Nielsen has released its seventh Annual Marketing Report, finding nearly 6 in 10 marketers plan to increase spending on OTT and CTV platforms, and 65% expect retail media to play a bigger role in their media strategies.

The latest Nielsen report focuses on how marketers are adapting to current market trends and technologies. It highlights three significant trends in advertising: The rise of Connected TV (CTV) and Retail Media Networks, the balance between brand awareness and revenue growth, and the challenges of measuring success across digital and traditional channels.

According to the report, 56% of marketers plan to increase their spending on over-the-top (OTT) and CTV platforms. This marks a 3% increase from the previous year, indicating a growing interest in these channels. Additionally, 65% of marketers believe that retail media networks will play an increasingly important role in their media strategies.

Yet despite a general trend towards digital channels, more marketers are planning to increase their traditional media budgets compared to 2024. Notably, 16% of marketers plan to increase their out-of-home budget by over 50%. This suggests a renewed interest in traditional media, even as digital platforms continue to dominate the marketing landscape.

The report also revealed 71% of brands with large advertising budgets, specifically those exceeding $1 billion, view artificial intelligence for personalisation and optimisation as a key trend impacting their business in 2025. However, 54% of global respondents plan to cut ad spending in 2025, with a higher percentage in Europe at 60%.

Regional differences in marketing priorities are evident. In North America and Asia-Pacific, there is a near-even split between brand awareness and revenue growth. In contrast, Europe prioritises revenue growth, with 59% of marketers focusing on this aspect compared to 37% who prioritise brand awareness.

Globally, 24% of marketers prioritise digital channels, 32% focus on traditional channels, and 44% aim for a balanced approach. However, only 32% of marketers globally measure their media spending holistically across digital and traditional channels. This percentage is even lower in Latin America at 29% and Europe at 23%.

The report identifies several challenges in calculating return on investment (ROI) for cross-media campaigns. These include data issues, weak tools, too many vendors, and a lack of transparency in new channels such as retail media networks.

The findings are based on a survey conducted between February 25 and March 6, 2025. The survey involved 1,400 global marketing professionals at or above the manager level, with annual marketing budgets of at least USD$1 million. Two-thirds of the participants had budgets exceeding USD$10 million.

Alison Gensheimer, SVP of Marketing at Nielsen, commented on the report: "Our latest Annual Marketing Report has uncovered that, despite difficult economic uncertainties, marketers are demonstrating their inherent agility by embracing new touchpoints like Retail Media Networks and CTV, optimising media mixes, and leveraging AI.

"To truly capitalise on these advancements and align media investments with objectives, reliable and comprehensive measurement is paramount and, at Nielsen, we are committed to ensuring measurement solutions keep pace with the complexities of modern cross-media advertising, supporting growth now and well into the future."