The traditional time-and-materials marketing agency is the most exposed business model in UK marketing right now.
AI compresses the work agencies sell by 80–95%, and clients are starting to notice. Three models survive: outcome-priced AI-first agencies, founder-led specialists with proprietary IP, and high-end consultancies that sell judgement.
The collapse will not be loud. It will look like quiet attrition: pitches lost, retainers halved, juniors not hired, partners selling for multiples they no longer earn.
By Kasim Javed, CEO and Founder of Creative Marketing Group.