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12 March 2008

Media and Ad Agencies, Technology Companies, Marketeers, and Audiences

In another life, I delivered a vision for a business division that I was working on and the bigger company that owned that division.  My vision was predicated on something: 

What we were offering now (it was 2005 then) will become commoditized.  It will remain
to be  significant part of our business - for business won't change overnight.  But it will be one that will see lower profits because it will demand a lot of human resources.

What we need is to look into the future.  And the future is in the realm of providing accountable advice - frameworks and solutions whose results can be measured against an  agreed-upon set of standards prior to us coming into the picture.

Such businesses will not merely be won by the discounts and savings - though these will remain to be a part of the criteria, perhaps - as old habits are hard to change.  But we can go beyond that.

One pillar is the integration of due diligence and rigor into our business - acting as objective consultants bordering on being academic and theoreticians, yet delivering real, measurable results.

The second pillar is the integration of technology into every aspect of our operations:  to streamline repetitive mundane tasks and reduce overhead costs, to reduce "communication costs" by capitalizing on new technologies, to automate processes and "thinking processes" into databases of expert systems and algorithms.

More importantly, the integration of technology in the analysis of audiences and markets, and in the delivery of message to audiences and markets - both in the back-end and in the store-front.

Essentially, Marketing departments have to embrace technologies - and we - as their partners, their vendors, their suppliers, their contracts, and whatever way they want to see us - need to embrace it too.  And we need to embrace it much earlier than they do.

Decision-making processes need to be aided by technology.  Predictive techniques need to be grounded on technology and theory.  Real-time data and accountability are needed - and these too will be driven by technology.  Simulations - pricing and demand and communications and worst-case scenario planning and most-likely scenario planning - all these will be driven by technology.

Should this be driven by "digital planners"?  No.  They should be driven by "traditional planners with a keen sense of business".  Should it be driven by one business unit?  For now - yes.  But it will need to cascade - the sooner the better - to the rest of the organization.

This is the only way we can avoid being a commodity - and being relegated into the background as mere vendors, as mere contractors, as mere suppliers.  This is the only way we can escape the never-ending discussion on "discounts-value-adds-freebies".

I guess I didn't do enough to make these thoughts clear (and I doubt if the above is any clearer!)

But think about it:  If technology is so pervasive in the lives of our audiences, then why shouldn't agencies and marketing companies embrace technology as part of their systems, processes, and well, communications with consumers and with other stakeholders?

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