OpenAI seeks real consumer intent, and a potential Pinterest acquisition would give OpenAI first-party shopping signals and native ad infrastructure to rival Google and Meta.

Threads and WhatsApp ads are growing as novelty draws interest, but lasting ad spend hinges on better, platform-native formats.

Reels video views for luxury brands grew 234% in Q2 2025, while TikTok slowed as brands face a shift that necessitates a rebalance in content distribution.

Instagram's explosive EU audience growth compared with Facebook's slowing momentum means advertisers should follow suit.

In 2025, retail media found itself at a turning point as networks, advertisers, and platforms pushed into new territory and redefined what the channel could be. Here are five of our top stories from the year, from the challenges of tracking CTV campaigns to the evolving competitive landscape shaped by Amazon, Walmart, and a wave of innovative smaller networks.

Social commerce is booming in the UK, but the era of hyper-growth is coming to an end. Even so, social will continue gaining share of the digital wallet through 2029.

YouTube is experimenting with AI avatars based on a small group of popular creators via Google’s “Portraits” feature, which allows fans to have conversations with AI versions of real-life creators. Advertisers should approach AI creators with cautious interest, closely monitoring how the format evolves as an ad opportunity while balancing emerging AI capabilities with consumers’ sensitivity to authenticity.

"The retail media landscape is only becoming more crowded, but Target's guest insights are often cited as a key differentiator," said our analyst Sarah Marzano during EMARKETER's recent Commerce Media Summit.

35 state attorneys general are pushing Meta for tighter enforcement of its advertising policies amid a “surge of misleading marketing for weight loss products” on Facebook and Instagram. The state AGs’ letter will surely get the attention of the FDA, meaning telehealth marketers must ensure they aren’t specifically promoting GLP-1s to people who don’t meet the clinical criteria or using messaging that body shames. Meanwhile, social media companies and advertising platforms need to strictly enforce transparency disclosures on AI-generated ads while closely reviewing all weight loss drug promotions, given the risks of misleading claims and unrealistic expectations.

Digital ad spending remains resilient although economic signals are wobbly. AI-driven optimization, richer first-party data, and surging digital video will keep growth strong even as search shifts and traditional budgets fade.

LinkedIn is proving the power of its ad offerings, delivering promising results from both its Reserved Ads format and video ads. Recognizing LinkedIn’s ability to foster measurable ad results will prove valuable for B2B marketers looking to build credibility with other business professionals. Other features, like auto-targeting tools to reach key audiences, AI tools to create ads, and platform recommendations to maximize ROI contribute to LinkedIn’s ability to drive action.

Reuters reporting suggests Meta has been unable to contain large-scale fraud in its China ad ecosystem. Despite launching a dedicated crackdown in early 2024 that cut violating ads from 19% to 9% of China revenue, enforcement was later relaxed, allowing misconduct to climb back to 16% by mid-2025. A multilayer reseller network, weak overseas deterrence in China, and partner whitelisting made violations difficult to trace. China advertisers still generated more than $18 billion for Meta in 2024, creating tension between revenue goals and quality controls. The case raises sharp questions about platform accountability and advertiser risk.

AI-assisted shopping and advertising will surge as the Gulf states support innovation, but a creator content boom will cause tensions around censorship.

Meta’s global ad marketplace is splitting into two distinct cost curves. According to new Emplifi data, retail CPCs nearly doubled from $0.16 to $0.32 over the past year, while ecommerce CPCs fell from $0.23 to $0.19 as Meta’s AI optimization drove sharper efficiencies. The overall median CPC declined from $0.19 to $0.15, indicating advertisers aren’t cutting spend—they’re reallocating as automation improves returns. Retail’s mixed online–offline goals make optimization harder, while ecommerce benefits from clearer conversion signals. With Q4 competition intensifying and holiday ecommerce projected to grow 7%, marketers should expect sharper CPC swings and plan for agile bidding, creative iteration, and real-time budget shifts.

New York has enacted the first US laws requiring disclosure and consent for AI-generated performers and posthumous likenesses in advertising and entertainment. The measures mandate clear labeling when synthetic or digitally altered performers appear onscreen and require approval from estates before deceased individuals’ likenesses are used commercially. The laws sharpen a state–federal divide: President Trump has warned states against AI rules that could hinder US competitiveness, favoring a single national framework instead. For media companies, New York’s move creates immediate compliance obligations—and a preview of regulatory uncertainty ahead.

In 2026, AI will reshape advertiser workflows and behaviors, while rising video consumption will boost CTV and YouTube.

Meta has rolled out major upgrades to partnership ads on Facebook and Instagram, introducing new AI-enabled tools, broader creator discovery surfaces, and an API that lets advertisers programmatically convert UGC and creator posts into paid ads at scale. Partnership ads already outperform standard formats—19% lower CPAs and 13% higher CTRs—and with Gen Z more receptive to creator messaging and most consumers taking action quickly after seeing creator content, Meta is formalizing the path from organic influence to paid performance. For marketers, the message is clear: creator content is now a foundational performance lever, not an experimental add-on.

Social networks will claim close to 32% of US digital ad spending in 2026, as powerful AI systems and improved video monetization help push social past a plateau in time spent among US consumers.

Disney will invest $1 billion in OpenAI and allow Sora users to create short-form videos featuring more than 200 Disney, Pixar, Marvel, and Star Wars characters. User-generated material opens a new potential spigot of low-cost content for Disney+, which is under increased pressure to compete with YouTube. The move marks a major shift for a conglomerate that has historically held its IP close to the chest.

AI enters 2026 facing energy bottlenecks, regulatory battles, and a gap between promise and performance. From market corrections to voice assistant limits and physical AI’s unreadiness, hype is meeting reality.