With more and more people using the internet each year, it’s no surprise that the digital ad market has also been growing. Digital ad spend worldwide is expected to increase over the next few years, and the US is no exception to this.

According to the latest data, US digital ad spending is expected to hit $239.89 billion in 2022. This is a 13.6 percent increase from 2021, during which expenditure totaled $211.20 billion.

US ad spending on digital channels is forecast to continue rising over the next few years. It is projected to increase to $270.73 billion in 2023. By 2025, it will have surpassed the $300-billion mark and account for more than 75 percent of all media spending.

This means that from 2020 to 2025, the digital ad market in the US will have grown at an average rate of 16 percent annually, essentially more than doubling its worth over this period. 

Despite its increase, the growth rate of US digital ad spending this year is expected to slow after skyrocketing to 38.3 percent in 2021. 

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US Digital Ad Spending per Internet User

Digital ad spend per person is expected to amount to $584.87 per internet user in 2022. This marks a 6.47 percent increase from 2021.

Much like the US digital ad market size, expenditure per user has also been on the rise over the past few years. Just five years ago in 2017, digital ad spend per internet user in the US was $348.81. 

From 2017 to 2022, this number increased by a whopping 67.7 percent and grew at a rate of 12.1 percent annually. 

Even though digital ad spending per person is expected to continue rising, its growth rate is set to slow. Between 2022 and 2025, the average annual growth rate is forecast at 4.36 percent.

US Digital Ad Spending Growth By Industry

The biggest growth in US digital ad spending in 2022 is expected to come from the retail industry. 

According to market analysts, this sector is set to spend 20.2 percent more on digital ads this year. In comparison, the average across all industries is 15.6 percent.

This is followed by the consumer packaged goods industry, whose expenditure on digital ads in 2022 is estimated to be 17.9 percent higher than in 2021.

Rounding out the top five are:

  • Entertainment: 16.5 percent
  • Computing products and consumer electronics: 15.3 percent
  • Travel: 14.2 percent

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