Ad Spending 2024.

The decline in main media spend reflects pressure to deliver results immediately鈥攂ut as Dan Gee of Media Futures Market noted, balance is key. Brands that neglect long-term brand building in favor of performance-only tactics may struggle to maintain relevance. Even as overall budgets dip, AI and personalization are emerging as bright spots.

This could direct more advertisers towards paid Google ad placements to recover lost organic traffic, forcing brands to increase ad spend with Google to maintain visibility. This strengthens antitrust arguments that Google wields its search power to entrench its ad tech dominance.

US CPG Industry Ad Spending 2024 (Subscription required). US Retail Industry Ad Spending 2024 (Subscription required). Note: Historical digital ad spending data up to 2015 is derived from Interactive Advertising Bureau (IAB) and PwC data.

Ad spending on YouTube will be up over 750% in 2025 versus 2015. This rapid rise has been fueled by a boom in digital video consumption and a significant improvement in its ad products. But it still sits some way behind the wider digital video ad category. For comparison, US digital video ad spending increased 1,776% in the past 10 years.

At the moment, AI-generated creative represents a modest portion of most brands鈥� ad spending, according to our interviews with ad professionals. But it will get a significant boost from that small base: A full quarter of advertisers worldwide said genAI creative would get the biggest boost in usage of any ad format in 2024, according to Smartly.io and WBR Insights data released in January.

LinkedIn ad growth may be losing its shine in the near term, but its long game remains intact. Gaming, often overlooked, is steadily becoming a more dependable contributor. The only red flag? A company known for infrastructure bravado is now thinking twice before breaking ground. That鈥檚 a subtle but important signal in an AI arms race that may be getting ahead of itself.

Potential reductions in US social ad spending, per our ad forecast鈥攖ied to broader trade tensions and reduced Chinese advertiser activity鈥攃ould hurt platforms that rely heavily on domestic spend. Pinterest鈥檚 international momentum provides a helpful counterbalance.

Ad spending could become more reactive. With CFOs demanding agility, marketers will prioritize performance channels and pause bigger brand investments. Campaigns focused on demand generation, ROI, and flexibility may take precedence over splashy, long-term initiatives.

With language barriers falling, communities flourishing, and ad dollars flowing, Reddit is becoming a global platform powered by local culture.

OOH keeps gaining ad spending dollars, but its share of media budgets remains below pre-pandemic levels.

Streaming will remain critical for reaching audiences, but spreading ad spend across both streaming and linear TV will help combat market volatility. Potential ad load increases will make the quality and relevance of creative ads more important than ever to break through viewer fatigue.

Meta platforms will account for 72% of overall social network ad spending in 2025, per our forecast.

Almost half (45%) of advertisers are planning on reducing overall ad spend. Of those, 60% expect ad budgets will drop by 6% to 10%, while 22% expect a drop between 11% and 20%.

Streaming makes ad spending gains, Netflix experiences growing pains, and advertisers encounter a soft upfront market.

In the medium term, we expect our ad spending figures to be lower, based on broader macroeconomic declines resulting from the tariffs. The impact of a trade war on Canada is especially acute given its deep trading relationship with the US. 蘑菇AV three-quarters of Canada鈥檚 exports go directly south, and almost two-thirds of imports are from the US.

However, this is an apples-to-oranges comparison since YouTube is in a category of its own; it competes for ad dollars not only with social networks but also with streamers like Netflix. Retailers Shein and Temu are pushing up Meta鈥檚 ad prices. The pair have been spending hundreds of millions of ad dollars to reach US shoppers, boosting Meta鈥檚 bottom line and increasing rates.

Auto鈥檚 ups and downs: Automaker ad spending has been rocky since 2022鈥檚 advertising slump, and tough times have prompted the industry to reexamine its ad strategy. Once a stalwart of TV advertising, we expect the automotive industry鈥檚 US traditional media ad spend (which includes TV) to decline 8.6% this year to $7.3 billion鈥搕hough digital ad spend will jump 14.7%.

However, at 2.7% YoY growth, the gains paled in comparison with worldwide ad spending, which increased by 7.0% YoY in 2023, per our forecast. The share of ad spending that goes through the top agencies has been decreasing since 2019, per Advertiser Perceptions.