Digital ad spending will blow away our earlier estimates. The biggest drivers behind these larger-than-expected increases are retail media networks and connected TV (CTV), both of which benefited from homebound consumers dramatically increasing their use of online shopping and video streaming. Social network and search advertising also surged, owing to growing numbers of people connecting with others online and searching for products and information on their devices. While we expect spending growth to taper off following unprecedented increases in 2021, the market will remain robust as more advertisers turn to digital channels for the benefits they offer compared with traditional media, including improved targeting and measurability.
