Time for advertising pros to hug their jobs as AI lurks in the shadows

In the past few years, the "right-sizing" and "consolidation" at WPP has resulted in iconic advertising brand names like J Walter Thompson, Young & Rubicam , & Wunderman being consigned to the dustbin

Founded in New York as Doyle Dane Bernbach (DDB) in 1949, the ad agency went public in 1964. The merger of DDB, BBDO and Needham Harper created the Omnicom Group in 1986. The agency itself was renamed DDB Worldwide in 1999. Today, it faces possible extinction.  

The news is that Omnicom will retire the advertising network DDB as part of its merger with the Interpublic Group (IPG), most likely in November itself. The merged company will reportedly consolidate creative operations into three networks: McCann, BBDO, and TBWA. Two other IPG agencies — FCB and MullenLowe/Lintas are on shaky ground too, and may also face the scalpel in the merger, sooner or later.  

In the past few years, the “right-sizing” and “consolidation” at WPP has resulted in iconic advertising brand names like J Walter Thompson, Young & Rubicam , and Wunderman being consigned to the dustbin. Ad agency Grey too is slowly losing its identity as it slithers unsung under the larger Ogilvy umbrella, most likely into oblivion.  

Once a global network stitched together by high-profile acquisitions, Dentsu of Japan now finds itself grappling with a multitude of problems. The integration of Aegis, Merkle, and other international assets has proven more complex than was expected. This has left the Japanese giant, once my joint-venture partners in India, with a fragmented global operation and a no-win choice about what to keep and what to let go. Dentsu’s global operation, which generated over $4.5 billion in net revenue in 2024, is now on sale. Dentsu in recent months has cut around 3,400 jobs — about 8 per cent of its international workforce. Revenues have slipped, with organic growth down 8.9 per cent in Asia-Pacific (excluding Japan) and 3.4 per cent in the Americas. There is real trouble out there.  

As if all this uncertainty was not enough, artificial intelligence (AI) is dramatically reshaping the operational processes in the advertising business. With the capacity to decipher complex patterns, predict outcomes, and automate tasks, AI is redefining the landscape for many creative agencies, reshaping strategies, and propelling the industry into an era of data-driven, personalised, and highly targeted advertising. The impact of AI can be felt across the broad spectrum of advertising functions, from fostering en­hanced customer insights to in­n­o­vating media buying. For most old-timers in the business, it is beco­ming increasingly difficult to comprehend the breadth and depth of AI’s transformative influence on the world of media, and advertising agencies. 

In the good ole days, finding a new job after quitting one in advertising was a no-brainer. Job-hopping was an industry pastime. There were openings everywhere, at all times, and invariably at a better salary package. The market was overwhelmingly weighed in favour of the talent — but in recent months, the tide has turned dramatically. Redundancies across agencies triggered by mergers, machines talking to machines in media buying, AI writing copy, visualising campaigns, and even creating ad-films have resulted in the job market suddenly drying up. This is true worldwide; it is true in India.  

Given this new reality, managements at ad agencies should actually be delighted by the abundance of talent available. But that’s where the catch is. Given the new thrust on technology and data-driven personalisation of brand communication, the talent on offer is actually unemployable and unfortunately obsolete. “Seniority” is no longer a virtue. It is no longer an indication of maturity and deeper understanding of advertising — instead, it is a signal of talent from a generation long past.  

Unfortunately, that understanding of the new reality hasn’t yet sunk in for practitioners (and even managers) in the industry. It is appalling that most leading network ad agencies in India (yes, most means almost all) are still zilch in AI. They have not even got themselves licensed copies of AI softwares, let alone have employees use it. Art directors are mostly using free versions to create rudimentary visuals. Why? The holding companies are still “undecided”. WPP Open, the AI platform meant to deliver “speed & scale”,  for example, is still in beta and nowhere near an India rollout.    

In advertising today, those who currently have jobs, need to quickly get into “job-hugging” mode. Covet their jobs. Value them. And no longer treat them as a disposable and easily replaceable. Everyone needs to upskill, and that too quickly. The job market is going to become tighter and tighter, and more ruthless in the days, and months, to come. The day is not far when a bright 18-year-old with “ideas and attitude” will be more welcome at the agency than a senior with 18 years of “experience”. That is the uncoated truth. Unfortunate, but real.

The author is chairman of Rediffusion