Ad Agencies Are Restructuring: Should Crypto Marketing Agencies Follow Suit?

The buzzword in the advertising industry today is “restructuring.” Indeed, traditional ad agencies are redefining their business models — quiet layoffs, strategic hires in data and performance marketing, back-to-office mandates, and increased utilization of AI and offshoring.

Amid this shifting environment, crypto marketing agencies wonder whether they should take cues and undergo similar changes.

The Great Reset in Ad Agencies

“Great Reset” encapsulates many organizational changes sweeping traditional ad agencies. This evolution responds to a transformative period where agencies deal with workforce disarray, increased competition, and technological advances.

For instance, agencies are letting go of mid-level staffers to focus on strategic hires in specialized areas. These include data analytics and performance marketing.

The decisions signal a pivot from a generalized workforce to one with specialized skills in modern-day advertising.

Jay Pattisall, VP and principal analyst at Forrester, termed 2024 as a “turning point” for agencies that are making a choice between a tech-driven approach and a services-only model. Agencies realize that to stay competitive, they must cultivate a talent pool that harnesses target=»_blank» rel=»»>From Cubicle to Anywhere: Embracing the Digital Nomad Lifestyle

Such a move has raised questions, causing what industry insiders predict will be a substantial “shuffling” of employees in the coming months.

US Employees Are Returning to the Office. Source: Gallup

Automation and offshoring represent another critical facet of the “Great Reset.” AI’s increasing role in automating repetitive tasks is a double-edged sword. It helps agencies streamline operations but also threatens job security.

Simultaneously, more marketing agencies are exploring offshoring options. They are setting up capabilities in Costa Rica and India to generate content at scale. Subsequently avoiding the overhead costs associated with a place like New York City.

Perhaps the most crucial aspect of this “Great Reset” is the shifting power dynamic between employers and employees. For instance, Marla Kaplowitz, CEO of the 4A’s, noted a swing in the pendulum back toward employers. This is a significant change from last year when the power lay squarely with employees.