The Future of Advertising:
“Can incremental improvement deliver the
Agencies’ future or is reinvention imperative?”
What is the PROBLEM we are trying to solve?
“Ensuring our businesses can be viable and
profitable as well as fun and purpo...
CONTEXT: Everybody knows things are
changing….
• Consumer behavior
• Tech innovation
• Media fragmentation & reinvention
•...
CONTEXT: …less clear on when the change
becomes unavoidable….
“Do I have to address this within my tenure or can we
hold o...
CONTEXT: …less clear on when the change
becomes inevitable….
• For lean forward adopters…which client sectors will move
fi...
MACHINE MACHINE
PERSON PERSON
I
N
P
U
T
I
N
P
U
T
Interaction
CONSTRUCT 1:
$
High cost ad units …………………………….Low cost ad units
Volumeofadunits
Legacy
pattern
Long tail
CHECK-POINT: What is the curre...
But how do buyers become 1,000x (or 1mmx ) more efficient…?
What does a planner do when plans dynamically evolve?
Annual B...
Mass
events
1:1
Messages
High cost ad units …………………………….Low cost ad units
VolumeofadunitsVolumeofadunits
Legacy
pattern
Wh...
MACHINE MACHINE
PERSON PERSON
Transaction
I
N
P
U
T
F
E
E
D
B
A
C
K
I
N
P
U
T
F
E
E
D
B
A
C
K
Discussion
CONSTRUCT 2:
High cost ad units …………………………….Low cost ad units
Volumeofadunits
Legacy
pattern
Mass
events
1:1
Messages
Volumeofadunits
High cost ad units …………………………….Low cost ad units
Volumeofadunits
Socially scaled
events; with
fully integrated
marketing
p...
COMPARABLES: Learning from others?
• Which industries have already reinvented? Why? How?
– Wall St
– Hollywood
– Retail
– ...
Concept:
Ated
COMPONENTS OF CHANGE:
• From….To
• Finding the optimal ‘people:machine’ balance
LOOK FAMILIAR?
CROSS-DISCIPLINARY ‘DESIGN’ TEAMS INITIATING
High cost ad units …………………………….Low cost ad units
Volumeofadunits
Socially scaled
events; with
fully integrated
marketing
p...
High cost ad units …………………………….Low cost ad units
Volumeofadunits
Socially scaled
events; with
fully integrated
marketing
p...
Ated
EXECUTED AT SPEED/SCALE (AI+MACHINE LEARNING)
Concept:
“MISSION CONTROL” & REALTIME DATA VISUALIZATION
Implications:
UNDERSTANDING THE “WHY?” AND WHAT TO DO NEXT
LEADING TO RAPID PROTOYTPING & CONTINUAL IMPROVEMENT
CHALLENGE: What is the PROBLEM we are
trying to solve?
To what extent this new construct can deliver against the four
dime...
When it comes to the future – there are
three kinds of people; those who let it
happen, those who make it happen and
those...
4A's Transformation 2014 - March 18 - Phil Cowdell
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4A's Transformation 2014 - March 18 - Phil Cowdell

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How to Get to 2020? Evolutionary Baby Steps or Revolutionary Radical Changes?
Phil Cowdell, President - Client Services, GroupM

Visit http://www.4astransformation.com for more information.

Published in: Marketing
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4A's Transformation 2014 - March 18 - Phil Cowdell

  1. 1. The Future of Advertising: “Can incremental improvement deliver the Agencies’ future or is reinvention imperative?”
  2. 2. What is the PROBLEM we are trying to solve? “Ensuring our businesses can be viable and profitable as well as fun and purposeful”
  3. 3. CONTEXT: Everybody knows things are changing…. • Consumer behavior • Tech innovation • Media fragmentation & reinvention • Content anytime anywhere any device • Data scale, complexity and speed • Privacy and confidentiality • New trading models • Disintermediation • P&L pressure & investment timelines • Accountability needs & expectations • Changing business models • etc
  4. 4. CONTEXT: …less clear on when the change becomes unavoidable…. “Do I have to address this within my tenure or can we hold off until I’m safely (profitably) retired and its someone else’s problem?”
  5. 5. CONTEXT: …less clear on when the change becomes inevitable…. • For lean forward adopters…which client sectors will move first; and what will it look like? – First movers: direct-response transactional industries (finance, travel, etc) – Slower migration sectors with less definitive or timely cause-effect linkages • Key accelerant = “Closed loop outcomes”
  6. 6. MACHINE MACHINE PERSON PERSON I N P U T I N P U T Interaction CONSTRUCT 1:
  7. 7. $ High cost ad units …………………………….Low cost ad units Volumeofadunits Legacy pattern Long tail CHECK-POINT: What is the current distribution of ad-units? $50k 5c$5mm
  8. 8. But how do buyers become 1,000x (or 1mmx ) more efficient…? What does a planner do when plans dynamically evolve? Annual Billings per Buyer Average Ad Buy Unit Units per Head per year $ 10,000,000 $ 50,000 200.00 $ 10,000,000 $ 5,000 2,000.00 $ 10,000,000 $ 50 200,000.00 CALCULUS: ‘the mathematical study of change’
  9. 9. Mass events 1:1 Messages High cost ad units …………………………….Low cost ad units VolumeofadunitsVolumeofadunits Legacy pattern What is the evolving distribution of ad-units?
  10. 10. MACHINE MACHINE PERSON PERSON Transaction I N P U T F E E D B A C K I N P U T F E E D B A C K Discussion CONSTRUCT 2:
  11. 11. High cost ad units …………………………….Low cost ad units Volumeofadunits Legacy pattern Mass events 1:1 Messages Volumeofadunits
  12. 12. High cost ad units …………………………….Low cost ad units Volumeofadunits Socially scaled events; with fully integrated marketing programs 1:1 messaging: executed at speed & scale (highly automated) Mass MOVEMENTS Personal MOMENTS
  13. 13. COMPARABLES: Learning from others? • Which industries have already reinvented? Why? How? – Wall St – Hollywood – Retail – Travel – Tech – etc • What can we learn from others? • What could our journey look like?
  14. 14. Concept:
  15. 15. Ated
  16. 16. COMPONENTS OF CHANGE: • From….To • Finding the optimal ‘people:machine’ balance
  17. 17. LOOK FAMILIAR?
  18. 18. CROSS-DISCIPLINARY ‘DESIGN’ TEAMS INITIATING
  19. 19. High cost ad units …………………………….Low cost ad units Volumeofadunits Socially scaled events; with fully integrated marketing programs 1:1 messaging: executed at speed & scale (highly automated) Mass MOVEMENTS Personal MOMENTS
  20. 20. High cost ad units …………………………….Low cost ad units Volumeofadunits Socially scaled events; with fully integrated marketing programs 1:1 messaging: executed at speed & scale (highly automated) Mass MOVEMENTS Personal MOMENTS
  21. 21. Ated EXECUTED AT SPEED/SCALE (AI+MACHINE LEARNING)
  22. 22. Concept: “MISSION CONTROL” & REALTIME DATA VISUALIZATION
  23. 23. Implications: UNDERSTANDING THE “WHY?” AND WHAT TO DO NEXT
  24. 24. LEADING TO RAPID PROTOYTPING & CONTINUAL IMPROVEMENT
  25. 25. CHALLENGE: What is the PROBLEM we are trying to solve? To what extent this new construct can deliver against the four dimensions of the business problem? Are the dimensions equally resolved or in conflict? What are the side-effects and challenges that will be triggered by executing this new mental and physical model? How should these side-effects be offset or resolved? What may be better constructs? Multiple versions, experimentation, then rationalization around new norms
  26. 26. When it comes to the future – there are three kinds of people; those who let it happen, those who make it happen and those who wonder what happened? John M Richardson Jr
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