Agencies Brace For Cultural Upheaval Under Second Trump Presidency

While U.S. citizens process Tuesday night's election results, brands their agencies are on the brink of a cultural shift that will impact how they speak to consumers and broach societal issues. Many agency folks ADWEEK contacted declined to comment on how a second Trump presidency might impact their business, while some expressed disbelief and sadness about the results. Others maintained it will be "business as usual." But with Trump decisively winning more than half of the popular vote, agencies and brands must embrace the complex cultural mood of the country and reflect that in their communications with consumers. Embracing complexity Craig Elimeliah, chief creative officer at Code and Theory, said on LinkedIn after the election that embracing the complexity of the U.S. is not an option for brands, but a necessity. "Creativity in business is rooted in moving beyond those simplistic labels and engaging with the true diversity of experiences that make up America," he wrote. He told ADWEEK that a second Trump presidency should call for a more sophisticated, empathetic approach to storytelling from brands -- one that acknowledges the spectrum of beliefs in America, without alienating any specific audience. “Opportunities lie in the ability to connect deeply with audiences seeking brands that resonate with their personal values. Potential pitfalls include heightened public skepticism and scrutiny of brands perceived as too closely aligned with any political agenda, risking consumer trust,” Elimeliah said. He continued that now is a critical moment for brands and agencies to rise above the noise, championing transparency, authenticity, and cultural understanding. “More than ever, agencies will need to act as cultural translators, helping brands connect with people in meaningful ways that acknowledge the complexities of the moment. It’s time to be braver, take risks that matter, and use creativity not just as a tool for selling, but as a force for uniting and elevating the conversation,” said Elimeliah. Alison Pepper, executive vice president, government relations and sustainability at the 4A’s, added that as the U.S. continues to diversify, many Americans don't fit into easily defined categories. “The advertising industry will need to work harder than ever to understand their consumer, whatever the product may be,” she said. Government contracts and regulations Pepper cited multiple ways the Trump administration could impact agencies, particularly those who work on federal government contracts. “The new administration has different priorities in where they spend (i.e. more defense under Republicans, more healthcare under Democrats, etc.),” said Pepper. She noted that during the negotiation of the Trump Tax Cuts and Jobs Act (TCJA) in 2017, the advertising industry found itself in the crosshairs of a proposal to reduce the deductibility of advertising by 50% in the year of spend, with the remaining 50% amortized over several years. Since many provisions of the TCJA automatically expire next year, that issue will likely be on the table again. Trump's regulatory agenda is another issue agencies must keep an eye on. Since the Trump campaign ran on a strong anti-regulation agenda, and with Federal Trade Commissioner Lina Khan now departing the agency, the new head of the FTC may well embrace Trump's agenda. What that means for brands and consumers remains to be seen. Where does purpose go from here? Some agencies may misinterpret deregulation and a shift toward more isolationist policy as a license to abandon purposeful initiatives, said Scott Goodson, founder and CEO of Strawberry Frog. “A significant risk lies in the ‘race to the bottom’ mentality, where businesses might prioritize short-term profits and quarterly results over sustainable growth and ethical practices,” he said, warning that companies could face scrutiny and potential backlash if they backtrack on commitments. Goodson, however, predicts that as the government pulls back on initiatives supporting purposeful causes, there will be an uptick of such work from agencies, as there was during the first Trump presidency. “The government will pull back on action around purpose-driven initiatives. It’s now up to business to do these amazing and important things. The government isn’t going to do it, so that’s the necessity as much as the opportunity,” he said. While many of the impacts of a second Trump administration are still unknown, what is for sure is that the country is changing. A rise in misinformation has fueled distrust among many Americans, and if Trump’s first four years are any indication, there will be chaotic moments ahead. But the U.S. is resilient, and, as Elimeliah wrote in his LinkedIn post, the brands that will thrive “are those that can see the beauty in America’s contradictions and complexity, using creativity not just to sell, but to build bridges, inspire, and drive the culture forward.”

Politics

Agencies Brace For Cultural Upheaval Under Second Trump Presidency

Audience complexity, deregulation, and a shift away from purpose will shape agency business

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