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September 24, 2025 2 mins
The global advertising industry is experiencing a period of realignment in response to economic, regulatory, and technological pressures over the past 48 hours. Digital ad spending growth in the US, once projected at over 11 percent for 2025, has been sharply downgraded to just 9.5 percent, reaching an estimated 338 billion dollars. Much of this slowdown is driven by intensified tariffs that have hit the automotive and retail categories particularly hard. The auto sector, for example, is expected to see digital ad spending growth of only 2.2 percent, while retail will rise just 7.4 percent. However, retail media networks themselves are thriving, with an expected 18.7 percent growth to nearly 60 billion dollars in ad revenue this year, as brands shift budgets toward measurable and direct sales channels.

Meanwhile, consumer packaged goods are contending with cost inflation caused by tariffs, and companies are being forced to cut back on campaigns despite resilient demand in food and beverage subcategories. Across sectors, mobile advertising and social media remain priorities, with approximately 35 percent of CPG digital spend now allocated to social networks.

There are notable deals and shifting strategies from industry leaders. Netflix announced a high-profile partnership with AB InBev to feature branded campaigns during its live sports events, including NFL games and upcoming global tournaments. As Netflix’s ad-supported tier reportedly reached 94 million monthly active users in May, this collaboration underscores how live streaming is becoming an anchor for brand visibility and engagement.

Emerging competitors and new products continue to reshape consumer experience. Amazon is now ranked as the top ad platform among consumers, edging out major social platforms and streaming services. Marketers are increasing budgets for influencer content, social commerce, and TV streaming in response to changing consumer behaviors. Over half of surveyed Americans report seeing ads on streaming video services, and a third encounter audio ads, highlighting the mainstream integration of these channels.

Advertising professionals are also gathering at major summits like the Retail Media Impact Summit in Amsterdam, focusing on incrementality measurement, retailer first-party data, and the convergence of digital in-store and connected TV strategies. This marks a decisive shift toward data-driven and omnichannel approaches amid tighter budgets and greater competition.

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Transcript

Episode Transcript

Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
The global advertising industry is experiencing a period of realignment
in response to economic, regulatory, and technological pressures. Over the
past forty eight hours, digital to a two nine same to.
Much of this slow down is driven by intensified tariffs
that have hit the automotive in retail categories particularly hard.

(00:20):
The auto sector, for example, is expected to see digital
ad spending growth of only two point two percent, while
retail will rise just seven point four percent. However, retail
media networks themselves are thriving, with an expected eighteen point
seven percent growth to nearly sixty billion dollars in add
revenue this year, as brands shift budgets toward measurable and

(00:43):
direct sales channels. Meanwhile, consumer packaged goods are contending with
cost inflation caused by tariffs, and companies are being forced
to cut back on campaigns despite resilient demand in food
and beverage subcategories. Across sectors, Mobile advertising in social media
remain priorities, with approximately thirty five per cent of CpG

(01:06):
digital spend now allocated to social networks. There are notable
deals and shifting strategies from industry leaders. Netflix announced a
high profile partnership with ab and BEV to feature branded
campaigns during its live sports events, including NFL games and
upcoming global tournaments. As Netflix's ad supported tier reportedly reached

(01:28):
ninety four million monthly active users in May, this collaboration
underscores how live streaming is becoming an anchor for brand
visibility and engagement. Emerging competitors and new products continue to
reshape consumer experience. Amazon is now ranked as the top
ad platform among consumers, edging out major social platforms and

(01:48):
streaming services. Marketers are increasing budgets for influencer content, social commerce,
and TV streaming in response to changing consumer behaviors. Haff
of surveyed Americans report seeing ads on streaming video services
and a third in counter audio ads, highlighting the mainstream
integration of these channels. Advertising professionals are also gathering at

(02:12):
major summits like the Retail Media Impact Summit in Amsterdam,
focusing on incrementality measurement, retailer first party data, and the
convergence of digital in store and connected TV strategies. This
marks a decisive shift toward data driven and omni channel
approaches amid tighter budgets and greater competition
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