The headlines of 2025 have been dismal. Budget cuts. AI taking over entry level roles. And most recently the elimination of more than 10,000 jobs because of the Omnicom/IPG deal. Anyone connecting the dots sees that these are signals that the traditional agency model is no longer built for the demands of modern marketing. As we bring on a new year, changes must be made to keep up with client needs, fuel marketing ROI, and engage the next generation of talent. Here are the three things agencies need to do to get in shape.  

Develop An End-to-End Approach. 
 
Marketing has changed faster than the agency models have evolved. A recent study of over 800 marketing leaders found that when asked what they want from agency partners in 2026, CMOs ranked creativity and original thinking at the top (69%), followed by innovation (61%) and proactivity (54%). But for the first time, support in managing internal transformation also made the list (44%). This shows that fragmentation is no longer sustainable. Agencies need to serve as an extension of the marketing department to create unified, end-to-end teams that can deliver a start-to-finish approach. By carrying brand strategy all the way to product delivery, this will ensure that a single vision never gets lost. If this is done right, CMOs can stop playing "traffic cop" with multiple agencies so they can focus on leading revenue growth.  

Deliver Value Directly to the Bottom Line. 

Gartner states that revenue growth remains the top priority for CMOs in 2026. In fact, 46% of CMOs want to know how they can prioritize marketing initiatives that are most likely to drive growth. CMOs don’t need 50-page decks articulating lofty plans from an agency just learning their business. They need ideas that deliver ROI against the existing brand strategy with contextual insight that only their agency can bring. One of the industry’s biggest weaknesses is the separation of thinkers and makers. These traditional silos slow teams down and create an inescapable inefficiency. A stronger modern model merges strategy, creative, and production into one integrated system built for today’s demands.   

Brands need more content, in more formats, faster than ever before without sacrificing quality. They need an agency partner that delivers not only the idea, but also a clear, scalable plan for how it comes to life across every platform.   

Prioritize Training and Development. 

We’ve seen that the talent pipeline isn’t keeping up with the industry’s needs. Universities are not preparing entry-level talent for the realities of modern marketing, and the gap widens every year. As an industry, we must take responsibility for training the next generation. Agency leaders should consider serving as guest lecturers on a regular basis and HR and recruiters should regularly visit college campuses to speak with students, recruiting them to our industry and driving enthusiasm about its future.   

Once talent is on board, agencies should build an environment where learning is part of the job, not a perk. Educational stipends, access to industry events, and exposure to cultural moments are all opportunities we should consider to develop more capable, better-prepared talent. Without this, the industry will continue to struggle to bring in, and retain, the people it needs.