IAB: Small Biz Leans into GenAI Video

According to new research from the Interactive Advertising Bureau, nearly 90% of digital video buyers say they’re already using, or planning to use, GenAI for tasks like editing, styling, and localized targeting. The result? Roughly one-third of all digital video ads this year are expected to be GenAI-created or GenAI-enhanced, up from 22% in 2024—a number projected to hit nearly 40% next year.

Perhaps not surprisingly, smaller brands are more likely to leverage GenAI for video. Companies spending less than $10 million annually expect 45% of their video ads to come from GenAI tools by 2026, outpacing the big-budget players who anticipate hitting 36%. Why? Versatility and speed: 42% of buyers cited customized creative for different audience segments as a key use, while 38% are leaning on GenAI to make visual tweaks without ballooning their budgets.

Meanwhile, digital video itself is taking a bigger bite of the pie, projected to grab 58% of total TV and video spend this year, hitting $72 billion. This makes GenAI not just a creative tool, but a necessity for staying competitive—especially on CTV, where 85% of buys in 2025 are expected to be programmatic. But it’s not all smooth sailing: Small advertisers are still bumping into challenges around measurement complexity and standardization.

A robotic hand interacting with a digital interface against a light purple background, symbolizing the integration of artificial intelligence in digital tasks.

Read more at Marketing Brew.


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