Pitch Slapped: The recent drought of new agency business, and some reasons to be cheerful

The term ‘New business’ often evokes fear within many industries. It is widely acknowledged that new business is essential for any creative enterprise, and maintaining a steady cash flow is crucial for business survival. However, the focus tends to be more on the visual aspects such as aesthetics and colors rather than on the generation of new business.

Last year posed significant challenges for creative industries in terms of acquiring new business. Several emerging themes were observed on platforms like LinkedIn:

1. In-house design became a preferred option for many, offering better control and cost-effectiveness.
2. The rise of AI solutions attracted clients with limited budgets away from traditional agencies.
3. Economic instability and political uncertainty globally contributed to the scarcity of new business opportunities.

Despite the difficulties faced last year, the outlook for this year seems more positive. While some clients are drawn to AI solutions for their quick results and cost efficiency, there is a growing demand for the human touch in creative services. Clients are seeking emotional depth, originality, and creative thinking that AI cannot provide.

Factors such as cultural insight, strategic thinking, lateral originality, and brand voice are areas where human input remains essential in delivering truly impactful and innovative solutions. The need for adaptive and creative brand and marketing strategies is more critical than ever in the current volatile environment.

As businesses adapt to the changing landscape, collaborations between external agencies and internal teams are becoming more common. External agencies can offer fresh perspectives and push for bold ideas without being restricted by internal politics. This collaborative approach can lead to more innovative and effective outcomes.

While challenges persist, there is a sense of optimism as rebrands and new projects gain momentum. Businesses are recognizing the importance of investing in their brand to remain competitive and relevant in a constantly evolving market. Embracing change and staying ahead of the curve are crucial for business sustainability and growth.