ADAPT for better commercial creativity


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Ian Priest, IPA President and Founding Partner of VCCP, outlines his ADAPT programme.

This 18 month programme aims to bring together the entire marketing and communications industry to reshape its business model and achieve better commercial creativity.

It covers five key strands: Alliances, Diversity, Profit and Talent.

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  • Commercial creativity is at the heart of my Presidential Agenda for the IPA. You’ve just seen what great looks like – creative work that works for brands and business. My ambition is to increase our strike rate – better commercial creativity MORE OF THE TIME, and IN NEW WAYS Here’s my ADAPT strategy….
  • Which means that I’m going to be focusing on 5 key areas
  • This is not just an agenda for agencies. It impacts on the whole sector. It’s industry wide. That’s why we’re recruiting marketing and procurement allies to be on an advisory council and to act as ambassadors for the programme Why at the IPA we’re getting IPA groups to join forces with IPA Council Why other industry bodies, intermediaries and influencers are invited to join – many of them are contributing to our programme today
  • My vision is to create a virtuous circle for agencies and clients to re-assess and recognise how working better together is a win-win for all parties: the business, the brands, the individuals involved.
  • Starting with today. Today’s Alliances Adaptathon focuses on better client agency relationships and the link between better client agency relationships and better commercial creativity.
  • Together we are going to explore what good looks like, how we achieve great, and how we can support each other to get there faster and better. Because if we can Adapt our ways of working to improve the quality of our relationships, the rest will follow: better commercial creativity, for brands, businesses and agencies.
  • So it’s doubly disheartening to see that, far from going up, the length of client agency relationships is going down on average. It’s more than halved in the last 25 years.
  • And in the context of relationships (or alliances) I continue to believe, and the evidence shows, that long-term relationships founded on partnership principles are best for brands and businesses – what better example than VW - over 50 years with DDB UK, 7 effectiveness awards, 3 cars in the top 10 list of best-selling cars of all time.
  • While the waste that comes from pitching is taking value out of the business, at agency, business and brand level. Imagine what an agency has to earn in income to recoup the sort of losses from an unsuccessful pitch identified in this joint research between the IPA’s New Business Group and ISBA. We’re not going to lose pitching altogether but if we could cut down on the number of pitches, and reduce the costs of pitching, brands and businesses and agencies would be in better shape.
  • So what is the better way. Well, I’m not alone in thinking that the better way starts with clients. David Ogilvy was the first to voice the view that clients get the advertising they deserve – in 1922. Jonathan Mildenhall, marketer of the year at Cannes 2013 still agrees – and he goes one step further – to say that clients get the agencies they deserve.
  • This is not just opinion. It’s fact. Here’s the evidence from Aprais – one of the biggest quantitative databases tracking the quality of client agency relationships. Thanks to Jeremy Caplin and Libby Child for making this data available. Their data not only identifies the 4 key drivers of successful relationship management from clients to agencies – namely approval processes, behaviours, briefing and timing. It also demonstrates the difference that quality makes every step of the way. A difference which can be quantified in terms of business impact. A whopping 37% difference between good and bad for creative agency output and delivery. A substantial 21% difference between good and bad for media agency output and delivery. What today’s about is understanding that difference and doing something about it. Changing behaviours to make the relationship more effective, more commercially creative.
  • It’s also about addressing the single biggest issue voiced by clients when it comes to managing the behaviour of agencies. How to get agencies to work better together. This IPA Client Services Group research positions collaboration as a sign of maturity and confidence. And that’s definitely the direction my Agenda is headed. How to make it work, not whether it can work. Accepting that we need to find new behaviours to accommodate the way our market place is changing on all fronts – technological and economic, commercial and creative.
  • So today is about tackling these topics head on – and that’s why later we will all divide up intor 3 AdaptLabs to look at working better together - at the start of a client agency relationship, at the mid points into an agency relationship, and in situations where we are one of many relationships.
  • Today is just the beginning. It sets the agenda for a programme of experiments. You are the early adapters. We are in this boat together. Together we can make a difference.
  • ADAPT for better commercial creativity

    1. 1. Adapt for better commercial creativity Ian Priest, IPA President & Founding Partner VCCP
    2. 2. The marketing and communications industry Better commercial creativity To reshape the business model to reflect an evolving and dynamic industry By adapting faster and better in 5 key areas Adapt for better commercial creativity Who are we talking to?Who are we talking to? What do we want to achieve?What do we want to achieve? How do we do that?How do we do that? Why?Why?
    3. 3. A Alliances less pitches /more partnerships D Diversification less one-dimensional/more multi- dimensional A Agility less set piece/more real time P Profit/Payment less time-based/more value-based T Talent /Training less traditional/more diverse The 5 key areas
    4. 4. Cross industry participation C L I E N T S A G E N C I E S
    5. 5. The Vision
    6. 6. Better client agency relationships Better commercial creativity
    7. 7. Setting expectations
    8. 8. Trends in client/agency relationships Source: Bedford Group Consulting
    9. 9. The value of long-term partnerships 1950 3 cars in the top 10 list of best-selling cars of all time 2013
    10. 10. The cost of pitching Source: IPA/ISBA New Business Survey 2009 Clients estimate their internal pitch costs amount to almost £32,000 Debbie Morrison, ISBA It takes 6 to 9 months to bed down a new relationship David Magliano, The Co-operative Group Agencies Clients
    11. 11. 1962, Confessions of an Advertising Man 2013, Cannes
    12. 12. Copyright © 2013 APRAIS Ltd. 12 Agency Output Better relationships = better work +37% for Creative/+21% for Media
    13. 13. Collaboration is key Source: Illuminas/IPA Client Services Group
    14. 14. Today’s focus
    15. 15. Today is just the beginning