The US digital advertising market is projected to reach $413.24 billion by 2026, growing 14.2% annually, driven by investment in paid search and e-commerce. New York is a key contributor to this growth with one of the world’s most concentrated advertising and media ecosystems, housing global agency networks, holding companies, publishers, and brand headquarters.
For New York businesses, mastering digital marketing services across SEO, PPC, programmatic advertising, and data-driven channels is the foundation of competitive survival. This report compiles 100+ statistics that outline the state of digital marketing in New York in 2026.
Overall Market Size & Ad Spend
-
- New York’s ad industry revenue is projected to reach $33.5 billion by 2028, growing at a 3.8% CAGR.
- New York’s advertising services industry generated $29.4 billion in revenue in 2023.
- The digital marketing industry in New York grew at a 4.2% CAGR from 2018 to 2023.
- New York City accounts for 62% of the state’s advertising services revenue, with $18.2 billion in 2023.
- The New York metropolitan area’s advertising services market was valued at $31.1 billion in 2023, up 3.9% from 2022.
- The global digital marketing industry is on track to hit $740.3 billion, while the United States holds the largest digital advertisement spend with an estimated $317 billion.
- There are over 2,000 advertising agencies in New York.
- New York is the second-largest advertising market in the U.S., with a revenue of over $18 billion.
- NY spends 19% more on digital ads per capita than the U.S. average.
- New York’s ad industry is 2.3x larger than the national average in terms of revenue per capita.
- The advertising industry in NYC generates over $20 billion in annual wages.
- New York alone accounts for approximately 20% of all advertising jobs in the United States.
- The average salary for an Advertising Account Executive in NYC is $82,000.
- NYC has a 12% higher concentration of advertising professionals than Los Angeles.
- LinkNYC kiosks provide over 2,000 digital advertising faces across the five boroughs.
2,000+
Ad agencies in NY
The most concentrated ad market in the US
NY hosts roughly 20% of every advertising job in America and a 12% higher concentration of ad professionals than Los Angeles. Standing out here means competing against the densest pool of marketing talent in the country.
Digital Advertising Spend by Channel
- Digital advertising accounted for 65% of New York’s ad revenue in 2022, a 12% increase from 2019.
- Digital advertising accounted for 78% of client spend in NY in 2022.
- Off-site retail media ad spend will grow 42.1% in 2025, almost three times faster than on-site spending.
- Programmatic advertising in NY grew 22% in 2023, reaching $8.1 billion.
- US retail media ad spending will increase by 88.5% from 2024 to 2028, reaching $97.90 billion.
- Display advertising in NY accounted for $2.9 billion in revenue in 2023.
- Digital advertising revenue in NY reached $17.2 billion in 2023, accounting for 58.5% of total ad revenue.
- Native advertising in NY accounted for 24% of digital ad revenue in 2023, up from 19% in 2021.
- NY’s digital ad spend grew at a 12.3% CAGR from 2019 to 2023, outpacing the U.S. rate of 10.1%.
- A single 15-second spot on the Times Square “Bowtie” screen can cost $5,000 per hour.
- Retail media networks based in NYC saw 20% revenue growth in 2023.
- Total advertising spending handled by NYC firms grew by 6% year-over-year in 2023.
Search & Local SEO Performance Statistics
- NYC local SEO efforts are 35% more effective when executed from high-density corporate environments.
- The number of NY ad agencies specializing in local SEO increased by 76% from 2019 to 2023.
- New York businesses that utilize region-specific marketing strategies experience a 23% higher engagement rate.
- 69% of NY digital ads in 2023 were optimized for voice search.
- Amazon now holds 22.3% of total U.S. search ad spend.
- Amazon’s U.S. search ad revenues are growing faster than Google’s: 17.6% compared to 7.6%.
- New York businesses make $2 in revenue for every $1 spent on Google Ads.
- The top three ad spots get about 40% of clicks for high commercial intent searches.
- Search advertising made up 31% of NY’s digital ad revenue in 2023.
- Google rules search in New York with an 89.89% market share in search volume.
- Retailers leveraging Local Inventory Ads typically report 20–25% higher store-visit conversions compared to standard shopping ads.
- Podcasts produced in NYC now host over 15,000 local advertisers annually
- “Near me” searches are 2.3× more common in NYC than the U.S. national average
15,000+
Local advertisers annually
NYC-produced podcasts are a serious ad channel
Audio reaches commuters, professionals, and niche communities that traditional display ads miss — making podcast sponsorships one of the most underused channels in the city’s marketing mix.
PPC & Paid Search Performance
- The average cost per click (CPC) in NY for search ads is $2.75 (2023), 12% higher than the U.S. average.
- Amazon’s search ads cost more per click ($1.50) than Google’s ($1.16), as Amazon users are more likely to buy.
- The average ROI for New York advertisers is 3.2x.
- 72% of Google Ads marketers plan to increase their PPC budgets.
- 70% of mobile searchers call businesses directly from Google Search.
- Financial services firms in NY spent $2.5 billion on advertising in 2022, a 12% increase from 2021.
- Healthcare accounted for 21% of total ad spend in NY in 2022.
- Healthcare providers in NY spent $3.7 billion on advertising in 2022, representing 21% of total ad spend.
- The average cost of a TV ad in NY is $12,500, while a digital ad averages $450.
- A successful real estate PPC campaign in NYC achieved leads at a $29 CPL (cost per lead).
- Telecom leads all industries in NY with 20.9% growth in digital ad spending.
- NY has a 15% higher CPM than San Francisco, making it the most expensive ad market in the U.S.
Social Media Usage & Advertising
- Instagram and Facebook account for 52% of New York’s total social media ad spend.
- Social media advertising in NY reached $4.8 billion in 2023.
- More than half (52%) of NY advertisers increased their focus on short-form video (TikTok, Reels) in 2023.
- Video ads generated $6.8 billion in revenue in NY in 2023.
- In 2023, $3.2 billion of NY’s digital ad spend was on TikTok.
- 70% of NYC consumers use social media to influence retail purchasing decisions.
- Instagram and YouTube attract over $1 billion more in influencer marketing spending than TikTok.
- New York marketers get around $7 for every dollar invested in social media marketing.
- Social media made up 28% of NY’s digital ad revenue in 2023.
- Social media advertising CPMs in NYC are the highest in the US, averaging $12.50.
52%
NY advertisers increasing focus on short-form video (TikTok, Reels) in 2023
$6.8B
Video ad revenue generated in NY in 2023
$3.2B
NY’s 2023 digital ad spend on TikTok alone
Consumer Digital Behavior Statistics
- Gen Z online shoppers in NYC spend 40% more on vintage and second-hand items than Boomers.
- Return rates for physical store purchases in NY are 10% lower than the national average.
- In New York, neighborhood-specific searches are 4.1x more common than “NYC” or “Manhattan” searches.
- 90% of consumers value authenticity when choosing brands.
- Luxury retail sales in NYC increased by 4% in 2023 compared to 2022.
- “Best [service]” searches in New York are 1.8x more common than “cheap” or “affordable” searches.
- 90% of consumers in New York City discover new brands online first.
Content Marketing Trends
- 71% of NY ad agencies use AI for content creation (2023), with tools like ChatGPT and DALL-E.
- 31% of NY ad campaigns in 2023 included interactive elements like polls or quizzes.
- Augmented reality (AR) advertising in NY generated $380 million in 2023, a 41% increase from 2022.
- Augmented Reality (AR) ad campaigns launched by NYC brands increased by 50% in 2022.
- NY ad agencies are investing 15% of their budgets in emerging technologies such as VR and the metaverse.
- NY’s ad industry spent $520 million on training and development in 2023, up 18% from 2022.
- The rise of “audio-first” advertising in NY led to a 22% increase in podcast ad spend in 2023, reaching $780 million.
- NY digital advertisers allocated 19% of their budget to audio ads in 2023, up from 12% in 2019.
- Programmatic advertising accounts for 85% of display ad buys executed by NYC firms.
- NY‑based marketers now spend 39% of their content budget on video
- 60% of NYC agencies have a dedicated “Metaverse” or “Web3” strategy lead.
- Gaming advertising (In-Game ads) managed by NYC firms reached $500 million in 2023.
- NYC agencies utilize biometric testing (eye-tracking) in 20% of their creative testing procedures.
- Contactless payment usage is 20% higher in NYC than the US average for retail.
Email & Direct Response ROI
- Email marketing in NY generated $2.1 billion in revenue in 2023, up 9% from 2022.
- The average ROI for NY digital ads is 4.1x.
- 68% of marketing leaders in New York list “demonstrating the ROI of marketing efforts” as their main goal, up 20%.
- About 57% of NY businesses don’t base marketing budgets on any ROI analysis.
- Direct-to-consumer (DTC) brands in NY spent $2.3 billion on ads in 2022, growing 18% year-over-year.
- A Brooklyn digital marketing agency leveraged advanced data analytics to increase a client’s conversion rates by 25% in three months.
- NY advertisers allocated 12% of their budget to social media in 2022, with digital channels accounting for the majority of direct-response activity.
- Average email CTR across industries is 2.6%, with segmented campaigns seeing 100.95% higher CTR
- Personalized subject lines increase open rates by 26%
- Segmented campaigns have 14.31% higher open rates than non-segmented sends
Ecommerce & Digital Revenue Contribution
- Retail generates over $250 billion in annual sales across New York State.
- New York City accounts for 45% of all retail sales in New York State.
- E-commerce accounted for 18% of total retail sales for NY-based multi-channel retailers in 2023.
- Holiday season spending (November–December) accounts for 19% of total annual retail revenue in NY.
- Spending on food services and drinking places grew 8.5% in NY in 2023.
- Retailers in NY spent $3.1 billion on ads in 2022, up 7.2% from 2021.
- Sustainable and eco-friendly retail sales grew 15% in NYC urban centers.
- Pop-up retail activations in NYC increased by 40% year-over-year.
- Retail sales tax collections contribute over $16 billion annually to the NY state budget.
- Amazon dominates retail media ad spend, with its ad platform generating $60 billion in US retail media ad revenue in 2025.
$250B+
Annual NY retail sales
One of the largest retail economies in the country, and the rules of competition here are unlike anywhere else.
45%
Of state retail sales come from NYC alone
18%
eCommerce share of NY multi-channel retail in 2023
19%
Annual revenue earned in Nov–Dec holiday season
Conversion Rate & Landing Page Benchmarks
- The overall NYC e-commerce retail target conversion rate is 3.5–4%, compared to an industry average of 2.5–3%.
- The average mobile conversion rate for NYC retailers is 3.2%, beating the industry average of 2.8%.
- Add-to-cart rate target for NYC retailers is 8–9%, compared to an industry average of 6–7%.
- The cart abandonment rate for top NYC retailers is under 65%, compared to an industry average of 70–80%.
- Local pickup share target with Local Inventory Ads is 20%+ of total orders, versus an industry average of 10–15%.
- Each micro-test in CRO can increase conversions by 0.5–1%, compounding into double-digit growth annually.
- 61% of NY advertisers prioritize UX in ad campaigns in 2023.
- The retargeting strategy of NYC retailers uses an average optimal creative frequency of 3–4 impressions per week per user, avoiding ad fatigue during engagement.
- Brands advertising on retailer platforms saw a 59% increase in organic share of sales within two weeks.
- Retail websites are 50% more effective at driving shopper responses than social media.
Website Performance & Page Speed Statistics
- A high-performing NYC retail site should load in under 2 seconds; each second lost can reduce conversions by up to 20%.
- The average site speed (Largest Contentful Paint) for top NYC retailers is under 2 seconds, versus the industry benchmark of under 2.5 seconds.
- NY leads the U.S. in digital ad innovation, with 45% of agencies testing new digital formats in 2023.
- The average internet speed in NYC is around 50 Mbps, a critical factor in executing real-time, data-driven campaigns.
- 82% of NY advertisers use data analytics to measure ad performance in 2023.
- UX prioritization increased from 45% in 2019 to 61% in 2023.
- The average voice search result page loads in 4.6 seconds: 52% faster than the average webpage
- First-party data with lookalike modeling achieves 0.73% CTR in programmatic display, outperforming all other targeting strategies by 142%
- More than half of visitors abandon a site that takes longer than 3 seconds to load
- A one-second delay in page load time can reduce conversions by up to 7–10%.
<2s
Top NYC retail sites’ load time — beating the 2.5s industry benchmark
−20%
Drop in conversions for every extra second of load time
45%
NY agencies testing new digital ad formats in 2023
50Mbps
Average NYC internet speed — fueling real-time campaigns
82%
NY advertisers using data analytics to measure ad performance
45 → 61%
Rise in brands prioritizing UX from 2019 to 2023
52%
Faster load on voice search results vs. average webpages
+142%
Higher CTR with first-party data + lookalike modeling in programmatic display
3s
Load time threshold — over half of visitors abandon past this
Mobile, Local & Emerging Channels
- Mobile advertising accounted for 65% of NY digital ad spend in 2023.
- Over 70% of New Yorkers shop via phone, making mobile-first design essential.
- Mobile commerce growth in NY surpassed 12% year-over-year in 2023.
- 70% of mobile searches lead to action within an hour.
- Augmented reality (AR) advertising in NY generated $380 million in 2023, a 41% increase from 2022.
- Contactless payment usage is 20% higher in NYC than the US average for retail.
- NY ad agencies are investing 15% of their budgets in emerging technologies such as VR and the metaverse.
- Mobile ad share increased from 58% in 2020 to 65% in 2023.
- In New York City, 82% of all local searches occur on mobile devices
Video Advertising & OTT Trends
- Video ad revenue in New York increased by 15% between 2022 and 2023.
- OTT (over-the-top) ad spend in New York reached $920 million in 2023.
- The growth of connected TV (CTV) led to a 35% increase in CTV ad spend in NY in 2023.
- Retail media ad spending on CTV will increase by 43.1% and reach $4.86 billion in 2025.
- Video ads in NY have a 2.3x higher engagement rate than static display ads.
- In 2023, 29% of NY ad campaigns included live streaming.
- More than half (52%) of NY advertisers increased their focus on short-form video (TikTok, Reels) in 2023.
- In 2023, NY’s digital ad spend directed to TikTok increased by 120% from 2022.
- Display advertising revenue in New York grew 6% between 2022 and 2023.
- Short-form videos on TikTok and Instagram Reels show engagement rates of up to 10%.
Influencer Marketing Growth
- US influencer marketing spending surpassed $10 billion in 2025, reaching this milestone a year earlier than expected, with a strong 15.0% growth rate.
- NY advertisers spent $980 million on influencer marketing in 2022, up 23% from 2021.
- Influencer marketing in NY grew 23% in 2023, with 62% of campaigns involving micro-influencers (10,000–100,000 followers).
- Instagram and YouTube attract over $1 billion more in influencer marketing spending than TikTok.
- 63% of consumers trust influencer recommendations more than traditional brand ads.
- Influencer marketing delivers an average 650% ROI.
- About 58% of U.S. shoppers take action after seeing products on social media.
- More than half of U.S. marketers plan to start using influencer marketing on YouTube in 2025.
- 43% of NY ad campaigns in 2023 included user-generated content (UGC), up from 28% in 2019.
- Influencer marketing spend through NYC-based agencies reached $3 billion in 2023.
B2B Digital Marketing Statistics (New York)
- In 2022, 38% of advertising revenue in New York came from B2B clients and 52% from B2C.
- Tech companies accounted for 32% of total ad spend in NY in 2022, representing the largest B2B sector.
- Consumer packaged goods (CPG) brands in NY spent $2.8 billion on ads in 2022.
- Small and medium-sized businesses (SMBs) in NY accounted for 41% of ad spend in 2022.
- The average NY advertiser spent $45,200 on ads in 2022, with 18% spending over $1 million.
- NYC is home to 19 Fortune 500 companies, giving digital marketers access to high-profile clients and larger B2B budgets.
- Businesses engaging in NYC digital marketing services see an average of 12x ROI on their campaigns.
- The top 10 clients in NY accounted for 35% of total ad spend in 2022.
- SMEs in New York spent roughly $7.7 billion in total on advertising.
- B2B ad spend in NYC sectors totaled $3.6 billion in 2023
- The Cannes Lions International Festival of Creativity awarded NYC agencies over 100 Lions in 2023.
Marketing Technology & AI Adoption
- 72% of NY ad agencies use AI for campaign optimization in 2023.
- 71% of NY ad agencies use AI for content creation (2023), with tools like ChatGPT and DALL-E.
- AI-generated content accounts for 18% of ad creatives in NY agencies (2023).
- Data analytics adoption increased from 65% in 2020 to 82% in 2023.
- 75% of NY ad agencies use real-time bidding (RTB) for programmatic ads.
- The number of NY ad agencies offering “data-driven marketing” services increased by 68% from 2019 to 2023.
- 70% of NYC agencies currently use Artificial Intelligence for copy generation or ideation.
- AI-generated content usage increased from 5% in 2020 to 18% in 2023.
- Businesses utilizing marketing automation experience a 451% increase in qualified leads.
- NYC is the headquarters for 4 of the top 5 global AdTech platforms.
- NY is home to 32 adtech startups that raised over $1 billion in funding since 2020.
- NYC agencies allocate 15% of their R&D budgets to predictive analytics tools.
AI Search & Generative Search Trends
- AI search ad spending will double between 2025 and 2026, reaching $25 billion by 2029.
- 73% of NY digital advertisers use AI tools for audience targeting.
- The number of NY ad professionals with a “data analytics certification” increased by 112% from 2019 to 2023.
- ChatGPT now accounts for 12% of search-related traffic in the US, with New York a major contributor.
- Gen AI traffic is growing 165x faster than organic search traffic.
- Zero-click searches reached 58.5% of US searches in 2025, rising to 83% when AI Overviews are present.
- About 50% of Google searches already include an AI summary, a figure projected to exceed 75% by 2028.
- Traditional search has not decreased; instead, total search usage (engines + LLMs) increased 16% in the US.
$25B
Projected AI search ad spend by 2029 — doubling between 2025 and 2026
73%
NY digital advertisers using AI tools for audience targeting
+112%
Growth in NY ad pros holding data analytics certifications (2019–2023)
12%
Of US search-related traffic now flows through ChatGPT
165x
Faster growth of Gen AI traffic vs. traditional organic search
58.5%
Zero-click US searches in 2025 — rising to 83% when AI Overviews appear
Data Privacy, Cookies & First-Party Data
- 47% of NY ad agencies have adopted zero-party data strategies to improve personalization.
- 38% of NY consumers consider ad transparency important, influencing their purchasing decisions.
- Carbon-neutral advertisers in NY increased their ad spend by 30% in 2022, outpacing non-sustainable brands.
- 58% of NY advertisers plan to increase their sustainability ad spend by at least 10% in 2024.
- Sustainable advertising in NY grew 23% in 2023, reaching $1.8 billion.
- The number of NY ad agencies offering sustainability consulting services grew from 21% in 2020 to 56% in 2023.
- New York is #1 in the world for “Privacy-First” advertising implementation due to strict state and local regulations
- Privacy-first advertising strategies have been adopted by 82% of New York firms
- Zero-party data collection is up 73% among NYC firms
- Cybersecurity investments for NYC advertising agencies increased 25% to protect first-party data assets
Digital Marketing ROI & Performance Benchmarks
- Google Ads delivers an average 2:1 ROI.
- Businesses engaging in NYC digital marketing services see an average of 12x ROI on their campaigns.
- About 57% of businesses don’t base marketing budgets on any ROI analysis.
- The median profit margin for New York ad agencies is 14.3%.
- ROAS target for NYC paid ads is +10–15% growth in 6 months.
- New York’s ad industry revenue grew 5.1% in 2021, compared to the U.S. average of 4.3%.
- Marketers in New York earn $6.50 for every $1 invested in influencer marketing.
- Content marketing costs 62% less than traditional advertising while generating 3x more leads
- 83% of marketing leaders now consider demonstrating ROI as their top priority, up from 68% five years ago
- Times Square’s digital billboards generate $100 million in advertising revenue per year.
- The creative economy in NYC, led by advertising, contributes $110 billion to the city’s GDP.
- NYC advertising agencies have a combined annual revenue exceeding $50 billion.
- Advertising services account for 3.5% of New York City’s total private sector workforce.
- For every 1 advertising job created in NYC, another 1.4 jobs are supported in the broader city economy.
+10–15%
NYC ROAS target
Realistic growth benchmark for NYC paid ad campaigns within 6 months
Business Priorities & Challenges
- NY’s advertising industry employed 112,340 full-time employees in advertising services as of 2023.
- Average annual wage for NY advertising services workers is $98,400 (2023), 18% above the state average.
- U.S. digital ad spending will hit $324.9 billion in 2025, with New York City emerging as a key player that propels development.
- The advertising industry in NY had 10,500 job openings in 2023, with 7,800 hires and 2,200 separations.
- The average tenure of NY ad professionals decreased to 3.2 years in 2023, down from 4.1 years in 2019.
- Over 82% of NYC’s digital marketing workforce holds advanced degrees, and 75% have significant experience working in competitive markets.
- Remote work adoption in NY ad agencies increased by 41% from 2019 to 2023, with 35% of teams working remotely full-time.
- DEI initiatives in NY ad agencies increased 55% from 2019 to 2023.
- 49% of marketing agencies in New York have dedicated DEI budgets.
- New York State employed over 21,500 marketing managers in 2020, the highest employment level for this occupation in the U.S.
- NY’s ad industry growth outpaced the state’s GDP growth by 2.1 percentage points in 2022.
- Women-owned advertising firms in NYC grew by 8% between 2020 and 2023.
- 18% of NYC advertising agencies are Minority-Owned Business Enterprises (MBEs).
- 45% of NYC agencies use blockchain technology for ad fraud prevention.
New York’s digital marketing landscape is defined by high ad spend, strong mobile adoption, expanding AI integration, and measurable ROI benchmarks across channels. From programmatic and social media growth to ecommerce performance and emerging technologies, the data reflects a competitive market driven by performance metrics, sector-specific investment, and continued digital transformation across industries.
To stay competitive in this fast-moving environment, partnering with a digital marketing agency in New York can help businesses turn data into actionable growth strategies, optimize ad performance, and improve overall ROI across channels.
References
- 360Nerds. (2025). What Data Says About NYC Consumer Behavior And Why Your Marketing Probably Misses It. Retrieved from https://360nerds.com/blog/what-data-says-about-nyc-consumer-behavior-and-why-your-marketing-probably-misses-it.html
- ALM Corp. (2026). AI Search Trends. Retrieved from https://almcorp.com/blog/ai-search-trends/
- Blacksmith Agency. (2025). Digital Marketing Spend Stats New York. Retrieved from https://blacksmith.agency/resources/digital-marketing/digital-marketing-spend-stats-new-york/
- Brew. (2025). Email Marketing Statistics. Retrieved from https://brew.new/blog/email-marketing-statistics
- BusySeed. (2024). The Future Of Digital Marketing In NYC 2025 Trends To Watch. Retrieved from https://www.busyseed.com/the-future-of-digital-marketing-in-nyc-2025-trends-to-watch
- Digital Publik. (2026). E-Commerce Marketing New York. Retrieved from https://digitalpublik.com/e-commerce-marketing-new-york/
- Firework. (2026). Marketing ROI Statistics. Retrieved from https://firework.com/blog/marketing-roi-statistics
- Focus Digital. (2026). Programmatic Display CTR Benchmarks 2025 Report. Retrieved from https://focus-digital.co/programmatic-display-ctr-benchmarks-2025-report/
- Geek In NY. (2022). Digital Marketing NYC Vs Other Major Cities What Sets Us Apart. Retrieved from https://www.geekinny.com/digital-marketing-nyc-vs-other-major-cities-what-sets-us-apart/
- Gitnux. (2024). New York Advertising Services Industry Statistics. Retrieved from https://gitnux.org/new-york-advertising-services-industry-statistics/
- Position Digital. (2026). AI SEO Statistics. Retrieved from https://www.position.digital/blog/ai-seo-statistics/
- RP Design. (2025). Digital Marketing New York City. Retrieved from https://www.rpdesign.com/digital-marketing-new-york-city
- Sixth City Marketing. (2026). Voice Search Stats. Retrieved from https://www.sixthcitymarketing.com/voice-search-stats/
- Triotech Labs. (2025). How Website Speed Impacts Your Conversions In 2025. Retrieved from https://www.triotechlabs.com/blogs/how-website-speed-impacts-your-conversions-in-2025/
- WifiTalents. (2026). New York Advertising Industry Statistics. Retrieved from https://wifitalents.com/new-york-advertising-industry-statistics/
- WifiTalents. (2026). New York Retail Industry Statistics. Retrieved from https://wifitalents.com/new-york-retail-industry-statistics/
- ZipDo. (2026). New York Advertising Services Industry Statistics. Retrieved from https://zipdo.co/new-york-advertising-services-industry-statistics/