TikTok’s Ad Revenue to Hit $32.4B in 2025, Grabbing 11% of Global Market

$32.4 B

TikTok’s ad revenue could reach $32.4 billion in 2025, accounting for 11% of global social media ad spending, but a U.S. ban threatens nearly $12 billion in revenue, per WARC Media. If banned, Meta could absorb up to 55% of TikTok’s ad dollars, with Instagram and YouTube benefiting the most. Despite its U.S. market dominance, TikTok's global ad revenue is growing faster, with the U.S. share projected to drop to 34% by 2026. The app remains one of the world’s most popular, boasting 1.59 billion users who spend an average of 35 hours per month on it.

54%

A J.D. Power survey found that Gen Z used BNPL (54%) more than credit cards (50%) for 2024 holiday shopping—a first in the survey’s history. For the full year, 44% of Gen Z used BNPL, compared to 50% using credit cards. BNPL adoption is rising, with 32% of all consumers using it in 2024, up 4 percentage points from 2023, while credit card usage has declined. Despite BNPL’s popularity, legacy banks still score higher in customer satisfaction, with Amex and JPMorgan Chase leading in BNPL offerings.

16%

Three months after launch, 16% of shoppers use Amazon Haul monthly, compared to 23% for Shein and 28% for Temu, per Omnisend. Despite Amazon’s influence, Haul is struggling to gain traction against discount-heavy rivals. If prices rise, one-third of U.S. shoppers would cut back on Chinese marketplaces, while 40% prefer to pay more for U.S.-made goods. With rising tariffs and shifting consumer preferences, Amazon Haul faces challenges competing with Shein and Temu while appealing to shoppers seeking American-made products.

2%

66% of luxury shoppers use AI when shopping online, up 2 percentage points from 2024, per Saks Global. AI is mainly used for size recommendations, but most shoppers avoid uploading personal images for virtual try-ons. 94% engage with personalization, favoring exclusive offers and recommendations. While AI enhances luxury retail, privacy concerns remain—many shoppers hesitate to share personal data, fearing misuse. Retailers can still leverage AI to predict preferences and refine personalization without requiring sensitive customer information.

78%

Google introduced Carbon Footprints for Google Ads, allowing advertisers to track emissions across its ad platforms, including Search Ads 360, and Google Ads. This move responds to rising regulatory and consumer demand for sustainability, with 78% of US consumers valuing eco-friendly practices and 34% of global consumers switching brands due to sustainability concerns. Other tech giants, like Microsoft (carbon negative by 2030) and Apple (carbon neutral by 2030), have also committed to reducing their carbon footprints. Google’s reports aim to help brands integrate sustainability into marketing while meeting ESG goals.

2.6M

YouTube is testing a feature that automatically sends videos with “limited or no ads” ratings for human review, including private and new uploads. Creators in the test group will receive one of three ratings: green (fully monetized), yellow (limited ads), or red (no ads). If successful, this could expand ad inventory, increase creator monetization, and improve ad placement. However, with 2.6 million+ videos uploaded daily, scaling human reviews for all creators remains challenging.

0.3%

Wholesale PPI inflation remained flat in February, defying economist expectations of a 0.3% increase. The 12-month PPI inflation rate stood at 3.2%, while core PPI (excluding food, energy, and trade services) rose 0.2% in February and 3.3% year-over-year. A 0.3% rise in wholesale goods prices, driven largely by a 53.6% surge in egg prices, was offset by a 0.2% decline in service prices. Gasoline prices fell 4.7%, while machinery and vehicle wholesaling margins dropped 1.4%, contributing to the service sector’s decline.