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In response to viewership spikes, podcast ad spending is increasing. US spending is projected to reach $2.51 billion this year, growing 11% YoY, per our forecast. By 2028, spending will exceed $3 billion. Creator-audience relationships are important to listeners.

Slower growth in these segments could drag down overall ecommerce expansion. Compounding the challenge are strained logistics systems, longer fulfillment timelines, and increased risk of inventory stockouts, as carriers and the USPS must now verify package values. While ecommerce will continue to gain share of total retail, growth is likely to fall short of prior projections.

Temu and Shein ad impressions dropped to 0% as both retailers effectively cut off Google Shopping ad spend in April.

The news: Temu’s foothold in the US is shrinking as the company pulls back sharply on advertising. Weekly sales slumped more than 25% YoY between May 11 and June 8, according to Bloomberg Second Measure. Our take: Given the importance of the US market to Temu and its merchants, it’s possible that its current pause on US ad spending and shift to Europe is a temporary effort to regroup as it searches for a business model more resistant to tariffs and the end of de minimis. At the same time, the longer the pause goes on, the more ground it will cede to Shein and other competitors—and the harder it will be to regain market share.

The news: Google reduced its sub-$500 million smart TV budget by 10%, laid off a quarter of its 300-person TV staff, and scaled back investments in connected TV (CTV) initiatives like Google TV and Android TV, per The Information. The latest changes prioritize YouTube and cloud, which now drive Alphabet’s $110 billion annual run rate. Our take: Advertisers should reallocate budgets toward YouTube’s growing ad ecosystem while exploring emerging CTV platforms like Roku and Amazon Fire TV. Google’s retreat creates openings for competitors to capture market share in CTV advertising.

In December, IPG bought Intelligence Node for $100 million to deepen ecommerce intelligence. Also in December, Omnicom announced plans to absorb Interpublic Group to create an end-to-end marketing and sales company. In March, Publicis announced a deal to pick up Lotame, citing the urgent need to connect AI, media, and commerce.

Success is more likely for advertisers who have a comprehensive understanding of emerging CTV channels and shifting viewing habits while maintaining proven revenue streams rather than those who abandon traditional approaches too quickly.

Why it’s happening: Platforms face slowing ad growth, rising tech infrastructure costs, and supporting gigantic agency-facing teams—as Meta and others do—is expensive. If platforms’ genAI tools can replace agency support functions—like campaign setup, asset creation, or reporting—it could justify reducing headcount in those areas, turning what were once essential roles into potential cost savings.

Canada ranked No. 2 globally in cross-border retail ecommerce buyer penetration, according to our December 2024 forecasts. More than half (56.1%) of digital buyers were forecast to make transactions outside of the country (mostly the US) in 2025. But tariffs on US consumer goods and services will reduce demand significantly.

The news: Adobe and Amazon are redefining how marketers produce video ads by launching new generative AI tools aimed at small and mid-sized businesses. Adobe Express for Ads, unveiled today, supports direct publishing to platforms like Google, Meta, and TikTok, while Amazon’s AI video tool can transform product pages into multiple ad variants. These tools cater to resource-limited advertisers seeking scale and performance. Our take: The video ad market is maturing fast—and AI is making it more accessible. As more marketers pilot GenAI tools, early adopters will gain an edge in personalization and efficiency, turning creative experimentation into reliable results.

Senate leader questions pharma advertising oversight amid growing calls for more regulation: The threats of new legislation and regulations indicate the seriousness of both the Trump administration and Congress to move against pharma ads.

The news: Shein’s and Temu’s influence in the US is fading quickly as both companies cut ad spending and look to Europe for growth. Our take: Shein and Temu are finding that the billions of dollars they plowed into US advertising have not been enough to secure US customers’ loyalty in the face of higher prices. But rather than find ways to extend the longevity of their US businesses, both companies are fleeing to Europe to take advantage of the (currently) more favorable trade environment.

The news: Linear ad impressions declined 4.25% YoY in Q1, falling from about 92% of impressions in early 2023 to around 86% in March 2025, per iSpot’s Q1 TV Ad Transparency Report. But despite the decline, linear ad spend grew 4% in Q1, reaching $12.34 billion—indicating that while audience preferences are shifting, advertiser interest in linear remains steady. Our take: The most effective ad strategies will strike a balance between sustaining investment in linear to capitalize on its scale and reliability, and steadily increasing investment in streaming to align with evolving viewer behavior and future-proof campaign performance.

And despite TikTok’s attempt to position itself as separate from parent company ByteDance, recent moves have seen ByteDance tightening its oversight of TikTok Shop—potentially contributing to reignited fears from US leaders.

TikTok made updates to Symphony Creative Studio—its AI-powered video ad generation tool—and commerce-focused AI ad tools for TikTok Shop sellers. Symphony is integrating with Smart+, its AI marketing campaign creator, allowing companies to launch ads directly from the creative studio.