• by Ray Schultz , Columnist, September 17, 2025

Here’s some good news for publishers: Ad demand is recovering, at least to some degree, judging by AdRoll’s Q3 Digital Advertising Report.  

Display retargeting CPMs, which declined by 18% last quarter, have improved to a mere 3% decline. CPM stands for cost per mille, or cost per advertising impression. 

Moreover, traffic from AI engines like ChatGPT, Gemini and Perplexity to retail sites has surged 4,700% YOY. This is based, in part, on the fact that over 50% of consumers have used or plan to use generative AI engines for shopping this year.

And, display prospecting CPMs improved from 31% in Q2 to only14% in Q3. AdRoll argues that this signals growing advertising demand going into the holiday season. 

It is unclear if these dollars will make their way through the programmatic ecosystem into the hands of publishers. But AdRoll thinks there will be an impact. 

“As generative AI transforms search, marketers can no longer depend solely on website traffic to drive discovery,” said Vibhor Kapoor, chief business officer at AdRoll. “Channels like connected TV and other brand awareness tactics are becoming essential to ensure brands remain visible and memorable.”

Marketers are being urged not to wait until November and December to advertise—they should start in September and October. The same goes for B2B brands, although for different reasons—not to drive holiday sales but to influence next year’s budgets. 

“Especially ahead of the holiday season, the companies that invest early in building recognition will be the ones that win when purchase decisions are made,” Kapoor concludes.