Publishers Grapple with a Deepening Identity Crisis Amid Data and AI Pressures

The identity challenge: when most readers remain faceless

In a revealing new study, Wunderkind’s Publisher State of the Union survey—released on September 3, 2025, capturing responses from 50 U.S. and U.K. publishers gathered in July—uncovers a fundamental breakdown in audience recognition. A staggering 84% of publishers can identify fewer than a quarter of their website visitors, while only 12% report having a robust first-party data or identity strategy, and just 14% describe their strategy as mature enough to identify a significant portion of their audience.

This weakness looms large as the industry accelerates toward a cookieless future: although 38% of respondents voice confidence in some progress, the survey highlights a disconnect between perception and actual capability.

AI worry grows—publishers scramble for mitigation

Amid these data blind spots, publishers also report mounting anxiety over the impact of generative AI. Half of the respondents express moderate concern about traffic erosion due to AI. Editorial teams and audience development units are the most proactive, with 77% and 55%, respectively, exploring mitigation tactics. Most pursued increasing direct audience engagement (52%) and creating unique content (44%), while only 30% implemented technical defenses like restricting AI scraping.

Revenue strategies split—but diversification is uneven

Publishers are eyeing multiple revenue paths. Programmatic advertising leads expectations, embraced by 36% of respondents—especially managers and ad operations teams (each 50%). Direct-to-consumer revenue isn’t far behind at 34%, with VPs (62%) and revenue heads (50%) showing the strongest support.

Nearly 48% are experimenting with new revenue streams—such as subscriptions, e-commerce, and events—steered by C‑Suite executives (60%) and revenue roles (75%). Meanwhile, 38% report successful diversification, particularly among directors (53%) and editorial teams (45%), yet only 4% believe their efforts are mature.

Current monetization still relies heavily on subscriptions (70%) and branded content (72%), with programmatic advertising at 62% overall—but it drops to just 40% among executives, signaling implementation gaps. Affiliate and commerce content remain underutilized at 30% and are entirely ignored by revenue leaders (0%).

Email strategies lag despite acknowledgment of importance

While 84% of publishers recognize email as a critical channel, only 18% actively personalize content. Newsletters largely serve ad (70%) and subscription (60%) revenue goals, but deeper audience engagement lags at 46%, highlighting considerable unrealized potential.

Fragmented tools, fractured data: a tech stack in tension

The technology stack is robust yet siloed: 74% value ad platforms most, followed by content management systems (66%) and email service providers (48%). However, data unification remains challenging—56% struggle to integrate across systems, 40% report unresolved issues, and 44% are just beginning to address these problems.

Social’s role modest, AI adoption uneven

Though 58% consider social media either very or critically important, its strategic role remains modest. Most publishers use social primarily for brand awareness (80%) and traffic generation (70%), with just 52% focused on cultivating engagement or community. Only 12% see social media as imperative to their business strategy.

AI tools are gaining traction, but adoption varies widely. Overall, 30% of publishers use AI for content optimization or personalization. Uptake is strongest among VPs (62%) and revenue leaders (50%), while 22% abstain entirely; that number jumps to 75% among ad operations and 43% in product/UX roles. Editorial and audience development teams again lead in AI deployment.

Cross-functional collaboration is improving—results are mixed

While 56% of publishers report enhanced cross-team conversations, only 20% say these collaborations have produced concrete business outcomes. Operational pressure is mounting, with 34% citing resource constraints and 56% pointing to persistent data unification hurdles.

Lack of agility undermines strategic resilience

Most publishers (64%) maintain static goals despite shifting market dynamics, while only 10% describe their strategies as flexible and adaptive—a potential liability in times of economic downturn or evolving platform norms.

What publishers plan next: priorities that miss a key link

Leading technology priorities include subscription management platforms (68%), particularly among revenue leaders (100%) and C‑Suite executives (80%); AI-driven content optimization comes next at 56%, with strong interest from product/UX teams (59%) and executives (80%). Surprisingly, identity solutions are far down the list at just 12%, revealing a critical strategic blind spot.

Why this matters: the identity gap threatens publisher sustainability

Publishers are trapped in a paradox: their core revenue models—advertising, subscriptions, branded content—depend on knowing their audiences. Yet, the vast majority can’t identify who visits their pages. Meanwhile, AI shifts and cookieless realities demand identity-first strategies that few have fully embraced. As growth hinges on trust, personalization, and agile monetization, overlooking identity strategy could prove costly.

Even as leaders push into subscriptions and event-based revenue, their efforts lack maturity. Email and social channels offer “low-hanging fruit” for rebuilding direct relationships—but personalization and engagement are underutilized. Fragmented tech systems and a lack of data cohesion only deepen operational inefficiencies.

AI, paradoxically, represents both the threat and the opportunity. Used proactively—especially by editorial and revenue teams—it can drive personalization and content optimization. But technical adoption must align with cross-functional alignment to yield tangible results.

In summary

Publishers in 2025 stand at a crossroads: identity crisis meets technological fragmentation. Despite revenue diversification and AI deployment, bridges between strategy and execution remain fragile. Without stronger identity foundations and more unified systems, publishers risk losing ground in the shifting digital media landscape they helped build.