United States Digital Ad Spend Market Size & Forecast by Spend Value Across 100+ KPIs by Type of Advertising Channel, Format & Media, Platforms, Pricing Models, Industry, Digital Ecosystem, and Media Buying Method - Databook Q1 2026 Update

Key Trends and Drivers in Digital Ad Spend

Retail Media Networks Are Restructuring Performance Advertising

• Retail media has become central to digital media strategies in the US. Major platforms such as Amazon Ads, Walmart Connect, Target’s Roundel, Instacart Ads, and Kroger Precision Marketing are now competing directly with traditional search and social channels. These networks offer closed-loop advertising with access to real-time shopper data, conversion tracking, and media performance visibility.
• This evolution is largely driven by ecommerce expansion and privacy-driven shifts in data access. Brands are reallocating trade marketing and performance budgets to retail environments where purchase intent is strongest and attribution is more direct. The continued growth of retail loyalty programs further enriches available audience segments.
• Over the next few years, retail media is expected to expand its share of budget and sophistication. As retailers offer programmatic off-site media, API-based buying tools, and improved analytics, they will attract both endemic and non-endemic advertisers.

CTV and Ad-Supported Streaming Are Driving Budget Reallocation from Linear TV

• The US video advertising landscape has moved decisively toward connected TV (CTV) and ad-supported streaming formats. YouTube TV, Roku, Hulu, Disney+, Netflix (ad-supported), Peacock, and emerging FAST channels like Tubi and Pluto TV now anchor digital video strategies.
• Cord-cutting and platform fragmentation are driving brands to reconsider traditional television spending. Advertisers are prioritising premium, addressable, and measurable video inventory, particularly for branding, political campaigns, and sports. Streaming platforms are responding with improved targeting, live content bundles, and contextual ad formats.
• As streaming adoption deepens, advertisers will continue to shift budgets from linear to CTV. The challenge will be measurement standardisation and managing frequency across fragmented environments. Demand for cross-platform planning tools will grow as advertisers pursue unified video reach.

AI and Automation Are Redefining Campaign Management and Creative Execution

• AI-powered tools are now deeply embedded in media planning, execution, and creative development. Google’s Performance Max, Meta’s Advantage+ Shopping Campaigns, Amazon’s DSP automation, and creative platforms like Adobe Firefly are reshaping workflows.
• These tools are gaining adoption due to the need for scale, personalisation, and performance consistency. AI is being used for asset generation, dynamic creative optimisation, predictive audience modelling, and automated bid management. Agencies are reorganising to support strategic oversight, while brands experiment with AI for multivariate testing.
• This trend will deepen in the near term, especially as brands look to streamline operations. However, the use of generative AI is likely to come under greater scrutiny as regulation around synthetic content and transparency evolves.

Privacy Regulations and Industry Shifts Are Forcing First-Party Data Strategies

• The regulatory environment in the US is becoming more complex. State-level privacy laws in California, Virginia, Connecticut, Colorado, and Utah have introduced consent requirements, data usage restrictions, and consumer opt-out rights. Simultaneously, platforms are reducing reliance on third-party identifiers.
• As a result, advertisers are accelerating investment in first-party data infrastructure, clean rooms, and privacy-safe activation. Consent management platforms and compliant identity resolution tools are now essential components of campaign planning.
• Looking ahead, advertisers that embed privacy into their media stack will be better prepared for future state or federal legislation. Compliance is becoming not just a legal obligation, but a brand differentiator in the eyes of regulators, platforms, and consumers.

Content and Commerce Are Converging Through Creator-Led and Shoppable Formats

• The integration of influencer marketing and direct commerce is reshaping social advertising. Platforms like TikTok, Instagram, and YouTube are rolling out shoppable video, live shopping features, and creator marketplace integrations.
• Consumers are increasingly discovering products through short-form content and peer recommendations. Retailers and DTC brands are embedding commerce functionality into creator collaborations, turning content into a purchase funnel.
• This convergence is expected to intensify. Measurement frameworks will evolve to track creator impact beyond clicks, incorporating post-view engagement and affiliate-driven sales. Always-on creator partnerships will be embedded into broader performance strategies.

Competitive Landscape in Digital Ad Spend

Market Concentration is High, but Adjacent Ecosystems Are Disrupting Dynamics

Google, Meta, and Amazon still capture the lion’s share of digital ad investment:

• Google dominates search, display, and YouTube video.
• Meta remains strong in social and performance marketing.
• Amazon leads in commerce-linked ad inventory and continues to invest in DSP infrastructure.

Yet, competition is rising from multiple fronts:

• Walmart Connect, Target Roundel, Instacart Ads, and other retail media networks are building full-funnel advertising solutions.
• Netflix, Disney+, and Peacock have expanded their ad-supported tiers, offering scaled CTV inventory.
• DoorDash and Uber are embedding advertising into commerce journeys, using location and transaction data.

Retail Media Networks Have Emerged as a Core Competitive Segment

• Retailers are not just media sellers they are now tech platforms offering advanced audience segmentation and closed-loop attribution. Amazon Ads sets the pace, but Walmart Connect is scaling its ecosystem through The Trade Desk integration. Instacart Ads has introduced new creative formats and real-time promotions.
• The sector is defined by deep vertical alignment with ecommerce, loyalty data, and fulfillment insights. These platforms are increasingly courting national advertisers outside of CPG, including finance, entertainment, and travel brands.

CTV and Streaming Platforms Are Expanding Ad Infrastructure

YouTube remains dominant in digital video, but competition is increasing:

• Netflix, via Microsoft, is building out its ad business with global sales and brand-safe inventory.
• Disney+ and Hulu are offering bundled ad buys across live sports, entertainment, and CTV.
• Roku is investing in commerce integrations and home screen monetisation.

Strategic Alliances and M&A Are Redefining Ecosystem Capabilities

Several major deals and partnerships in the past 12 months have reshaped market structure:

• Microsoft’s expanded partnership with Netflix has positioned it as a significant player in ad tech infrastructure.
• Walmart’s collaboration with The Trade Desk has created a retail data-powered DSP.
• Google and Meta have responded to privacy pressure by enhancing user controls and reducing cross-site tracking.
• Adobe is working with U.S. agencies through its clean-room-enabled Experience Platform and AI-driven campaign tools, supporting privacy-safe data collaboration and automated content orchestration.

Regulatory Developments Are Changing the Basis of Competition

The regulatory landscape is shaping platform conduct and advertiser behaviour:

• State-level privacy laws are driving changes in consent, targeting, and data sharing.
• FTC enforcement has increased around influencer disclosures and algorithmic transparency.
• DOJ and FTC reviews of platform mergers are slowing ad tech consolidation and raising accountability expectations.

Outlook: Competitive Advantage Will Be Defined by Integration, Compliance, and Utility

Over the next 2-4 years, competition in the US digital ad market will center on the following:

• Retail media platforms will evolve into omni-channel advertising ecosystems.
• CTV players will consolidate share by expanding ad tech and targeting capabilities.
• Identity and measurement solutions that operate across walled gardens will become essential.
• Agencies and consultancies will expand their role in data strategy, compliance, and creative automation.

Report Scope

United States Ad Spend Market Size and Growth Dynamics

• Spend Value

United States Ad Spend Market Segmentation by Advertising Channel

• Television Advertising
• Print Advertising
• Radio Advertising
• Outdoor Advertising
• Digital Advertising
• Other

United States Ad Spend Market Segmentation by Television Advertising

• Linear TV Advertising
• Connected TV / OTT Video Advertising

United States Ad Spend Market Segmentation by Radio Advertising

• Traditional Radio Advertising
• Digital Audio / Podcast Advertising

United States Ad Spend Market Segmentation by Outdoor Advertising

• Traditional OOH Advertising
• Digital Out-of-Home (DOOH) Advertising

United States Ad Spend Market Segmentation by Digital Advertising

• Spend Value

United States Digital Ad Spend Market by Segmentation

• Search Engine Sites
• Ecommerce Sites
• News & Media Sites
• Social Media
• Gaming Platforms
• Forums & Classifieds
• Others

United States Digital Ad Spend Market Segmentation by Social Media

United States Digital Ad Spend Market Segmentation by Gaming Platforms

• Around Games Environment Ad Spend
• In Game Environment Ad Spend
• In Game Immersive Ad Spend
• Exclusive Advertising Games Spend

United States Digital Ad Spend Market Segmentation by Format & Media

• Video
• Display
• Email
• Influencer Marketing
• Blogging and Podcasting

United States Digital Ad Spend Market Segmentation by Platform

• Mobile
• Desktop and Laptop

United States Digital Ad Spend Market Segmentation by Pricing Model

• Cost Per Mile (CPM)
• Cost Per Click (CPC)
• Performance Based Advertising
• Others

United States Digital Ad Spend Market Segmentation by Industry

• Technology
• Travel & Hospitality
• FMCG
• Automotive
• Media & Entertainment
• Telecommunications
• Retail & Consumer Goods
• Business and Financial Services
• Pharmaceutical and Healthcare
• Public Sector
• Construction and Real estate
• Education
• Home Appliances and Furniture
• Other Industries

United States Digital Ad Spend Market by Digital Ecosystem

• Walled Gardens
• Open Web / Independent Publishers

United States Digital Ad Spend Market by Media Buying Method

• Programmatic Advertising
• Direct Advertising

Reasons to Buy

• Comprehensive Market Intelligence: Gain an integrated view of the full advertising landscape, covering both traditional channels (television, print, radio, outdoor) and the rapidly expanding digital advertising ecosystem. Track essential spend metrics, including channel-wise allocation, digital share evolution, and growth patterns across formats and platforms.
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• Segment-Wise Insights and Cross-Analysis: Evaluate advertising trends across formats (video, display, email, influencer marketing, blogging/podcasting), device platforms (mobile vs. desktop/laptop), pricing models (CPM, CPC, performance-based), industries, and digital ecosystems (walled gardens vs. open web). Cross-segmentation supports deeper understanding of how advertisers allocate budgets across channels, formats, and audiences.
• Advertiser and Audience Behaviour Analytics: Understand how brands across sectors such as retail, BFSI, FMCG, technology, automotive, media, healthcare, education, and others, distribute their digital budgets. Assess audience engagement patterns and platform choices, providing actionable insights into reach, attention, and return on spend.
• Digital Infrastructure and Ecosystem Readiness: Assess the maturity of the enabling digital ecosystem, CTV/OTT expansion, and programmatic infrastructure, all of which shape the evolution of digital advertising models and automated buying practices.
• Data-Driven Forecasts and KPI Benchmarking: Access a comprehensive dataset of 100+ KPIs with historical and forecast data through 2029, offering visibility into channel evolution, digital acceleration, format-level momentum, and emerging opportunities in programmatic buying, retail media, gaming, and CTV/OTT.
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