With the AI revolution underscoring the growth of multiple digital businesses, marketing agencies have also not been left immune to its reality.
Marketing agencies are increasingly adopting artificial intelligence to streamline operations, personalize campaigns, and deliver measurable results for clients.
A Forrester report finds that 91% of US advertising agencies are either using generative AI (61%) or exploring it (30%)—notably higher than the adoption rate in broader business sectors.
“Instead of typing keywords into Google, consumers are increasingly asking AI models for product recommendations, and those models are responding with curated, context-aware suggestions,” Claude Zdanow, CEO of Onar Holding Corporation, a Florida-based marketing technology company and network of marketing agencies, said in an interview with Invezz.
Zdanow also talks about its acquisition strategy, having acquired Retina.ai recently, what the rise of AI means for SEO and paid search, how Nike, Sephora, and Coca-Cola have effectively used AI for their digital marketing campaigns, and more.
Excerpts:
Claude Zdanow, CEO, Onar Holding Corporation
On shift from Search Engine Optimisation (SEO) to Language Model Optimisation (LMO)
Invezz: You’ve spoken about how AI is transforming the way consumers discover and buy products. What’s the biggest shift you’re seeing right now in digital marketing?
The biggest shift is the move from search-based discovery to AI-powered conversation.
Instead of typing keywords into Google, consumers are increasingly asking AI models for product recommendations, and those models are responding with curated, context-aware suggestions.
This is changing the way brands need to position themselves online.
It’s no longer enough to optimise for search engines; you have to optimise for the language models that will be answering tomorrow’s customer questions.
So the shift that is taking place is moving from search engine optimisation (SEO) to language model optimisation (LMO).
Onar’s acquisition strategy
Invezz: You recently acquired Retina.ai. Do you expect to acquire more platforms or agencies as part of your expansion strategy? If so, what kind of capabilities or verticals are you targeting?
Absolutely. ONAR was built to be an ecosystem of specialised agencies and technology to help brands thrive in the AI-driven commerce era.
Retina.ai brought us proprietary machine learning capabilities for ad optimisation.
Going forward, we’re looking at acquisitions that strengthen our data science, predictive analytics, and emerging channel marketing capabilities, especially in sectors like e-commerce, consumer goods, and high-growth DTC brands.
Invezz: What does the rise of AI mean for traditional marketing strategies like SEO and paid search? Are we seeing the beginning of the end for those tools as we know them?
It will not be the end, but will definitely be a major evolution.
SEO and paid search will still matter, but the focus will shift from optimising for algorithms designed for search engines to optimising for algorithms designed for AI-powered assistants.
That means success will be less about keywords and more about context, authority, and real-time relevance.
Brands that adapt early to this LMO mindset will have a first-mover advantage.
Nike, Sephora, Coca-Cola among brands to effectively use AI for digital marketing
Invezz: Can you list some campaigns by established brands that have effectively and creatively used AI for digital marketing?
Absolutely. Nike’s personalised shoe recommendations powered by AI, Sephora’s virtual try-on experiences, and Coca-Cola’s AI-assisted creative campaigns are great examples of how established brands are using AI not just to personalise, but to create entirely new customer experiences.
The takeaway is that AI works best when it’s integrated into the customer journey in a way that feels natural and valuable, not forced.
Another great example is with our flagship marketing agency, Storia, and its work with a major industrial client.
The company brought us on to restore ad campaign efficiency and identify opportunities to scale.
Through strategic targeting refinements, full-funnel optimisations, and AI-powered visuals, our team reduced total ad spend by 44% while increasing acquisition quality and performance.
This success also inspired a substantial contract expansion with the client.
LMO next step in content strategy evolution: how to survive it
Invezz: You’ve called Language Model Optimisation the next critical frontier in AI-driven commerce. Can you break down what LMO actually looks like in practice for a brand?
LMO is the next evolution in content strategy.
It’s not about gaming the system; it’s about creating content that AI can trust as the best answer, which means genuinely solving the audience’s problem, not just chasing rankings.
Just like search engines once replaced the card catalogue, AI-driven discovery is replacing traditional search.
The winners will be the brands that focus on relevance, value, and intent, answering the audience’s questions better than anyone else.
Invezz: Are you building tools or frameworks at ONAR that help clients optimise for large language models like ChatGPT, Claude, or Gemini?
Yes. We’re developing proprietary frameworks that combine AI data modelling, brand narrative mapping, and real-time content optimisation.
The goal is to help our clients appear as trusted, top-tier recommendations in AI-driven search and commerce.
We see this as a core growth driver for our portfolio companies over the next decade.
What milestones investors should watch for in H2 2025?
Invezz: Can you share updates on ONAR’s financial health and any growth milestones investors should watch for in the second half of 2025?
2025 has been a transformative and high-growth year for ONAR.
In Q1 alone, we delivered 79% year-over-year revenue growth to $1.07 million, alongside strong performance from our core agencies, Storia and Of Kos.
Our Advertising & Marketing segment generated $735K in revenue, with 90% recurring, underscoring the scalability and predictability of our model.
By streamlining operations, sunsetting non-core businesses, and focusing on AI-enabled digital performance and healthcare marketing, we’ve positioned ONAR at the centre of the technology-enabled marketing revolution.
As we move through the rest of the year, our priorities are clear: close pending acquisitions to achieve scale, expand margins, and continue building a profitable public platform that delivers long-term value for our shareholders.
Invezz: With AI writing more content and generating product recommendations, where do you draw the line between influence and manipulation?
Transparency and trust have to come first. AI should be used to enhance the consumer experience, not mislead.
That means clearly disclosing AI-generated content when appropriate, ensuring recommendations are based on genuine product fit, and holding ourselves to ethical standards that protect both the brand and the consumer.
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