The global ad market is set for 6.8% growth in 2024, driven by algorithmic strategies and digital dominance. By 2027, digital will account for 62.7% of ad spend, with leading innovations in connected TV and retail media. Regions like the Americas and India drive momentum, while precision marketing reshapes industry norms.
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The global advertising market is accelerating ahead of the broader economy, with a projected 6.8% growth in 2024, reaching US$ 772.4 billion, according to Dentsu’s Global Ad Spend Forecasts. Growth is set to continue, with a 5.9% increase forecasted for 2025, driven by algorithm-driven strategies that are reshaping media investments and consumer targeting. In an industry defined by trends, algorithms have emerged as key trendsetters.
Digital advertising leads this transformation, predicted to capture 62.7% of global ad spend by 2027. Retail media, a major focus for advertisers, is expected to grow by 21.9% annually as brands increasingly leverage retailer data and explore offsite advertising through connected TV. Programmatic advertising mirrors this shift, projected to expand by 11.1% in 2025, with programmatic buys dominating digital ad spend by 2027.
“Our 2025 forecast underscores the pivotal role of media in today’s economy. Data-driven and digital-first media investment strategies continue to reshape how brands connect with consumers,” said Will Swayne, Global Practice President – Media, dentsu. Regional dynamics further reflect this shift, with the Americas leading at 6.3% growth in 2025, fueled by digital investments in markets like the US and Brazil. India’s rapid adoption of AI-enabled ad placements drives a 5.8% increase in the Asia-Pacific, while EMEA is set for 5.0% growth, led by digital in countries like the UK.
Connected TV, experiencing an 18.4% surge in ad spend, is redefining traditional television, which faces a 2.5% decline. Sectors such as finance, pharmaceuticals, and travel show notable growth, reflecting consumer interest in stability, wellness, and adventure.
“As digital channels continue to lead the way, the global advertising landscape is entering a new phase of growth and innovation,” Anita Kotwani, CEO – Media, South Asia, dentsu, noted. The “algorithmic era” underscores a shift toward precision marketing, with data and AI reshaping the future of advertising.
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