- The Digital X
- Jun 30
- 9 min read
The advertising landscape in the United States is evolving rapidly and differs significantly from Japan’s. Market trends shift quickly, and businesses looking to enter or grow in the U.S. must stay updated on these changes.
In this article, The Digital X, with over 18 years of experience in digital marketing, will address the following key questions:
What are the current advertising trends in the U.S.?
Which channels — mass media or digital — are more dominant?
How does the U.S. advertising market differ from Japan’s?
We’ll also provide practical strategies for succeeding in the U.S. advertising space. Whether you’re considering digital ads or planning your first campaign in the American market, this guide is essential reading.
Note: All currency conversions are based on June 2024 exchange rates.
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The Current State of the U.S. Advertising Market
Let’s first take a look at the latest trends and characteristics of the U.S. advertising industry — an environment that has evolved rapidly over the past few years. We’ll also highlight the key differences between the U.S. and Japanese advertising landscapes.
The Shift from Linear to Digital Advertising
According to research by MAGNA, a leading U.S. marketing consultancy, digital ad spending surpassed television ad spending in 2018. By 2019, digital advertising had reached approximately USD 110.5 billion (¥17.79 trillion), while linear advertising stood at around USD 97.6 billion (¥15.01 trillion).
(*All Japanese yen amounts in this article are calculated using the June 2024 exchange rate.)
By comparison, Dentsu’s 2019 data showed Japan’s digital advertising spend at ¥2.1 trillion and linear advertising at ¥1.86 trillion — underscoring the significantly larger scale of the U.S. ad market.
“Linear advertising” refers to traditional mass media advertising such as TV, radio, and newspaper ads.
“Digital advertising” encompasses promotional efforts delivered through digital platforms and devices such as smartphones, computers, and tablets — ranging from banner and display ads to video and native content.
Why Digital Advertising Has Surged
From the consumer perspective, the rise of digital advertising has been fueled by the increasing number of smartphone users and the growing amount of daily free time spent watching content on platforms like YouTube.
For advertisers, digital platforms offer better campaign efficiency and measurability. Online ads allow businesses to track performance at every stage of the funnel, enabling more effective decision-making and budget optimization.
Growing Skepticism Toward Internet Ads
Despite the dominance of digital advertising in the U.S., public distrust of online advertising is growing — particularly due to concerns over biased or manipulative content.
This has led to the rising popularity of “ad blockers,” software tools designed to eliminate ads from websites. U.S. consumers are increasingly turning to these solutions as they seek more control over their digital experiences.
As of 2021, 27% of internet users in the United States were actively using ad blockers.
The highest usage rate was observed among younger users aged 18 to 24, with 41% of this demographic reporting that they found ads intrusive or disruptive.
In the U.S. market, there is a growing perception that “online ads interfere with a smooth and enjoyable media experience.” As a result, marketers must approach digital advertising with more creativity and user-focused strategies to avoid being dismissed as intrusive.
Key Differences Between Advertising in the U.S. and Japan
When comparing the advertising landscapes of the United States and Japan, four major distinctions stand out:
Agency Role & Positioning
Advertising Budgets
Attitudes Toward Comparative Advertising
Style of Video Advertisements
Let’s take a closer look at each difference to better understand the U.S. advertising market.
1. Role of Advertising Agencies
In Japan, advertising agencies typically act as brokers for media companies. Their primary function is to sell ad placements on behalf of media outlets. This broker-style operation allows one agency to handle multiple clients across competing industries, often working under subcontracted arrangements.
In contrast, U.S. advertising agencies more commonly serve as representatives for their clients. These agencies secure media placements on behalf of the advertiser, adopting a more strategic, brand-centric approach. As a result, it’s common for U.S. agencies to observe “one client per industry or product” policies, meaning they won’t take on work for competing companies. This exclusivity is a well-established norm in American agency relationships.
2. Advertising Budgets
Advertisers in the U.S. tend to allocate significantly more budget toward advertising than their Japanese counterparts. In 2019, total U.S. ad spending reached approximately $224 billion USD (about ¥24 trillion), while Japan’s ad spend was around ¥6.9 trillion. While this disparity can be attributed in part to differences in population and economic scale, the contrast highlights how central advertising is to American business strategies.
3. Use of Comparative Advertising
Japanese advertising laws, such as the Act against Unjustifiable Premiums and Misleading Representations, prohibit comparative ads that could mislead consumers into thinking a product is superior without credible backing. Therefore, direct comparisons with competitors are generally avoided in Japan.
By contrast, in the U.S., comparative advertising is not only legal — it’s considered a normal part of competitive marketing. Even aggressive or provocative advertising that critiques rival products is often tolerated, provided it doesn’t cross into false claims.
This cultural difference can present challenges for Japanese companies entering the U.S. market. For instance, Apple’s recent iPad Pro ad, which depicted a traditional press being crushed, was met with backlash in Japan despite being acceptable in the West. Japanese audiences may find such direct comparisons distasteful.
That said, many Japanese products and services do offer genuine advantages over foreign competitors. The key is to highlight those unique value propositions using objective data, avoiding emotional or misleading messaging. Transparent, respectful comparisons based on verified benefits are best suited for both markets.
4. Differences in Video Advertising Styles
There are also notable distinctions in video advertising between Japan and the United States.
In Japan, TV commercials commonly feature celebrities and focus on delivering clear, concise messages about the product or service. Japanese audiences tend to prioritize safety and reliability, making trust a critical factor in ad content.
By contrast, American commercials often run 30 to 60 seconds or longer and place emphasis on creativity, entertainment, emotional impact, or social messaging. This approach is partially influenced by the acceptance of comparative advertising in the U.S., which allows brands to aggressively promote their value.
Example: Toyota Supra TV Ads
In 2019, Toyota released new ads for the Supra:
Japanese Version: Featured ten F1 drivers including Kamui Kobayashi. The ad lasted about one minute, with shorter interview-style spots also released. The focus was on credibility through notable figures.
U.S. Version: Resembled a cinematic action scene, highlighting the car’s sleek design and dynamic performance rather than the driver. It was bold, fast-paced, and emotionally engaging.
Key Advertising Trends in the U.S. and How to Use Them
The following are the three dominant types of digital advertising in the U.S., along with tips on how to leverage them effectively:
1. Search Ads (Listing Ads)
Search advertising remains a core strategy in the U.S. ad market. These ads appear naturally based on user search queries, which helps them avoid the negative perception often associated with intrusive advertising.
Search ads are particularly useful for:
Brands without name recognition in the U.S.
Inbound marketing tied to geographic keywords
Although the setup process is similar to Japan, U.S.-targeted campaigns require careful localization. Simply translating Japanese content won’t work — attention must be paid to:
Local expressions and tone
Visual design preferences
Cultural pain points and motivators
Keyword structure and search behavior
Be sure to run ads on the major U.S. search engines. For a breakdown, refer to our article:
[Top 4 U.S. Search Engines in 2024: SEO Tips and Comparisons with Japan]
2. Influencer Marketing
Much like in Japan, influencer marketing is gaining traction in the U.S. Consumers tend to trust endorsements from their favorite creators more than traditional ads, making influencers a valuable channel for brand promotion.
However, mega-influencers with over a million followers may face audience fatigue and suspicion of being overly commercialized. Instead, consider working with nano-influencers, who have smaller but more loyal and engaged audiences.
Need help choosing the right platform or influencer? Check out these guides:
[Top 5 Most Popular Social Media Platforms in the U.S.]
[10 Emerging Social Media Platforms in the U.S. (2024 Edition)]
3. Vertical Video Ads
Vertical video ads are optimized for smartphone users and have become a powerful format since their introduction by YouTube in 2018, followed by Snapchat.
These full-screen mobile-first videos offer:
Greater impact
Higher viewer immersion
Stronger performance: Studies show vertical ads can generate up to 9x higher completion rates than traditional formats.
They are also relatively low-cost to produce, making them a highly cost-effective choice for businesses looking to enter or expand in the U.S. market.
4. Differences in Video Advertising
There are also distinct differences in video advertising between Japan and the United States.
In Japan, commercials typically feature well-known celebrities and focus on clearly and concisely communicating the appeal of a product or service. Because Japanese consumers tend to prioritize safety and trust, content credibility is often the most important factor.
In contrast, American commercials tend to run longer — often 30 to 60 seconds or more — and focus on entertainment value, impact, or conveying a social message to capture the viewer’s attention. With comparative advertising generally accepted in the U.S., companies are expected to strongly assert the superiority of their products or services.
For example, compare two video commercials for the 2019 release of the new Toyota Supra:
The Japanese version featured 10 F1 racers, including Kamui Kobayashi, delivering concise testimonials in a 30-second to 1-minute format.
The U.S. version, on the other hand, felt like a scene from an action movie — visually dynamic and emotionally charged, emphasizing the vehicle’s design and performance more than the driver.
Key Digital Advertising Trends in the U.S.
Digital advertising is the dominant force in the U.S., and the most effective formats include:
Search (Listing) Ads
Influencer-Driven Ads
Vertical Video Ads
Below, we explore how each ad type works and how to apply it to your marketing strategy.
Search Ads (Listing Ads)
Search ads are a foundational digital marketing tactic in the U.S.
These ads appear in response to user search queries, making them feel less intrusive and more natural. They’re especially effective when promoting products or services with low brand awareness in the U.S., or for geo-targeted inbound campaigns tied to specific cities.
While the operational structure of listing ads is similar to that in Japan, U.S. campaigns require careful localization. Simply translating copy using machine tools won’t resonate with local users. Effective localization involves adapting not only the language but also the messaging, visuals, and keyword strategies.
Of course, placement on the top U.S. search engines is essential. For details, refer to:
[Top 4 Search Engines in the U.S. (2024): SEO & Strategy Comparison with Japan]
Influencer Marketing Ads
Influencer marketing has become mainstream in the U.S., as in Japan.
Consumers tend to trust promotions coming from their favorite creators, which makes influencer ads feel more authentic and less disruptive.
This strategy is especially valuable in overcoming growing skepticism around traditional digital advertising. However, partnering with mega-influencers (1M+ followers) can backfire, as they may be perceived as “over-commercialized.”
Instead, collaborating with nano-influencers — creators with smaller, more engaged audiences — is a smart move for driving genuine engagement.
For insights on U.S. social media platforms and emerging channels, check out:
“Top 5 Most Popular Social Media Platforms in the U.S.”
“10 Emerging Social Media Platforms in the U.S. (2024 Edition)”
Vertical Video Ads
Vertical video ads are a mobile-first format that has become increasingly popular since YouTube introduced them in 2018, followed by Snapchat.
Designed for smartphone viewing, these ads fill the entire screen vertically, creating a more immersive and visually impactful experience.
Data suggests that vertical videos have a 9x higher completion rate than traditional formats and can be produced at a relatively low cost — making them one of the most cost-effective ad strategies available today.
Frequently Asked Questions (FAQ)
What are the common reasons why companies fail in the U.S. market?
For insights into why some Japanese businesses struggle in the American market, including real examples and lessons learned, please refer to the article below:
[Pros and Cons of Entering the U.S. Market: Success & Failure Case Studies for Japanese Companies]
What is the current state of digital marketing in the United States?
For a comprehensive overview of U.S. digital marketing trends in 2024, including data-driven insights, see the following article:
[U.S. Digital Marketing Trends 2024: Data-Backed Insights and Strategic Tips]
Looking to Succeed in the U.S. Advertising Market? Consult The Digital X
Advertising and marketing strategies in the U.S. differ significantly from those in Japan. From cultural nuances to constantly evolving trends, staying up-to-date requires not only deep knowledge of native English but also a strong understanding of the local media landscape.
At The Digital X, we bring over 18 years of experience in global digital marketing and provide fully localized support tailored to the U.S. market. From trend analysis to campaign execution, our experts — based both in Japan and locally in the U.S. — help Japanese companies navigate and succeed in the competitive American advertising ecosystem.
If you’re considering launching or optimizing your ad campaigns in the U.S., feel free to reach out to us. We’re here to support your cross-border marketing journey every step of the way.