As marketers discover that production costs are consuming too much of their digital marketing budgets, they seek solutions. Deliver, which is the global digital production agency for WPP, presents the business case for digital production offshoring.
1. The Business Case for Digital Marketing
Production Outsourcing
Highlights from the latest
Deliver eBook
2. Agenda
What is Digital Marketing Production anyway?
The benefits of breaking up – creative & production that is.
The business case – achieve savings & efficiency by rethinking
how digital marketing gets done
Leading companies are reaping the benefits, how can you?
Getting started.
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3. It’s that time of year…budget time
and marketing budgets aren’t getting
any bigger.
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4. Did you know:
Production costs typically
represent 30-50% of a company’s
annual digital marketing spend
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5. What if you could
Save 20-50% on your digital
marketing production costs?
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6. you could invest in
That’s $
reaching more customers
Through: more channels
with more Programs
or savings to put back
to the bottom line.
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7. Let’s start with the basics..
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8. What is Digital Marketing Production anyway?
The process by which creative ideas and assets are translated into
an array of digital media so that the right messages are delivered
via the right channel at the right time to the right users.
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9. Decoupling creative & production; why some things are
better separate than together
Decoupling allows creative & production
teams to focus on what they do best
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10. The business case for digital production decoupling &
outsourcing rests on 5 key pillars
Digital Marketing Production Outsourcing Business Case
Cost-effective Team and Standard Global Templates
staff activity & optimized delivery and
consolidation processes model automation
implementation
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11. Executing on the 5 pillars typically results in savings of
20-50%
Templates and
Cost automation
Saving
Global delivery model
implementation
Standard & optimized
processes
Team and activity
consolidation
Cost-effective staff
Production Volume
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12. Pillar One: Cost-effective staff
For example, WPP Deliver has:
10 Full service production hubs 1,300+ Production and
technology experts
Cost-effective markets provide a 30-60% savings over US or Western rates
Highly-skilled teams offer a full range of skills, expertise & quality
A good digital production outsourcing partner has scale to help clients
source the right skills & production locations to meet business needs
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13. Pillar Two: Team and activity consolidation
Uneven supply & demand of Stable utilization of resources
resources Add staff quickly when
Skill duplication needed
Investment in senior staff More effective utilization of
across multiple agencies senior staff: 3>1
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14. Pillar Three: Standard & optimized processes
Improves consistency and quality
Allows production and creative teams to transition
seamlessly between different work streams, project
teams, campaigns or online properties
Reduces total resource hours required for a job
Shortens turnaround time
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15. Pillar Four: Global delivery model implementation
1. Central team creates
concepts
2. Local clients select and
customize
3. Centralized production
team executes
Model Benefits:
Enforces brand standards
Ensures the most efficient reuse of creative, content and assets
Maximizes impact of local marketing budget
Drives buy-in and coordination of global and local clients
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16. Pillar Five: Templates and automation
A good production template:
Minimizes the effort required per piece
Reduces costs and turnaround times
Maximizes creative flexibility
Helps ensure brand consistency
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17. What determines the level of savings
The more times you reply yes, the greater your potential for savings
Cost-effective Do you have a moderate to high volume of digital production?
Staff Are the staff costs for your current agency (or agencies) high?
Consolidation Do you have more than one agency (or team) doing production work for you today?
Standards Do you have inconsistent, inefficient or undocumented processes?
Do you have problems with process compliance?
Globalization Do you have multiple regions?
Is your product/brand similar globally?
Do you not have global campaigns – or are your global campaigns executed incorrectly in the
local markets?
Templates and Do you not have templates?
Automation Do you not utilize a production automation tool?
Do you create multiple versions of similar deliverables?
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18. The business case in action
Challenge:
An automotive company used six Step Savings
separate US-based creative Decoupling and migration from US based
agencies to support the digital production staff to cost-effective location in
marketing needs of nine brands LATAM 25%
Some standard tools and Consolidation from 6 agencies to 1 15%
processes are in place, but they Reduction of senior management and
are difficult to utilize and enforce administrative staff
across multiple agencies Improved annual utilization rate allowed
Solution: fewer total FTE
Decouple and consolidate to a Reduction in burden on internal support
single production agency with staff (IT, legal, procurement)
staff in LATAM Standardization and optimization of
Results: processes resulted in increased productivity 7.5%
Templating of appropriate assets resulting
By year two, the solution was
delivering approximately 44% in increased productivity and faster
savings year over year turnaround times 5%
TOTAL COMPOUND SAVINGS 44%
Standards compliance improved
and IT staff had their agency
support workload considerably
decreased
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19. The roadmap for getting started
Understand your current needs
Find the right partner
Perform a complete assessment
Develop a phase and transition plan
Reward participation
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20. Learn more at:
www.deliveroffshoring.com
Read about Digital Marketing Production best
practices at:
www.deliveroffshoring.com/blog
Ben Rolly, VP, Deliver
brolly@deliveroffshoring.com
+1 (212) 210-3057
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