Fortune Favours the Bold: Canadian Business Leaders’ Predictions for 2025

One of the most significant shifts predicted for 2025 is the continued rise of independent agencies in Canada. As major international holding companies like Omnicom and IPG undergo further consolidation, many local markets – including Canada – are feeling the effects. 

Scot Keith, founder and CEO of One Twenty Three West, anticipates that the mergers and acquisitions within these global networks will open up opportunities for smaller, more agile agencies. 

“Expect to see growth for the top indie agencies this year,” says Scot. “Omnicom buying IPG is about to change a lot of things in Canada. With Omnicom already killing the BBDO, DDB and TBWA brands in our country, other international holding companies will be pressured to acquire each other. I believe another big deal will happen in the back half of 2025.”

Scot points out how this isn’t just about a power shift; it’s about a cultural shift toward creativity, innovation, and more intimate client relationships. Independent agencies, unconstrained by global bureaucracy, are better equipped to push boundaries and deliver tailor-made solutions that resonate deeply with Canadian audiences. 

“It's both sad and odd to see companies that exist to build brands… killing their own brands. But, this presents an opportunity for Canadian independent agencies,” he adds. 

Christine McNab, COO at Zulu Alpha Kilo, echoes Scot’s concerns on the matter. “One common concern we’ve heard from marketers is a sense of confusion about the shifts and consolidations in our market. Specifically, many are questioning whether these agency transformations truly prioritise the client,” she says. “This uncertainty will likely prompt many clients to reassess their agency relationships, exploring partnerships that are grounded in shared goals and a strong commitment to helping them navigate the complexities of this evolving landscape.”

“I predict that this period of change will represent an exciting opportunity for the Canadian advertising industry to rise to the occasion. By fostering strong, thriving agencies here at home, we can not only meet the needs of our clients but also nurture a robust talent pool and produce world-class work that positions Canada as a leader in marketing innovation and creativity.”

With global giants losing ground, it’s clear that Canadian independents have the opportunity to capture market share and define the future of the industry, both locally and beyond.

Artificial intelligence continues to be one of the most transformative forces in the creative industries. But while AI promises efficiencies and automation – enabling agencies to cut costs and improve productivity – it also poses significant challenges for creativity. Capable of producing content, analysing data, and automating processes at a speed and scale that would have been unimaginable just a few years ago, it’s a topic which has left many creative leaders monitoring warily.

In particular, according to Scot, there is great concern that agencies which fail to deliver truly exceptional work will not survive this new era. "If an agency is not doing good work, I don’t see how it will continue to exist. AI can already easily beat a bad writer," he says. 

This will place pressure on agencies to elevate their creative output. Clearly, the need for human ingenuity and strategic thinking will become even more important as AI tools grow more prevalent.

To this end, for agencies to thrive in 2025, AI must be embraced as a tool to amplify creativity – not replace it. Those who can leverage AI will have a significant advantage, but even then, AI alone won’t be enough. As Scot notes, it’s the agencies that can prove their worth through results-driven, innovative, and impactful work, in conjunction with the latest technology, that will thrive.

And it’s not just in the creative and strategic spheres that AI’s impact will be felt. Production teams are also poised to continue embracing AI tools to streamline workflows, improve efficiency, and generate high-quality content. 

Niki Sahni, president and partner at Courage, notes that production has traditionally been at the forefront of technological advancements. “I believe AI will begin to percolate in production, so finding creative and effective ways to leverage AI will be paramount for any agency.”

Niki also emphasises the need for ethical considerations. "It is all of our responsibility to navigate the ethical and environmental considerations that come with AI’s use," she cautions. As AI becomes more integrated into production processes, agencies will need to consider its environmental impact, its effects on employment, and its potential for misuse.

Responsible use of AI in production will not only help agencies remain competitive but also ensure they uphold the ethical standards that consumers increasingly expect.

As social and environmental issues continue to dominate global conversations, brands are increasingly expected to take a stand. However, there is a growing skepticism among consumers about corporate motives when it comes to ‘purpose-driven’ marketing. 

Erin Kawalecki, partner and chief creative officer at Angry Butterfly, addresses this head-on, acknowledging that while sustainability and social responsibility are more important than ever, consumers are "sick of hearing about it from corporations." 

Instead, she believes that brands will have to demonstrate the real, tangible actions behind their purpose-driven messages – moving beyond superficial gestures and instead engaging in that which aligns with their core values – if they wish to avoid being accused of jumping on a trend for the sake of profit.

Moreover, this authenticity will be crucial in connecting with increasingly discerning consumers who can spot ‘purpose-washing’ from a mile away. “I think Canadian advertising will continue to thrive, driven by creativity, adaptability, and a deep connection to cultural and technological trends,” Erin explains. “Our industry's ability to craft meaningful narratives tailored to diverse audiences will remain its cornerstone, giving brands an edge in capturing attention and building trust.”

Nevertheless, Erin doesn’t believe that purpose is dead; far from it. "That's like saying humour is dead. Or love is dead,” she concludes. “While I think (and hope) that the rampant use of borrowing purpose from unrelated social causes is dead, true brand purpose is hopefully just getting started.”

Given the increasingly competitive marketplace, differentiation is also expected to become a key indicator of success in 2025. Matt Litzinger, founder and chief creative officer at The Local Collective, argues that brands must go beyond simply following trends. 

"We are now in one of the most competitive markets to have ever existed," he warns. "Brands who follow the industry in tone, style, and trends will simply be leaving revenue on the table."

In order to thrive, brands must instead break through the noise and create unique, compelling and purposeful narratives that resonate with their target audiences. This means rethinking how brands approach everything from tone and style to customer engagement and media spending. 

Matt suggests that brands should treat standing out as a top priority, incorporating it into every facet of their strategy – not just as a creative challenge but as a business imperative. Those that differentiate themselves through unique storytelling, authenticity, and creative innovation will not only capture attention but also foster deeper, more meaningful connections with consumers.

In short, across 2025, brands that embrace purpose in a meaningful way – not just for marketing but as a true business strategy – will build stronger emotional connections with their audience, resulting in long-term loyalty and trust.

This year, Canadian advertising leaders are united in the belief that boldness will be a key driver of success. Stephen Brown, CEO of FUSE Create, encapsulates this sentiment: “Brands and agencies that challenge conventions, drive innovation and are led by an entrepreneurial spirit will fare well. There’s a lot of opportunity in these uncertain times to stand out and turn heads, but you must rise up and seize this moment.”

In a time when the Canadian market, more than ever, is ripe for disruption, and with the tools and data available to advertisers today, it’s easier than ever to reach audiences in meaningful ways. With this in mind, Stephen is encouraging brands to embrace innovation rather than stick to traditional approaches, predicting that “those who let caution outweigh opportunity will find it difficult to grow market share or win new business.”

So, if taking risks in the pursuit of creative excellence, data-driven insights, and groundbreaking campaigns will define the brands that succeed, then it’s clear that the time is now for those bold enough to lead.

As it stands, Canadian agencies and brands face a landscape filled with both challenges and opportunities. The rise of independent agencies, the growing influence of AI, the demand for authenticity in purpose-driven branding, and calls for bold, differentiated strategies will all play critical roles in shaping the year.

For Canadian businesses, the key to success will lie in embracing these trends and adapting quickly. Agencies must continue to focus on delivering measurable results, building meaningful connections with consumers, and taking bold creative risks. By doing so, they will be well-positioned to thrive in an increasingly competitive and rapidly evolving industry.

In 2025, those who can innovate, prove their worth, and stay true to their values will not only survive but lead the way forward.