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2026 Digital Advertising Trends Report

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2026 Digital
Advertising
Trends Report
Rise of fluid journeys,
connected channels,
predictive intelligence,
and AI
2025 Reach3 Insights research commissioned by Smartly

The Marketer’s Reality
Is Changing, Fast
2026 isn’t just another year on the marketing calendar, it’s a turning point.
The smartest marketers aren’t reacting to change anymore, they’re driving it. In
the AI era, marketers are reinventing how marketing works from the ground up.
Consumers want brands who are relevant, creative, and make a personal
connection to them. In response, savvy marketers are building faster, smarter
systems blending AI, data, and creativity to deliver personalized content at scale.
Smartly surveyed 450 marketers to understand how they see advertising changing.
Their insights reveal where AI is already delivering real value, how cross-channel
orchestration defines today’s leaders, and why efficiency has become the ultimate
performance metric.
Now in its seventh year, Smartly’s Digital Advertising Trends Report once again
captures the shifting realities of modern advertising. This is your inside look at how
the industry’s best are reinventing marketing for 2026, and how you can, too.
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2025 Reach3 Insights research commissioned by Smartly

Digital Trends 2026:
What You Need to Know
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2025 Reach3 Insights research commissioned by Smartly

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AI is Rewiring the
Customer Journey
Cross-Channel Expansion
Becomes Essential
AI enables marketers to rethink the traditional funnel.
With the ability to personalize from the outset and
optimize in real time, marketers move from awareness
to conversion with increased efficiency.
All marketers want more platform reach than they have
today. Precision-first marketers, those who diversify
across more platforms and heavily embed AI in their
workflows, are investing across 6+ platforms. They
also apply AI pre- and mid- campaign to cut waste, learn
faster, and build incremental reach.
1 2
of marketers agree AI is
redefining how they think
about the customer journey
92% Precision-first
marketers
advertise on
2x
as many platforms
as the average
marketer and are
more likely to apply
AI to their campaign
planning and
creative process
22%
2025 Reach3 Insights research commissioned by Smartly

Advanced marketing teams aren’t waiting for results,
they’re predicting them. Predictive AI now powers
creative scoring, budget allocation, and campaign
validation before launch, turning efficiency into foresight.
1 in 3
already use AI for
predictive modeling,
creative validation, or
creative AI
would like to expand
these capabilities
in 2026
86%
Intelligence Powers
Predictive Advertising
3
&
5
2025 Reach3 Insights research commissioned by Smartly

The 2026 marketer
isn’t just efficient.
They’re video-first,
cross-channel fluent,
and orchestrating
with AI.
66
2025 Reach3 Insights research commissioned by Smartly

From Funnel to Flow:
How AI redefines the
customer journey
AI is reshaping the funnel with personalization
and prediction, and redefining what efficiency
means for marketers. No longer are consumers
moving linearly through different phases, they
are bouncing back and forth before making a
purchase decision, or sometimes going right
from awareness to customer in a single click.
77
2025 Reach3 Insights research commissioned by Smartly

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Use AI for
personalization
across channels
Validate message
fit pre-launch
Scale creative
production with AI
to reach different
audience segments
Tailor messaging
to audience
segments
in real time
46%
42% 42%
29%
Use pre-launch
predictive models
30%
Integrate AI
workflows across
creative, media,
and measurement
33%
Personalization
Starts Sooner
AI has moved marketing
from 1:many to 1:1 from
the outset of a campaign,
giving brands the power
to personalize like never
before.
Consistency is the
New Currency
It is imperative for
marketers to share
the right message in
the right context. AI
enables stronger brand
continuity and more
coherent storytelling
across every screen.
Prediction
Replaces Reaction
Marketers now forecast
success instead of
retrofitting it.
2025 Reach3 Insights research commissioned by Smartly

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Changing Dynamics:
AI foresight eliminates waste
before it happens
Waste isn’t just budget lost. It’s momentum lost.
In 2026, efficiency will become a signal of AI maturity.
The most advanced teams use predictive intelligence
to anticipate performance, optimize spend in real
time, and eliminate waste before it happens.
Marketers with the lowest media waste report
stronger results across every stage of the funnel.
They launch faster, personalize more effectively,
and measure impact with greater confidence.
What sets them apart isn’t luck. It’s foresight. These
teams use AI-powered optimization and pre-launch
intelligence to anticipate results before spend is lost.
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FROM INSIGHTS TO ACTION
Smartly’s AI-powered Predictive Budget
Allocation uses predictive intelligence to forecast
performance and automatically reallocate spend
across channels in real time, reducing media waste
and improving efficiency at scale.
2025 Reach3 Insights research commissioned by Smartly

Precision-first marketers are 27% more likely to waste less
than 10% of their media budget vs. the average marketer.
(%) of Marketers That Noted Campaign Waste
Brands like Western Union
have already streamlined
4,300+ real-time creative
updates to improve local
relevance and efficiency
across markets. Proof that
predictive and adaptive
creative is more than a trend;
it’s a competitive advantage.
10
Estimated Wasted Ad Spend
10
2025 Reach3 Insights research commissioned by Smartly

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Shifting Channels:
How cross-channel strategies unlock incremental reach
In 2026, cross-channel orchestration and video-first strategies will define growth,
helping brands capture incremental reach and build full-funnel impact.
Marketers Who Strongly Believe in Incrementality Use More Platforms
and at Higher Rates
Marketers who
embrace a cross-
channel mindset
use 6 platforms
on average
Compared to 3–4
among those
who don’t see
the same value
Emerging video-first channels like TikTok and Snapchat continue to grow in
importance, giving brands access to younger and more engaged audiences.
Zenith increased
video reach and
efficiency through
AI-powered cross-
channel optimization,
showing how automation
unlocks incremental
reach without adding
complexity.
2025 Reach3 Insights research commissioned by Smartly

Shifting Channels:
The rise of the precision-
first marketer
All marketers want more platform reach than they
have today.
In fact, 50% of marketers believe diverse, challenger
platforms, like CTV and Reddit, offer significant
value in reaching incremental audiences. We call
these marketers precision-first marketers. These
precision-first marketers apply markedly different
strategies than those who don’t feel as strongly.
They’re advertising on nearly 2x more platforms
(6+ vs. 3-4), are 20% more likely to go all-in when
testing new platforms, and are 20% more likely to
use AI for campaign optimization. Whether that
means experimenting with emerging environments
like Spotify or LinkedIn, or simply adding platforms
outside their core mix, the result is clear:
diversification amplifies both reach and relevance.
2x
more
platforms
used
(precision-first
marketers
use 6+ vs. 3-4)
20%
more likely
to use
AI for
optimization
20%
more likely
to test new
platforms with
bigger budgets
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2025 Reach3 Insights research commissioned by Smartly

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Shifting Channels:
Video has moved from advantage to expectation
Video is officially the backbone of modern advertising. Marketers are moving beyond
static creative and investing where attention, engagement, and outcomes converge.
Across the Smartly platform, the shift is clear: Nearly all Smartly customers have
run video ads in 2025.
% of Marketers Who Will Spend More on the Platform in 2026
2025 Reach3 Insights research commissioned by Smartly

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While YouTube, TikTok, and
CTV continue to anchor
video-first strategies,
other platforms are
quickly following suit.
Channels like LinkedIn,
Reddit, and Spotify
are expanding video
formats, from in-feed
storytelling to immersive
audio-visual placements,
giving advertisers new
ways to build full-funnel
performance.
Video is no longer confined
to “video platforms.”
tissue of every channel,
powering storytelling,
personalization, and
conversion.
of marketers are using AI for
creative generation or optimization,
such as their video assets
95%
CTV
2025 Reach3 Insights research commissioned by Smartly

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Shifting Channels:
How video investment differs across markets
UK
Leads in video growth across CTV
and YouTube, signaling maturity
in multi-channel video strategy.
Strong investment in LinkedIn
and Spotify shows appetite
for brand storytelling across
multiple platforms.
Plans to Spend More in 2026, by Platform
FROM INSIGHTS
TO ACTION
Smartly’s video
templates and
automation tools
help brands
produce, localize,
and optimize
video ads at scale,
maintaining brand
consistency while
adapting to every
platform’s format
and audience.
US
Meta and TikTok continue to
dominate spend, reflecting
performance-driven habits.
Broader interest in emerging
formats like Pinterest and
Reddit suggest advertisers are
diversifying beyond traditional
social platforms.
Germany
Catching up fast on CTV adoption,
and a big believer in Pinterest.
Balanced investment across
YouTube, Spotify, and LinkedIn
signals a more holistic,
awareness-to-action focus.
2025 Reach3 Insights research commissioned by Smartly

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Primary Marketing
Challenges
Even as new marketing tools proliferate,
creative and operational bottlenecks
persist. Marketers cite personalization,
production speed, and creative consistency
as the biggest barriers to performance.
Top Challenges with Media Campaigns
2025 Reach3 research commissioned by Smartly 16
Inconsistent creative quality
across platforms
Ads not optimized for
platform specifications
Limited tools or automation
to support campaign delivery
Compliance issues related to
legal or regulatory standards
Communication breakdown between
creative, media, and analytics teams
Overspending or budget inefficiencies
as campaign scale increases
Managing a higher volume of
campaign assets and versions
Limited real-time visibility
into campaign performance
Time-consuming creative production
Difficulty personalizing
creative for target audiences
2025 Reach3 Insights research commissioned by Smartly

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As brands expand across
channels and formats,
complexity compounds,
and scaling high-
quality creative without
sacrificing speed remains
the central obstacle.
Personalization,
production, quality, and
tooling are among the top
operational bottlenecks
marketers experience.
Teams that can turn data
into consistent, high-
quality creative at speed
are poised to get ahead
and lead in the industry.
2025 Reach3 Insights research commissioned by Smartly

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AI Adoption:
From hype to everyday intelligence
Marketers have moved beyond the AI hype cycle. What
began as experimentation has evolved into everyday
practice, fueling creative, media, and measurement
workflows alike.
In 2026, AI isn’t just optimizing campaigns after launch.
It’s shaping them before they begin, powering creative
intelligence, predictive insights, and smarter decisions
across every channel.
“AI is living up to the
Hype” (% agree)
Now in 2025
88%
feel that way, a
nearly 10% increase
in just one year
Last year,
80%
of marketers felt
that AI was living up
to the hype
2025 Reach3 Insights research commissioned by Smartly

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AI Adoption:
Surging and expanding
across the workflow
AI has officially moved beyond skepticism. What began
as experimentation is now everyday practice, fueling
creative, media, and measurement workflows alike.
now use generative
AI for asset creation
or optimization
95% ~50%
integrate AI
across both setup
and creative
2025 Reach3 Insights research commissioned by Smartly

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AI Adoption:
Using AI for Optimization
As adoption rises, AI’s role is expanding. Once focused
on creative production, it now powers data analysis,
validation, and personalization, driving smarter decisions,
faster alignment, and new creative efficiency.
2025 Reach3 Insights research commissioned by Smartly

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AI Adoption:
Using AI for Visual Asset Generation
2025 Reach3 Insights research commissioned by Smartly

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more likely to
use AI to QA
campaign setup
~40%
more likely to
use AI to develop
creative
Pre-launch intelligence lets marketers move from
reacting to results to anticipating success.
What used to live in post-launch analytics now
happens pre-launch:
AI Adoption:
Creative intelligence starts
before the campaign
35%
These preemptive steps allow marketers to reduce
campaign errors and creative revisions, gaining
measurable time savings before launch.
Precision-first marketers consistently engage in
more pre-campaign activities than others, such as:
Predictive
modeling powered
by AI helps
marketers plan
smarter budgets
Creative scoring
identifies strong
concepts before
spend
Integrated AI
workflows unite
creative and
media teams
in one ecosystem
2025 Reach3 Insights research commissioned by Smartly

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Prelaunch Intelligence: Marketers Who Use AI
as Compared to Those Who Want to Use AI
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FROM INSIGHTS TO ACTION
Smartly’s Predictive Performance for Creative,
powered by AI, forecasts campaign results before
launch, enabling data-driven creative decisions and
reducing post-launch uncertainty.
Currently Use AI for Pre-launch Want to do
2025 Reach3 Insights research commissioned by Smartly

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Marketing leaders in 2026 don’t just respond faster, they plan smarter, by leveraging AI
to anticipate performance before spend. These teams transform complexity into clarity,
adapting AI for a seamless, cross-channel approach.
Smartly helps them turn every challenge into an advantage:
A Smarter Funnel
Smartly unites creative,
media, and insights,
personalizing earlier in
the journey and predicting
performance before
launch.
Efficiency Without
Compromise
Smartly’s Predictive
Budget Allocation and
pre-launch intelligence
eliminate waste and
optimize spend in
real time.
Cross-Channel
Confidence
One platform connects
Meta, YouTube, TikTok,
and beyond, helping
marketers launch faster
and measure true
incremental reach.
Creative at Scale
AI-powered creative
automation helps teams
adapt assets across
platforms and audiences
while staying perfectly
on brand.
AI That Delivers
Smartly turns AI from
a buzzword into a daily
advantage, powering
decisions that are faster,
clearer, and more
consistent.
2025 Reach3 Insights research commissioned by Smartly

What It Takes to
Lead in 2026
The most forward-thinking marketers don’t just follow
trends.They set them.
This year’s insights show a clear mandate for 2026:
move faster, connect channels, and make AI work
harder for your brand.
To turn those opportunities into outcomes, you need
the right partner and technology. Smartly’s AI-powered
platform unites creative, media, and intelligence across
every major channel—social, CTV, and video—for faster
execution, smarter decisions, and stronger results.
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Methodology
Reach3 Insights research commissioned by Smartly, August 2025. N=450 marketers and
marketing budget decision makers across the US, UK and Germany at organizations that spend
at least $5 million in paid media annually. Respondents work in any of the following industries:
Agency, Automotive, Consumer Packaged Goods (CPG), Electronics, Entertainment and/or
Gaming, Media, Financial Services including Fintech, Food and/or beverage, Insurance, Media,
Retail, Telecommunications, Technology, and Travel.
2025 Reach3 research commissioned by Smartly
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2025 Reach3 Insights research commissioned by Smartly

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Smartly is the AI-powered advertising platform helping brands launch with confidence
and control. By uniting media, creative, and intelligence in one workflow, Smartly gives
marketers the power to see what will work, before campaigns go live, and make in-
flight adjustments.
We are the only company managing creative and media for 700+ brands worldwide
and $5B in ad spend across the largest media platforms, including Google, Instagram,
Meta, Pinterest, Reddit, Snap, Spotify, and TikTok.
Built for speed and scale, Smartly’s end-to-end technology combines automation,
analytics, and creative optimization, helping the world’s leading advertisers eliminate
chaos, reduce waste, and power better ads.
2025 Reach3 Insights research commissioned by Smartly