According to McKinsey, generative AI could add between USD$2.6-trillion and USD$4.4-trillion annually to the global economy, with marketing and sales now the most common functions where companies deploy generative AI. 

At the same time, adoption has accelerated dramatically. McKinsey's latest research shows that 65% of organisations now regularly use generative AI in at least one business function, while Gartner forecasts that more than 80% of enterprises will use generative AI APIs or models by 2026.

For marketing agencies, the implications are profound.

"AI isn't replacing agencies," says Candice Siege, Global COO at Brandtech+. "It's changing how they compete. Agencies that integrate AI into their operations, not just for content speed, but for transforming teamwork and delivery, will succeed. The ones guiding brands in reimagining marketing through talent, tech and tools will thrive."

From Creative Scarcity to Creative Scale

Traditionally, agencies differentiated themselves through their ability to access creative talent and unique ideas. This dynamic persists in the current landscape. However, she adds that generative AI is changing the scale at which these ideas are generated, evaluated and executed, advancing creativity and craftsmanship by introducing innovative approaches to workflow. 

Rather than replacing creativity, AI enables the strongest ideas to travel further and faster, allowing talented teams to produce, test, adapt and deploy campaigns across markets and channels at unprecedented speed.

Siege explains that AI doesn't replace creative thinking; it amplifies it. The agencies and teams with the strongest ideas, supported by an AI-first culture, will always have the advantage.

Today, 88% of marketers report using AI tools in their daily work, while adoption across organisations has surged dramatically in recent years. Industry studies also show that over 64% of companies have already developed generative AI use cases in marketing, making the function one of the earliest and fastest adopters of the technology. 

She says that as AI expands production capacity and simplifies our process, the nature of creative work is shifting.

"Creative production used to take most of the time and effort," she explains. "Now AI can dramatically accelerate that process. The real advantage, however, comes from the people guiding it, those who can shape ideas, interpret insights and apply creative judgement. Those who exhibit critical thinking and ask the question, why? The real power comes from the amplification of effectiveness rather than just efficiency from scale."

This shift is why many organisations are investing heavily in talent growth and development and building Gen-AI-first cultures, where teams learn how to combine human creativity with AI-enabled production.

The Talent Race in the AI Era

Despite headlines about automation, the agencies leading the AI transition are investing heavily in people.

Siege adds that the biggest shift happening inside global marketing organisations is the focus on learning and development of Gen-AI-first cultures, where teams are trained to integrate AI into their daily workflows rather than treat it as an experimental tool.

"AI doesn't remove the need for talent; it changes what talent needs to do," she says. "The agencies that succeed will be those that invest in their people and build teams that are confident working with AI rather than competing against it."

For Brandtech+, cultivating what Siege describes as a Gen-AI-first culture has become central to the organisation's growth strategy.

"Our focus is on developing an AI-native workforce," she says. "That means embedding AI into everyday workflows, investing in training and pilot testing programmes to ensure our teams are equipped to operate in a world where creative production is effectively limitless."

A New Agency Model Emerging

She explains that the rise of generative AI is accelerating a shift in how agencies deliver work and value to their clients. 

"Generative AI is dramatically expanding the scale and speed at which creative ideas can be developed and produced,”" she says. "What we're seeing is the emergence of AI-enabled teams that can ideate, test and produce content far more quickly, while spending more time shaping strategy, creative direction and craft."

For brands, this shift is unlocking new possibilities. Campaigns can be deployed faster, content can be adapted more easily across platforms and markets, and new forms of personalisation are becoming possible at scale.

The market opportunity is significant. It is estimated that generative AI alone could drive productivity gains equivalent to 5% to 15% of total marketing spend globally, representing hundreds of billions of dollars in potential value. 

But Siege cautions that access to technology alone will not determine success. 

"Every agency will eventually have access to the same AI tools," she says. "What will separate winners from everyone else is culture, whether an organisation has the mindset, skills and operating model to use those tools effectively."

Competing in the AI Economy

As generative AI moves from experimentation to everyday infrastructure, the competitive landscape for agencies is entering a new phase.

She explains, rather than eliminating agencies, AI is intensifying the race to build smarter, faster and more adaptable organisations.

"The conversation shouldn't be about AI replacing agencies," Siege concludes. "It should be about how agencies evolve. Those with smart tech enabled 'nervous systems' powered by automation and AI in their processes. Those that invest in talent, build a Gen-AI-first cultures and rethink how marketing work is delivered will define the next generation of the industry."

For more information, visit www.job-boards.greenhouse.io. You can also follow Brandtech+ on LinkedIn, or on Instagram. 

*Image courtesy of contributor