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Ad agency changes

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Ad agency changes

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Ad agency changes

  1. 1. AD AGENCY CHANGES The Implications for You and Your Career
  2. 2. Stuff we'll cover this week. .. - Determinants of change in the advertising industry from 2004 to 2014 - Changes to advertising agency structures, services and skillsets - Impact on the jobs you'll be applying for and the skills you'll need to be successful
  3. 3. Developments 2004-2014 Figure 2: A Timeline of Major Change Influences in the Cultural Industries from 2004 to 2014 Financial crisis and worldwide recession Over 50% of Over 50% of UK adults UK adults ‘PA have own a 'e°°m""°"d5 purchased smartphone Payment '9)! goods or resuhs 5e"Vi°e The Times is remuneration onnne the first model Over 50% of newspaper UK adults 0VeI' 50% Of t° '3'-'"°h 3 regularly use UK pavwa" a social households networking haVe iPad launch site Over 505/0 of broadband UK adults i"'e"‘°t 20% of UK have access adults have 73% of UK to fibre optic accessed adults broadband the internet 3CCe55 the ITV Player on a mobile intefnet launch device 4G launch eV9|’VdaY Flickr launch Facebook Twitter launch launch iPhone launch 40D launch 2004 2005 2006 2007 2008 2009 2010 201 1 2012 2013
  4. 4. SOCIAL Audience Adoption/ Usage ECONOMIC TECHNOLOGICAL Clients Channels Budgets Formats Wider economy
  5. 5. HARD TECHNOLOGICAL OETERMINISM Technology is the sole, root cause of all change Leads economy, audience behaviour and media organisations Marshall McLuhan Advertising trade press SOFT TECHNOLOGICAL OETERMINISM Technology is an important influence, alongside other factors Client, economic and social Willliams, Finnegan and Hesmondhalgh
  6. 6. Figure 3: Hard Technological Determinist Model of Advertising Agency Change Society Audience Behaviour Influence Creative Advertising Agencies Structure, Services and Skillsets Technology Technological Innovation
  7. 7. I'll’ Lil“ ia: ;;i iiiliivi; Figure 4: Soft Technological Determinism Model Of Advertising Agency Change Macro Economic Environment Technological Innovation Outside advertising Audience Adoption Driven by social & demand factors Market knowledge Client Requirements Including budgets. appetite for innovate. mandate a cost saving Technological Innovation Inside advertising Market knowledge Reactive demand Proactive proposals Proactive proposals Creative Advertising Agency Services. structure A skillset
  8. 8. HARD TECHNOLOGICAL OETERMINISM - Radical organisational change - revolution - Massive vertical integration and mega- egency conglomerates - Digital at agency core - Obsolescence of traditional services and skillset - institutional isomorphism - Agencies struggling to keep pace with change SOFT TECHNOLOGICAL OETERMINISM - Continuity — peripheral change Horizontal integration, network formations and collaboration - Account management, planning and creative still at agency core - Diverse range of organisation structures - Agencies leading change as much as being led
  9. 9. >7 13:4’ 3 F. I I 69 ‘ at f Figure 1: The Typical Creative Advertising Agency 2004 An unbundled specialist model . :|| |.| .3| '9; ‘L up -2Client Marketing I? The integrator and coms strategist Consortium of separate agencies coordinated by client Account Management Planning Creative Media “saucy Creative Advertising Agency Structure Services skillset Ad locussed. Under one roof Low collaboration with other specialist igencies and dlsclviines. Stialairi creative concepts and execution tar auvumsmu only to run in lladilicnal paid for meal; channels l. .. rv. Dress, radio. autaoai and online Planning. account muwaleivieni and creative. mun eilhcrlise ifl advertising and creative and low EXDIIDSD in different communication display. disclpilries, Nar1ew scove and deep role based sa. ... .a. .. —Production Specie ists— eg. TV producers, Print production Other Comms Specialists Fublic relations or other communications specialists ‘e: |l: ‘l
  10. 10. Figure 5: Bray Leino 2014: A Multi isciplinary Network A bundled specialist model Business strategy and multi j client Marketing 1 Bray Leino Group ciplinary communications requirements Agency account manager as coordinator Planner to advise on appropriate channels and disciplines Bray Leino Through The Line Communications Agency Media Learning structure cave online no online adverlisxnp agency responsuble for overall comvnumcai4on. V sxmeay and cream: concepts. sepamm spemnsl husmess un-is wvlhm lhe Eviy Leino group in draw «mm for experlxsc and execution, Separate was so cllenl can pay luv a single or multiple services, Account _ Management D'9“a' Planning Creative services ‘A trunking ralher man a damp business‘ Cross channel sluteqlc. creative and busmess Xmnkmg ammo advorlrsmp exacunans only wunm cove Imenzvr others cmouqh network spncralrsls. Broad scum: ol digital services wnmn mg agency including email‘ 550, we, sue build. mm: MEGLE conununuy monagemenl and conlenl nvoaucuon T Other $p9CiallSl'lI5 j es not profitable or viable as part ol the group 15.9. print production, data and research. P. R. Events Sklllsel Channel agnostic account managers, planners and ueauves. Enlrepreneurial account manager: who can cross sen network somces Planners wnn channel plannma exvemse Snemahsl mgual smremsls. lechnoloexsls and semi media Dlanners.
  11. 11. Flame 6: Kannarama zou: A Modern Integrated Creative Agency Media Auoncv _cnonc Marketing : Modern muhimadla -nu multichannel raqulramonta Karmarama integrated Agency Al coordinated by agency account manager Account Management Planning and Analytics cnalivo Concepting content campaigns Cnatlon x. .. and la. ..» . ... . so. -. -. Pi! »-d wcul rr-G: .. ,.. n.. »., and ». .~. ... n. as-em conhnlviudr-(ban Stlllclllll A. ..a «I hank-I . .., .. Ell mil 5:-< mint . .l. .. b-nkstonrmvuttd ts. . a»n. ..«. nm. On: PAL point oi sale. brochure design and vtebsitv mmm. .. mun mum. . ..«, ... o4.n. .~: bum! yaw. .. sarviua ->. ... ... ... ... rs-I mi. .- .4.» hunt . ~l. .mW. « Dllfdovm mm . ..4 . ... «.. . um. -me xx. ..“ uuf<A : -curvy lavr~>¢vrvuIrn‘1a’I we m . ... ,«ym rmlm 19-and‘ ‘VI’-N. ‘ we. .. run W rv-akin Ioclal . .. n.. and m. .. . ... ... ,.. . . . . ... ... « _ specialist Production _ Outsourced labour Intensive specialisms Ilka PFC, SEO. print production, skillset a. .. m.. . none. » . ..4._. ».. urn‘ hznmal . .m. .». wwmw ><(§lV mar-noon u--. ... . . .m. .n. .. t«». »«. ... .l . ..u». . we. .. Itylv «Mn n. ... .., ... am. .. wlxk an . n.: ... . . ... a,. .., .m . n.ww—. . .4». n»u. y a. .nm. . n. mn. ... n.~. ..p-n 6:44 m Indyhu Dntmx an we . ..u. .. .. .m. .l . m an sw». .. mh V! l. ..«. ..; .. . comma: -lty nwu-. ... -t -«am. and . ... l.. 1. mm:
  12. 12. I wh‘Im: :I| l"'§, %‘ WI I I‘ "MI "34: L: rt. ‘ . r~I Figure 7: Johnny Fearless 2014: A Modem Boutique Creative Advertising Agency A specialist collaboration model j client Marketing 1 Marketing strategy and coordina ion Johnny Fearless Creative Specialist Agency Accou nt Management Planning Creative at Social Media Structure Services skillset . ;,. ... ,., ,_. .., ,, ? ,': §$: :'e': Smell core ol advertising locused start who collaborate with other Sptclallsls to execute ideas and extend into other disciplines Online and oiiline strategy, creative concepts and execution Social media strategy and content production. strategy and ideas tor broader ranging disciplines like sponsorship and PP. delivered by lrienotii specialists. Production Generalist account managers. Dlanners and ciealives with a core skillset in advertising and a consideration or other disciplines. Some social media Sllaleiilsts and community managers. Multichannel audIo—vISual content production. Labour intensive production requiring expensive hardware e. g. TV and print production. Services not cost etleclive to provide within the agency e. g. app production. media. PR and specialist planning consultants.
  13. 13. Key changes observed — some common themes SKILLSET STRUCTURE - Horizontal integration ° In agency, in a formal or informal network - Collaboration and co- option with specialists - Need to be flexible, adaptable and nimble SERVICES - Diversification of services - Account management, for new channels planning and creative core - Mobile, social media, A/V content SEO, PPc etc. ° High level strategy and creative concepts still central service - Generalist versus specialist skillsets - creative managers and Key creative Personnel versus Technical Workers (Hesmondhalgh 2013) - Demandapremium ' New technical roles emergin - e. g. creative technologist, social media community manager and user experience planner - Becoming more important as channels and audiences fragment
  14. 14. New skills necessary ACCDUNT PLANNING CREATIVE MANAGEMENT - Behavioural research - Digital craft skills — . Enmmmrism and insight — analytics web design, coding, _ coordination and ethnography copy - Channel planning and - Executive producer mminatio“ - Future foresight
  15. 15. Transferrable skills for all roles The ability to use both left and right brain —to think both analytically and creatively A hunger for new information, inputs and inspiration Inquisitive and innovative A huge amount of drive, determination and dedication Good creative judgement and the ability to articulate opinions on creative work Ability to collaborate and communicate effectively Entrepreneurism and good business sense “The key most valuable skillset will always be creative thinkers. ” Lisa Kilburn, CSD, Bray Leino
  16. 16. ding 6 Chandler, D (1999) Technological or Media Determinism. s Gronstedt and Thorson (1996) Five Approaches to Drganizing an Integrated Marketing Communications Agency. Journal of Advertising Research. 26 (2). ° Hesmondhalgh (2013) The Cultural Industries. 3"‘ ed. McLuhan (1964) Understanding the Media: The Extensions of Man. Williams (1990) Television, Technology and Cultural Form.
  17. 17. SEMINAR Applying Changes to Careers
  18. 18. New roles in advertising “65% of today's children under 14 will end up in jobs that haven’t been invented yet. ” US Department of Labour 10 minutes in pairs List what new roles you have heard of in advertising and share with the wider group
  19. 19. New skillsets in advertising - Split into 3 groups and take one agency model each " Bray Leino ’ Karmarama " Johnny Fearless - Update the creative skillsets job descriptions for account manager, planner and creative (art director or copywriter) for your agency - Compile a new job description for one of the new roles within you agency
  20. 20. New skillsets in advertising For each job description think about: - Work activities - Entry requirements - Skills, interests and qualities
  21. 21. “There is a still a need for an absolute thirst for knowledge, and more so than ever as it is ever changing out there . .. they have to have great creative judgement. They have to have massive amounts of drive, because no one week is the same. They need the will to win against all odds. I don’t think ostensibly those character traits have changed. ” Alistair Bryan, CED, Bray Leino
  22. 22. 5 ‘ in A A A . ‘x " “Skills wise you always go back to the key competencies. You're looking for smart, creative, entrepreneurial people who are interested in progressive and interesting ideas. That hasn’t changed. ” James Denton Clark, MD, Karmarama “What we've always looked for are ambitious, entrepreneurial people. They are built differently and ask different questions. ” Sid McGrath, CSO, Karmarama

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