The year ahead looks promising for advertising agencies. Thanks to advancements in technology and shifts in media buying, most agency leaders expect to see increases in their media spending and in their clients’ budgets.
However, despite positive trends, macroeconomic and competitive pressures persist, and agencies expect requests for extended payment terms to continue to increase, which creates challenges for managing cash flow.
In January 2025, AvidXchange surveyed more than 150 media and advertising agency leaders across the United States to understand the challenges and opportunities they face, focusing on macroeconomic impacts and the adoption of new technologies like artificial intelligence (AI). This report is informed by their responses.
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