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Auditing Your Agency's Business Model

Auditing Your Agency's Business Model

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Auditing Your Agency's Business Model

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  1. Auditing Your Agency’s Business Model Presented by Tim Williams

  2. What is the ideal agency structure? By Hello Future www.hellofuture.set

  3. How long should a piece of string be?

  4. Account Management Creative Production Media Accounting Traffic Agency structures today don’t look anything like they used to during the golden age of advertising. Really?

  5. “An agency should be agile, forward thinking and engaged in delivering growth by deploying a wide range of tools and people, a far cry from the sausage-factory it was 10 years ago. We might be making software, content, binding books, or creating theatre. An agency engages itself in a diverse community of creative people, from coders to copywriters. It should be a place where there’s space for marketing judo, where business conventions are outmaneuvered and overthrown.” Robert Harwood-Matthews President, TBWA/Chiat/Day New York From “Marketers Explain ‘What Is An Agency,’” Ad Exchanger

  6. ① The full-service model ② Unbundling creative and media ③ Further unbundling and specialization; the client as integrator ④ ? A short history of agency models

  7. Many agencies are reacting to the new multichannel marketplace by attempting to become a new version of “full service” all over again

  8. Media companies as agencies Production companies as agencies Convergence? Consulting firms as agencies Media agencies as creative agencies

  9. PR firms as “full-service” agencies Digital agencies as “full-service” agencies Convergence? Convergence -- or -- Divergence? Holding companies as “full-service” agencies

  10. “So here we are with traditional agencies struggling to become digital agencies and digital agencies struggling to become traditional agencies. It just another big convergence mess and the losers for now are the clients. On both sides you have partially constructed solutions: brands suffer from traditional agencies that are renovated with a digital coat of paint but doing what they've always done, and from digital agencies with incomplete organizations and inexperienced traditional skills.” Tony Quinn Chairman, Society of Digital Agencies From “Marketers Explain ‘What Is An Agency,’” Ad Exchanger

  11. “I wish that the agencies would stick to what they are good at. They try to do everything, and they would be better served to narrow their focus. You can’t do everything, and if you try to do everything, you do nothing. It drives me crazy when the agency is trying to pitch you every single service available.” What clients think

  12. The three approaches marketers use to work with agencies

  13. 1. Best-of-Breed Model Client Models marketers use to work with agencies

  14. 1. Best-of-Breed Model Models marketers use to work with agencies

  15. 1. Best-of-Breed Model Models marketers use to work with agencies

  16. 1. Best-of-Breed Model Models marketers use to work with agencies

  17. 1. Best-of-Breed Model Models marketers use to work with agencies

  18. 2. Single Source Model Agency Client Models marketers use to work with agencies

  19. 2. Single Source Model Models marketers use to work with agencies

  20. 3. Service Integrator Model Lead Agency Client Models marketers use to work with agencies

  21. 3. Service Integrator Model Models marketers use to work with agencies

  22. 3. Service Integrator Model Brand Agency Leader Models marketers use to work with agencies

  23. 3. Service Integrator Model Models marketers use to work with agencies

  24. 3. Service Integrator Model Models marketers use to work with agencies

  25. Best-of Breed Model Single Source Model Larger client companies National/global appeal Smaller client companies Local/regional appeal

  26. Best-of-Breed Model Best-of-Breed Model

  27. Clients you work with Clients you work with in this model (mostly) in this model (mostly) Clients you work with Clients you work with in this model (mostly) in this model (mostly) Clients you work with Clients you work with in this model (mostly) in this model (mostly) Single Source Model Service Integrator Model Best-of-Breed Model How do clients access your services?

  28. The four dimensions of agency business models

  29. Four dimensions of agency business models The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  30. “Traditional” Creative Agency The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  31. Creative Agency

  32. “Traditional” Public Relations Firm The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  33. Public Relations Firm

  34. Public Relations Firm

  35. Public Relations Firm

  36. Design Firm The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  37. Design Firm

  38. Design Firm

  39. “Traditional” Media Agency The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  40. Media Agency

  41. Brand Development and Business Strategy Firm The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  42. Brand Development and Business Strategy Firm

  43. Brand Development and Business Strategy Firm

  44. Agency Trading Desk The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  45. Agency Trading Desk

  46. Agency Trading Desk

  47. Production Agency The Product The Brand Paid Earned The The Purchase Experience Owned Channel Content Execution Ideation

  48. Production Agency

  49. Production Agency