Five business predictions for 2025 - from one of Scotland's hottest young entrepreneurs
Scots entrepreneur Gavin Bell saw the successful acquisition of his advertising agency Yatter by Liverpool e-commerce specialists Velstar in the latter part of 2024. As he explores his next venture, he took time to assess what every business owner should have on their radar in 2025.
“There’s no doubt that 2024 has been a challenging year for many businesses,” he said. “Having been in the marketing world for almost a decade, I have seen first-hand the challenges that our clients have faced. 2024 has been one of the most challenging for a number of industries - mainly due to things like economic uncertainty, cost of living and, of course, the budget.“
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Hide Ad“As we move into 2025, those challenges will continue, but with any challenge comes change and opportunity. Here are five key predictions for the year ahead.”


1. The AI Tipping Point
Artificial Intelligence (AI) is no longer the stuff of science fiction or for that matter niche tech start-ups.
In 2025, AI will continue to disrupt traditional industries at an unprecedented scale.
AI isn’t just for automating repetitive tasks or writing blog posts. The smarter it gets, the more use cases it has. It can not only automate repetitive tasks but also enhance decision-making processes by analysing data in ways humans simply cannot match.
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Hide AdWe’re already seeing it across industries like legal and financial, while the NHS has even been testing AI tools to identify early signs of cancer.
Software companies like OpenAI are growing at rates unseen in the tech industry and will only continue to accelerate with the likes of “Apple Intelligence” bringing AI to every single iPhone.
Quite simply, businesses need to adapt and embrace AI or risk the very real danger of falling behind.


2. The Cost-of-Living Squeeze
The last few years have been extremely challenging for everyone which has led to a noticeable decline in consumer spending. According to the Office for National Statistics, around 60% of adults in the UK have reported spending less on non-essential items due to the cost of living increases.
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Hide AdThis trend will continue into 2025 and will put pressure on businesses to streamline their operations. Leaner supply chains, cost-effective marketing strategies, and a focus on core offerings will be critical. Businesses will need to work hard to deliver value at a reasonable price.
At Yatter, we see this first-hand over periods like Black Friday. No longer is Black Friday a single day of sales. First it became a weekend (with Cyber Monday). Then it became Cyber Week and now some businesses are doing sales for the full month of November.
This isn’t being driven by the businesses; this is being driven by the consumer who is desperate to get a bargain.
3. Baby Boomer Wealth Transfer
The retirement of Baby Boomers will accelerate in 2025, marking a generational shift in wealth and business ownership. Over £5 trillion is expected to change hands globally between now and 2050, and the UK will be no exception, according to data from abrdn investments
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Hide AdThis transition presents a big opportunity for younger entrepreneurs wishing to take on more traditional businesses or for businesses looking to scale via mergers and acquisitions.
Many traditional businesses have been built over decades and have strong foundations (loyal customer bases, reputations, well-known brands) but often lack modern systems, technology and marketing approaches, making them ripe for transformation.
For those willing to invest the time and energy, taking over these businesses could be a lucrative move.
4. Hybrid Working To Be The Norm
Despite the pressure of returning to the office, hybrid working will continue to become the “new normal”.
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While remote work remains popular amongst many employees, there’s an increasing trend of employers who want to get their people back in the office. Amazon, as an example, recently controversially mandated all staff back to the office five days a week in a bid to preserve the company’s culture and return to a pre-pandemic reality.
But having got used to working from home, not all employees want to be back in the office five days a week.
And as a result, I think we will find a balance where businesses adopt structured hybrid models that balance flexibility with the need for face-to-face interaction. Such as working 1-2 days in the office and the rest at home, as we have always done at Yatter.
5. Traditional Markets Disrupted by Technology
Technology continues to challenge the status quo and 2025 will see traditional markets face disruption at an accelerating pace. From waste management to home services, industries that have historically relied on traditional practices are ripe for innovation.
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Hide AdIndustries that are notorious for poor communication and inconsistent service quality will start to be disrupted by those who embrace technology. Those offering streamlined booking, transparent pricing and guaranteed standards are already gaining traction.


By 2025, these platforms could redefine customer expectations, making it harder for traditional businesses to compete without adopting similar tech-driven approaches.
The year ahead promises both uncertainty and opportunity.
Like 2024, and the previous few years since the pandemic, 2025 will undoubtedly have its challenges, but businesses that embrace change, invest in technology such as AI, and stay attuned to shifting consumer behaviours will be best positioned to thrive.
As the landscape evolves, one thing is clear: agility and adaptability will separate the best from the rest.
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