蘑菇AV

Several factors are contributing to ad spend increases. The growth in ad spend isn鈥檛 coming from a singular source. As Reddit grows in popularity, new ad formats, measurement offerings, and AI tools are making it more appealing to marketers. Reddit is making inroads in social commerce.

Spend from current retail media network (RMN) advertisers is showing signs of cooling, forcing RMNs to look to non-endemic advertisers outside their existing ad networks for new ad dollars.

On today's podcast episode, we discuss the significance of a democratic country like Brazil banning X, how it will impact the platform in terms of users and ad dollars, and how advertisers in America are viewing the situation. Tune in to the discussion with host Marcus Johnson, vice president and analyst Jasmine Enberg and analyst Matteo Ceurvels.

Click here to view our full forecasts for US programmatic direct nonsocial digital display ad spending and US real-time bidding (RTB) nonsocial ad spending. But PMPs have also gained share of programmatic budgets. In 2020, PMPs and the open exchange each accounted for about half of nonsocial RTB ad spending.

Despite impressive time spent, digital audio gets relatively few ad dollars. Although consumers will spend an average of 2:42 each day in 2024 listening to audio (21.4% of total media time spent), advertisers will buy only $17.61 billion in audio ads, roughly 4.5% of total US advertising spend.

Room for growth: Global platforms still dominate ad spend, but smaller, country-specific networks are gaining ground. For Gander, that means advertisers can tap into high-engagement communities tied to cities, interests, or regional issues鈥攕paces big platforms often overlook.

Ad dollars could shift away from search toward other channels if more people rely on genAI answers instead of clicking through ads. That would be especially meaningful in healthcare and pharma, where marketers skew heavily toward search advertising to meet consumers who use the internet to conduct healthcare-specific research.

The vast majority of gaming ad spending is mobile. Our forecast for the US shows that mobile accounts for 90.9% of total gaming ad spending. Click here to view our 鈥淕uide to video game advertising: Trends, tactics, and opportunities for marketers.鈥�. Sources. Interactive Advertising Bureau of Canada (IAB Canada).

Both companies are increasing ad spend in Europe, especially in the UK and France鈥攁lthough such relief may be short-lived, given that both countries are also considering crackdowns on de minimis imports.

Social network ad spending will represent one quarter of all US ad spending in 2027, 蘑菇AV forecasts. Over 9 in 10 US marketers who invest in creator marketing plan to promote their partnerships via retail media networks in 2025, per October 2024 data from LTK and Northwestern University.

From 2024 to 2026, FMN ad spend will grow at a breakneck 106.3% compound annual growth rate, per our forecast. While that will account for only 0.4% of US digital ad spending in 2026, this growth reflects FIs鈥� eagerness to monetize their first-party data. Click here to view our full forecast for US FMN ad spending. Ad revenues are looking increasingly attractive for FIs:.

US CPG Industry Ad Spending 2024 (蘑菇AV subscription required). Methodology: Data is from the April 2025 ThinkNow Research "Clicks vs. Carts: 2025 Shoppers Report." 1,500 US adults ages 18+ were surveyed online during March 3-16, 2025.

These companies dominate traditional ad spending, which amounted to 24.2% of total ad spending in 2024. Their digital arms didn鈥檛 compete well with the tech giants initially. But in recent years, growing digital video and streaming audio ad inventory has strengthened their digital revenue prospects.

And platforms that serve as major channels of ad spending aren鈥檛 immune to this issue. Google recently uncovered a large-scale ad fraud scheme that generated millions in ad revenues, validating mitigating ad fraud as one of the top concerns for media investments.

Consumers may be concerned about the economy, but the outlook is good for ad spend in the final months of 2024. The share of advertisers concerned about a slowing US economy dropped 11 percentage points (from 49% to 38%) between November 2023 and August 2024, according to the Interactive Advertising Bureau (IAB). Retail media鈥檚 popularity, an influx of value-based messaging, high political ad spend, and connected TV (CTV) monetization will boost the ad industry the rest of 2024.

Marketers project Q4 revenue gains: Sales to outpace ad spend growth, driven by focus on more efficient spending strategies.

Despite Google鈥檚 slower-than-expected ad growth, YouTube鈥檚 revenues increased 14% YoY, reaching $10.47 billion. Marketers continue to prioritize YouTube as a must-buy platform due to its high viewership and strong engagement across content types. AI-powered search tools are reshaping inbound marketing strategies.

Concerns over ethical data use and privacy guidelines (32%) and the company's reputation (38%) are among the reasons marketers are decreasing ad spend with some companies, per Advertiser Perceptions. Adoption skepticism already exists for metaverse and AI products; public oversharing scandals only complicate the sales pitch.

Looking holistically, we forecast FMN ad spend will increase 83.1% in 2025. Our take: Chase Media Solutions has plenty of room to grow after a successful debut year. Having tested the waters, Chase can stand to expand its ad unit鈥檚 offerings. With intimate access to customers鈥� spending behavior, Chase has an inside advantage within the crowded commerce media landscape.

Temu effectively cut off its paid Google Shopping ad spend on April 12, according to Tinuiti data, while Shein maintained minimal spending on the platform until April 26, when its share of ad impressions also dropped to 0%. Headwinds are on the horizon.