How AI and algorithms will shape the future of media: Dentsu Media Trends report 2025

Dentsu's 2025 Media Trends report explores the changes driven by algorithms, artificial intelligence, and the new dimensions of consumer engagement, expected to shape the media landscape in the upcoming year. 

 

The report details how 2025 will drive toward a fully addressable, shoppable, and accountable media ecosystem, marking a rapid evolution of the media landscape that has become increasingly driven by sophisticated algorithms. 

 

"At Dentsu, we’re truly excited about what we call the 'Algorithmic Era'—where generative AI and personalisation are set to drive unprecedented change in how brands engage with consumers, creating new ways for brands to capture consumer attention and build relationships. We see media becoming 100% addressable, shoppable and accountable, highlighting the need for marketers to think about media in a whole new way," says Prerna Mehrotra, chief client officer and practice president, Dentsu Media APAC. "Brands must build Media ++ strategies to create more memorable, personalised moments tapping into the creator economy and building connected ecosystems to identify new spaces for growth."

 

According to the 2025 Media Trends report, the key themes poised to drive the industry forward include:  

 

1. Generative AI will move from experimental to tangible value in 2025

 

AI has evolved from a nascent trend to a transformative force, embedding itself in daily life and revolutionising media planning, content creation, and consumer interaction. AI-generated micro-moments and the rise of dynamic personalisation are opening new doors for brands to build deep, meaningful connections with consumers. 

 

As well as keeping up with the latest developments in the generative AI landscape, to seize the right opportunities for their brands in 2025, marketers are encouraged to reflect upon the following considerations:

 

i) The control trade-off

 

Marketers will need to employ a new strategic trade-off: How much control over your campaigns are you willing to give up in the pursuit of outcomes? There is no right answer to this question, it will be down to your willingness to entrust AI-powered tools with your brand and media performance.

 

ii) Enhance your media value chain with AI

 

From deeper audience insights to real-time optimisations, artificial intelligence can improve process efficiency, media efficiency, and media effectiveness across the entire media value chain. Build a clear roadmap by mapping the use cases that will make the biggest impact for your budgeting, audiences, planning, activation and intelligence efforts.

 

iii) Maximise micro-moments to win over consumers

 

With audiences spending their time across various online environments, you must ensure your content is discoverable and your messaging consistent over time and across touchpoints to capitalise on micro-moments. As media is the primary interface between brand and customers, winning media micro-moments by bringing value or delight will compound into lasting loyalty.

 

 

2. Storytelling breaks through the algorithmic bubble

 

Niche interests and deep fandoms are becoming invaluable assets for brands looking to stand out. Storytelling will be the primary tool for brands to navigate the increasingly algorithm-driven media space, creating impactful narratives across connected television and digital platforms. 

 

As marketers explore how to help their stories reach new heights in 2025, they should keep in mind some important considerations:

 

i) No niche is too niche

 

From fan communities with specialised interest on Reddit to peculiar movie genres on Netflix to audience segments deemed too small in traditional media planning, consider niche audiences as a new path to mass reach. Explore how you can leverage the troves of audience data available through ecosystems and lean into artificial intelligence to optimise your media presence.

 

ii) Seize the connected television opportunity

 

Advertising spend on connected television is forecast to grow at a spectacular 18.3% three-year CAGR to 2026 as streaming platforms ramp up their advertising offerings, both in terms of scale and sophistication. Keep abreast of the new advertising and content integration opportunities available in rapidly developing spaces such as live sports.

 

iii) Poor creative will increasingly hurt reach

 

In 2005, Google introduced the Quality Score in search marketing. Twenty years later, as algorithms expand to every facet of online advertising, this quality approach could become the new standard for success. Invest in high impact, optimised creative to maximise the potential of your media investment and capture demand by converting faster through automated delivery

 

 

3. The quest for quality

 

As media investments increase, so does the demand for higher-quality engagement. Brands must prioritise strategic partnerships and premium content to cut through the noise, ensuring their media dollars drive both immediate results and long-term brand equity. 

 

Achieving all-round high-quality media will become increasingly instrumental to success. It is important that media experts understand the following aspects as they prepare their 2025 strategies:

 

i) Retailers could dictate the media market sooner than later

 

First-party shopper data places retail and payment platforms in an ideal position to take over the media market in a future that is 100% algorithmic, addressable, shoppable, and accountable. Whether you are advertising to directly sell via the platform or not, consider how you can make the most of its unique assets to keep your brand ahead of the competition.

 

ii) Good company brings growth

 

As audiences switch from one ecosystem to another in a fraction of a second, the quality of the experience becomes the most important factor of stickiness for brands, publications, and technology platforms alike. Explore which innovative partnerships could help your brand grow faster by building upon mutually beneficent data, content, and distribution.

 

iii) You are what you pay for

 

To get the best outcomes from their media investments, protect their reputations, and contribute toward a healthy and diverse advertising ecosystem in the long term, brands must take an active role. Review your current media supply chain and identify priority areas to elevate the overall quality of your media investment.

 

 

4. Unevenly distributed future

 

As technology and media consumption habits evolve unevenly across regions, brands will need to adopt hyper-localised strategies. Regulatory, economic, and technological divides are reshaping the global media landscape, and brands must be prepared to navigate these complexities. 

 

In today’s unevenly distributed media landscape, brands should stay clear from simplistic, one-size-fits-all approaches if they are to thrive. The following considerations can help them navigate this new reality:

 

i) Same but different

 

Take the time to thoroughly educate yourself about the reality and nuances of your audiences’ lives, as it helps to determine the content and tools they can access. The latest apps and technologies can be appealing, but it is important you understand the potential local hurdles (e.g., technological maturity, economic inequality, digital literacy) before going all in.

 

ii) Global goes fast, local goes far

 

While many technologies may have a global footprint, ideas work differently in different places, and for different people. Invest in media partners with sufficient local insights. Their experts understand firsthand what will be engaging for different communities and will know how to help your global campaigns have a greater local impact.

 

iii) Be an agent of change

 

Brands can help improve media distribution. Advertising can both lower the barriers to entry for subscription-based content and support high-quality publications. For example, consider opportunities to bring content to audiences who may otherwise be unable to access it (e.g., making a podcast episode free through sponsorship).