TLDR: A recent Forrester report, “Predictions 2026: B2C Marketing, CX & Digital,” forecasts a challenging year for the marketing industry in 2026. Key predictions include a 30% reduction in display ad spending, a 20% increase in AI-driven privacy lawsuits, and a notable trend of one in three consumers opting for offline experiences. The report suggests that the “AI hype bubble” will burst, compelling marketers to prioritize substance, transparency, and measurable impact over surface-level efforts.
The year 2026 is poised to deliver a significant “marketing reality check,” according to a new Forrester report titled “Predictions 2026: B2C Marketing, CX & Digital.” The report, highlighted by Storyboard18 on November 7, 2025, outlines several critical shifts expected to reshape the industry.
One of the most impactful predictions is a projected 30% decline in display ad spending. This substantial cut is attributed to a fundamental shift in consumer behavior, with audiences increasingly moving away from the traditional open web towards emerging platforms such as generative AI, streaming audio, and social video. This migration will necessitate a major realignment of media mixes by marketers to effectively reach their target audiences where they now spend their time.
Adding to the industry’s challenges, the report forecasts a 20% surge in AI-driven privacy lawsuits. These legal actions will primarily focus on data misuse and breaches enabled by artificial intelligence, with class-action suits increasingly targeting brands and platforms that fail to adequately protect consumer information.
Furthermore, a significant cultural trend is expected to emerge, with approximately one in three consumers choosing to engage in offline experiences over digital ones. This “offline resurgence” will require marketers to diversify their strategies beyond purely digital channels.
The Forrester report also warns that the “AI hype bubble” is set to burst in 2026, exposing fragmented ecosystems, instances of data misuse, and a growing distrust among consumers. As inflated expectations give way to a more realistic outlook, marketing leaders will be compelled to abandon superficial efforts and instead concentrate on delivering substance, ensuring transparency, and achieving measurable impact.
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In addition to these shifts, the report suggests that potential restructuring within global advertising giants could trigger one of the largest rounds of agency reviews seen in years, as brands re-evaluate their priorities and media models for the upcoming year.
