Local Ad Spend Forecast To Grow 8.1% This Year

U.S. local advertising is estimated to rise 8.1% to $184.5 billion this year, driven by “stronger-than-expected” digital mobile, social media, and connected TV (CTV), according to BIA Advisory Services.

Digital media overall is projected to climb 9.3% to $104.1 billion. Traditional media is estimated to grow 6.5% to $80.4 billion, with a major portion of that coming from political advertising.

For this year -- the 2026 midterm election year -- political advertising spend is projected to contribute $8.4 billion across broadcast, cable TV, CTV, radio and direct mail.

Looking at core advertising (without political ads), there will be 2% overall growth in local U.S. advertising to $176.1 billion, from $172.7 billion.

Digital media is expected to have a 56.4% share of all U.S. local advertising, with traditional media estimated at 43.6%.

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Key advertising category growth includes real estate, restaurants, travel, retail, and financial services.

By 2030, local advertising is projected to climb to $220 billion.

“The local advertising marketplace continues to reflect a K-shaped consumer economy,” said Rick Ducey, managing director of BIA Advisory Services, in a release.

“Stronger spending from higher-income households is supporting discretionary categories like travel, leisure, and automotive, while value-oriented spending is shaping demand in retail, restaurants, and essential services.”

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