Business-to-business (B2B) digital advertising has surged, with no slowdown in sight. According to a recent trend report published by EMARKETER, a go-to data, forecasts and insights provider for marketing, advertising, and commerce professionals, worldwide B2B digital ad spend is projected to reach US$48.15 billion by 2026, up from $38.67 billion in 2024, nearly tripling pre-2020 levels.1 EMARKETER aggregates data from over 2,000 sources and its projections benchmark the digital advertising industry.2
The report’s projected growth shows how important digital channels have become in connecting businesses to target audiences, resulting in the increased investment in digital platforms and shifting B2B marketing strategies.
The steady growth of digital marketing
EMARKETER’s findings show how the COVID-19 pandemic catalysed digital transformation across industries, profoundly impacting B2B marketing. Businesses that rely on in-person meetings, trade shows, and conventional marketing had to pivot to digital solutions overnight. What began as a survival strategy evolved into a long-term shift towards digital channels for better targeting, measurable return on investment (ROI), and scalable outreach.
B2B digital ad spend surged, driven by the need to engage decision-makers online. Initially reactive, businesses now embrace digital advertising as a core marketing pillar. By 2026, spending will approach $50 billion globally, reflecting continued trust in digital platforms for growth and engagement.3
Where is this ad spend going?
Several factors are driving the unprecedented increase in B2B digital ad spend. Here are three primary reasons businesses are investing more in digital advertising, from advancements in ad technology to changing marketing approaches:
1. Improved targeting and personalisation
Digital advertising platforms have improved targeting and personalisation. Marketers can use tools from LinkedIn, Google Ads, and advanced programmatic ad networks to reach relevant, high-value audiences. For B2B businesses, segmenting audiences by job title, company size, industry, or buyer intent is invaluable. These tools facilitate precision targeting for efficient marketing spend and resonance with decision-makers.
Personalisation is a game-changer. With AI tools and data analytics, businesses can tailor messaging to specific segments or individuals, improving engagement and conversion rates. Whether through account-based marketing (ABM) campaigns or programmatic ads, delivering the right message at the right time is driving increased investment.
Recent data supports the importance of targeting and personalisation in B2B digital advertising. For example, LinkedIn remains a dominant platform, accounting for 22.9 per cent of total B2B digital ad spending in 2024, supporting the fact marketers are using tools like LinkedIn for precision targeting.4
2. The growing popularity of ABM (account based marketing)
ABM has become a cornerstone strategy in B2B marketing, significantly influencing ad spend. The ABM sector is expected to hit a net worth of US$3.1 billion by 2030, growing at an impressive CAGR of 14.2 per cent.5
The most common metric used to track ABM success is revenue won.6 Why is ABM so successful? Unlike traditional campaigns that cast a wide net, ABM focuses on building long-term relationships with specific, high-value accounts. This approach prioritises educating audiences with relevant, targeted messaging throughout the sales funnel.
With ABM, businesses are investing in multi-channel digital campaigns that nurture leads over time, including LinkedIn ads, programmatic retargeting, and content strategies. These campaigns require a higher investment and promise stronger returns. The rising popularity of ABM reflects a broader shift in B2B marketing: quality over quantity; relationships over transactions; and value-driven engagement.
3. The rising cost of entry
In Australia, search and directories experienced 9.3 per cent year on year growth in 2024, reaching AU$1.724bn, and general display advertising increased by 14.8 per cent (AU$1.410bn) largely driven by social, audio and video content.7 Digital advertising costs are rising due to the increased competition for premium placements, growing costs-per-click (CPCs), and expanding ad networks. For example, Google search ad spending grew 11 per cent year-over-year in Q3 2024, with cost-per-click (CPC) growth at eight per cent year-over-year.8
However, B2B marketers recognise that, despite higher costs, digital advertising remains one of the most measurable and scalable ways to generate leads, build brand awareness, and drive conversions.
Businesses are adapting to rising entry costs by increasing budgets and focusing on strategies that maximise ROI. The result is greater investment in digital advertising as businesses stay competitive and reach decision-makers where they spend their time.
The growth of B2B digital ad spend is about smarter investments
The surge in B2B digital ad spend is about smarter investments that yield measurable results. Platforms like LinkedIn and Google Ads are now integral to building long-term relationships and driving business outcomes.
ABM’s rising popularity also signals a shift in business marketing. ABM delivers stronger ROI by focusing on personalised, targeted campaigns, reinforcing the importance of quality engagements over volume.
However, rising ad costs and competition necessitate business adaptation. Those failing to embrace digital strategies risk losing visibility and market share. Staying ahead requires investing in targeting technologies and delivering value-driven campaigns that resonate with decision-makers.
More investment, more ROI
Businesses are leveraging digital advertising to connect with decision-makers in smarter, more meaningful ways. Costs are rising but so are returns.
At Outsource, our approach starts by mapping your current digital presence, identifying gaps and opportunities, then building a practical roadmap that connects directly to your business goals.
We’ve refined this process through years of implementing strategies for technical, high-value products and services in B2B organisations, learning exactly what drives results.
Our clients benefit from our battle-tested planning framework:
- we know which digital channels work together
- we know how to allocate budgets effectively
- we know where businesses typically waste resources.
When you work with us, you’re getting a strategy built on real performance data and market insights, not industry assumptions. We’ve already navigated common pitfalls and growth challenges, meaning you get a digital strategy that’s both ambitious and achievable, delivering ROI on your digital ad spend.
Contact us to discover how your organisation’s digital strategy can deliver measurable results.
1 https://www.emarketer.com/content/us-b2b-digital-ad-spending-forecast-2024
2 https://assets.csom.umn.edu/assets/110437.pdf
3 www.cyanre.co.za
4 https://42dm.net/b2b-marketing-trends-of-fall-2024/
5 https://www.researchandmarkets.com/report/account-based-marketing?utm_source=BW&utm_medium=PressRelease&utm_code=bp7xr6&utm_campaign=1553195+-+Global+Account-based+Marketing+Market+Research+Report+2021&utm_exec=chdo54prd
6 https://www.hubspot.com/state-of-marketing?hubs_post=blog.hubspot.com/marketing/account-based-marketing-stats&hubs_post-cta=revenue%20won
7 https://iabaustralia.com.au/resource/online-advertising-expenditure-report-march-quarter-2024/
8 https://info.tinuiti.com/l/1062992/2024-10-23/9jff7g/1062992/1729881804lkQ5ZbR9/Tinuiti_Q3_2024_Digital_Ads_Benchmark_Report.pdf
