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    AI is predicted to impact ad spending next year


    Global ad spending is set to grow faster than expected in 2025 as tariffs sting less than feared and AI-driven efficiencies pump new dollars into marketing budgets, The Wall Street Journal writes. 

    A new WPP Media investment group forecast now projects 8.8% global ad-revenue growth next year, excluding U.S. political advertising—up from the firm’s earlier 6% estimate. Marketers blunted tariff pressures by accelerating imports, tightening inventory strategies and absorbing some added costs. But the relief won’t last forever: WPP expects some delayed tariff impacts to finally show up in 2026.

    AI is emerging as a new growth engine, with companies redirecting savings from automation into fresh ad buys, while newly formed AI firms are becoming advertisers themselves. And in a milestone shift, global retail media is expected to surpass TV advertising in 2025, rising 11.3% to $174.2 billion, even as TV spending inches up just 0.6%.

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