Agencies Agency Leadership

Agency execs from Stagwell, Havas, VML, Wieden & others share their top 2025 predictions

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By Kendra Barnett, Associate Editor

October 11, 2024 | 14 min read

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Leaders at the world’s most influential ad agencies are predicting a lift in ad spend thanks to favorable economic conditions, more practical applications of AI and a renewed focus on brand-building and bold creativity.

Agency leaders project increasing media complexity and growing investment in brand-building in 2025 / Adobe Stock

The ad industry is juggling a lot at this moment as we barrel toward a high-stakes US presidential election, navigate the shifting tides of economics in the wake of interest rate cuts, iron out budgets for the coming year and grapple with new AI tools.

The Drum quizzes the agency world’s top leaders on what we can expect to see in 2025.

Adland will benefit from positive economic tailwinds

Mark Penn, chairman and CEO, Stagwell: “The biggest trends in media and advertising come from the economy first. And things are looking better for the economy. It looks like a soft landing and that means consumers will be buying and advertisers will be advertising. We won’t have the lift of a political season next year, so we’ll have to do without that. And obviously, we’re already seeing the influence of AI permeate everything. It’s going to spread quite significantly in advertising.”

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The AI and emerging tech boom will only intensify

Sarah Collinson, CEO Havas New York: “AI is going to be massive – who gets a grip on it, who builds out their systems first? The arms race is truly, truly happening. [For organizational leaders], you’ve got to think of AI as a horizontal, not a vertical. A vertical would be, ’I’m going to have an expertise in digital banks or an expertise in TV.’ But AI is a piece that goes across absolutely everything. And there are so many different applications, tools and ways of using it. Getting your team as fluent as possible, making it part of the day-to-day and part of your processes, is the first step for every agency leader [in 2025].”

Nick Coronges, global chief technology officer, R/GA: “Generative AI will play an even bigger role in transforming the way brands and agencies approach commerce. Growth in AI is set to continue to drive this new customer-centricity and experience era we’re seeing, disrupting most business-as-usual commerce marketing interfaces with the power to greatly improve engagement. In the near term, commerce brands will benefit from AI simply from the fact that they can do the things they’re already doing but at a lower cost, which will translate into more personalized, localized [approaches] and more real time engagement. Further down the line, we also expect that shoppers will use AI to do their shopping for them and even make purchases on their behalf. This is a natural extension of what we’re seeing in other advancements in AI. As people use more AI native interfaces, such as Gemini and ChatGPT, they’ll ultimately have higher expectations. Now that they’re able to dialogue with these AI systems, why should they continue to use the same tired interfaces in branded shopping experiences that have existed for 10-15 years? This means brands are going to have to adopt both the technology and this emerging set of new customer behaviors into their own channels if they’re to succeed. So, I’m predicting that in 2025, we’ll see AI drive these new capabilities even further, fuelling a much better commerce experience for the user, as well as delivering much more attractive ROI for brands.”

Dani Mariano, president, Razorfish: “[We’ll see more] practical applications of AI. The hype around AI is running out of steam. Exhausted consumers and brands want to know what it can actually do in the present. Fortunately, we’re already seeing impressive use cases in content and data that are benefiting both brands and consumers by creating efficiencies, capturing intel, and doing it all at scale. But 2025 will be a defining year that turns the page from what’s potential to what’s practical. [We can also expect] tangible progress for extended reality. Several big tech companies have launched glasses that are lighter and easier to use. It could open the door for content creators and storytellers to start leveraging this XR technology in new ways. It’s an early sign that 2025 could be the year we see tangible progress in XR adoption. 2025 is also a year where we’ll see more believers in blockchain’s capabilities as the space continues to stabilize and add value for brands. Not only is it being used for content provenance at a time when AI-generated content becomes more difficult to decipher, but a majority of enterprises are already working on blockchain strategies.”

Bold creativity – and brand – will become more valuable than ever

Ryan Fisher, president, Wieden+Kennedy London: “We predict that more brands will adopt a more expansive approach to solving brand problems through creativity. Brands need to focus less on one-off ideas and more on platforms with a clear voice and point of view on the world. The best ideas have creativity, simplicity and ambition at the core. They create experiences and worlds bigger than ads – that ultimately make a larger cultural impact and resonate with audiences in real ways. This approach not only gives brands greater relevance, [but also] drives more significant business returns.”

Emma Armstrong, CEO, FCB New York: “2025 will once again be a year of extreme disruption – both economically and technologically. The cost of inaction, or the wrong action, will continue to rise. In parallel, so will the speed and complexity of the systems that we – agencies and clients alike – are navigating. As we dive into next year, I believe we’ll see successful teams focusing on great creativity, [which is] the driver of effective – not just efficient – work. The rebundling of creative and media agencies [will continue] as holding company platforms become ubiquitous and increasingly undifferentiated. [We’ll also see] the elevation of collaborative leaders who simplify complexity for clients by excelling at bringing together diverse agencies, client teams and capabilities to deliver outsized business results. Brand engagement strategy [will become more critical] as the key to unlocking and managing the entire and ever-more connected, owned, paid, earned marketing ecosystem. I also hope, fervently, that we see everyone actively bringing enjoyment back to this industry. Yes, things are challenging and complex. But much of the joy in what we do comes from working with talented and curious people. Let’s find a way to reintroduce excitement, pride and fun back while delivering some kick-ass creativity.”

Jason Harris, CEO, Mekanism: “2025 will be driven by a return to strategic brand building, the burgeoning creator economy and the rapid advancement of generative AI. My first prediction as a creative agency founder is biased, but in an era of information and platform overload, stronger brands will become more crucial than ever. The brands that have not focused on creating deep emotional connections and have atrophied the brand storytelling muscle will find themselves behind. So, there will be increased spending shifting back to building the power of brand creative work. Of course, the creator economy is no longer niche, but it will continue to be a dominant force in advertising across all platforms. We will see more collaborations with brands and creators more involved in product development, not just promotion. Regarding the asset creation revolution, AI will be leveraged to create thousands of personalized ads, working alongside creatives to create brand building at full volume.”

Matt Miller, chief creative officer for AT&T, BBDO: “In 2025, the industry will reject AI entirely and consumers will return to linear TV in droves! Gotcha! 2025 will mark the return of the truly big idea – ideas that not only drive whole ecosystems of content that reach people wherever they are but, more importantly, have a massive impact regardless of the size of the media or the channel they are in. One-offs will lose favor as we favor brand-building platforms. We won’t execute different social channels in isolation but think of them and their strengths through the lens of the same core idea. Along with this, in 2025, we’ll start scrutinizing the true impact the work has in the world. We’ll care less about industry coverage and industry recognition – and start caring more about the bigness of the impact the world has with real people in the real world.”

The media landscape will grow more complex

Kate Scott Dawkins, president of global business intelligence, GroupM: “Media and advertising in 2025 will continue its complex relationship with our always-on world. The lines between content, media and commerce will be further dissolved, with retail media ad revenue surpassing total TV ad revenue for the first time. Audiences will look for authentic and additive media experiences – as will the brands looking to reach them – leaning into live sports, including women’s sports, and time IRL away from screens. The desire for authenticity in content could inspire new modes of interacting with social channels, with platforms or tools highlighting human-generated content within what is likely to be an explosion of generative AI-made songs, videos, text and personae. Ultimately, the innovation surrounding all these changes and opportunities is likely to deliver industry growth faster than GDP growth in 2025.”

Shamsul Chowdhury, executive vice-president of paid social, Jellyfish: ”AI is pushing digital boundaries like never before, and with that comes a new breed of challenges, such as fraud and especially deep fakes. My prediction is that we’re going to see major platforms, including Meta, Google and TikTok, be driven to rapidly innovate, building stronger fraud detection systems and safeguards to combat these threats head-on. I think we could see Amazon buying Pinterest. Amazon is already where people go to buy, and by owning Pinterest, they can tap into the earlier stages of planning and inspiration. Imagine users going from pinning ideas straight to buying on Amazon; that’s getting upstream in a big way. They already have a partnership, so why rent the cow when you can own the whole farm? This move would lock in the full customer journey, from inspiration to purchase.”

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Consumer demands will shift

Brendan Robertson, chief strategy officer, David&Goliath: “2025 is going to usher in the ‘year of me’ for consumers – a cultural shift towards self-care and personalization. After a year of participating in the presidential election, doing their part in a hectic storm and wildfire season, and lending their voice and time to causes that matter most, consumers will finally take a moment for themselves. Prioritizing ‘me time,’ traveling, and checking off bucket list adventures instead of saving for the future are some of the key ways they will treat themselves. A bit of splurging, big and small, is going to fulfill this desire for more experiential spending, placing more value on experiences rather than possessions. And quite frankly, it’s well-earned. The demand for brands will be to deliver even more personalized experiences and products tailored to consumers’ individual preferences and needs. Technology, specifically the continued rise of AI, will be expected to help handle the busy work, leveraging advanced data analytics to create more tailored offerings that resonate with target audiences, so consumers can focus on what matters most: themselves.”

Ali Cornford, managing director, 72andSunny: “Society will crave more humanity and hope in the storytelling that surrounds them. With a sea of AI-generated content around us – which is also a trend that won’t change – breaking through the haze requires partnership with leading tech brands to create content with human truths at the core. [Consumers want] real stories and real performances. It’s the reason why a show such as Nobody Wants This is currently number one on Netflix and why the new campaign for United Airlines, centered on real passenger stories, is breaking through with consumers. Optimism is what will win in 2025.”

Emma Chiu, global director, VML Intelligence: “Last year, we talked about full-spectrum feels where people want to engage in all emotions – from joyful moments to dark comedy and the awe-inspiring. In 2025, it transcends to out-of-this-world experiences where people want to see next-level creativity. For in-person retail, people will be returning, but only if venues provide ‘awesperiences’; in food and drink, flavors and venues will be taking diners out of this world, giving them a taste of space and beyond; meanwhile, travel agents are offering godlike journeys. This taps into the cultural preference in people’s taste for fantasy and shows that consider alternate worlds. Tech has not only allowed for a wider range of creativity, it has also shifted our perception of reality. People want their sensory experiences to be engaged in and challenged. It’s our way of feeling human in a tech-driven world.”

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