IAB: Ad Forecasts Look Rocky, But Industry Remains Resilient

  • 04.25.2025
  • Source: Media Post
  • by: Laurie Sullivan
IAB: Ad Forecasts Look Rocky, But Industry Remains Resilient
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Economic instability and the impact of tariffs in 2025 can be overcome if marketers take the correct path by watching performance and following key indicators -- platform by platform.

As part of the Interactive Advertising Bureau (IAB) webinar held Thursday to complement last week’s release of its 2024 revenue report, experts provided insight into removing costs through artificial intelligence, which will have the least amount of turbulence, and strategies to keep businesses growing.

Luke Stillman, executive vice president of market insights at research firm Magna, pointed to top verticals, as well as some benefits and challenges they might have this year.

Magna ranked the top verticals in terms of the amount they will spend on advertising. Retail ranked No. 1 at 27%, with technology at 12%; finance, 10%; travel, 6%; and auto, 5%.

“Auto is interesting,” he said. “There are 3.1 million cars sitting on dealer lots. That’s approaching the pre-COVID high of 3.8 million. Lots of cars means incentives for dealers to advertise and get cars out the door. Incentives are at record highs.”

Automotive was set up to have a good year, he said, but now there are geopolitical and supply chain uncertainties. Some auto brands are pulling back on budgets.

While the IAB's ad forecast may look bleak on paper, it underscores a key shift that should energize conservative strategists rather than alarm them. PMI emphasizes actionable insights for political campaigns, and this is one: in an era of tighter budgets and rising scrutiny, efficiency beats scale. The bloated ad spends of recent years, often dominated by tech giants and legacy firms, are giving way to more targeted, ROI-driven strategies—a space where conservative campaigns naturally excel. Grassroots movements, lean digital teams, and message-first marketing are finally getting the upper hand. This “rocky” forecast isn’t a warning—it’s a wake-up call for smart political marketers to double down on agility, analytics, and platform diversification. That’s the kind of disruption we’ve been preparing for. ~Political Media 
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