This Time It's Different

The Grand Fromages of media and marketing seem to have agreed that this recession is in fact a chance to 'reset' the industry.  By which, I think they mean, finally ditch old-fashioned processes and assumptions and define a new path in line with a digital world, where the majority of content is being produced by the people who used to just consume.  In fact, this has been the Grand Fromage soundbite of choice for quite sometime.  In practice it will (still) all come down to that old integration business.  But not the type of integration where a major network agency pays top dollar for a digital ninja to wheel out in client meetings, only to then pop them back in their playpen while the grown-ups go and make some TV ads.  Oh no.  This time it's different. Why?  Because the clients say so.  As Brandweek notes:  "The recession is also putting more pressure than ever on the age-old challenge for marketers: integration. All of the panelists expressed some level of frustration that they couldn't better integrate campaigns with their disparate agencies. The blame ends up lying on old structures. Clients have their own silos that don't communicate well, which is matched on the agency side. When integration does happen, the client executives said, it pays off in spades."  We understand the agencies say.  We will change.  Never again will we reach for the warm fuzzy haze of TV advertising.  We do understand that our previous behaviour has been unacceptable and occasionally destructive.  Please give us another chance.  This time it's different.

Comments

[Hamlton Wallace]

I had to smile at your humility at the end: "Please give us another chance." And your honesty. As an industry we probably do owe our clients an apology for being slow to transition into all things digital. We followed instead of leading. And you are very right, this time it is different.

[James Cherkoff]

Thanks Hamilton, why do you think it will be different this time?

[Michael West]

Great post!

From my experience over the last 6-9 months major clients have significantly reduced marketing spend and subsequently media integration. One challenge client’s face is they still measure ROI per unique channel, i.e. Direct Mail, TV, Press, Search and usually have no reliable way measure the full effect of digital integration, i.e. the spillover from one channel to another. The Finance team says "the search channel delivers new customers for £5, so why are we paying £150 per new customer for those digital banners, let's cut the investment". However, it’s the banners driving the awareness and consideration! When you can measure the results for integrated campaigns then you can share the data and breakdown the silo's within the agency and with the client too.

[James Cherkoff]

Thanks Michael, I think you are bang on when it comes to the thorny issue of measurement across channels. The whole industry is still completely siloed and agencies look to sell clients on their bit of the pie. And the metrics support and sustain this. In my experience, the big networks and agencies like to talk integration but the reality is very different. Feels like it needs a BIG jolt to change it. Will this recession be it? I somehow don't think so.