WPP report: global ad market remains resilient, driven by digital and AI

Based on the WPP Media 'This Year Next Year' (TYNY) Global End-of-Year forecast for December 2025, the global advertising market has demonstrated strong resilience, leading to an upward revision for 2026.

The report projects that global advertising revenue will reach $1.14 trillion in 2025 (growing 8.8%) and continue its momentum with an anticipated 7.1% growth in 2026. This sustained expansion is attributed to favourable trade tariff outcomes and a boom in AI investments.

India is among the top 15 markets with an ad revenue of $20.7 billion, with a 9.2% growth compared to the previous year. It is also expected that India's ad revenue will demonstrate an upward trajectory, reaching $7890 million by 2030. 

The industry is undergoing a "creative destruction" phase, largely driven by Artificial Intelligence (AI), which is transforming content creation, media planning, and consumer interaction. Key shifts include streaming video displacing linear television and creator-driven content competing with professionally produced media.

A major channel dynamic highlighted is the rise of Commerce advertising, which is projected to reach $178.2 billion in 2025, surpassing total TV ad revenue for the first time. The report also introduces new forecast categories, such as gaming, financial services, media networks, and travel media networks, reflecting the diverse landscape of advertising platforms. Gaming is the fastest-growing content channel, despite being a small portion of overall ad revenue.

The forecast builds on the introduction of "Intelligence" as a new category (replacing "search") and introduces the "Future of Advertising Intelligence Framework" to assess the capabilities needed for success.