In 1919, F. Scott Fitzgerald penned a slogan for the Muscatine Steam Laundry in Iowa: “We keep you clean in Muscatine.” While the agency reportedly offered a raise for the pithy line, Fitzgerald soon resigned, feeling creatively constrained. This anecdote, recounted in multiple biographies and industry publications, resurfaces now as a stark illustration of enduring dissatisfaction within the advertising world.
Recent data suggests a growing exodus from advertising agencies, particularly among executives, driven by factors including budget cuts, the pressures of artificial intelligence, and a desire for greater autonomy. A survey conducted by NewtonX on behalf of ADWEEK revealed a significant disparity in retention plans between brand marketers and agency professionals. Fifty-three percent of brand marketers intend to remain in their current roles for the next 12 months, while 54% of agency executives are considering striking out on their own within two years.
“A lot of agency leaders describe their culture as burnout as a strategy,” said Daniel Sills, vice president of partnerships at NewtonX. “Agencies are built on headcount leverage and billable hours, and a lot of volatility drivers like pricing pressure and budget cuts are forcing them into a do-more-with-less environment.”
The agency landscape has been marked by recent consolidation and cost-cutting measures. Omnicom and IPG announced mergers in December, and WPP revealed plans to reduce its budget by £400 million (approximately $538 million) in February, according to reports. These developments coincide with a broader trend of brands reducing their advertising spending. Gartner data indicates that marketing budgets have remained at 7.7% of company revenues since 2024, a decrease from a high of 11% in 2020.
Dustin York, a communications professor at Maryville University with prior experience in both brand and agency settings, observed that agency work has increasingly develop into a “high-pressure fulfillment center,” where talent is viewed as a cost to be optimized or eliminated through technology. “Brand-side folks typically value job stability more than agency, and it’s showing true now more than ever,” he said.
The NewtonX data also highlighted a difference in job security perceptions, with 44% of agency executives expressing less confidence in their positions compared to 56% of their brand-side counterparts. Work-life balance was also a concern, with 55% of agency executives reporting dissatisfaction, compared to 65% of brand marketers.
The rise of AI is exacerbating these concerns. According to Sills’ analysis, agency employees perceive AI as a job threat, fearing headcount reductions and cost-cutting measures. In contrast, brand marketers view AI as a tool to enhance productivity. However, the survey revealed that marketers prioritize autonomy and decision-making authority (76%) and influence with executive leadership (74%) over job security and stability.
“The thing we’re seeing in the brand side is everyone really values autonomy, influence, and their ability to produce decisions,” Sills said, “and the only way to really do that in the agency world, at least from the perception of the employees, is to own the business yourself.”
One industry veteran, speaking anonymously, cautioned against a rush to independence. “If more than half of agency professionals are thinking about going solo, it signals a structural problem, not a momentary mood,” they said. “Many agency folks perceive squeezed between AI disruption, procurement-driven pricing, and increasingly fragmented roles that limit creativity and autonomy.”
While AI tools are lowering the barriers to entry for independent marketers, the veteran warned that a lack of business acumen could prove challenging. “The thing these folks don’t understand is going freelance doesn’t guarantee you any income, and a lot of talented marketers are not talented business professionals—meaning, they might have expertise but won’t have any idea how to market it effectively and get paying clients.” the increasing trend of brands bringing creative work in-house may limit the availability of paid opportunities for independent marketers.
