Dublin, Feb. 10, 2026 (GLOBE NEWSWIRE) — The “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” report has been added to ResearchAndMarkets.com’s offering.
The digital ad spend market in United States is expected to grow by 14.2% annually, reaching US$413.24 billion by 2026. The digital ad spend market has experienced robust growth during 2020-2025, achieving a CAGR of 12.4%. This upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 16.0% from 2026 to 2029. By the end of 2029, the digital ad spend market is projected to expand from its 2025 value of US$361.90 billion to approximately US$645.02 billion.
The United States digital advertising market, while the most mature globally, is undergoing substantive structural change as retail media, connected TV, AI-driven automation, privacy regulation, and the convergence of commerce and content redefine how advertisers plan and measure campaigns. These forces are moving the market toward a more integrated and accountable operating model, where retail media, CTV, AI, privacy alignment, and creator-commerce ecosystems function as interdependent components rather than isolated trends.
As media models and partnership structures evolve, advertisers will need to strengthen data strategies, optimise platform mixes, and maintain a clear regulatory posture to compete effectively within an increasingly complex and performance-oriented environment.
Competitive Landscape in Digital Ad Spend
The United States digital advertising market remains highly concentrated, yet competitive boundaries are shifting as retail media networks, streaming platforms, and privacy-first martech ecosystems expand their influence. This diversification is gradually diluting the dominance of legacy players and elevating regulatory compliance and operational transparency as key points of platform differentiation.
The basis of competition is moving beyond reach and inventory toward accountable, commerce-connected, and privacy-aligned advertising environments. As new entrants scale and regulatory scrutiny intensifies, brands and agencies will need to adopt more adaptive, data-secure, and performance-validated media strategies to remain competitive.
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.
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.
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.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 90 |
| Forecast Period | 2026 – 2029 |
| Estimated Market Value (USD) in 2026 | $413.24 Billion |
| Forecasted Market Value (USD) by 2029 | $645.02 Billion |
| Compound Annual Growth Rate | 16.0% |
| Regions Covered | United States |
For more information about this report visit https://www.researchandmarkets.com/r/ab3xc3
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- U.S. Digital Ad Spend Market
