U.S. Ad Spend to Rise 9.5% in 2026, Driven by AI and Cyclical Events
Event summary
- IAB forecasts 9.5% YoY growth in U.S. ad spend for 2026, fueled by digital channels and major events like the Winter Olympics and FIFA World Cup.
- Agentic AI is now central to marketing strategies, with 66% of buyers using it for ad buying and campaign execution.
- Linear TV decline slows to 1.7% due to temporary spikes from major media events.
- Marketers are shifting focus from acquisition (54%) to retention (25%), nearly doubling since 2024.
The big picture
The U.S. advertising industry is undergoing a structural reimagining, with AI transitioning from experimentation to core infrastructure. Digital channels are leading growth, while linear TV sees temporary stabilization from major events. Marketers are rebalancing strategies toward retention, leveraging AI and first-party data for scalable, profitable outcomes.
What we're watching
- AI Integration
- How the rapid adoption of agentic AI will affect campaign efficiency and measurement accuracy.
- Market Shifts
- Whether digital channels can sustain their growth pace amid evolving consumer behavior.
- Retention Focus
- The pace at which retention strategies will replace acquisition as the primary growth driver.
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