1. How MANY suppliers do you have?
• Do you have enough SUPPLIERS for your marketing effort:
• Or do you have too many suppliers for the MARKETING team?
• How do you calculate EXACTLY the right balance for your agency network:
2. Who are your BEST suppliers?
• How do you RANK marketing supplier performance:
• Why are they valued, and how do they create VALUE for you:
• What is their EXACT expertise, and what do they do “as well”:
3. How much do you SPEND on marketing?
• How much do you spend on MARKETING:
• What else is purchased with the marketing budget:
• How is your marketing budget BALANCED:
4. How does your INVESTMENT stack up?
• Since the GFC the marketing industry has changed – structural changes in off-the-page advertising preceded the social media explosion, but not online sales channels.
• And desperate ad agencies have been finding new models for their remuneration structure: is yours new, or pre-2009?
5. Who are your suppliers WORKING for?
• Who pays your agencies, really:
• Are YOUR suppliers too QUALITY driven:
• Are your suppliers part of a global or local network:
6. How do you RANK them?
Do their CORE competencies support your core business needs?
7. How do you WORK with Marketing?
• How do you persuade the CMO that Procurement has a role:
• How do you show that you understand that an agency relationship is different:
• What can you bring:
• Much has changed in the MARKETING industry in the last FIVE years:
• Budgets have been chopped since the GFC.
• Desperate agencies have been finding INNOVATIVE ways to charge.
• MARKETING money is an investment not spend:
• Payment by results is a new science.
• Search engine optimisation the new secret formula.
• The key to good marketing savings is threefold:
• Benchmarking your costs with the best-in-class marketing producers.
• Improving your marketing processes, not haggling down fees.
• Aligning your agency choices directly with your marketing STRATEGY.