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Aquent/AMA Webcast: How To Do More With Less: Exploring Decoupling Strategy and Execution for Marketing Projects

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In an evolving marketplace, brands are required to have an active presence in a wide variety of traditional, social and mobile channels. Despite the complexity of the current marketing environment, doing more with less is the new normal.

There has been much discussion in the C-suite about how to achieve aggressive marketing goals, yet reduce marketing spend, without compromising the brand. Consolidating agencies, paying for performance, and reducing broadcast spend are common alternatives. However, one idea that is gaining momentum and delivering results is the practice of “decoupling.”

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Aquent/AMA Webcast: How To Do More With Less: Exploring Decoupling Strategy and Execution for Marketing Projects

  1. 1. How To Do More With Less:Exploring Decoupling Strategy and Execution forMarketing ProjectsThere has been much discussion in the C-suite about how to achieveaggressive marketing goals, yet reduce marketing spend, withoutcompromising the brand. Consolidating agencies, paying for performance,and reducing broadcast spend are common alternatives. However, one ideathat is gaining momentum and delivering results is the practice of“decoupling.”Decoupling is a strategy that works; brands around the world are adoptingthis very effective strategy and saving real marketing dollars.Find out more in this webcast, presented by Tom Reynolds, Vice President,Enterprise Solutions, at Aquent Studios.
  2. 2. AMA Webcast:How To Do More With Less: ExploringDecoupling Strategy and Executionfor Marketing ProjectsPresenters:Tom Reynolds, Vice President, Enterprise Solutions, Aquent StudiosModerator:Alli Libb, American Marketing AssociationSponsored by:The audio portion of today’s presentation is available via broadcast audio.You can also dial in to hear audioParticipants (US & Canada, Toll Free): 800.945.9434International Participants: +1 212.231.2907
  3. 3. The Evolution of Email: Essentials for Campaign Success May 24, 2012 A Full Day Online ForumLearn more at marketingpower.com/EMAILVX
  4. 4. Housekeeping Items Recording and Slides You will be provided with a recording of today’s presentation and a PDF of the slide deck Twitter Please reference hash tag: #AMAAquent, when tweeting about this webinar
  5. 5. Today’s Presenter Thomas Reynolds Vice President, Enterprise Solutions Aquent Studios •Works to create the most efficient and cost effective models for clients’ marketing projects •Provides executive oversight on all major accounts, ensuring that clients receive the right resources at the right time  
  6. 6. How To Do More With Less Exploring a Decoupling Strategy for the Execution of Marketing Projects Presented by Thomas Reynolds Vice President, Aquent Studios 18 April 2012
  7. 7. Marketing Budget TrendsSurvey: Has your marketing budget increased, decreasedor remained flat for 2012? 8
  8. 8. Marketing Budget Trends CMO Survey states there will be a modest increase of 8.1% in marketing budgets in 2012 yet there will be a decrease of 39% in hiring. More work, less people! 9
  9. 9. Recent Cost Reduction Trends Agency consolidation“Earlier this month, GM executives told analysts at a dinner meeting in New York that the company expected to save $2 billion over five years from the consolidation of advertising agencies, globally.”MoneyNews | March 27 ,2012 10
  10. 10. Recent Cost Reduction Trends Pay for performanceCoca-Cola Co. is trying to start an industry wide movement toward a "value-based" compensation model.Basically, this arrangement promises agencies nothing more than recouped costs if they dont perform, but profit markups as high as 30% if their work hits top targets. 11
  11. 11. Recent Cost Reduction Trends Decrease in broadcast spendRespondents to the Association of NationalAdvertisers/Forrester study of nationaladvertisers said their TV ad spending willremain flat this year. They also reportedallocating only 41 percent of their mediabudgets to television last year (2010)versus 58 percent in our 2008 survey.In 2012, TV ad spending will account for 47 per cent ofbudgets, up six per cent from levels recorded in 2010, theANA reported. 12
  12. 12. DecouplingWhat it is: What it is not:  Separation of  Separation of tactical versus tactical versus strategic strategic tasks initiatives. or activities. 13
  13. 13. Decoupling Survey: Have you tried a decoupling strategy in the past or currently have one? 14
  14. 14. Decoupling: the Approach tier 0 strategic design - agency relationship complexity and strategic importance tier 1 original design tier 2 design from seed piece tier 3 produce from template tier 4 self-serve 15
  15. 15. Decoupling: the Approach 16
  16. 16. Decoupling: the Approach complexity c revisions/ complexity b complexity a adaptations, few multiple steps/ multi-stage, many stakeholders stakeholders, rework steps/stakeholders, pre-existing design original design 18 % 3% 2% strategic importance 1strategic importance NASCAR externally facing, high brand/ brand guidelines sponsorship revenue impact event collateral revision campaign 24 % 17 % 14 % strategic importance 2 external with moderate brand/revenue impact publications/ ads solution/selection guide webcast 12 % 8% 9% strategic importance 3 internal, or external with low revenue impact poster - internal web landing pages training video complexity 17
  17. 17. Criteria for Decoupling: TieringStrategic Importance Criteria 18
  18. 18. Criteria for Decoupling: Tiering, con’t.Complexity Criteria 19
  19. 19. Decoupling: Alignment of Resources tier 0 Agency of Record complexity and strategic importance tier 1 Internal or Agency tier 2 Internal or Brand Execution tier 3 Brand Execution tier 4 Brand Execution 20
  20. 20. Case Study  Large agency was expensive  Serious budget pressures  Irregular brand compliance  Long cycle times were inefficient  Tactical initiatives assigned to expensive agency resources 21
  21. 21. Case Study (con’t.)  60% savings in execution work  Streamline workflow with cost effective resource alignment  Improved focus on execution detail  Shorter cycle times = improved speed to market 22
  22. 22. Case Study (con’t.) 23
  23. 23. Decoupling Clients 24
  24. 24. SummaryMore with LessBe smartEvaluate your strategyConsider decouplingDo it rightChose the right partners 25
  25. 25. Thank youContact me at:treynolds@aquent.com617.535.4541 26
  26. 26. Questions and Answers How to Submit Questions • Submit questions using the chat box located on the left-hand side of your screen. • Submit questions via Twitter by referencing the hash tag #AMAquent Additional Questions? Contact our speaker at: treynolds@aquent.com General AMA Questions can be sent to: alibb@ama.org
  27. 27. Thank You for your Participation! Additional Questions? Contact Tom at: treynolds@aquent.com General AMA Questions can be sent to: alibb@ama.org Recording and slides A presentation recording and slide deck will be sent to you Twitter Please reference hash tag: #AMAquent, when tweeting about this webinar Today’s Presentation was brought to you by the ReadyTalk Web Conferencing Platform. If you are interested in learning more about ReadyTalk and their services, please visit www.ReadyTalk.com/AMA

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