Programmatic advertising poised to dominate global display ad market

The digital advertising landscape is undergoing a seismic shift, with programmatic advertising cementing its role as the primary driver of display ad spending growth. As automated ad transactions become the industry standard, advertisers and marketers must adapt quickly to leverage the full potential of programmatic technology.

According to eMarketer, programmatic will account for nearly all new growth in global display ad spending, with penetration expected to hit an unprecedented 90% by 2026. This year alone, the market is poised to expand by nearly $50 billion, reinforcing programmatic’s position as the dominant force in digital advertising. In contrast, nonprogrammatic display ad spending will see only marginal growth, with programmatic claiming a staggering 96.8% of new display ad dollars in 2025, slightly decreasing to 96.0% in 2026.

AI-Powered Buying and Market Dynamics Drive Programmatic Surge

The shift toward programmatic is being fueled by advertisers’ increasing reliance on AI-driven buying platforms. These sophisticated technologies optimize ad placements in real time, enhancing efficiency, targeting precision, and overall return on investment (ROI). As brands prioritize automation and data-driven decision-making, programmatic’s stronghold on digital display advertising will only tighten.

The global outlook for programmatic ad spending varies across key markets. Western European nations are experiencing the fastest growth in 2025, rebounding from recent economic turbulence caused by inflation and the energy crisis. Meanwhile, Canada is set to witness the slowest growth rate, as advertisers contend with economic headwinds and rising ad costs following the implementation of the Digital Services Tax in mid-2024.

What This Means for Advertisers

For brands and marketers, the accelerating shift toward programmatic underscores the need to refine their digital ad strategies. Success in this evolving landscape will depend on harnessing automation, embracing AI-driven analytics, and ensuring campaigns are optimized for maximum engagement across diverse markets. As programmatic continues its ascent, those who adapt quickly will gain a decisive edge in an increasingly competitive digital ecosystem.