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Social media creators to eclipse traditional media in global ad revenue for first time

by June 10, 2025
June 10, 2025
Social media creators to eclipse traditional media in global ad revenue for first time

Content created by individuals on platforms such as YouTube, TikTok, and Instagram is forecast to generate more global advertising revenue this year than all traditional media combined.

According to new research by WPP Media, 2025 will be the first year in which more than half of all content-driven advertising spend is directed at user-generated platforms. It underscores a sweeping transformation in audience habits and media economics, with smartphones and short-form video apps at the heart of a “huge cultural shift”.

User-generated material — including creator-made videos, podcasts, and social media posts — is projected to grow its advertising, brand deal, and sponsorship revenue by 20% this year. Looking ahead, the sector is expected to more than double in size by 2030, hitting $376.6 billion (£278.3 billion).

Although the line between professionally produced and creator-made content is increasingly blurred — with many influencers operating at high production standards — WPP’s analysis suggests a reordering of media power. The report warns that this growing dominance of personalised, creator-led media is “profoundly impacting” the traditional landscape.

“Media consumption has become deeply personalised,” the report notes. “Audiences increasingly gravitate toward content that reflects their identity or beliefs, often shared by creators they follow closely. This is changing not just viewing patterns, but the way brands engage with consumers.”

With platforms such as YouTube acting as essential “plumbing” for modern media distribution, traditional broadcasters are under mounting pressure to adapt. Many, including ITV and Channel 4, have already made substantial moves to embed their content on social platforms. Channel 4, for instance, has significantly increased its investment in TikTok and YouTube as it targets younger audiences.

But that pivot comes at a cost. UK broadcasters are simultaneously contending with declining advertising revenue and rising content costs. ITV recently announced sweeping changes to its daytime output, while Channel 4 is controversially establishing an in-house studio to diversify its income streams.

Douglas McCabe, CEO of Enders Analysis, said the speed of the transition had stunned the industry. “We’ve seen a huge cultural shift in a very short period,” he said. “Advertising revenue has followed that pattern. Traditional media now faces a massive challenge to clearly communicate the value of its editorial standards, fact-based reporting, and regulated output.”

The dominance of the digital ad space is also increasingly concentrated. Just five tech giants — Google, Meta, ByteDance (TikTok), Amazon, and Alibaba — accounted for 54% of all global advertising revenue last year, further illustrating how user-driven platforms have eclipsed the legacy model.

As the creator economy continues to flourish, the message is clear: the centre of gravity in media and advertising has shifted — and it now lies in the hands of creators, not conglomerates.

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Social media creators to eclipse traditional media in global ad revenue for first time

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