Global advertising and marketing expenditures surged 8.7% in 2024, reaching $1.776 trillion, driven by political campaigns and the Paris Summer Olympics. However, growth is expected to slow to 5.3% in 2025, as inflation concerns and trade policy uncertainties weigh on the market, according to a report by media research firm PQ Media.
The report highlights that spending was fueled by elections in 15 of the 20 largest global markets and an influx of media buys surrounding Olympic coverage. Digital and alternative media saw strong gains, growing 13.3% to $935.07 billion, while traditional media spending increased 4.1% to $841.09 billion. The United States remained the world’s largest media market, accounting for $708.45 billion in ad and marketing investments, with a 9.7% growth rate in 2024.
Digital Media Continues to Outpace Traditional Channels
A key trend in the report is the continued dominance of digital and alternative media over traditional formats. Spending in 29 of 45 digital media channels tracked by PQ Media grew at double-digit rates, with smart technology marketing, streaming video, podcasting, digital out-of-home advertising, and influencer marketing leading the way. The shift away from traditional platforms has been ongoing, with digital and alternative media commanding 52% of total global ad and marketing spending in 2024, up from 40% in 2019.
This shift reflects broader industry changes, as brands increasingly seek targeted engagement over mass-reach campaigns. Concerns over content adjacency, particularly with social media platforms like Meta loosening content moderation policies, may further push advertisers toward alternative digital formats that offer more control over ad placement.
2025 Outlook: Political Uncertainty and Economic Pressures
Despite strong momentum in 2024, PQ Media warns that growth will slow in 2025 due to macroeconomic factors, including inflation concerns and potential trade disputes. The expectation that former President Donald Trump will impose higher tariffs on foreign goods, leading to retaliatory measures from trading partners, has created uncertainty. Some brands have already begun to scale back ad budgets in anticipation of economic turbulence.
“Early pacing data in 2025 shows that brands are starting to trim their budgets in anticipation of the Trump tariff policies, despite consumers still spending online and shopping at brick-and-mortar stores,” said PQ Media CEO Patrick Quinn. However, he noted that spending is expected to accelerate again in 2026, driven by global elections and the FIFA World Cup in North America.
Live Sports Remains a Key Advertising Driver
The report also underscores the value of live sports in an increasingly fragmented media landscape. Premium live events, including the NFL’s Super Bowl and the Olympics, continue to command high ad rates across both traditional and streaming platforms. NBC’s multi-platform coverage of the 2024 Olympics, which included broadcast, cable, and its Peacock streaming service, was cited as a successful example of omnichannel media strategy.
Implications for Marketers
For marketers, the findings highlight the need to balance short-term economic pressures with long-term investment in digital-first strategies. The growing reliance on AI-powered marketing tools and alternative digital media channels suggests that brands are prioritizing data-driven approaches to consumer engagement. At the same time, the uncertainties around trade policy and economic stability may lead to more conservative spending in 2025.
While digital and alternative media continue to expand, marketers will need to closely monitor shifts in consumer behavior, economic conditions, and regulatory policies to navigate the changing landscape effectively.