Media Update: Global Ad Availability on Threads, Google's Legal Battles, and Consumer Sentiment Amid Tariffs
Key Highlights
- TV & Audio: Walmart is moving to integrate Vizio with Walmart Connect, showing the growing value of retail media for out-of-store opportunities, especially on streaming TV.
- Paid Social: Meta announces global availability for ads on Threads.
- Display & Programmatic: Google was found guilty of running an ad tech monopoly.
- Search: Google battles multiple antitrust cases as Chrome halts 3P cookie phaseout.
- Ad Economy: AI search gets commercial: The new tug-of-war between answers and ads.
- Consumer Economy: Consumers are very worried, but they’re not yet making major changes in spending; meanwhile, Amazon gets its knuckles rapped for considering tariff messaging in its pricing.
TV & Audio
Sports programming recovered some of its audience in the back-half of April, spurred on by the NBA playoffs, which are averaging record first-round audiences for ESPN.
1. Amid growing macroeconomic uncertainty from the administration’s tariff regime, many advertisers are becoming more focused on the efficiency of their campaigns. As we’ve discussed in our regularly updated Tariff Blog, brands are and should be evaluating media spend by channel to ensure that dollars are going to opportunities with the highest incremental return on investment. Many are supporting this effort by exploring the latest capabilities in audience targeting. In that context, retail media networks (RMNs) are primed for substantial growth in 2025.
While RMNs are often thought of as primarily an opportunity for CPG brands to partner with their retailers, a more accurate view would be to see RMNs as simply a unique and robust form of audience targeting, available to advertisers of almost any sort. There are dozens of RMNs of all sizes – our intrepid Commerce team has long been well on top of the diverse options here – but their impact on the streaming TV landscape is becoming more apparent. One major retailer leaning in on CTV is Walmart, which acquired Vizio for over $2 billion last year. This month, Walmart Connect (Walmart’s RMN) announced a beta test for advertisers to use Walmart shopper data to target viewers on Vizio TVs. Walmart already noted that CTV is the fastest-growing aspect of its off-site RMN offering, so the incorporation of one of the largest TV OEMs on the market is a very valuable proposition, both for Walmart and for brands. Walmart itself noted that by bridging its audience data and “attribution capabilities” with “a new connected TV inventory supply pool”, they might show more resilience against tariff pressures by winning and retaining advertisers focused on efficiency.
Walmart isn’t the only RMN making significant CTV moves at the moment. Target’s RMN, Roundel, has grown its off-site media business (including display and streaming), while Amazon has a clear front-runner position by combining the world’s second-largest retailer, the US’ second-largest CTV device system, a rapidly-growing DSP, and one of the largest domestic streaming services. As these tools develop further, RMNs are expected to form a backbone of the advertising industry in the years to come, treated more as a hyper-applicable piece of ad tech for most media types rather than something specific to retail-focused CPG brands.
Many of these opportunities are already available to Tinuiti TV advertisers. RMN data from Amazon, Walmart, Target, and Instacart, as well as smaller RMNs like Home Depot, have been leveraged by our clients, and more RMN opportunities are being made available rapidly. The Tinuiti team is actively developing playbooks and best practices for bringing this robust data to all corners of the media ecosystem, and advertisers are encouraged to discuss with their client teams how best to integrate into existing campaigns. Overall, we recognize RMNs’ potential not only as a near-term tariff-mitigation tool but also as a key growth and efficiency driver for all advertisers over the next few years. | eMarketer
2. While much focus is given to video and “the streaming wars,” audio continues to show remarkable growth as an advertising medium. Podcast ad revenue jumped 26% year-over-year in 2024, making it the second-fastest growing ad category according to a new report from the IAB. In aggregate dollar terms, the channel trails search, social, and video, but the steady growth in investment – especially during uncertain macroeconomic conditions – shows the value advertisers put on the listener connection made by a host- or producer-read audio ad unit.
This dynamic comes as audiences are reaching a steady-state with respect to time spent on social media, leading advertisers to look for more diverse full-funnel marketing opportunities. Though podcast has traditionally been seen as an “upper-funnel” opportunity, the evidence shows that it drives tangible impacts at the bottom of the funnel as well.
At Tinuiti, we’ve leaned in on this opportunity, prioritizing podcast access through Dynamic Ad Insertion technology. While this technology has advantages with respect to audience targeting and creative flexibility, one of DAI’s biggest upsides is in impression-level tracking, which facilitates 1:1 matching against KPIs and easier incrementality measurement. This allows advertisers to quickly see the impact of different podcast investments throughout the funnel and make rapid optimization decisions. With listenership high, ad spend growing, and DAI-based measurement available, we see podcast – and audio more broadly – as a key opportunity for advertisers during uncertain macroeconomic times. | eMarketer, eMarketer
Paid Social
Meta’s Threads platform just took a big step forward, officially opening up its ad placements globally to all advertisers. After quietly testing ad formats over the past few months with select brands like McDonald’s and Nike, Threads is now offering in-feed placements that resemble the native look and feel of Instagram ads. These ads can be deployed using the existing Instagram ad setup flow, making adoption seamless for brands already within Meta’s ecosystem. With over 130 million monthly active users and growing engagement, Threads is positioning itself as more than just a Twitter alternative—it’s becoming a new frontier in Meta’s multi-platform monetization strategy.
For advertisers, the move opens up fresh inventory, but it’s not without nuance. While early tests reportedly show strong CPM efficiency, Threads is still defining its core user behavior—and platforms in this phase can be unpredictable. That said, this is likely a first mover moment. Brands willing to lean in early, especially those with existing Instagram campaign infrastructure, stand to benefit most from cost-efficient reach while Meta fine-tunes performance metrics. The key here will be adopting creative that feels native to Threads’ tone—more text-forward and conversational—rather than defaulting to repurposed Stories or Reels. Expect more updates as performance data starts rolling in and Meta continues shaping Threads as an ad-worthy destination. | SocialMediaToday, TechCrunch, Adweek
Display & Programmatic
While Google’s antitrust case over Chrome and search has grabbed headlines, a separate case made waves last week when Google was found guilty of holding illegal monopolies in ad tech, specifically in the ad server and ad exchange markets, violating Sections 1 and 2 of the Sherman Antitrust Act. This landmark decision could open the door for U.S. prosecutors to push for a breakup of Google’s ad tech business.
The case centers on Google Ad Manager (GAM), which was developed in 2018 and comprises two products: DFP (formerly DoubleClick for Publishers) and Google Ad Exchange (AdX).
- DFP is an ad server that allows publishers to sell, schedule, deliver, and manage ad inventory. A key feature of DFP is dynamic allocation, a system that automatically compares competing bids for ad space and ensures the highest-paying ad, whether from Google’s AdX, AdSense, or a third-party network, is served.
- On the other hand, Google Ad Exchange (AdX) is a real-time marketplace where advertisers bid on publishers’ ad space. It also supports advanced deals like programmatic direct and guaranteed, helping publishers access higher-paying, premium advertisers.
The merger of DFP and AdX into a single platform created a tightly integrated system that ultimately drew regulatory scrutiny and led to the court’s ruling. By linking the two, Google influenced both the buy and sell sides, making it hard for publishers to use rivals without losing access to high-paying advertisers.
Despite the recent ruling, publishers and advertisers shouldn’t expect immediate changes. The next phase in the process involves drafting remedies, which could include breaking up parts of Google’s ad tech stack. This may take years, but we’re closely monitoring it, as the outcome could significantly impact the media landscape. | AdExchanger, AdExchanger, Google Blog
Search
Google is confronting significant search-related antitrust challenges on both sides of the Atlantic (in addition to another major ad tech related antitrust case). In the UK, a £5 billion class action lawsuit accuses Google of monopolizing the search market by securing default search engine positions on devices, thereby overcharging businesses for advertising.​ Concurrently, in the US, the Department of Justice has entered the remedies phase of its antitrust case against Google, following a 2024 ruling that the company illegally maintained a monopoly in online search. The DOJ is advocating for measures such as ending exclusive search agreements, divesting the Chrome browser, and limiting Google’s use of AI to prevent further entrenchment of its dominance. Each of these cases underscore a global regulatory push to curb Google’s market power and promote fair competition in the digital economy.
In comments during the third day of the currently ongoing US search-related trial, a senior Google executive, Sissie Hsiao, spoke to how some competing platforms are changing the game by playing in the same spaces as Google for online search. Specifically, with regard to ChatGPT, Hsiao noted that ChatGPT is drawing some queries away from Google, though those queries are primarily related to “homework and math”, not commercial intent.
The compounding impact of these ongoing antitrust cases likely contributed to Google’s announcement on Apr 22 about not deprecating third party cookies after all. Anthony Chavez, VP of Google’s Privacy Sandbox, said Google will “maintain our current approach to offering users third-party cookie choice in Chrome, and will not be rolling out a new standalone prompt for third-party cookies. Users can continue to choose the best option for themselves in Chrome’s Privacy and Security Settings.” Though speculative, it’s fair to connect the dots here and assume that Google could be expecting to potentially need to sell Chrome as an outcome of these multiple court cases. In which case, maintaining the status quo could now be a better use of Google’s energy. From an advertiser perspective, this change in direction likely means more stability in performance and targeting, at least for now. Advertisers can keep using established targeting and measurement strategies, but should continue prioritizing more privacy safe solutions (ex: leveraging 1P data, enhanced conversions, etc.). | NYT, CNN, NYT, NYT, The Information, The Privacy Sandbox
Ad Economy
As generative AI reshapes how consumers engage with search, the balance between organic AI responses and ad-driven monetization is entering a pivotal transition phase. Google, Bing, and OpenAI are each navigating this shift seeking to protect revenue while adapting to new patterns of discovery.
1. Google’s latest advertising policy shift, one that permits double serving, lays the groundwork for ads integrated with AI Overviews. Today, this appears as dual ad boxes (top and bottom) on the SERP, a move that emphasizes relevance by doubling down on the most actionable results. But, when viewed through the lens of long-term search strategy, it signals the potential for future formats embedded directly with AI-generated answers. In parallel, their Search Max beta is moving toward keywordless targeting, instead organizing campaigns around broader topics – an approach that echoes how large language models process and prioritize information. This is a key consideration for ads that are relevant not to the query, but to the generated response that frames the weights & biases of a given topic. Together, these updates mark a future where AI doesn’t just summarize the web, it curates the ad experience. | Google, Search Engine Land
2. Bing is testing similar waters. Its “Showroom Ads” bring a visual, shoppable layer to Copilot, simulating a store-like experience within conversational search. But a new tension is emerging: What happens when the model’s organic response diverges from the brand’s message? In this environment, brand suitability becomes less about placement and more about AI interpretation – a frontier issue in aligning paid media with autonomous content. | Windows Central
3. Meanwhile, OpenAI has stepped into the arena with a commerce feature it touts as “ad-free.” Inspired by Perplexity’s Buy-with-pro model, the new ChatGPT shopping assistant surfaces product recommendations without traditional sponsored slots. Critically, differentiating itself from Google Shopping with native transaction capabilities powered by direct integrations with Shopify and many other platforms. The move positions OpenAI as an alternative to ad-heavy search engines, but the sustainability of this strategy remains in question. With an estimated $5 billion in losses in 2024, it’s unclear how long this ad-free stance will hold for. | Perplexity, Wired
The takeaway: Search is no longer just about query matching, it’s becoming a platform for AI-guided decision-making with monetization strategies still in flux. Advertisers should prepare for new creative formats, rethink suitability standards, and perhaps, most critically, monitor how AI intermediates the path from question to conversion.
Consumer Economy
1. We discussed last time the approaches that various retailers with high tariff exposure are taking to communicating price increases to their customers, including questions over whether merchants would pass on price increases at all. That latter question has now been substantially answered as Shein, one of the most tariff-exposed companies in the world, has increased its prices for US consumers by double- and even triple-digit percentage points.
Shein and its fellow Chinese ecommerce giant Temu have been, as you may recall, heavy users of the de minimis exemption, which waived import duties on parcels under $800 in value. The de minimis exemption is now officially gone, on grounds of a national security emergency related to fentanyl; now, there are two regimes for imports of under $800:
- Imported goods that do not use the postal network are subject to the standard schedule of import taxes
- Imported goods that do use the postal network are subject to a tax of either 30% of their value or $25 per item, increasing to $50 per item after June 1st
While it seems clear that the costs of import taxes will be substantially passed on to consumers, how those price hikes are communicated is a separate matter. You may recall our discussion last time of line items for tariff costs in some ecommerce checkout flows; we got some evidence this week that this can be a politically fraught decision. Amazon this week confirmed that it had considered displaying the cost of tariffs on the checkout pages for Haul, its Shein/Temu clone; within hours, the White House press secretary excoriated the company for “a hostile and political act.” Amazon subsequently clarified that the idea “was never approved and is not going to happen.”
To be sure, most companies are not under the kind of microscope that Amazon is, and will have more discretion to communicate with their customers without fear of presidential denunciation. But this episode does highlight that communication of cost increases is a highly sensitive topic, for both economic and political reasons. Merchants would do well to consider potential backlash, and to frame price rises as neutrally as possible. | Bloomberg, WSJ
2. As we touched on last time, we’re seeing an unusual pairing of extremely ominous forward indications for the consumer economy, while current consumer behavior chugs along more or less as normal. Starting with those ominous signs, consumer confidence has dropped to its lowest point since the early months of the pandemic, and consumer expectations – composed of business conditions, employment prospects, and future income – dropped to its lowest point in 14 years.
It is important to note, as we’ve highlighted previously, that consumer sentiment is highly polarized by political affiliation. Republicans are feeling better than they have for almost five years, while Democrats are deeply depressed.
Despite a labor market that remains broadly healthy, consumers are now very worried about losing their jobs:
And a record-high share of consumers believe business conditions are worsening.
Despite all that, consumers are continuing to spend. Retail sales surged 1.4% MoM in March (before the major tariff announcements):
And, as we discussed last time, key inflation measures are heading in the right direction for the time being, which consumers generally love.
The consensus, both from consumers themselves and from experts, is that people are capable of reading the tea leaves – they understand that taxes on goods will raise prices as a first-order effect, and will reverberate through business conditions and the labor market as second-order effects. An indication of this is that major credit card providers are setting aside funds to cover an expected rise in consumer defaults. The pattern for both consumers and businesses seems to be to avoid panic, but also to prepare for a seemingly inevitable downturn this summer. | Bloomberg, Apollo, WSJ, Bloomberg
You Might Be Interested In
