Ad agencies must evolve or be written into history!
The consensus is that the general structure of how the ad industry has functioned for the last 15 years is slowly crumbling. Advertising dollars used to follow a very strict cash flow funnel that digital disruption has massively disturbed. No longer are the days that agencies hold all the trade secrets to succeeding in market or having a stock pile of all the best creative talent.
Advertisers and Brands of all sizes are smartening up, tightening their belts and closing their checkbooks in favor of bringing the creative work closer to home and even in some cases entirely in-house. Some agencies are left dumbfounded. The truth is, you can’t blame them. You’ve been overcharging, padding timelines and keeping your clientele in the blind for years. Of course I am generalizing here but it’s a sad fact that we saw this coming.
Advertisers want transparency. They want to know that every dollar spent is making a difference and is fully accounted for. While its understood that large agencies have many mouths to feed, sometimes the associated costs are simply exorbitant amounts and the breakdown’s provided are stretching the facts. They’ve discovered working directly with digital art/production talent and utilizing today’s on-demand programmatic exchanges are the most effective ways to bring these costs down. This also puts all the data back in the advertisers hands, so they can make informed decisions on how to proceed next in the marketplace.
Given that digital production is my field of expertise, well it’s a win-win for me but there’s hope for agencies too. They just have to evolve. They also need to reduce costs, trim the fat. Perhaps keeping only the essentials. As the seasons expand and contract the amount of work passing through the company, you could also utilize off-site top-tier talent to supplement your team without adding long term expenses and overhead.
With targeting becoming ever more so accurate, creating several different campaign pieces that can be segmented to each audience appears to be the way forward. Agencies may feel like this in theory is a gold rush. I mean the advertisers essentially want more creative then ever before…but they also want it for less.
Espro Creative offers 15 years of hands-on creative production industry experience, fully transparent flat or hourly optional rates, expedited timelines and one-on-one creative media support. Riding the digital wave, the future is in motion. I can help your company evolve too. Inquire for details.