B2B Marketing And Ad Spend To Increase In 2025
The outlook for US B2B marketing and advertising spending has been revised downward, with Plural Analytics now projecting a modest 2% increase for 2024 instead of the previously forecasted 4% rise. This adjustment is primarily attributed to weaker-than-expected tech spending. Meanwhile, B2C marketing spending is expected to grow by 5%, an upward revision from earlier projections, which helps balance overall US marketing growth to an estimated 4.7%.
Among B2B marketing categories, internal labor remains the largest spending area, projected at $30 billion with a minimal 2% increase year-over-year. Events and sponsorship spending, the second-largest category at $23 billion, is expected to grow by 8%, with a long-term compound annual growth rate (CAGR) of the same percentage. While B2B digital ad spending is expected to decline by 1% this year, it is projected to grow significantly between 2024 and 2028, with an 11% CAGR, eventually surpassing traditional ad spending in 2027 ($17 billion vs. $14 billion).
Tech and data spending is currently the smallest category in B2B marketing but is forecasted to experience the fastest growth. While expected to rise only 4% this year to $7 billion, it is projected to expand at a CAGR of 12% through 2028, reaching $12 billion—nearly catching up with traditional ad spending. Notably, EMARKETER’s forecast differs, predicting stronger B2B digital ad growth this year, contrasting with Plural Analytics' more conservative projection.
As digital transformation accelerates, B2B marketers should prepare for long-term shifts, particularly in digital and tech investments. With events and sponsorships maintaining strong growth and digital ad spending set to surpass traditional channels, companies should align their strategies to capture emerging opportunities while optimizing existing budgets for efficiency.
Key Actionable Takeaways:
Monitor Digital Ad Spending Trends – While 2024 may see a slight decline, digital ad spending is set to overtake traditional advertising by 2027—prepare for the shift.
Invest in Events and Sponsorships – With 8% annual growth, prioritize in-person and virtual events to drive engagement and lead generation.
Optimize Internal Marketing Teams – Since internal labor is the largest B2B marketing expense, focus on efficiency and automation to maximize ROI.
Balance Traditional and Digital Ad Budgets – Traditional ad spending remains significant but will be surpassed by digital—adjust your media mix accordingly.
Strengthen Tech and Data Capabilities – With tech spending projected to grow at 12% annually, invest in marketing automation, AI, and data analytics tools.
Track Industry-Specific Growth Variances – Different forecasts suggest varying digital ad growth rates—benchmark against industry-specific trends for better decision-making.
Focus on High-Impact Digital Channels – With digital ad spending set to grow long-term, prioritize paid search, social, and programmatic advertising.
Leverage Account-Based Marketing (ABM) – Given the emphasis on targeted B2B strategies, increase investment in ABM tactics and personalized outreach.
Adapt to Changing Buyer Behavior – As tech spending grows, B2B buyers will expect more personalized and data-driven marketing—optimize content accordingly.
Stay Agile in Budget Planning – With fluctuating forecasts, remain flexible in allocating resources between digital, traditional, and event-based marketing.
