Following the publication of the refreshed advertising Expenditure Report from the Advertising Association and Warc (which revealed that UK ad investment increased by 6.4% year-on-year in 2025) New Digital Age gathered reaction from across the digital marketing and media industries…
Tilman Harmeling, Strategy & Market Intelligence, Usercentrics
The latest AA/WARC figures confirm strong growth in the UK advertising market, driven by data-powered channels such as retail media, social and search. As investment accelerates across these environments, data is becoming increasingly more central to performance.
But as reliance on data grows, so does the need to use it responsibly. Brands are under increasing pressure to balance effective targeting with transparency and accountability around how consumer data is collected and used.
Research with MIT Technology Review highlights a clear gap. While consumers recognise the value exchange behind digital services, many still don’t understand how their data is actually being used. In fact, 41% say they lack a clear understanding, while 48% say transparency would make them more likely to trust a company more with their data.
This is where the opportunity lies. Those that prioritise transparency and build more user-centric data experiences will be better placed to strengthen engagement and make the most of continued market growth. As the industry scales, trust is becoming a key factor in delivering sustainable performance.
Elie Kauffmann, head of sales for EMEA at Audion
Audio is still flying the flag when it comes to advertising budgets. Online radio makes up a significant proportion of the growth for the channel, reflecting its increasingly digital nature. But while the latest AA / WARC adspend report is a useful barometer, it is only part of the picture.
Audio has always been a natural fit when it comes to advertising that builds brand awareness. We’re now seeing it evolve to embrace a performance marketing role as AI-based tools deliver outcome-driven campaigns. At the same time, audio retains what has always made it unique: its personal, trusted and highly contextual appeal for listeners. Overall brands and agencies now have a flexible, full funnel channel that, in offering both scale and effectiveness, is in keeping with the requirements of modern media strategies.
Sam Fellows, Managing Partner at Gain Theory
The AA/WARC report’s findings are a clear signal of an industry inflection point. The double-digit growth in Addressable TV, Social Media, and Retail Media really highlights a strategic, industry-wide pivot towards precision, personalisation, and performance-driven investment. But with that shift comes an uncomfortable truth: as budgets diversify across increasingly fragmented, data-rich environments, the gap between investment and provable impact is continuing to widen.
This makes attribution and incrementality absolutely essential. And the report’s commitment to quantifying emerging areas like influencer marketing and Generative AI is incredibly timely. These aren’t just peripheral considerations anymore; they’re rapidly becoming core to both brand-building and conversion strategies.
The brands truly pulling ahead, however, aren’t just spending smarter, they’re also getting better at proving it. At a time when every budget decision is under scrutiny, the ability to demonstrate real, measurable returns on marketing investment has never mattered more. Using robust, sophisticated measurement methodologies will be absolutely central to achieving that.
Abbie Hildebrand, Marketing & Content Director, Miroma Founders Network
The topline growth in adspend is reassuring, but the channel splits tell a more important story about where confidence is actually sitting in the market and what we’re seeing is a reallocation toward channels that offer clearer attribution, quicker feedback and a stronger sense of control at scale.
Retail media, search and social continue to attract investment because they make performance feel tangible. However, the growth in addressable TV as well as the steady growth in OOH suggests something else is happening too and that is that brands are rebuilding confidence in reach.
This represents the next phase of scale. The brands that win won’t treat this as a binary between performance and brand, they’ll integrate both, using data rich channels to inform, and high-impact channels to drive awareness and trust.
What’s clear from this forecast is that no single channel is doing all the work. Growth is coming from how they’re used together, with more confidence behind where and how budget is deployed.
Tim Sapsford, MD, Posterscope
It’s no surprise to us to see in the latest AA/WARC Expenditure Report that out of home saw steady growth in 2025 and a particularly strong performance in Q4. In this peak retail period, OOH has a clear role to play as its presence close to stores, transport hubs and busy high streets means it can influence behaviour at the moments that matter most to advertisers, driving footfall in-store or online.
The continued growth of digital OOH allows brands to be ever more targeted, not just by location, but also increasing engagement through tailored and even personal messaging triggered by a plethora of data sets, such as day, time, weather, stock availability, promotions and more.
The continued rise in social media spend is also no surprise, but our recent research report, The Point of Social, shows people use social very differently when they’re out of home. It is more active and influenced by what people see around them, which positions out of home (OOH) as an ideal channel to prime and amplify social media campaigns.
We are also encouraged to see forecasts pointing to further growth in 2026, reflecting what we’re seeing with clients that are using OOH more deliberately as part of a wider plan, rather than in isolation.
Ellen Stewart, Director of Strategy & Operations at Fan Club
The news of continued strong growth in social media investment including YouTube, in the AA/WARC Expenditure Report for 2025, is hardly unexpected and reaffirms its position as one of the fastest-growing channels in the mix. What’s driving that growth is a fundamental shift in how brands are beginning to think about social. It’s no longer just about buying reach, it’s about building audiences and connecting with communities.
For years, brands have relied on renting audiences through publishing partnerships, which still has its place, but it’s no longer sufficient on its own. The brands seeing the most value are those investing in their own content ecosystems and creating IP. Publishers remain a powerful entry point, but the smarter move is using those partnerships to establish and build something long lasting rather than treating them as one-off campaigns. The forecast for more growth in ad expenditure in 2026 is welcome news and we are in no doubt that much of this will be driven by more investment in social.
Ben Zloof, CEO at UniLED Software
As always, it’s encouraging to see growth in the sector. For media channels this is no longer about fighting for share of ad spend in a shrinking market, it’s about proving their worth in an increasingly fragmented environment. Smart brands and advertisers are hedging their bets on the channels that not only perform individually but also work seamlessly with others to deliver the most effective and impactful results – both ROAS and on the bottom line.
This is why OOH (especially DOOH) is still performing steadily, despite the big growth coming from newer digital channels such as social and search. It’s evidence of the medium’s broad reach, increasing flexibility and continued tech innovation, as well as playing nicely in the sandbox with other channels (including digital). OOH has firmly cemented its role as a core part of the modern media mix. And with transparent and accurate measurement – helped by third-party verification – this is only likely to continue.
