The news: WPP Media has lowered its global ad spend forecast for 2025 by 1.7%, reaching 6% growth as opposed to the 7.7% growth projected in December. The downgrade is attributed to ongoing trade wars resulting from President Trump’s current tariff policies, with WPP Media president Kate Scott-Dawkins citing “uncertainty.”

WPP also downgraded future projections, estimating a global compound annual growth rate of 5.4% between 2025 and 2030 compared with the previously estimated 6.4%.

Zooming out: Tariffs are impacting advertisers across the board, prompting brands to consider scaling back ad spend in response to shifting trade dynamics.

• Other forecasts echo WPP: Madison & Wall lowered its 2025 forecast to 3.6%, while WARC reduced its global ad spend forecast by nearly $20 billion, citing “mounting uncertainty.”
• Globally, more than half of advertisers are eyeing budget cuts in 2025, per Nielsen, while 94% of US advertisers are worried about the impact of tariffs, according to the Interactive Advertising Bureau.