• by Michael Shields , November 4, 2004

A spirited panel of distinguished alumni debated the future of marketing and media while touching on a number of hot button issues at a panel discussion hosted by the American Advertising Federation on Thursday at the USA Today offices in New York.

During the Advertising Alumni Roundtable discussion, the AAF released new research conducted by the Atlantic Media Co., and members expressed concerns about the effects of digital video recorders on TV advertising, as well as issues ranging from the role of online advertising in the media mix to concern over talent retention and multicultural hiring.

During what was at times a pointed and entertaining exchange, panelists focused on how to approach an increasingly fractionalized media world--one that is increasingly governed by technology.

The panel reiterated what have been the industry's mantras of late: ROI is key, and consumers are in control of their media consumption.

Susan Mboya, associate director, African American Multicultural Business Development at Procter & Gamble, spoke about the attitude marketers face when approaching consumers. "They are going to be asking, what is in it for me?," she said, adding that marketing is becoming more "transactional. The consumer needs to get something back."

The idea of personalized advertising messages was echoed by David Droga, global creative executive director at Publicis. "Relevance is the only word that is important to me," he said.

Yet this notion was challenged somewhat by moderator Kevin Roberts, CEO Worldwide, Saatchi & Saatchi, who referred to big ideas, with powerful emotional connections, as being the only thing that really mattered in developing successful campaigns. "Without the idea, it's all crap," he said.

Chris Schroeder, vice president, strategy, Washington Post Company, felt that such a principle was difficult to apply to online advertising. "The Internet is not an emotive experience," he said. "It's transactional. They come in and they come out. If a person visits a site for 30 minutes each month, how emotive can they be?"

When P&G's Mboya responded by touting the Internet's ability to forge personal connections, Schroeder countered: "Personal is not necessarily emotive. It's convenient."

As moderator, Saatchi's Roberts continually prodded the group with challenges, commenting on the dangers of unbundled media companies to what he considered a deteriorating store environment for many retailers.

The group was particular outspoken and cynical when it came to the subjects of research and television creative.

"We do have a tendency to use [research] as a crutch," said P&G's Mboya. "It's a CYA mechanism."

"It flies in the face of creativity," added Publicis' Droga.

Linda Thomas Brooks, executive vice president and managing director at General Motors MediaWorks, implored the group to consider mixing media research and creative research when developing campaigns. "We have to stop looking at research in silos," she said.

As for the state of TV creative, positions varied widely. "It starts with the lowest common denominator, really," said Mboya of most TV spots.

John Osborn, president and CEO at BBDO, disagreed. "I don't think the work really sucks," he said. "I really don't."

Yet Droga complained: "Half of the stuff on TV, I don't understand."

Thursday also marked the release of the AAF's Survey of Industry Leaders on Advertising Trends. Among the key findings were:

* Three-quarters of advertising leaders believe that digital video recorders will have a significant effect on TV advertising.

* Online advertising is seeing healthy gains as a percentage of most advertisers' media budgets, with some estimating that budgets will rise as high as 15-17 percent of total spending in three years.

* Advertisers are skeptical about the industry's ability to attract and maintain top talent, particularly multicultural candidates.

* "Developing ideas that break through the clutter" was listed as the most important business challenge in 2004.

* There was little enthusiasm for non-traditional advertising models as a means to stave off the DVR's impact, with the exception of product placement.