The weakening in the ad market is due to digital disruption, activist investors and the low cost of capital money, WPP CEO Sir Martin Sorrell told CNBC.
While the the current outlook is bleak, digital disruption provides opportunities for growth, Sorrell said.
"It's the digital disruption in consumer consumption of media, the digital disruption you see in distribution, and the digital disruption you see in production through 3-D printing, and digital forms of production, autonomous cars, electrical cars, whatever it is disrupting legacy models," Sorrell said on CNBC's "Squawk on the Street."
"It's all of the above. That for us is a bigger opportunity."
About 41 percent of WPP's $20 billion revenue comes from digital sources, signaling the company has made the transition to today's digital world, Sorrell said. Still, he sees opportunities to expand.
Google partnering with Wal-Mart to offer voice-enabled shopping — which will directly competeagainst Amazon — was an example of how companies can adapt to changing purchasing behavior, he noted. Sorrell said earlier in July that WPP would be investing heavily in digital services, particularly with Google and Facebook.