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The agency landscape
High value, strategic
Low cost, tactical
Short-term Long-term
New demands
Mass, Populist
New, New Tech
High value, strategic
Low cost, tactical
Short-term Long-term
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.6
The IPA client relationship group
Leigh Thomas (Cha...
The new why
The brief
The Hall & Partners team
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.10
1
Discussion with the IPA
Agency Group
24
Senior m...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.11
The agencies
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.12
The clients
A relationship breakdown…
it’s emotional
Pointing fingers. Blaming each other
An open debate to create a Shared Agenda to deliver new value
Feeling less valued
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.19
They do not value us as much as they once did.
Our...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.20
Struggling to deliver better, faster, cheaper
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.21
Clients want it all, they want it now, want it to ...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.22
Drifting downstream together
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.23
We are slipping further and further away from the ...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.24
Being told to work collaboratively
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.25
Collaborate they say. We try. But it is becoming h...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.26
Not getting paid fairly
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.27
The industry has become diversified and pluralist,...
Access to wider parts of the business
New reward models and fair payment
Clients to establish clear principles and models ...
More negative, than positive
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.32
Seen as selling, not listening
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.33
They come in on talk mode. It’s all about what the...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.34
Not understanding their world…
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.35
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.36
Narrow view of the Marketing Director role
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.37
Agencies need to “get with the programme”. Most ha...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.38
They think, wrongly, that a Marketing Director is ...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.39
Not understanding their customers’ world
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.40
Shoreditch microcosm of people coming out of the s...
Not understanding the new world
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.42
Not just advertising. Not just TV. Not just digita...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.43
It’s about connected customer experiences
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.44
Ad agencies are still focussed on old school adver...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.45
Our brand has evolved, from being a challenger to ...
Agencies claim to do everything
when specialist skills required
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.47
I’ve been disappointed in the past by agencies tel...
Agency people no longer have a monopoly on talent
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.49
The industry is just not attracting smart new, div...
Greater commercial awareness
A broader creative contribution
Beyond comms, more focus on customer experience
Commercial cr...
Confidential & Proprietary. Not For Public Distribution. Do Not Copy.53
Danger
Innovating fast
Building in-house talent
Blurring the lines of internal external
Leading integrated teams themselves
Devel...
Long-term commercial partner?
or
Project-based specialist?
Creating great communications?
or
Creating great customer experiences?
Consultancy that orchestrates and integrates?
or
Deliver solutions within your specialism?
Greater commercial focus and responsibility
Focus on long as well as short-term goals
Articulate how purpose underpins cus...
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
The Future of the Client Agency Relationship - A presentation by Hall and Partners
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The Future of the Client Agency Relationship - A presentation by Hall and Partners

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in 2015, the IPA commissioned research on the future of how agencies work with their clients. The findings were presented at the IPA Commercial Conference. They discuss the development of a shared agenda to rebuild trust and explore concepts around communications and customer experience.

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The Future of the Client Agency Relationship - A presentation by Hall and Partners

  1. 1. The agency landscape High value, strategic Low cost, tactical Short-term Long-term
  2. 2. New demands Mass, Populist New, New Tech High value, strategic Low cost, tactical Short-term Long-term
  3. 3. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.6 The IPA client relationship group Leigh Thomas (Chair) Dare Joyce Kelso Head of Groups Richard Alford M&C Saatchi Jason Cobbold Redscout James Denton-Clark Karmarama Kate Cox Bray Leino Helen James BBH Pippa Glucklich SMV Group Sarah Hennessy MEC Global Sara Tate Mother Mark Boyd Gravity Road
  4. 4. The new why The brief
  5. 5. The Hall & Partners team
  6. 6. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.10 1 Discussion with the IPA Agency Group 24 Senior marketing clients 25 Agency CEOs and leaders
  7. 7. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.11 The agencies
  8. 8. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.12 The clients
  9. 9. A relationship breakdown… it’s emotional
  10. 10. Pointing fingers. Blaming each other
  11. 11. An open debate to create a Shared Agenda to deliver new value
  12. 12. Feeling less valued
  13. 13. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.19 They do not value us as much as they once did. Our relationships are weaker, shorter, with more and more pitching We only hear half the conversation sometimes. You know there is a conversation before the meeting and it goes on after the meeting I sense they do not trust us, they hold back. We no longer feel we get the full picture There is a diminishing acknowledgement of agency capabilities There is an inherent tension in the working relationship and an increasing lack of love and respect for our industry Fundamental mistrust between many of us. I don’t feel they value our talent and skills as they once did We are rarely honest with each other about decisions or how each other feel about ideas. It's essential that there is honesty from both the client and agency A fragmentation of strategy has led to so many people being involved. This has bred a culture of mistrust
  14. 14. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.20 Struggling to deliver better, faster, cheaper
  15. 15. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.21 Clients want it all, they want it now, want it to be great and they expect it to be cheaper Clients are demanding acceleration of delivery. We are struggling to keep up with demands More pressure to deliver cheaply, less resource to do it, more frustration, more blaming We are chasing bottom lines and being forced to push products and services that make the most revenue. It is harder to always consider what’s best for the client and brand Procurement has become ever present, driving down cost at the expense of time to deliver properly All our clients are putting us under increasing pressure, as they are under pressure. It’s a vicious cycle It’s getting faster and faster and faster. There is a the danger of losing the essence of what makes agencies strong The need for speed is turning what we do into a commodity and harming the value of creativity
  16. 16. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.22 Drifting downstream together
  17. 17. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.23 We are slipping further and further away from the top table discussion We’ve become implementers of short term tactics focussed on short term sales. I’m involved in fewer discussions about long term brand strategy Marketing’s own ground is shifting, this is leaving us out in the cold We are getting stuck with mid-level marketers who lack accountability and sight of the top-table agenda We’re no longer connected at CEO level. Now seen amongst a bunch of other agencies The brand discussion has become an internal organisational discussion, no longer limited to just products and services. We’re not always involved in this discussion More and more are asking for content that is delivered across devices, aligned to what audiences need and want They once looked to us for advice on the strategy but now they are looking at so many others as well
  18. 18. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.24 Being told to work collaboratively
  19. 19. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.25 Collaborate they say. We try. But it is becoming harder and harder. We have to learn new skills in collaboration Clients said they want integrated full service, one-stop shops. A dream team, cream of the crop but what agencies deliver is integrated mediocrity, with no clear navigation tools The client rarely creates an environment where agency collaboration is possible. Clients need to elect a lead, otherwise it doesn’t work The lead agency is often too controlling, wanting to champion their creative idea, rather than solving the real consumer problem Agencies are sometimes at fault when it comes to collaboration. Not being true to their specialism and saying they can do it all There is no incentive to collaborate at the moment. Although some clients are beginning to build it into their appraisal systems Clear ideas should be centrally nurtured - controlled and radiated out through the centre
  20. 20. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.26 Not getting paid fairly
  21. 21. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.27 The industry has become diversified and pluralist, the implication is spend is now divided up across more suppliers. There is less to go round We’re not getting paid for the true commercial value of our ideas The conversation increasingly about the reduction of cost when it needs to be value versus cost The dynamic with procurement can be very counter to clients explicit request for a ‘partner’ We need to get better at engaging with procurement
  22. 22. Access to wider parts of the business New reward models and fair payment Clients to establish clear principles and models for collaboration Space to deliver creative excellence and build long-term value Involvement in broader strategic discussions Clear KPIs and incentives for collaboration
  23. 23. More negative, than positive
  24. 24. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.32 Seen as selling, not listening
  25. 25. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.33 They come in on talk mode. It’s all about what they think I should be doing Some agencies monopolise all the meetings, sucking all the oxygen out the room They are like nagging children, they have no awareness that they are only a small part of my role Being part of the team and integrated required knowing what’s going on, how I work Agencies should break up current operating models where account teams are gatekeepers to planning and creative. They think about how to innovate in how they service clients, be quicker and better at collaborating, think about offering up payment by results
  26. 26. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.34 Not understanding their world…
  27. 27. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.35
  28. 28. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.36 Narrow view of the Marketing Director role
  29. 29. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.37 Agencies need to “get with the programme”. Most have not moved to anything like the P&L driven, dynamic environment in house marketing teams have to operate in Agencies still overly "creative driven" - they never arrive at a conclusion that is focussed or driving the business Knowledge sits high up in the agencies, but those aren’t the people who work on my account They don’t understand the numbers and can’t build business cases, particularly creative agencies They put their P&L first rather than bringing to life their own specialism in an ecosystem of specialists. You can’t be all things to the client It's time to focus on solving the business problem and think of yourselves as brand people, strategy custodians. Think big picture The strategic discussion is shifting away from communications towards customer engagement and product innovation
  30. 30. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.38 They think, wrongly, that a Marketing Director is all out creative, when in fact less and less of their time is spent on that I need people who understand my business, are wise and have a way of getting to the hub of the business, but without being too geeky Agencies need to understand the marketing jigsaw, why and how decisions are made Internally we are getting involved in the sign-off process, outside of marketing. We now need to co-create with non-marketing functions They don’t all get it. Our focus is being more direct with end customers
  31. 31. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.39 Not understanding their customers’ world
  32. 32. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.40 Shoreditch microcosm of people coming out of the same mould, they have no idea about the real world A lot of people in the industry like to navel gaze and aren’t streetwise or connected to the consumer I don’t think any of them have ever been into an ASDA store, they shop at Whole Foods My agency doesn’t know how to communicate with the 18-24 year old audience, no one at their agency seems able to develop a campaign that keeps them engaged They used to know our customers, but that planning skill has become executionally focussed Agencies need to come in being almost a management consultant - this is a very useful thing for clients. This it too often seen as the unglamorous part of the role I’m seeking a partner agency that is less reactive and more proactive, identifies ideas that can transform my business
  33. 33. Not understanding the new world
  34. 34. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.42 Not just advertising. Not just TV. Not just digital.
  35. 35. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.43 It’s about connected customer experiences
  36. 36. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.44 Ad agencies are still focussed on old school advertising with its sparkly veneer They still think it is about the ads when it’s about so much more It is now all about creating engaging experiences, most agencies seem to have missed this shift, still thinking it is about communications When they talk digital, it is still comms, whereas I am thinking service innovation Digital overblown as ‘new’ now – its just another channel. It needs to be more joined up across delivery Is now all about putting customers first and designing seamless experiences (driven by technology and innovation)
  37. 37. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.45 Our brand has evolved, from being a challenger to being more credible and purpose driven Less brand-centric and more about connecting with consumers, being relevant. There is a corresponding shift in how you use content and channels Agencies need to start demonstrating platform neutral innovation The strategic discussion is shifting away from communications towards customer engagement and product innovation Understanding and loving the business is what agencies used to do. They also need to come up with product ideas, not only repositioning the brand
  38. 38. Agencies claim to do everything when specialist skills required
  39. 39. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.47 I’ve been disappointed in the past by agencies telling me they do everything, but then they can’t deliver, or at best they partially deliver Specialise rather than generalise – think about it, can one agency really be the best at everything? Do your clients really believe this? More and more clients are requiring specialists to go in and work in their businesses. They are also building in-house resource
  40. 40. Agency people no longer have a monopoly on talent
  41. 41. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.49 The industry is just not attracting smart new, diverse talent There is a lot of nepotism within advertising They are all fishing from the same pond Hoxton is such a different 'out of touch' world. The industry needs to do more to attract really clever people Agencies need to realise they are competing with the City and even US for good talent
  42. 42. Greater commercial awareness A broader creative contribution Beyond comms, more focus on customer experience Commercial creativity, with clear ROI More diverse talent including technical skills Genuine collaboration Better integration of specialist skills to deliver the connected experiences
  43. 43. Confidential & Proprietary. Not For Public Distribution. Do Not Copy.53 Danger
  44. 44. Innovating fast Building in-house talent Blurring the lines of internal external Leading integrated teams themselves Developing new skills to manage change Winning and developing talent Evolving new models and ways of working Working with a broader range of partners
  45. 45. Long-term commercial partner? or Project-based specialist?
  46. 46. Creating great communications? or Creating great customer experiences?
  47. 47. Consultancy that orchestrates and integrates? or Deliver solutions within your specialism?
  48. 48. Greater commercial focus and responsibility Focus on long as well as short-term goals Articulate how purpose underpins customer experiences and galvanises new behaviours Define the collaborative working model Establish clear accountability and performance measurement/ROI Broaden the diversity of talent Create fair reward models and payment structures

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