What's Happening?
Recent findings from Shutterstock's 2025 Creative Impact Report reveal a growing disparity between marketing expenditure and its effectiveness. The report indicates that marketing spending increased by 33% from 2023 to 2024, while the impact on purchase
intent rose only by 17%, resulting in a widening 'impact gap' of 12%. This gap has further expanded by 8% in the first eight months of 2025, accumulating to a 20% gap since 2023. Cal Roberts, director of creative strategy and insights at Shutterstock, attributes this issue to brands failing to adapt to changes in consumer behavior and not fully understanding their audience. The report, developed in partnership with WPP's marketing analytics tools, analyzed over three years of data from more than two dozen brands, highlighting a crisis in marketing effectiveness amid a fragmented media landscape and increasing consumer ad fatigue.
Why It's Important?
The widening gap between marketing spend and impact underscores a critical challenge for brands in the U.S. as they navigate a rapidly changing media environment. The findings suggest that traditional volume-based marketing strategies are becoming less effective, particularly in an era dominated by AI-generated content and heightened consumer expectations for emotional connection and cultural relevance. Brands that fail to adapt may face significant financial losses and diminished consumer engagement. The report emphasizes the importance of understanding audience dynamics and prioritizing quality over quantity in content creation, which could be crucial for maintaining competitive advantage and avoiding reactive decisions in a volatile market.
What's Next?
As the U.S. midterm elections and global events like the Winter Olympics approach, the media landscape is expected to become even more crowded, presenting additional challenges for brands relying on outdated marketing strategies. Brands are encouraged to reassess their creative strategies to ensure they align with current consumer behaviors and preferences. The report suggests that leveraging AI technology to enhance emotional relevance in marketing content could be a key strategy moving forward. Brands that successfully navigate these changes may improve their return on investment and strengthen their market position.
Beyond the Headlines
The report highlights the ethical and cultural dimensions of marketing in today's environment, where nearly two-thirds of businesses have faced boycotts linked to social movements. This underscores the importance of brands understanding their core values and audience expectations to avoid backlash and maintain consumer trust. The integration of AI in marketing also raises questions about the balance between automation and human creativity, suggesting a potential shift in how brands approach content creation and audience engagement.
