Economy set to crush advertising industry

The ad industry is a fickle beast. Normally, and by "normally" we mean "during a stable economy", layoffs occur shortly before the Christmas holiday after clients have blown their ad spending for fourth quarter. Due to the horrible state of the economy and dismal Christmas sales, we anticipate an ugly year for the ad industry during 2009.

This is not an optimistic outlook. Not by a long shot. But, optimism has very little to do with the bottom-line profits of our business. Ad agencies will be shedding junior designers and "extra" senior creatives throughout the year. This eventuality is unnavoidable as client ad budgets get slashed or simply vaporize.

Compounding this dire scenerio is the fact that the industry is dominated by five major global holding companies who own roughly 50% of advertising agencies world-wide. Global conglomerates like the big three, Interpublic, Omnicom and WPP, don't give two steamy shits about protecting the welfare of their employees. They only care that their boards of directors are comfortable.

Brace yourselves. Be prepared. And, look after each other.  We are in for a long, bumpy ride.

Clients ... please support your local design studios and independent creative professionals. You will get better service, better creative, and have a better overall experience - as long as you take the time to find the right creative partner.

Additional Reading and Resources:

Visit BNET’s Ad Agency Layoff Counter for a running tally of total jobs lost.
Current 2009 Tally: 6,546 Jobs Lost

Layoff Tracker for Digital Marketing Jobs

New York Post - Ads Subtracting