A new study on AI from Forrester in partnership with the 4As
concludes that while the technology has been adopted almost universally across agencies, the industry's focus on efficiency and cost reduction may be undermining creativity and long-term brand
growth.
Agencies are heavily using AI for content creation, strategy development, research, competitive analysis, and reporting.
Significant barriers remain, including concerns around accuracy and bias (63%), legal risk (62%), and privacy/security issues
(55%).
Both agency and client focus on cost efficiency versus growth and effectiveness is “shocking,” the report states, noting that just 27%
of respondents say their clients request revenue growth as the primary benefit of generative AI. And just 11% said the same about AI agents.
Jay Pattisall,vice president and principal analyst
at Forrester and one of the authors of the report, stated, “AI has fundamentally transformed marketing agencies, but the industry is at risk of mistaking efficiency for
effectiveness.”
The research, he added, “shows that while agencies have successfully embedded AI into workflows and boosted productivity, they must now
reset expectations and invest in creativity, talent, and marketing performance. Leaders who reinvest AI-driven efficiencies into innovation and differentiated experiences will be best positioned to
drive sustainable growth and deliver meaningful business outcomes.”
According to the report, monetizing AI remains a struggle inside agencies, while agentic AI shows more promise from a
profitability standpoint.
In 2026, few agencies have monetized their newly developed AI capabilities. Part of the problem: “Agencies are mired in a legacy business
model in which they are harvesting the productivity of AI for margin.” Sixty-one percent of those surveyed said AI remains a “cost of business” for their agencies.
Just 6%
defined AI as a “line of business,” where AI capabilities are sold to clients.
The report suggests that agencies see more profit potential for agentic, with 31% percent of
respondents reporting that they will monetize AI agents in the next 24 months,
The full report, “The State Of AI Inside US Marketing Agencies 2026,” is not being released publicly,
but is available to 4As members or for purchase from Forrester. It is based on an April poll of nearly 200 agency “decision makers” at the vice president level or higher.
It follows a
separate Forrester report about how AI is reshaping the agency-client relationship, which Pattisall summarizes here.