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US digital ad spend increasing

Digital ad spend returning to double digit growth

Digital advertising growth in the US will return to double digits next year at 11.2%, following this year’s 7.8%, according to a forecast by market research firm Insider IntelligenceGrowth will not return to the 37.6% we saw in 2021, but it will increase steadily, the forecast says. 

“Come 2025, US digital ad spend will pass $300 billion and keep climbing to nearly $400 billion by the end of 2027.”

Last year, growth was 10.6% and is predicted to drop to 7.8% this year but will be up to 11.2% next year and 10.9% in 2025.

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In 2023, digital ad spend will represent 74.6% of total US media advertising and its percentage is predicted to continue to increase to 82.4% in 2027 after 76.5% in 2024, 79.0% in 2025 and 80.6% in 2026.

Most digital ad revenues 2027 will go to Alphabet ($78.86 billion), Meta ($51.35 billion), and Amazon ($33.96 billion)”, the forecast says. “Traditional media ad spend, comprising TV, radio, out-of-home, and print, will shrink this year as marketers move more online than ever.”

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