The number of pitches for media business is shrinking, according to unpublished industry data and accounts by industry insiders.
Mark Read, the CEO of WPP, claimed new business opportunities in media are running about a third of the level in 2024.
He referred to tracker data by consultancy COMvergence, but didn't quote hard numbers, to make his point during a call with market analysts.
Read was explaining why WPP decided to downgrade its profit outlook for the current financial year.
Preliminary data from COMvergence, with June quarter numbers not yet verified, show the number of pitches in the first half of 2025 compared to 2024 has dropped by at least half.
In the six months to June this year, COMvergence records 648 pitches worth $US11.583.9 billion.
In the same half year in 2024, 2,011 pitches were recorded with a total value of $18.408 billion.
Looking back to 2021, the half year comparisons show a fairly constant level of pitches in the six month periods.
And industry insiders in Australia report a slowing in the number of media pitches so far this year. However, creative accounts were holding up.
Geoff Clarke, COO, IPG Mediabrands Australia, said the first half of this year, from his perspective, has been quieter than in years gone by.
“Additionally, the tender process is taking longer, some tenders are taking circa three months from the time the RFP arrives through to signed contractual agreement,” he told AdNews.
Shah Ghaffurian, CEO, Magic, said the slowdown isn’t surprising.
“In a market where agency propositions have increasingly converged, the cost and effort of pitching is becoming harder to justify,” Ghaffurian said.
“Agencies promise transformation, but the reality for most brands is incremental improvement rather than revolutionary change.
“With many agencies looking and sounding remarkably similar on the surface, marketers are questioning the value of expensive pitch processes that ultimately might not deliver meaningful differentiation.”
And uncertainty around redundancies and instability in the media sector has unsettled both agencies and advertisers.
“Marketers are seeking reassurance and likely taking a 'if it's not broken, don't fix it' approach rather than the allure of chasing new agency promises.
“Until genuine differentiation emerges or economic conditions stabilise, caution will likely remain the default position for most Australian marketers.”
Amy Carr, general manager - growth at Yango, has noticed a shift away from traditional, formalised pitches.
“We are constantly adapting to how clients want to work, and we have noticed a shift recently in clients wanting to start on a project basis,” said Carr.
“This has allowed us to quickly demonstrate our capabilities and the tangible results we can deliver, building trust and showcasing our team's expertise firsthand. More often than not, we are finding that an initial project is turning into a long-term relationship.
“This is becoming our preferred approach, it allows us to truly integrate with a client's team, understand their evolving needs, and consistently drive strong outcomes together. “It’s less about a couple of weeks of agency and client courting, performance on one day and price. It puts the focus firmly where it should be. Proving our value through sustained performance and a strong partnership from day one.”
For BCM, pitch activity between January and now has increased substantially in its market.
“I predict it will continue to increase,” said Phil McDonald, managing director.
“Clients are telling us that they want to review the effectiveness of their search strategies, address concerns over control of their data and want more effective ways to connect media investment to the creative messaging.”
Sam Buchanan CEO at IMAA (Independent Media Agencies of Australia) said he is hearing from independent agencies that they are in a strong position.
"We are also increasingly hearing from marketers that there’s a wider pool of high-quality agencies to choose from, and independents are firmly in that mix," he said. "Whether it's being invited to more pitches or offering fresh thinking, there has been strong momentum building in 2025 among indie agencies."
The global numbers:
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