Mastercard cuts ad budget by 70%, shifts focus to experiences and AI-driven creativity.

Raja Rajamannar, Mastercard's former marketing chief, permanently cut the company's advertising budget by 70%, redirecting funds to consumer experiences and sponsorships that yielded stronger returns. He argues traditional ads no longer work as consumers avoid ads and face overload, with AI flooding the market with content. Mastercard's brand value rose significantly despite the cuts, proving that creativity and human connection, enhanced by technology, are now key to effective marketing. This shift highlights a broader trend where marketers must innovate beyond traditional advertising to engage consumers.