The position that the communication, marketing and advertising industry in Cyprus is entering a phase of intense digital transition is expressed by the Managing Director of RedwolfOgilvy, Costas Daltas, noting that advertising may always be impacted by negative developments, but corporate communication is not.
As he stated in an interview with InBusinessNews as part of the IN Business Forecasting 2026 series, 2025 was a good year for the company, as it achieved its goals. As he emphasised that "this fills us with responsibility for 2026, since we must keep the company on a growth trajectory, even under difficult conditions."
Regarding acquisitions and mergers in various sectors, Daltas indicates that "strategic partnerships and mergers are a tool for strengthening market share, but also know-how," recalling that RedwolfOgilvy is also the result of such a strategic move.
Regarding the tax reform, Daltas expresses the view that it is expected to substantially affect both households and businesses, underlining that "the final impact of the reform on the Cypriot economy, business activity and investment attraction will depend on the manner in which it is implemented."
How do you think the Cypriot economy will perform in the new year and what are its prospects? What do you consider to be the biggest risks and how can they be addressed?
The estimates should give rise to cautious optimism, as the European Commission's recent autumn forecasts show that the Cypriot economy remains on a healthy growth trajectory, with a rate of around 3.4% in 2025 and a slowdown to 2.6% in 2026, but without reversing its momentum.
But we are a vulnerable economy, which is directly affected by international developments. Globally, we have several open fronts. As Martin Wolf, chief economic commentator at the Financial Times, recently noted, there is the threat of rising debt, but also a bigger one, which is the way it is financed.
At the same time, the Federation of German Industries admits that the German economy is going through its deepest historical crisis since the founding of the Federal Republic of Germany, while, at the same time, the unpredictable US presidency under Donald Trump adds further uncertainty.
If we add the geopolitical tensions and upheavals in the Eastern Mediterranean, the escalation of the climate crisis, as well as a potential slowdown in global trade, which may affect key sectors for the Cypriot economy, such as shipping and tourism, then our initial optimism turns into a particularly cautious one.
How do you anticipate that your company's sector of activity will develop in 2026, what are the biggest trends/changes you expect to occur and what are the most significant challenges?
Advertising is always affected by negative developments, but corporate communication is not.
In general, the communication, marketing and advertising industry in Cyprus is entering a phase of intense digital maturation.
Digital communication and data utilisation, the ever-increasing complexity of channels and the need for personalised content simultaneously constitute the greatest challenges, but also the most important opportunities.
In the Cypriot communications market, strategic partnerships and mergers are a tool for strengthening market share and know-how.
These challenges equate to higher client demands and significantly raise the bar for communications agencies. For a company like RedwolfOgilvy, which provides comprehensive 360 communications, PR and digital marketing services, the trend is clear, with enhanced strategic consulting, even more meaningful use of data, creativity that works seamlessly across all channels and the use of tools such as influencer marketing and artificial intelligence.
A strong trend that seems to be taking hold in Cypriot business is that of acquisitions and mergers. Will we see it strongly in your sector as well?
We are already seeing that in the Cypriot communications market, strategic partnerships and mergers are a tool for strengthening market share, as well as know-how.
RedwolfOgilvy itself is the result of such a strategic move. These actions allow for the creation of new, larger and more sustainable organisations and foster growth across all sectors.
We see it on an international level, we will see it here too.
What can we expect in terms of your organisation's development and expansion plans and strategy in 2026? What moves do you intend to make in this direction?
2025 was a good year for us, as we achieved our corporate goals. This fills us with responsibility for 2026, as we must keep the company on a growth trajectory, even under difficult conditions.
We have created a strong team, which has been strengthened in recent months, and our strategic priority is to offer the Cypriot market best practices, tools and know-how, so that our team and by extension our clients have access to the most advanced solutions in the international market.
RedwolfOgilvy's values guide our behaviour, shape our unique company culture, and influence the way we make decisions. Values such as trust, transparency, collaboration, innovation, customer focus, and adaptability ultimately lead to steady progress, a pleasant work environment, and competitive advantage.
The new year will see the implementation of the tax reform, which is taking place 22 years after the previous tax reform. How do you anticipate that it will affect the Cypriot economy, businesses, and the attraction of foreign investments?
The reform is expected to substantially affect both households and businesses.
Of course, the final impact of the reform on the Cypriot economy, business activity and investment attraction will depend on how it is implemented.
Until then, what we can say with certainty is that businesses are called upon to closely monitor developments in order to adapt to the new environment in a timely manner.
(Source: InBusinessNews)
