Middle East PR Business Optimistic For Q4, Despite Challenges
The survey gathered feedback from MEPRA members including agency networks, large businesses, independent consultancies and individual practitioners with a presence across the GCC.
Among the key findings:
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●The outlook is positive but guarded. The majority (62.5%) describe their organisation's Q4 outlook as positive: 55% cautiously optimistic and 7.5% very positive. A quarter (25%) are uncertain and 12.5% are concerned.
●Decisions are taking longer. More than two-thirds (67.5%) say client decision-making on new business is slower than 12 months ago, and half (50%) say it is much slower.
●Budgets are under pressure. More than half (55%) of respondents report clients freezing or delaying budgets (42.5%) or cutting them (12.5%). 30% see stable budgets and scopes, and 7.5% report increased investment.
●Payment terms are stretching. 57.5% say client payment terms are getting longer.
●Hiring is selective. 52.5% plan to hire selectively for specific roles. Only 2.5% are expanding permanent headcount, while 22.5% have a hiring freeze in place.
●Uncertainty is the top challenge. 37.5% name economic and market uncertainty as their biggest challenge, ahead of new business generation (27.5%) and client budget pressures (17.5%). Talent concerns are minor, at 7.5% combined.
●The pipeline is there, but slow. 37.5% say opportunities exist but decisions are taking longer, and 17.5% say their pipeline is stronger than expected. 22.5% say it is as expected, 15% report fewer opportunities and 7.5% report a significant slowdown.
“This industry has real reasons for optimism.” says Justin Kerr-Stevens, chair of MEPRA.“Six in ten of us are positive about Q4, and the demand for good communications advice hasn't gone away.
“But optimism isn't a plan, and more can be done to support the industry. Tender and performance bonds on RFPs are long overdue for scrapping, and I'd urge every client with a tender going forward to drop them. And clients need to pay what they owe. When payment terms stretch, it's the agencies, and the people in them, who carry the risk.”
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