- People who do business hate uncertainty. There is a lot of uncertainty right now.
- When business running needs to reduce costs, they often reduce their advertising costs first.
- Combine these two points and you can see why the ad veteran Bryan Weser has reduced its industry growth forecast for 2025.
Are the taxes coming? Going? To live here?
Is America going to attack Greenland? Or Panama? Canada?
What is going to happen for jobs? What about the stock market?
I do not know how this version of the Trump administration is ending. You do not.
More important for advertising business: Those who make and sell things do not even knowWhich means that when it comes to spending, they are more careful. Which means they may want to reduce ads.
And it explains why Brian Weser, executive of the long -term advertising industry, has reduced its expenses for 2025. A few months ago, weser Madison and Wall The firm thought that the US advertising business would increase by 4.5 percent this year. Now they have knocked the number at 3.6 %.
After Trump’s elections last year, Weser expected the advertisement business for many reasons, with a “historically relying agency in the United States more predictable than a more predicted policy -based policy.”
But turning back, Weser says, he understood how much uncertainty would bring in the 2.0: “About three months of the year, what we can see is the assurance of additional negative factors, which included volatility and supply chain and corporate decisions around the trade policies.”
You can argue whether business owners and managers should be surprised by Trump’s agenda and implementation. But one of the basic truth about advertising is that when things are not going well, this is the easiest thing for companies – or when they are upset, things will not be fine.
And some ads I have talked about similar sentiments from some of the clients I have talked, including CPG companies to automakers. If you don’t know how much your product costs – or whether you can import it in the United States at all – or to be like a consumer purchase power, you may be able to eliminate some of your ad’s costs unless you have a better sense of things.
It is worth noting that Weser says his prediction is based on years of advertising business studies, and on economic indicators and decisions he has already seen from Trump. But this is a prediction – it is not a reflection of what the advertisement buyers and sellers are doing right now.
Still, as such I have noted in the pastShifts in the advertisement business have made it very easy for skilled buyers to tap the brakes. Digital advertising move also means that buying ads can be in real time instead of weeks or months. When things are on the rise, it can buy an ad-look at the strange pandemic diseases of 2021-22-and it can accelerate the decrease in the second direction.
Weser told me, “The decision -making is now incredibly short -term.”
So we are not yet looking at the lack of an original advertisement, yet – the prediction of every advertisement that I have seen still predicts development for this year. But if things change, they can change quite fast.