Agencies have only themselves to blame, making it easy for clients to bully them around.
Agencies claim to be different but most are pretty much the same and sameness always breeds differentiation based on price. There has been little innovation from agencies to migrate away from the old model of advertising. It still astounds me how few agencies differentiate themselves on expertise in social media.
Tough times are still ahead for agencies. Long term agency-client relationships are becoming uncommon:
- CMOs tenures are very short, often less than 24 months
- The marketing channels have greatly expanded and are more challenging than ever
- Social media has empowered not only the retail consumer but also client prospects
- There is a larger battle among traditional full service agencies and digital, media and PR agencies
- Prospective clients are looking for expertise that most agencies can’t claim because they’ve chosen to be generalists
If agencies don’t want to play the numbers game, they must get away from the mentality that “everybody” is a prospective client as long as they have a heart beat and a budget.… Continue reading