Programmatic advertising is evolving unprecedentedly, driven by advancements in ad tech, privacy regulations, and shifting consumer behaviours. As we move into 2025, advertisers must prepare for key trends shaping the future of digital advertising. From the rise of retail media networks (RMNs) to the growth of connected TV (CTV) and private marketplaces (PMPs), the programmatic ecosystem is undergoing significant transformations. In this article, we explore market predictions for 2025 and beyond, including the emerging role of audio programmatic advertising.
Programmatic Advertising to Surpass $200 Billion by 2026
Most display advertising is now transacted through automation, making programmatic the dominant force in digital advertising. While growth rates may slow slightly in 2025, programmatic ad spending will still maintain double-digit increases, helping sustain a market facing sluggish growth in non-programmatic display advertising.
Programmatic ad spending is projected to surpass $200 billion by 2026, reflecting its continued importance in the digital advertising landscape.
Key Trends Shaping Programmatic Advertising in 2025
1. Retail Media Networks (RMNs) on the Rise
Retailers’ first-party data assets are invaluable for advertisers, making RMNs a significant force in programmatic advertising. By 2026, RMNs are expected to attract over a quarter of new programmatic display ad dollars, with Amazon’s ad tech licensing to other retailers accelerating this growth.
2. Connected TV (CTV) Growth Accelerates
CTV is solidifying its dominance in programmatic display budgets, outpacing traditional desktop and mobile advertising. With programmatic channels driving all CTV growth through 2026, advertisers are allocating more funding to reach engaged streaming audiences.
3. Private Marketplaces (PMPs) Gain Traction
The shift from open exchanges continues, with PMPs becoming the preferred method for advertisers seeking more control over their ad placements. By 2025, nearly $2 will be spent in PMPs for every $1 on the open exchange.
4. Ad Tech Consolidation and Mergers
Regulatory changes and evolving industry dynamics fuel ad tech mergers and acquisitions (M&A). Expect further data activation, CTV, and retail media consolidation, which will reshape the vendor landscape.
5. The Privacy-Centric Future of Programmatic
With third-party cookies being phased out, advertisers must optimize first-party data strategies and adopt privacy-compliant audience targeting solutions. While Chrome’s cookie deprecation has been delayed, stricter privacy regulations continue to shape programmatic strategy.
Audio Programmatic Predictions for 2025
1. Audio Advertising Continues to Expand
Audio programmatic advertising is poised for continued growth, fueled by increased podcast consumption and streaming audio services. Podcast ad revenues have grown by 43% over the last two years and represent nearly half of total UK digital audio spend, so advertisers increasingly recognise audio’s potential.
2. In-Game Audio Ads on the Rise
Emerging formats like in-game audio ads are gaining traction. Brands are leveraging audio placements within gaming environments to engage audiences in a non-intrusive yet impactful manner, creating new revenue streams.
3. Enhanced Targeting and Personalization
AI-driven insights and dynamic ad insertion (DAI) will enable hyper-personalized audio ads, delivering relevant messages based on listener preferences, behaviours, and real-time context.
4. Increased Adoption of Private Marketplaces for Audio
Much like CTV, audio advertising is shifting toward PMPs, allowing advertisers to access premium, brand-safe inventory with greater control over placements.
How Advertisers Should Prepare for 2025
- Leverage first-party data for better audience segmentation and privacy compliance.
- Evaluate curated inventory carefully to ensure quality and effectiveness.
- Invest in ad tech knowledge to navigate vendor consolidations and evolving platforms.
- Diversify programmatic strategies by exploring emerging channels like CTV and audio.
The future of programmatic advertising is dynamic and full of opportunities. Advertisers who adapt to evolving trends, embrace privacy-first solutions, and explore emerging formats like audio programmatic advertising will be best positioned for success in 2025 and beyond.
Get the EMARKETERs “Programmatic Advertising Forecast and Ad Tech Trends H1 2025” report here.
Source: EMARKETER website.