WARC 2025 Report: The Future of Media

WARC’s latest Future of Media 2025 report highlights key trends shaping the global media and advertising landscape, as advertising spend surpasses the $1 trillion milestone. With a projected 10.7% increase in 2025, global advertising expenditure is set to reach $1.08 trillion, growing at a rate significantly outpacing global economic expansion.

The Challenge and Opportunity of Media Abundance

The modern media ecosystem offers a vast array of options for advertisers, bringing both opportunities and challenges. According to Paul Stringer, Managing Editor, Research & Insights at WARC, “Today, media is so vast, so complex, and so changeable, that it can be difficult for brands to make sense of it all.”

Advertisers are now focusing on balancing cost and quality while leveraging AI-driven media solutions and emerging retail media networks. This complexity makes holistic planning critical, requiring brands to strategically select and integrate media channels based on reach, quality, and price to maximize short- and long-term effectiveness.

The Changing Landscape of Search and AI’s Role

The report highlights the shifting dynamics of search, where traditional platforms like Google, which currently commands over 80% of the global search market, face increasing competition from social and retail-based search platforms. Younger consumers, in particular, are turning to social media for brand discovery, signaling a transformation in search behaviors.

AI is playing a central role in refining search processes, moving from pure information retrieval to intent-driven results. Marketers will need to adapt to AI-powered search by focusing on new strategies, such as Large Language Model Optimization (LLMO), which differs from traditional SEO practices.

Additionally, advertisers must account for the fragmentation of search experiences across multiple platforms, tailoring strategies to different audience segments, search types, and industry categories.

The Expansion of Retail and Commerce Media

Retail media is becoming an increasingly dominant force, with global advertising spend in this sector expected to reach $154.8 billion in 2024 and grow by 14.8% in 2025. This expansion underscores the shift towards commerce-driven advertising, where brands can engage consumers across the entire purchase journey, from awareness to conversion.

Despite the opportunities, brands face challenges in navigating an increasingly crowded and complex commerce media space. Many advertisers express concerns over the lack of standardization across platforms and the overwhelming number of options. This could limit the growth of new entrants, as brands prefer established retail networks with proven performance metrics.

Additionally, the rapid expansion of retail media is diverting budgets away from traditional advertising channels. Brands must carefully balance short-term sales-driven investments with long-term brand-building efforts to avoid diminishing overall brand strength while increasing the cost of performance-driven advertising.

Navigating the Future of Media

WARC’s Future of Media 2025 draws insights from its proprietary research, including the Marketer’s Toolkit 2025 and the GEISTE Report, providing a comprehensive outlook on evolving media trends. As the advertising landscape continues to evolve, marketers will need to embrace AI, rethink search strategies, and adapt to the growing influence of commerce media while ensuring a holistic and balanced approach to media planning.

For more details on WARC’s Future of Media 2025 report, visit WARC’s official website.