The AI Divide in AdTech: Why Publishers, Platforms, and Retail Media Networks Can’t Afford to Be Left Behind

In today’s AdTech ecosystem, the gap between early AI adopters and those still relying on traditional processes is widening. Publishers, platforms, and Retail Media Network (RMNs) that move more aggressively with AI are gaining advantages in efficiency, revenue, targeting precision, and brand safety. Those who lag risk losing market share, advertiser trust, and operational leverage. Here’s what the data shows, what’s at stake, and how to close the gap. 

How Big Is the Divide Already 

• According to an IAB Europe survey, 85% of companies across advertising, agencies, ad tech, and publishing already use AI-based tools for marketing purposes. But surprisingly, publishers are less likely than ad tech firms or agencies to report strong financial gains: fewer than one-third of publishers say they have seen CPM (cost per mile) increases.  

• Only about 30% of ad industry professionals say they have fully scaled AI across their media campaign cycles.  

• In RMNs, AI is a strong driver of growth. EMARKETER estimates that between 2016 and 2021, US retail media ad spends grew from USD 1 billion to USD 30 billion, a pace faster than video, social networks, and search in comparable time periods.  

These numbers suggest that while many players have started, relatively few have woven AI deeply into their operations in ways that translate into top-line growth or strong margin gains—especially publishers and smaller platforms. 

What’s at Stake 

For publishers: 

• Revenue Risk: As advertisers demand more precise targeting, attribution, brand safety, and measurement, publishers not leveraging AI may see lower ad rates and weaker performance metrics. 

• Margin Pressure: Without AI to optimize things like inventory forecasting, content tagging, creative audits, or reporting, the internal cost of operations remains high. 

For platforms (ad platforms, DSPs, ad networks): 

• Competitive Edge: Platforms that embed AI to optimize bidding, creative variation, fraud detection, or partner activation will gain efficiency and can offer better ROI to advertisers. 

• Trust and Safety: Tools that address policy, brand safety, and compliance are becoming non-negotiable. Platforms failing here may lose or fail to win premium clients. 

For Retail Media Networks: 

• First-party data advantage: RMNs with strong data can use AI to personalize product discovery, ad placements, recommendations, discovering cross-selling or up-sell opportunities. 

• Standardization & measurement: RMNs that adopt AI-based attribution, clean rooms, or better analytics stand to offer greater transparency and accountability to advertisers. 

Barriers That Maintain the Divide 

While many want to adopt AI, certain challenges slow progress: 

1. Data and privacy concerns – More than half of ad tech professionals cite data security or privacy risks as top barriers. 

2. Governance & guidelines – The IAB Europe report shows that although many organizations have general AI guidelines, fewer have formal policies specifically for advertising or marketing. 

3. Skill gaps & internal expertise – Teams often lack experienced AI practitioners, or are uncertain how to integrate AI tools with existing workflows. 

4. Complexity of scale – Many publishers or smaller platforms find it hard to scale pilot AI projects, manage the technology cost, or ensure consistent execution across multiple markets or regions. 

What Early Adopters Are Gaining 

• RMNs are pushing ahead: AI is helping improve recommendation engines, personalize shopper-journeys, optimize search & display placements, and break into more brand marketing ad formats.  

• Publishers using AI for inventory forecasting and forecasting demand can reduce wastage and better manage supply and pricing. EMARKETER notes publishers lead in inventory prediction as a use case.  

• Platforms that embed AI for targeting, content generation, and attribution are reporting KPI improvements: IAB Europe data shows 60% of ad-tech firms and 48% of agencies say they have seen measurable performance improvements from AI.  

Why Paragon Digital Services Is the Right Partner 

Adopting AI-enabled tools is essential. But tools alone are not enough. Success depends on execution, consistency, governance, and accuracy. That is where Paragon Digital Services steps in. 

Paragon augments your existing teams with experienced specialists who understand AdTech deeply. Our ISO-9001 and ISO-27001 certifications ensure that every campaign, every analysis, every piece of reporting meets exacting standards of quality, security, and compliance. 

When you partner with Paragon you get: 

• Reliable, error-free execution so AI tools you adopt deliver on their promise. 

• Governance and processes built-in so risks around privacy, brand safety, and data security are managed proactively. 

• The flexibility and scalability to take advantage of AI’s advantages without overburdening your internal resources. 

Don’t risk falling behind in the AI curve. Let Paragon help you accelerate your adoption while safeguarding your operations and reputation. Reach out to explore a partnership.