Most Gen Z prefer social media over traditional retail for product discovery
Over three in five (61%) of Gen Z consumers prefer to use social media for product discovery over traditional retail, according to research from Dentsu.
While the received wisdom tends to be that online creators are the best way to reach the socially-savvy younger generation, the research suggests this cohort is more influenced by editorial-style content (30%) and peer recommendations (26%) than by influencers (20%).
Personalisation is a must for reaching Gen Z consumers, the research suggests, with almost two-thirds of this group expecting personalisation in both online and offline experiences. Online shopping is much more likely to meet this standard, with 94% agreeing online shopping meets this standard, compared to 28% who say in-store shopping falls short.
Even when shopping in-store, Gen Z rely on digital tools, with 43% comparing prices via online marketplaces, and 28% checking stock availability through retailer apps.
Source: Dentsu Consumer Navigator
Rate of inflation goes up in June
Inflation, as measured by, the Consumer Prices Index (CPI) rose by 3.6% in the 12 months to June 2025, up from 3.4% in the 12 months to May.
The CPI also rose on a monthly basis, up 0.3% in June 2025. Motor fuels and food were the two biggest contributors to the rise in inflation, which was unexpected in many quarters.
The 12-month inflation rate for food was 4.5% in June 2025. This marks the third consecutive increase in the rate, and is the highest recorded since February 2024. However, while the rise in inflation on food will come as unwelcome news for households trying to make ends meet, the level it is at currently still remains well below the peak of inflation seen in early 2023.
Motor fuel prices contributed to the overall rising inflation by falling slower than they had in previous months. The average price of petrol fell by 0.5 pence per litre between May and June 2025, compared with a larger fall of 3.0 pence per litre between May and June 2024.
Similarly, diesel saw a much slower fall in price year-over-year, with prices falling by 0.6 pence per litre in June 2025, compared with a fall of 4.8 pence per litre in June 2024.
Source: Office for National Statistics (ONS)
Reddit’s ad revenue growing three times faster than overall social media
Reddit may be a relatively small player in the advertising ecosystem, with its revenue accounting for just 0.4% of social media ad spend, however, it is growing at three times the rate of the total ecosystem.
The social media platform, which made its initial public offering (IPO) last year, had ad revenues of $1.2bn (£890m) last year . This year that figure is forecast to grow 49.6% year-over-year to $1.8bn (£1.3bn) this year and grow to $2.5bn (£1.9bn) next year.
Reddit has seen impressive social media growth in recent times, with the platform having reported a 31% year-on-year increase in daily active unique users (DAUs) to 108.1 million in in its first quarter of 2025.
The platform’s advertising reach has grown to 606 million, now representing almost one in 14 people worldwide. This means it has surpassed X’s reach (586 million) and is approaching the level of Snapchat (709 million).
Reddit’s user base skews male, (59.8%) but its age demographics are more diverse. Most users in the US are aged between 18 to 34 (41%), while those aged over 45 account for a third (34%) of users.
Source: WARC Media
Over four in five B2B CMOs expect investment to rise next year
Some 83% of senior B2B marketers expect budgets to increase next year, according to a study by consultancy firm Forrester Research.
Of this, two-fifths (40%) expect an increase of 5% or more, while 6% anticipate an increase of greater than 10%, outpacing the Producer Price Index, which measures the average change over time in the selling prices received by domestic producers for their output.
The largest portion of marketers (44%) expect growth of between 1% and 4%, which would be effectively flat when accounting for typical inflation rates.
Some 15% of the 377 marketing business decision makers surveyed expect budgets to stay roughly the same.
As part of the same survey, B2B marketers were asked how they think marketing budgets will be allocated.
Personnel is cited as the top area where B2B marketers anticipate a growth in budget, with 69% expecting a budget increase. Of this, 41% expect growth of between 1% and 4%, 24% expect 5% to 10% growth, and 4% anticipate an increase of more than 10%.
Source: Forrester Research
Rebound in marketing budgets driven by short-term media
Marketing budgets were revised upward in Q2, but the growth was largely driven by tactical activities, such as sales promotions and direct marketing, suggesting marketers are under pressure to drive short-term, measurable results.
After marketing budgets contracted for the first time in four years in Q1, the latest IPA Bellwether report, published last week (17 July), reveals an uptick in advertising spend.
A net balance of 5.5% of panellists reported an increase in overall marketing budgets, a turnaround from the -4.8% recorded in Q1, which marked the first decline in four years.
However, a breakdown of spending plans reveals that marketers raised their spending primarily for sales promotions and direct marketing, with net balances rising from 8.0% to 9.4% and 9.0% to 9.1% respectively.
While short-term channels led the growth, the overall increase in advertising spend was historically strong – the highest since Q2 2024. The data shows 22.7% of panellists increased their budgets, compared to 17.2% who made cuts.
Source: IPA Bellwether
