Advertising seeks agency

The advertising industry is undergoing another revolution driven by digital technology. This time, it is due to two factors: the expansion of social media and the arrival of generative artificial intelligence (GAI) tools.

We can cite the following background information:

  • The IBM/360 revolution (1970)
  • The Macintosh Revolution (1984–1990)
  • The Internet Revolution (1995–2010)
  • The social and mobile revolution (2010–2020)

At each stage, creativity has been enhanced. However, since 2020, we are once again facing change, this time driven by artificial intelligence. The dilemma persists in how to adopt these technologies without losing the strategic and creative value that defines a good advertising campaign.

Five years of rapid change

The explosion of social media

Since the beginning of the decade, audiences have migrated en masse to Instagram, TikTok, and YouTube, displacing the traditional media model. According to DataReportal and Comscore, TikTok surpassed 200 million active users in Latin America in 2024, while digital media consumption surpassed that of traditional television in 2022., but only in Mexico, Brazil, and Argentina.

Agencies began working with multiple channels simultaneously, measuring results in real time and responding quickly to changes in audience behavior. Strategy and creativity benefited from more user-friendly access to data analysis, simplified omnichannel management, and total operational flexibility.

Generative AI enters the scene

The most recent turning point came with generative AI. Agencies in Brazil, Mexico, and Argentina are already using GPT and generation tools to produce hyper-segmented advertising campaigns, reducing costs and accelerating deliveries.

Latin American startups such as RockContent and Adsmovil launched AI-based services for personalized campaigns and content generation in 2023, according to reports from IAB Latam and América Retail.

But this efficiency raises uncomfortable questions: What remains of the human touch when much of the process is automated? From my point of view, production speed does not always guarantee the quality and efficiency of the message. Recent advances in IAG (June 2025) have only accentuated this debate.

Strategic communication across all channels

The agencies that stand out in this environment are those that manage to integrate creativity, data analysis, and technology without any of these factors overshadowing the others. 

The professional profile has also changed radically. According to surveys by LinkedIn Latam and publications by América Economía, By 2024, 461% of job offers at leading agencies will explicitly require knowledge of technology and data management.. Wanted:

  • Strategists who understand programming
  • Creatives who handle analytics
  • Leaders who understand the complete user experience

However, the business of an advertising agency will continue to be strategic communication, whose ultimate goal is always to sell. 

Debates and tensions dividing the sector

Automation generates visible friction. Some argue that AI will never replace humans' interpretive and empathetic abilities; others argue that efficiency and personalization justify its intensive use. 

Meanwhile, traditional agencies face pressure to adapt quickly or lose ground to technology consultancies and specialized startups. The risk of job displacement and the technology upgrade gap exacerbate regional polarization, according to analysis by IAB Latam and industry organizations.

New opportunities amid uncertainty

Some agencies have found ways to capitalize on the moment.

Now there are:

  • Units specializing in data consulting/market research
  • Rapid content production services
  • Partnerships with technology startups

Large groups such as Publicis Groupe, WPP, and Ogilvy reported significant investment in AI and data analytics capabilities for their operations in the region since 2023. Success stories show that it is possible to grow in this context, but they require constant investment in updating and reinventing services/products.

The indiscriminate (or default) use of automation inevitably leads to the risk of losing creative identity and impact, something that Latin American brands particularly value.

Some of the agencies currently using AI in their campaigns are:

Agency / CompanyCountryAI use case
LatamclickParaguay (Latin America)It uses AI at every stage: market analysis, programmatic campaigns, personalization, and assisted creativity. It uses generative AI for text creation, images, advanced audience segmentation, campaign automation, and predictive analytics to optimize results and return.
PurppleArgentina, Brazil, ColombiaHe created campaigns for Samsung Galaxy AI in Latin America: AI powered creative content generation, generative image editing, and personalized advertising pieces for social media.
Garnier (BBDO / Manicho)EcuadorDeveloped AI-generated 100% campaigns: from creative ideation to the final format of video spots, integrating generative AI algorithms for visual storytelling.
Mercado Libre and Samsung (Local agencies)BrazilThey carried out joint campaigns using generative AI to tell stories and create visual content in real time, combining human talent and creative algorithms.
Various agencies focused on programmatic AILatin America RegionalCompanies and agencies (e.g., Latamclick) run programmatic advertising campaigns where the algorithm decides, in milliseconds, which ad to show to which user, dynamically adjusting messages and creatives to each segment.

Aspects pending analysis

Several aspects of the phenomenon still require further analysis. According to eMarketer, Statista, and Magna Global, Total spending on digital advertising in Latin America grew at an average annual rate of approximately 10-13% between 2020 and 2025. This growth was mostly absorbed by digital platforms, while traditional investment contracted sharply.

It is unclear whether the aforementioned increase was due to a redistribution of total advertising investment or genuine growth in the digital area.

According to official publications by data protection agencies (INAI Mexico, ANPD Brazil), it shows that Latin American regulations on the use of data and algorithms in advertising remain fragmented and poorly adapted. at the speed of change.

The return to the strategic center

As in previous revolutions involving IBM, Macintosh, the Internet, and social media, technology is once again boosting agencies' creativity and adaptability. 

AI not only amplifies, it also creates, thus promoting the idea of immediate replacement of people. In this scenario, Strategic communication is once again taking center stage, promoting audience research, authentic narrative construction, and the preservation of the human touch in every decision.

We can therefore conclude that The new agencies are strategically hybrid. but always driven by constant societal evolution.


SOURCES CONSULTED

  • eMarketer – Reports on digital advertising investment in Latin America (2020-2025)
  • Statista – Social platform penetration data and regional advertising expenditure
  • DataReportal – Statistics on active users on social media in Latin America
  • Comscore – Analysis of digital vs. traditional media consumption
  • IAB Latin America – Reports on the adoption of generative AI in advertising and industry trends
  • Magna Global – Advertising investment projections in emerging markets
  • LinkedIn Latin America – Surveys on labor demand and professional profiles in agencies
  • América Retail / América Economy – Articles on tech startups and transformation of the advertising sector
  • INAI (Mexico) y ANPD (Brazil) – Official publications on data and algorithm regulation
  • Publicis Group, WPP, Ogilvy – Corporate announcements and reports on investment in AI and data analytics