Midsize media platforms lead digital Ad growth in 2024, Outpacing industry giants

By Mofeoluwa Awe

Midsize media platforms are emerging as the new power players in digital advertising, according to a newly released report by the Interactive Advertising Bureau (IAB) and PwC.

In a year that saw U.S. digital ad revenue climb 14.9% to $258.6 billion, the highest increase since 2022, it was midsize platforms that recorded the fastest growth, significantly outpacing industry titans like Google, Meta, and Amazon.

The report highlights a notable shift in advertiser behaviour, with brands increasingly turning to platforms that blend personalisation, community, and performance. This includes streaming services, e-commerce platforms, interactive media, and creator-driven channels, all of which are now commanding a larger share of ad dollars.

“These platforms are no longer the understudies,” said IAB CEO David Cohen. “They’re building trust, leveraging first-party data, and offering the kind of agility advertisers need in a fast-changing market.”

The growth is being fueled by a combination of technological innovation and changing consumer habits. Midsize players are leaning into AI-powered campaign automation, deepening creator partnerships, and capitalising on the rise of self-serve ad tools. As third-party cookies phase out, these platforms are leveraging first-party data and audience loyalty to build their own retail media networks — an area once dominated by big tech.

Video advertising continues to lead the pack, now accounting for nearly 25% of the total digital ad spend. Meanwhile, podcast advertising posted a remarkable 24.6% year-over-year growth, and social media ad spend surged to $88.7 billion, driven largely by creator collaborations and user-generated content.

With major global events like the 2024 Summer Olympics and key elections sparking increased ad activity, analysts believe the momentum will carry well into 2025. However, industry leaders warn that economic uncertainty, AI disruption, and tightening privacy regulations may challenge business as usual.

Still, the outlook remains optimistic. As brands seek more targeted, trustworthy, and community-focused platforms, midsize players are proving that the “middle” of the market is where innovation and real opportunity now live.