IAB: Media Buyers Boost 2024 Ad Outlook To +11.8%
Media buyers expect to spend 11.8% more on ads in 2024 -- up 2.3 percentage points from the 9.5% they projected last November.
Paid search is forecast to rank third in terms of percentage of growth behind connected television (CTV) and social media.
The Internet Advertising Bureau on Thursday released an ad-spending trends report forecasting increases in annual ad spend.
The 2024 Outlook Study updated estimates from media buyers, mostly at brands and agencies. The emailed survey was fielded between June 14 and August 12, 2024.
Nearly all media channels are expected to post higher growth rates year-over-year (YoY), but ad spend for CTV is estimated to rise the most --18.4% in 2024, up from 14.5% in 2023.
Social media ad spend is estimated to rise 16.3% in 2024 -- up from 11.4% in 2023 -- while paid search should reach 13.1% in 2024, compared with 10.1% in 2023.
IAB attributed possible increases in ad spend during the second half of 2024 to political spending around the Presidential Election and other events, such as the Summer Olympic games.
Digital video claims the largest share of ad spend, while traditional media's share is expected to decline. Despite a temporary boost from special events, linear TV's share of ad spend continues to decline alongside other traditional media.
Retail media, however, continues to grow, with buyers revising YoY projections from 21.8% in November 2023 to 25.1% in August 2024.
Political Media Opinion
The increase in ad spending for 2024 highlights a growing demand for media influence during pivotal political and economic times. However, this reliance on digital advertising by media buyers raises questions about the role big tech plays in shaping public discourse. Conservatives have long been concerned about tech platforms' biases and their potential to skew narratives, especially when ad dollars flood into platforms that have historically censored conservative voices. With the projected $118 billion in ad spending, we should remain vigilant about how this money might reinforce the power of these digital gatekeepers rather than fostering a truly open and diverse media landscape