China set to dominate global DOOH in 2025: GroupM year-end forecast

Global forecasts for key ad spending measures exceeded expectations from GroupM, WPP’s media investment firm, according to an end-of-year forecast report released by the firm today.

Here are five key takeaways from the report, in numbers:

1. Global ad revenue will increase 9.5% this year 

The expected growth is fueled by global elections, a big year for sports events (including the Olympics, Copa América, and the Euros), and strong performance in pure-play digital advertising.

As a result, the advertising industry is projected to surpass $1 trillion in total revenue for the first time, according to GroupM.

This milestone excludes US political advertising, which tends to distort year-over-year comparisons. 

2. China to capture 51.2% of global DOOH revenue in 2025

China leads the way as the largest market for out-of-home (OOH) advertising, with expected revenue of $19.9 billion in 2025. 

China is poised to capture over half of global digital out-of-home (DOOH) revenue in 2025, cementing its leadership in the growing digital OOH segment.

As China accelerates its digital transition, the OOH sector is undergoing significant change, with new formats and strategies emerging to engage audiences in public spaces.

3. Digital advertising to account for 72.9% of total ad revenue next year

Digital advertising is poised to continue driving industry growth, with pure-play digital ad revenue expected to account for 72.9% of total advertising next year.

When factoring in digital extensions like streaming TV and digital out-of-home (DOOH) advertising, this share jumps to 81.7%, solidifying digital’s dominance as the largest segment in the market.

Much of this growth will directly benefit the largest players in the digital advertising space, as Google, Meta, and Amazon are set to capture three-quarters of global digital ad revenue (excluding China) in 2025. 

The market power of these tech giants is underscored by their vast infrastructure, scale, and resources. This concentration of power also signals ongoing competition and consolidation in the age of AI.

4. Search advertising to grow by 10.1% amid AI evolution

Contrary to claims that search is "dead," it remains a key player. Search advertising, which primarily includes platforms like Google, Bing, Baidu, and Naver, is projected to grow 10.1% this year.

Innovations in AI are driving both competition and new opportunities for advertisers to differentiate themselves in an increasingly complex landscape.

As established platforms integrate AI-driven features like search summaries, image, and voice search, new entrants such as ChatGPT and Perplexity are also making waves with their own search offerings.

For brands, this evolving environment presents both challenges and opportunities as they work to stand out in a crowded, AI-enhanced search space.

5. Global audio ad revenue faces stagnation, growing just 0.3% 

Audio advertising is projected to see minimal growth, with revenue expected to reach $27 billion in 2025.

While streaming audio is on the rise, it's not enough to offset the decline in traditional terrestrial audio. 

“What we’ve heard from marketers is that they’re still trying to figure out how to buy, target and create streaming audio ads in the same seamless manner they’re accustomed to with other channels and platforms,” said Lee Brown, Spotify’s VP and global head of advertising. 

“Ultimately, we know that streaming audio ads can benefit business and brands along every metric— it’s our job to make it as simple as possible to jump in,” Brown said.