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Effective Clients Relationship Management
1. Effective Clients Relationship Management
Being The Text of the Lecture Delivered at the
Pan African University. Lekki, Lagos, NIGERIA
âLolu Akinwunmi, frpa
Group CEO
Prima Garnet Africa
Tuesday, August 22 2017
2. Course Outline
⢠Understanding Business Relationship
⢠Values of an effective Manager within the context
⢠Managing a challenging Client
⢠Communication tools for a healthy relationship
⢠Importance of (an) informal relationship in (a) formal setting
3. Understanding A Business Relationship
⢠Business relationship within our context refers to the Client / Agency
relationship
⢠Often misunderstood, and often badly managed, usually with
disastrous effects on the brand(s), when neither party fully
understands the roles and expectations from the other
⢠Its been the key source of high casualty rate within the ad agency
business, and frustrations within the Client environment
⢠What ought to be a serious affair has been reduced to an informal,
man-know-man device, a critical relationship which should be built
and nurtured with care
4. Introduction
⢠Ad business comprises two main groups; the CLIENT and the
AGENCY
⢠Fundamental to the relationship are the tasks of planning,
budgeting, coordination, administration with other resources, all on
behalf of the client
⢠Agencies are classified by the range of services offered and the
type of businesses handled, i.e. FULL SERVICE and HOT SHOPS
(a la carte)
⢠Agency staff are usually involved in research, planning, creative
services, traffic, media, brand management, new business
development, admin etc.
5. IntroductionâŚ/2
⢠Agencies may charge fees or retainers, receive
commissions from the media, or mark up outside purchases
and productions for jobs done on behalf of the client
⢠Most agencies get the bulk of the business through referrals,
jobs done for other clients, solicitation, invitations etc.
⢠Clientsâ ad operations are classified into two categories:
CENTRALISED and DECENTRALISED operations
⢠CENTRALISED may be structured by brands, by sub
function, end user, or by geography
6. IntroductionâŚ/3
⢠Decentralisation is typical of large organisations with many
divisions, subsidiaries, brands etc.
⢠Some client ad depts. are responsible for productions, media
placement, and other marketing support activities, with some
developing in-house agencies (a la Levers InterNaTional
Advertising Services), hoping to save some money by keeping the
agency commission; they save money, but lose creativity!
⢠The client / agency relationship goes through many stages, and
many factors affect it. We will be looking at some of them.
7. Stages in the Client / Agency RelationshipâŚ1
⢠Just as people and products have life cycles, so do relationships. In
the Client / Agency relationship, there are 4 definitive stages.
#1: The Pre-relationship Stage
8. Stages in the Client / Agency Relationship âŚ2
#2: The Development Stage
9. Stages in the Client / Agency Relationship âŚ3
⢠#3: The Maintenance Stage
10. Stages in the Client / Agency Relationship âŚ4
⢠#4: The Termination Stage
11. Factors Affecting the Client / Agency
RelationshipâŚ1
Chemistry
⢠A critical factor. Good chemistry can create opportunities, and
weather storms
⢠Poor chemistry creates challenges where none existed, and affects
the quality of work
⢠Agencies are often conscious of this and will do most things to
nurture and sustain this chemistry
12. Factors Affecting the Client / Agency
RelationshipâŚ2
Communication
⢠Poor communication can lead to misunderstandings of objectives,
strategies and tactics. Verbal. Non verbal.
⢠Poor communication makes the work process inefficient, and
ultimately hurts the end product
⢠Constant and open communication is the key to the understanding
and mutual respect essential to a good relationship
⢠Yet it is not achieved most times due to poor systems, poor
discipline, poor attitudes etc. on both sides
13. Factors Affecting the Client / Agency
RelationshipâŚ3
Conduct
⢠Conduct (both the work process and the work product) should include
what both parties do, although dissatisfaction with the agency is often
cited reason for a switch
⢠Does the Client give timely, accurate information to the agency? Does
the Agency understand the Clientâs business and offer realistic
alternatives? Does the work measure up to the Clientâs subjective idea
of âgoodâ advertising? Does the Client appreciate good work when
presented? Are invoices paid on time with minimum rancour? Does
the Agency enjoy creative liberty? Does the agency exercise
leadership? Is the agency disciplined? Timing etc.?
14. Factors Affecting the Client / Agency
RelationshipâŚ4
Change
⢠A constant in all relationships
⢠Some changes may damage an otherwise good relationship: clientâs
market position may change due to stiff competition; client policy may
change; a new team may want its own new team;
⢠Agency may lose core creative personnel
⢠Conflicts may arise as a result of mega deals resulting in conflicting
business
⢠Changes are unavoidable, but they can be well managed
15. Tools for a healthy relationshipâŚ1
Set the terms of the
relationship
through an agreement
16. Tools for a healthy relationshipâŚ2
Agree a formal payment
mode and pattern, and
ensure client complies
17. Tools for a healthy relationshipâŚ3
Introduce a structure and
formalise the contract
18. Tools for a healthy relationshipâŚ4
Always formally agree budgets,
and stick to them
19. What The Good Agency Should Do
⢠Be knowledgeable
⢠Be proactive
20. Managing A Difficult Client
⢠Why is the client difficult?
⢠Can the reason for the difficulty be managed effectively by
the agency?
⢠If not, what are the available options?
21. Checklist For Ways To Be A Better ClientâŚ1
⢠Always look for the BIG idea in the
agencyâs proposals by concentrating
on positioning and brand personality;
many brands have neither
⢠When you have agreed a positioning,
STICK WITH IT!
22. Checklist For Ways To Be A Better Client âŚ2
⢠Learn the art of conducting a
creative meeting, and deal
with the important issues first:
strategy, consumer benefits etc
23. Checklist For Ways To Be A Better Client âŚ3
â˘Cultivate honesty by always telling
your agency the truth.
Make sure your advertising is
truthful, and also implies the truth
24. Checklist For Ways To Be A Better Client âŚ4
⢠Be enthusiastic. If you like the
stuff from the agency, applaud
them; its tonic to their bones
25. Checklist For Ways To Be A Better Client âŚ5
⢠Be frank if you donât like it;
⢠but give the reasons
26. Checklist For Ways To Be A Better Client âŚ6
⢠Be human, and treat your
agency like people
27. Checklist For Ways To Be A Better Client âŚ7
⢠Be willing to admit when you
are not sure; bravado does
not solve problems!
28. Checklist For Ways To Be A Better Client âŚ8
⢠Insist on creative discipline
29. Checklist For Ways To Be A Better Client âŚ9
⢠Share as much information with the agency as possible
⢠Keep the agency very involved in your business by telling
them all thatâs happening: the good and the bad
30. Checklist For Ways To Be A Better Client âŚ10
⢠Make the agency feel responsible by being a team leader,
and not a nitpicker. Tell them what you think is wrong, not
how to fix it
31. Checklist For Ways To Be A Better Client âŚ11
⢠Donât be afraid to ask for great advertising by letting your
agency know you have confidence in them to deliver
excellent stuff.
⢠Allow them to try new directions, and even (manageable)
risks!
32. Checklist For Ways To Be A Better Client âŚ12
⢠Set objectives if you expect
action and results
33. Checklist For Ways To Be A Better Client âŚ13
â˘Switch people, and not agencies if there are challenges on the
account.
â˘Ask for fresh people from the agency. A fresh input may bring
the spark, and help continuity
34. Checklist For Ways To Be A Better Client âŚ14
⢠Be sure the agency makes a profit on your account; donât be
short-sighted and selfish. In a good relationship, as the client
grows, the agency should too!
35. Checklist For Ways To Be A Better Client âŚ15
⢠Avoid insularity; as much as
possible, mix with the agency
people and encourage bonding
36. Checklist For Ways To Be A Better Client âŚ16
⢠Be a caring client, and not necessarily an easy client.
Agencies do their best works with clients they feel good
about.
37. Checklist For Ways To Be A Better Client âŚ17
⢠Occasionally suggest informal
work sessions with the agency,
where open dialogue can thrive.
Allow the agency to air their views
38. Checklist For Ways To Be A Better Client âŚ18
⢠Set ethical standards and
stick to them