Writing in Forbes, Avi Dan points out the real dangers to increasingly common 120-day payment terms: interest rates. Currently, short-term credit rates are near zero, minimizing the
effect that longer terms have on agencies. But when markets turn and interest rates shoot back up to 5% or 6%, 120-day payment terms could be a death knell for some agencies. Agencies will need to
borrow at higher interest rates just to stay afloat while waiting to be paid. Of this impending doom, Dan writes: "If the ad industry is not able to thwart this move toward
extended payment terms, this could ultimately lead to the end of the agency business model, as we know it. If agencies cannot sustain themselves financially, marketers may have to resort to a new
arrangement in which Madison Avenue’s role as an independent entity could give way to a system akin to in-house agency relationship, and where agency vendors are paid directly by the client."
Social media agency Movement Strategy has announced the addition of creative strategist, Stephen Para, as executive vice president and chief growth officer. An early proponent of digital marketing strategies, Para has helped build digital departments within agencies such as Catalyst/IMG and Tom, and Dick & Harry. He also developed a boutique design agency, The Conspiracy Project, and most recently, founded social media agency Kodiak/Samurai, contributing to his reputation as a brand communications expert. Of the hire, Movement Strategy Co-Founder Jason Mitchell said: “Over the past five years we have grown from a start-up to a highly respected agency. Bringing on Stephen marks the next step in our evolution as we focus on becoming a global social media agency. Stephen’s knowledge, creativity and relationships are helping us accomplish that.”
Advertising Age has a glowing piece on what it's touting as the new ad mecca: Austin, TX. Home to Omnicom's GSD&M, Dell, Whole Foods and SXSW, the town is indeed a happening place. But don't try to drive there. The place needs no less than three more Interstates to handle the growth. Sadly, that isn't coming anytime soon. What is coming is Ad Age's Small Agency Conference. And we have no problem mentioning that here at MediaPost. We've all got our conference series to keep the publishing side of things afloat. There's no secret there. But does one biggish ad agency and one big brand really make Austin a new ad mecca? Nothing is really going to unseat New York and San Francisco as Kings of Advertising. Think about it. What would Austin really have if it didn't have SXSW, which of course is the new love child of marketers and agencies?
Remember David Lipman? He was the guy whose agency, Lipman, tanked allegedly because of financial problems at parent company Revolate resulting in lawsuits filed for non-payment of vendor invoices. Well, he's back on his feet and has been tapped as chief creative officer for Town Creative. Of the hire, Town Creative President Wendy Maitland said: “By bringing David Lipman on board as chief creative officer, Town is revolutionizing branding and marketing in the worldwide real estate industry.”
Republican Presidential candidate Donald Trump has progressed from clown car buffoon into what some believe to be a full blown threat to the Republican party. This includes Boulder-based
TDA_Boulder which is out with a new video encouraging Trump to continue coming to the aid of the Democratic party.
In the video, agency staffers say, "I hope Donald Trump wins the Republican primary. Sure, he's a bigot. Big bigot. But polls indicate he could never win a general election. So every time Trump says something offensive to me or anyone else, he's one step closer to putting a Democrat in the White House. So keep talking. Talk as much as possible Mr. Trump. Thank you, Mr. Trump, for supporting the Democratic party in 2016.
The site points to HispanicDemocratsForTrump.org, which redirects to a page on the TDA_Boulder site on which visitors will read, “We’re not a political party; we are something even more objectionable, we are an advertising agency. But an advertising agency with some ethics and good intentions, and we don’t like bullies. This video is our unified stand on behalf of our co-workers, peers, friends and family members who are Hispanic. We’re offended by Mr. Trump’s assertions concerning Hispanic members of our community.”
The CMO Club, founded in 2013 and comprised of 700 member chief marketing officers, has launched what it's calling a vendor rating program which will rank and categorize agencies,
media-buying firms and other advertising service firms into 18 categories.
CMO Club Founder Peter Krainik says the service is simply an organized version of the conversations that already occur between CMOs when they mix and mingle with each other at industry events. The rating service, which has been collecting input since early 2013, will be available to CMO Club members but will not be made public.
In collecting data for the rating service, CMOs are asked to answer 15 questions consisting of drop downs and open ended questions.
Of the service, Publicis Groupe’s VivaKi CEO Jack Klues said: "A confidential sharing of experiences within this group seems no different than that provided by Glass Door, which allows employees a place to anonymously share their experiences with current past employers. I welcome constructive, credible criticism. Rants and complaints without context or substantiation help no one."
Speaking at the International Olympic Committee meeting on Sunday, WPP CEO Martin Sorrell said the Committee needs to make it a priority to connect with and stay connected with younger
generations during the two-year span between games.
Pointing out that live coverage is the IOC's biggest asset, Sorrell said: "Live sports coverage is the last bastion of high-value traditional programming. Most consumers want to watch videos when and where they choose. But they can't do that with live sports. Its power is its immediacy."
Sorrell suggests that between games the IOC increase its presentation of on-demand content and presence in social media, with the goal of maintaining and generating new excitement for the next Olympics.
Funny thing. For years now, hundreds of articles have been written about the death of the traditional ad agency. Another funny thing -- most of them are still around. Why? Because any good company,
no matter what the industry, follows the money. If brands want a million-dollar branding campaign consisting solely of tweets, that’s what the agency will do. If the brand wants to Snapchat its
CEO Periscoping a Reddit AMA, that's what the agency will do.
While it's certainly true that companies that only create TV, radio and print ads don't exist anymore, it's not because they closed up shop and called it a day. No, they got their shit together and learned all about this newfangled content marketing thingamajig.
So it gets kind of tiresome when upstarts like a company that touts that it "instantly organizes the world’s social and digital signals by location, giving an unprecedented level of understanding of what’s happening anywhere in the world, in real time" begin penning articles saying ad agencies are dying.
It has already happened. Agencies have moved on.
And yet, penning a piece for Mashable, Banjo CMO Stacey Epstein writes: "Ad agencies and brand advertisers persist in focusing on that perfect 30-minute spot. It's what they know and what they're good at, but they're failing to reach their audience who now spends their time in an entirely different place."
To a certain degree, Epstein is right. But many of these agencies that are still stuck in the land of the :30 second (and I'm quite sure she meant second and not minute) TV ad are also forging ahead with marketing programs that incorporate the kind of media that's being consumed today the way TV was consumed yesterday.
In the piece, Epstein does point out super-smart work that brands have done such as components of Bud Light's Up For Whatever and Under Armour's Giselle Bundchen campaign -- which, by the way, involved an agency.
My point is that it's time to stop screaming "The ad agency is dead!" Because it's not. It has just become something else. Something that is better suited to today's media habits and consumption patterns. Yes, there will always be Super Bowl and Cannes Lions stupidity -- but hey, ad agencies are filled with self-centered, egotistical, self-esteem award-craving people who would all curl up into a fetal position if they didn't get the occasional pat on the back.
So let them have their Super Bowl ads and their Cannes Lions. Because maybe, just maybe, they'll also keep creating cool shit that matches today's media consumption patterns.
Answering a Quora question, "What is it like to work at an advertising agency?",
advertising copywriter and critic Caroline Zelonka wrote, among other highly informative and insightful information about working in ad agencies: "It all sounds like heaven, right? It is, but agencies
can also be high-pressure, with lots of competition and politicking. The agency environment is also male-dominated, especially in the higher creative echelons. Women who succeed can often be
back-stabby, and in my experience, not very nurturing when it comes to younger female talent. This is one thing I did not like about working for big agencies; a lot of the women reminded me of the
Mean Girls movie."
Yes, I am fully aware this question was answered two years ago so you don't have to get all over me for that one. Zelonka does offer some very valuable -- and timeless -- information to those thinking of working in an ad agency. Having spent many years there myself, I can completely concur with her assessment.
She points out that it can be "awesome" and rewarding both personally and professionally. She points out the many perks that come with working in an ad agency, and equally, the many long hours and client frustrations that go hand in hand with all the awesomeness.
Perhaps you've already read her Quora post. Perhaps you haven't. It's worth a read if you're interested in considering an ad agency career or if you have been asked this question by another person who's interested.
Increasingly, there aren't many people who know what a Walkman is. And it seems, there are a lot of Millennials who don't really understand what a realtor is or how this non-digital human can add
value beyond the mouse click to the home-buying process.
The National Association of Realtors just awarded its account to Arnold Worldwide after having been handled by Most for the past 20 years. Arnold will be charged with making the realtor relevant again.
Of the win, Arnold Global President Pam Hamlin said: “Arnold is tasked with helping NAR reclaim the Realtor’s role in the overall home-buying process, and to educate millennials on what a Realtor does and the value they can provide."
Hamlin adds that Arnold will “target millennials through an integrated cross-channel campaign, which will center primarily on television and digital activations.” Work is expected to break in the fourth quarter.
Of choosing Arnold over incumbent Most which also participated in the pitch, National Association of Realtors Senior VP of Communications Stephanie Singer said: “Most participated in the pitch and made it to the final round. The decision ultimately was not about the past quality of their work, only an interest in moving in a different direction.”
Way back in 2004, University of Central Florida graduate and Woo Creative Founder Ryan Boylston began hosting an event called Arnold Day. Arnold Day, which started with just Boylston and a few
friends gathering at Orlando bar Lazy Moon to watch Schwarzenegger movies on the actor's birthday, has grown to a 1,200-person event.
Of the event's genesis, Boylston said: "Way back when, it was a simple concept… two Arnold fans, a 19-inch TV, a VCR -- that's right, a VCR -- and the greatest pizza/beer establishment in Orlando."
Each year, diehard Arnold fans showed up in their favorite Arnold movie attire, to share their love for Mr. "I'll be back!"
On how the day will go down, Lazy Moon Co-Owner Tim Brown said: "Ryan's awesome. On Arnold Day, we'll serve German or Austrian beers, bratwurst pizza and the event has caught on with both employees and customers. We're not sure Arnold will show up, but it's a fun day either way."
The event also supports Boylston's fundraising goals, which include collecting $20,000 which will be donated to Boynton Beach-based CJ Foundation which provides financial resources to families with special needs children.
Of the charity side of the effort, Boylston said: "The monies we raise are for kids to receive therapy not covered by insurance. This therapy can change the trajectory of a child's life."
Donations will be collected at the Arnold Day event but anyone can visit the Arnold Day website on which contributions can be made.
This year, Arnold Day will be Aug. 1 at Lazy Moon Pizza, 11551 University Blvd., in Orlando.
Come on, Arnold, show up for Ryan, won't you?