Experts highlight the strategic implications of digital dominance in marketing budgets at the Gartner Marketing Symposium/Xpo, June 2-4 in Denver.
Digital channels now account for 61.1% of total marketing spend, according to a new survey by Gartner. This digital dominance is reshaping marketing strategies across industries, with seven out of 10 sectors dedicating more than 60% of their budgets to online channels.
The annual Gartner 2025 CMO Spend Survey of 402 CMOs and other marketing leaders in North America, the UK, and Europe (conducted February–March 2025) revealed that paid online channels dominate the digital mix, representing 69% of digital spend.
Key Findings from the Survey
- Paid search leads digital spend, rising from 13.6% to 13.9% of total digital allocation.
- Digital display advertising overtook social advertising, growing 17% year-over-year to 12.5% of digital spend.
- Social advertising maintains a steady share at 12.2%, reflecting continued relevance.
- Email marketing bucks the downward trend in owned/earned media, increasing slightly to 7.4% of spend.
“The increasing allocation towards digital channels reflects a strategic pivot as CMOs recognize the need to adapt to rapidly changing consumer behaviors and technological advancements,” said Ewan McIntyre, VP Analyst and Chief of Research in Gartner Marketing Practice. “With Google’s postponement of cookie deprecation, the rise of GenAI, and uncertainties surrounding TikTok’s future, marketers are navigating a dynamic digital landscape to keep their strategies effective and impactful.”
Navigating Channel Impact vs. Spend
CMOs are weighing both budget allocations and perceived impact across channels:
- Search advertising stands out as high spend/high impact, particularly for conversion and pre-purchase touchpoints.
- Video and streaming slipped in impact rankings due to platform saturation and targeting challenges.
- Retail media networks emerged as a top channel, surpassing video and streaming, offering focused reach and higher effectiveness in addressing audience fragmentation.
- Linear TV, while still receiving significant spend, ranks lower in impact but remains valuable for awareness generation.
- Email marketing continues to be a reliable performer, ranking fifth overall and number one for customer loyalty.
“As CMOs maneuver the evolving channel landscape, the strategic implications of multichannel plans become paramount,” added McIntyre. “Budget challenges and channel volatility will continue to shape priorities, emphasizing the need for performance-driven strategies.”
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