For marketing leaders, the past year has seen a return to more stable conditions, with economic resilience providing a foundation for renewed budget growth. After a period of uncertainty, businesses are once again increasing investment in marketing, though allocation decisions remain influenced by evolving buyer behaviours, digital transformation, and the need to prove ROI.
2025 is set to be a year of cautious optimism. While confidence had been building, geopolitical uncertainty impacting trade, inflation and consumer demand is starting to have an impact on marketing spend, with budget decisions increasing caution and being pushed out. As a result Plural forecasts a slowdown in marketing spend growth of 4.9% in the US and 4.1% in Europe for 2025.
The mid-term outlook is more robust at 5.3% p.a. in the US and 4.5% p.a. in Europe to 2030, with growth underpinned by a stronger economic recovery, and spend allocations focused more on digital, data-driven strategies and in-person engagement, as marketers refine their mix to maximise impact. AI is making inroads and could have some impact on long-term personnel and agency spend, but primarily remains a tool more to enhance marketer effectiveness and efficiency rather than to fully displace.
What are the overall marketing budget trends for 2025?
Plural Strategy’s fourth annual Marketing Spend Outlook, based on in-depth interviews and a survey with over 500 senior B2B and B2C marketers across Europe and the US, reveals:
- Robust budget growth expected, though geopolitical risks hover
- Marketers are threading the needle between driving demand and investing in brand
- The personalisation journey remains central to marketing strategies but is still incomplete
- Gen AI is making inroads but is unlikely to fully displace marketers
- Events are seen as a uniquely effective channel
- There has been a reset in B2B digital lead generation
Which factors are influencing trends in marketing spend?
Macroeconomic Conditions
- Geopolitical uncertainty is prompting some caution in spending commitments and may have increasingly adverse near-term impacts
- A robust mid-term economic outlook will drive marketing budget expansion above GDP levels
Strategic Shifts in Marketing Priorities
- A continued shift towards demand-generation, though maintaining investment in brand-building remains essential. Demonstrable ROI and the ability to target and personalise is critical in both cases
- Spend on channels which can achieve both objectives, including retail media, CTV and in-person events
- B2B marketers prioritising high-quality lead generation over volume
Technology and Regulatory Developments
- AI adoption is growing, but concerns over data privacy and cost remain barriers
- Continued investment in MarTech to drive automation and efficiency
How is marketing spend shifting between channels?
Marketing investment is evolving in response to both strategic priorities and external pressures. Key trends include:
- Stronger investment in digital, in-person events, and retail media
- MarTech spending rising, particularly in AI-driven personalisation and automation
Find out more
Download the full reports for a detailed analysis and forecasts of marketing spend across B2B and B2C in the US and Europe.
