Advertising Industry Pulse: June 2025 Update
The advertising industry continues to navigate significant challenges as we move into June 2025, with recent developments highlighting both uncertainties and opportunities in the market.
In the past 48 hours, the Out of Home Advertising Association of America released promising data showing that OOH advertising revenue hit a record $1.98 billion in Q1 2025, representing a 2% increase compared to the same quarter last year[3]. This marks the 16th consecutive quarter of growth for the sector. Digital OOH has been particularly strong, growing by 9% and now accounting for over 34% of total OOH ad spend[3].
However, the broader advertising landscape shows signs of caution. Leading executives at media buying agencies report that uncertainty surrounding tariff levels under the Trump administration has led many advertisers to adopt a wait-and-see attitude, significantly slowing ad investment in recent months[1]. In some cases, media agencies are requesting pricing concessions from media properties to release campaigns[1].
While U.S. advertising volume increased by 12.4% year-over-year to $380 billion in 2024 according to MAGNA, eMarketer suggests growth is expected to slow in 2025 if current tariff conditions persist[1]. More concerning is their worst-case scenario prediction that the U.S. could experience its first decline in total media ad spending since 2009 if tariffs revert to original "Liberation Day" levels[1].
On the digital front, platforms are evolving rapidly. Recent innovations include YouTube Shorts appearing directly in Google search results and AI-powered discovery features on Pinterest[4]. The industry is also witnessing the rise of privacy-first search engines, highlighting the growing tension between AI advancement and privacy concerns[4].
Notably absent from current industry conversations is any significant focus on Diversity, Equity, and Inclusion initiatives, particularly at recent Newfronts presentations - a shift attributed to pressure from the current administration[1].
Ad Age will publish its 81st annual Agency Report in June 2025, which should provide further insights into the industry's trajectory[5].
This content was created in partnership and with the help of Artificial Intelligence AI
