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The Interactive Advertising Bureau (IAB) has released its 2025 Creator Economy Ad Spend & Strategy Report, revealing a massive surge in U.S. investment that is fundamentally reshaping modern media strategies. The report finds that ad spend has more than doubled since 2021, reaching $29.5 billion in 2024, and is projected to grow 26% to $37 billion in 2025, far outpacing the overall media industry.
IAB reports creator economy ad spend surged to $29.5B in 2024, more than double the 2021 figure.
Spend is projected to grow 26% to $37B in 2025, vastly outpacing the broader media industry.
48% of ad spenders now consider creators a "must-buy" channel, behind only social and paid search.
Brands use creators across the funnel, with 32% targeting online sales and conversions.
The top challenge for brands is finding the right creators, cited by a third of buyers.
While 74% of buyers use or plan to use AI, 95% have concerns about losing human connection.
The explosive growth signifies a major strategic shift, with brands now treating creators as a distinct media channel rather than just a tactic within social media. Nearly half of all ad spenders rank creators as a "must-buy," a status held only by the largest digital channels. David Cohen, CEO of IAB, stated, "Leveraging the creator economy to connect with audiences is no longer experimental for marketers — it's essential. The significant growth we're seeing reflects a deepening commitment from brands to invest in creator-driven strategies. However, with that maturity comes a need for clear standards, better measurement, and tools to navigate an incredibly fragmented ecosystem."
Brands are leveraging creator campaigns for a wide range of objectives, proving their value beyond top-of-funnel awareness. While building brand awareness (43%) and reaching new audiences (41%) are primary goals, driving online sales and conversions is also a key focus for 32% of brands. In fact, 40% of buyers rank overall ROI as their top KPI. Despite this strategic importance, significant challenges remain. A third of brands cite finding the right creators as their biggest hurdle, emphasizing the need for better discovery and vetting tools based on creator reputation and audience alignment.
To navigate the complex ecosystem, nearly three-in-four creator ad buyers are using or planning to use AI, primarily for content editing, creator briefs, and personalization. However, 95% of advertisers express concerns, primarily about the loss of the genuine human connection that makes creator marketing effective. The report concludes that for the channel to mature further, the industry needs advanced attribution, consistent reporting, and standards for audience authentication to properly link creator activations to tangible business outcomes. As investment continues to accelerate, these foundational elements are critical for the creator economy's sustained growth and integration into core media strategies.
About IAB
The Interactive Advertising Bureau (IAB) empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.
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