January 25, 2023
ANA/4A's Finds Media More Involved Than Creative In Agency New Business Pitches
- by Joe Mandese @mp_joemandese, July 18, 2023
After account management services, media -- not creative -- is the department most often involved in agency new business pitches, according to findings of a study conducted by Advertiser Perceptions for the Association of National Advertisers and the American Association of Advertising Agencies.
The findings, part of a just-released "Cost of the Agency Pitch" report, was based on a survey of advertiser and agency executives conducted March 23-28, as part of an assessment of the costs involved in agency reviews of all kinds, including both new business pitches, as well as incumbent agency reviews.
When it comes to incumbent reviews, the study found the media department is much less involved, ranking fourth, behind account services, strategic planning and creative.
advertisement
advertisement
The study also found that specialized media departments -- including both social media and search media -- also are highly involved.
In new business pitches, 34% of execs cited the social media department's involvement, while 46% cited the department's role in incumbent agency reviews.
The search media department's role was cited by 21% of respondents in new business pitches, and by 18% in incumbent agency reviews.
When it comes to the cost of agency reviews, the report's top-line finding is that it currently costs about $1.2 million for an agency review when there is an incumbent, and about $1 million when there is an incumbent (see related story).
It also found that incumbents generally retained the business in two out of every three reviews.
That's odd. Many "agency" new business pitches these days are about creative and account handling- only or about media planning/buying -only. If a "creative shop which doen't offer media buying is making a pitch for a creative assignment why would it include media. Likewise, if a media shop is pitching, say, a national TV buying assignment why would it get into creative matters---when it isn't staffed to do creative?
In the good old days when BBDO, Y&R, JWT, and many other top agencies were full service operations creative was always part of the presentation---a major part---while media was included almost as often---but with lesser emphasis.
I wonder how this study handled the specialization aspect that is now so evident?How many agency pitches ----whether for new business or in defense of current business ----are for full service client handling? How many are for media-only or creative-only?