Observed Signal · Jul 24, 2026 · Market Research Report · Source: The Drum · Impact: 3/5 · Sentiment: Positive
Paid Search Still Growing Despite Answer Engines
A Funnel report analyzing ad spend from over 5,000 companies finds paid search continuing to grow despite the rise of answer engines and generative search. Paid search spend rose 122% in the 15 months to April 2026 in the US (from $45m to $100m), with most growth concentrated in Google/Alphabet and Meta/Facebook. Social media spend grew faster (150%) over the same period and is increasing its share of total digital spend, with TikTok showing rapid growth in EMEA. APAC experienced very strong growth overall. Digital ad spend is also becoming more seasonal, with Black Friday seeing large year-on-year increases across regions, particularly on social channels.
New regional ad-spend growth data showing paid search and social growth informs media planning and channel allocation across major markets; relevant market intelligence but not a platform policy or technical platform release.
Key Takeaways & Evidence Grounding
- Funnel, a marketing intel platform, claims to handle 11% of all global digital ad spend.
- Paid search spend grew 122% in the 15 months leading up to April 2026 in the US, increasing from $45m to $100m.
- Google Ads saw year-on-year growth (112% in EMEA to $110m; 41% in the US to $99m); Facebook/Meta Ads grew 148% in EMEA to $62m and 211% in the US to $84m.
- Social media spend rose 150% in the same interval, from $26m to $65m, with social reaching 33% of digital spend in EMEA (up from 18%).
- Black Friday month receipts doubled in EMEA from $125m in 2024 to $270m in 2025 (116%); November growth also strong in US (81%) and APAC (140%), with much of the Black Friday uplift going to social channels.
Connected Companies & Entities
5 Entities mappedMeta
Consumer internet platforms monetised through advertising, apps, subscriptions and VR.
“In a familiar story, the vast majority of that growth goes to two companies: Google’s Alphabet and Facebook’s Meta....”
Alphabet
Digital platform conglomerate centred on advertising, media and software.
“In a familiar story, the vast majority of that growth goes to two companies: Google’s Alphabet and Facebook’s Meta....”
Funnel
Marketing intelligence software for data integration, measurement and activation.
“But according to new data out of marketing intel platform Funnel, which claims to handle 11% of all global digital ad spend, answer engines ...”
TikTok
Short-form video platform with ads, commerce and creator tools.
“In EMEA alone, for example, spend on the platform shot up from $2m in January of 2024 to $12m in April of this year....”
OpenAI
Foundation model company selling AI software, APIs and subscriptions.
“As 2026 has worn on, that question has come into sharper focus: as OpenAI plans an IPO, it is reportedly aiming to build a $100bn ad busines...”
Ontology Mapping & Concepts
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