Industry Insight Report: Advertising & PR Agencies Q1-2025
Industry Insight Report: Advertising & PR Agencies Q1-2025
AI Adoption in PR Growing Fast Nearly 70% of public relations agencies have adopted AI into day to day operations in 2024 – a 25% increase from the year before, per an annual survey of PR companies of all sizes by law firm Davis+Gilbert. The rapid adoption of AI is increasingly removing the human element from the more mundane aspects of content creation and client management. Davis+Gilbert also found that AI usage by PR firms differs based on an agency’s size. Larger agencies use it primarily to analyze data and create graphics and visual content. Mid-sized and smaller firms, however, mostly utilize AI to generate ideas and write content. AI adoption theoretically lets smaller firms better compete for larger accounts by leveling the playing field on the costs of elaborate creative campaigns. Employment at PR agencies was relatively flat throughout 2024, and further adoption of AI is expected to continue driving that trend in 2025.
News Spotlight:
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Industry Forecast
Sales for the US advertising and PR agencies industry are forecast to grow at a 4.35% compounded annual rate from 2025 to 2029, comparable to the growth of the overall economy.
By the Numbers
Employment by advertising and PR agencies is relatively flat Overall employment by advertising and PR agencies changed 0.0% in January compared to a year ago, according to the latest data from the Bureau of Labor Statistics.
Wages at advertising and PR agencies rise Average wages for nonsupervisory employees at advertising and PR agencies were $37.19 per hour in January, a 0.7% change compared to a year ago.
Lion Business Advisors quarterly industry insights data provided by VerticalIQ industry intelligence platform
Industry Insight Report: Advertising & PR Agencies Q1-2025
AI Adoption in PR Growing Fast
Nearly 70% of public relations agencies have adopted AI into day to day operations in 2024 – a 25% increase from the year before, per an annual survey of PR companies of all sizes by law firm Davis+Gilbert. The rapid adoption of AI is increasingly removing the human element from the more mundane aspects of content creation and client management. Davis+Gilbert also found that AI usage by PR firms differs based on an agency’s size. Larger agencies use it primarily to analyze data and create graphics and visual content. Mid-sized and smaller firms, however, mostly utilize AI to generate ideas and write content. AI adoption theoretically lets smaller firms better compete for larger accounts by leveling the playing field on the costs of elaborate creative campaigns. Employment at PR agencies was relatively flat throughout 2024, and further adoption of AI is expected to continue driving that trend in 2025.
News Spotlight:
The Elon tax: Ad insiders say they’re advising clients to spend on X to avoid legal and political headaches
Business Insider: Full Article »
Industry Forecast
Sales for the US advertising and PR agencies industry are forecast to grow at a 4.35% compounded annual rate from 2025 to 2029, comparable to the growth of the overall economy.
By the Numbers
Employment by advertising and PR agencies is relatively flat
Overall employment by advertising and PR agencies changed 0.0% in January compared to a year ago, according to the latest data from the Bureau of Labor Statistics.
Wages at advertising and PR agencies rise
Average wages for nonsupervisory employees at advertising and PR agencies were $37.19 per hour in January, a 0.7% change compared to a year ago.
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