PwC Ad Outlook: Radio Spend To Hold Steady In 2025; Podcast Investment Strong.

A new forecast from PwC projects continued growth in global advertising, with media and entertainment ad spending expected to surpass $1 trillion in 2025.

This milestone follows a shift seen last year, when global advertising revenue overtook consumer spending as the primary driver of media industry revenue.

According to PwC’s latest Global Entertainment & Media Outlook report, global advertising markets — both online and traditional — are projected to grow at a compound annual growth rate (CAGR) of 6.1% through 2029. The findings were reported by Marketing Charts.

Among some highlights from the PwC report:

Radio Advertising: Radio ad spending was relatively stable in 2024, inching up from $15.57 billion in 2023 to $15.75 billion. (Note: These figures include Canada.)

Recovery to pre-pandemic levels — over $18 billion in 2019 — remains elusive. Spending for 2025 is expected to hold steady at $15.73 billion, with minimal growth through 2029. The CAGR for 2024–2029 is just 0.23%, bringing total spend to a projected $15.9 billion by the end of the forecast period.

Traditional (AM/FM) broadcasting remains the dominant format in radio advertising. It’s expected to grow modestly from $12.73 billion in 2025 to $12.85 billion in 2029.

Online radio advertising, while a smaller share of the total, is projected to grow slightly faster — from around $3 billion in 2025 to $3.08 billion by 2029.

Podcast Advertising: Podcast consumption continues to rise in the U.S., offering a desirable audience for advertisers. PwC notes that ad investment in the space has been strong.

Podcast ad revenues are expected to grow 9.15% in 2025, reaching $2.385 billion — following 13.5% growth the year prior. The 2024–2029 CAGR is projected at 6.18%, pushing the market close to $3 billion by 2029. At that point, it is expected to outpace the digital music streaming ad market.

Digital Music Streaming Advertising: Data from the Recording Industry Association of America (RIAA) shows that digital streaming made up 84% of total U.S. recorded music revenue last year. This advertising segment continued to grow during the pandemic and afterward. However, growth has slowed: a 3.5% increase last year reflects this deceleration. The market is expected to grow from $2.212 billion in 2025 to $2.355 billion by 2029 — a modest 1.95% CAGR.

TV Advertising: While adults still watch more traditional TV than any other individual medium, digital video now commands more overall viewing time. Traditional TV viewership continues to decline, and pay-TV subscriptions are increasingly seen as non-essential.

As a result, the U.S. broadcast TV ad market is in structural decline, with a projected 2024–2029 CAGR of -5.45%. Even event-driven years (elections, Olympics) are not enough to offset this downward trend. The market is expected to shrink from a pre-pandemic high of $65.4 billion to just $46.2 billion by 2029. (For context, eMarketer believes TV ad spend peaked in 2018.)

Connected TV (CTV) Advertising: Spending is shifting toward connected TV, as advertisers follow audiences from linear platforms. CTV in-stream video ad spend is forecast to grow by 16.7% in 2025 and maintain an 11.3% CAGR through 2029 — when it will top $30 billion.

Retail Media Advertising: Retail media is another high-growth area, with a projected CAGR of 11.4%. By 2029, this market is expected to reach nearly $65 billion — putting it just behind traditional paid search ($81.7 billion) and accounting for around one-sixth of all U.S. internet advertising.