Well-structured agency credentials continue to attract the attention of marketers

Agency credentials are so important, and we chose to focus attention on the IAS Credentials Award because we want agencies to understand just how valuable they are. We selected the Assegai Awards to host the IAS Credentials Award because they have a range of marketers on their judging panel. It was vital that agency credentials be judged by marketers and not by other agencies, as some awards are.

Marketers will tell us what works and what doesn’t work, which is of utmost importance as agencies entering the awards will get feedback on how they did and what their credentials highlight about them.

We’re in a tough economy and we are acutely aware that award entries cost money. While we are very respectful of the fact that agencies have limited budgets and realise how challenging it can be to decide which awards to enter, we’d ask them to consider their choices as the opportunity they’ll have to test their credentials and case studies among marketers could prove invaluable.

Opportunity to be seen

Our mission as the IAS is to put agency credentials in front of as many marketers as possible. It’s an opportunity to be seen and it’s a learning exercise for marketers, who get to understand more about what is happening with agencies by viewing their credentials and also what is changing among agencies in the marketing communications sphere.

Over the six years that the IAS has been supporting the Assegai Awards, our belief in what we are doing has grown. What we want is not just for agencies to be seen by marketers, but for those marketers to increase their knowledge about agencies and the marketing communications sector as a whole.

It is a sector that is changing on a daily basis; there’s never been a greater wave of change among agencies than there is now. It’s a phenomenal time, when you see the speed and the type of change shifting the industry at this rate of knots.

We want marketers to take note of these changes and the response to them by agencies, and learn about the new world agencies are working in. Only by agencies entering can marketers understand the sheer depth of change and what agencies are now capable of.

It goes without saying that if marketers see something they like, they will be able to make contact with an outstanding agency, and the latter’s reputation will grow.

Cracking the pitch long list

One of the things we know from the agency scope study is that when marketers are putting a long list of agencies together, reputation is one of the key factors in who they place on the list. The greater the agency’s stature, the more likely they are to be put on a pitch-long list and get a chance at making the shortlist.

Obviously there are other criteria that gets an agency onto the short list, but the long list certainly views reputation as vital.

Years ago there were publications that printed the list of rankings of agencies, but those no longer exist. So, how do clients know which agencies to look at? Today, they review the awards tables and note the profiles of the agencies which are doing their own marketing well and the attraction begins there.

I always emphasise that it’s not so much the awards an agency may win as the way in which the agency works that gets marketers excited.

Although it has no direct bearing on the IAS Credentials Awards, another reason we’re happy to work with the Assegai Awards is that they have grown their international footprint through their new association with the Echo Awards - highly rated by the creative industry all over the world - which has added to the stature of the Assegai Awards.

We look forward, as always, to the agencies that catch the attention of the marketers on the judging panel – and how far they go from there.

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#MasterclassNotes - AdForum highlights

Here are four key highlights from the AdForum Worldwide Summit in New York City, 13–17 May 2024, in which we pitch consultants met with 15 network agencies and 10 independents.

#1. Adolescent content

Adolescent is a female- and black-founded agency which positions itself as a global creative consultancy and content studio for Generation Z. It helps brands more effectively reach youth audiences by using its global network of diverse youth creatives and creators. The founders started it because they wanted to be authentic and to break rules, and they intend to keep to that promise.

This was a fascinating session: the agency had set up as a panel discussion with its founders and four of its youth creatives who were all Gen Z. Various questions tabled included:

  • Regarding content creation and influencers, how does Gen Z see them?

    • Although influencers started off more organically, there’s now too much product placement

    • There are now too many influencers pushing product too obviously; it’s no longer realistic

    • The original model is now outdated

  • How does Gen Z find out information about products if not via influencers?

    • Via TikTok, which is viewed as a search engine

    • MetaAI is also viewed a search engine

  • Regarding brands/department stores, do the brand’s ethics influence their buying decisions?

    • Most people will buy what they can afford, regardless of ethics

    • Every week there seems to be a controversy with brands; brands will focus on their bottom lines

    • If brands are ethical, that’s great but it’s not a deal breaker

    • A brand will be supported if it goes out of its way to support a community or niche market

  • How does Gen Z shop, instore or online?

    • Buying clothes must be in store

    • Sizing and fabrics are important to test and feel

    • Popup shops really help with the online support experience

  • How does Gen Z see the US elections this year? How do they feel?

    • They want to be informed

    • They’ll find out on TikTok

    • They’ll probably not vote so much (it’ll be interesting to see)

    • Brands shouldn’t get involved in politics

    • They trust their local community leaders

#2. Virtue

This was another strong session as Virtue shared the truth about what’d happened to it in the past couple of years since parent company Vice went into chapter 11 bankruptcy. Pandemic and other issues also played havoc during this period.

Agency leader Chris Garbutt — yes, he’s a South African whose dream is to open Virtue in South Africa — talked about how it as an agency had to “bet on the future”. His team stayed in place with him, some others who’d left previously returned, and 80% of its clients also remained.

The agency’s view on culture:

  • Brands need the courage to let culture lead

  • When brands get it wrong, they’re left outside of culture and become irrelevant

  • When brands get it right, they thrive

Virtue positions itself as being born on the inside of culture — cultural change makers. Its global head of strategy talked about its “cultural operating system”, which is a four-stage process.

We consultants were taken through a deeper look at the five trends and culture drivers today:

  • The big pink rethink: Girls have redefined their roles and masculinity is also evolving

  • Day capsules: Living in the moment/simple living/living in little moments

  • Embracing chaos: Free-form living/“a lawless era”/amoral misfits

  • Passion advocates: What once was niche is now mainstream; a “fandomonium” is upon us eg Taylor Swift

  • The FriAInships: Friends via artificial intelligence (AI) with AI

#3. The Brandtech Group

With the theme of AI front and centre, David Jones, The Brandtech Group global CEO and founder, started us off with an excellent session focusing on how AI’s already changing things in advertising, as well as on a global scale across all types of industries. Here is why he believes that AI will change the world:

  • The tech companies are saying it

  • Company leaders are saying it

  • People are saying it

  • It’s a horizontal, not a vertical; it can apply across everything — it’s not a platform

  • Its quality is already amazing and its imagery, for example, has dramatically improved and very quickly

We were shown examples of how things have improved and what’s happening:

  • A creator economy revolution is under way; this won’t reduce the number of people in our industry but will improve the quality of their outputs

  • But how do you exceed expectations when everyone can create their own ads? It’s not about what can be created but how it’s created.

Brandtech has developed its own tools to enable its various processes to be even better with AI. It’s commercialising this mainly through its in-housing content — where Oliver and Jellyfish agencies are active — and this is where growth is expected. Better, faster cheaper but what humans need to become really good at is prompting as this is what makes the difference when using AI.

#4. Media Monks

Media Monks is the purely digital agency brand of S4Capital that consists of 8 600 digital natives across one global team. It combines media, data, social platforms, studio, experience brand and technology services to help its clients continuously reinvent themselves through increasingly rapid cycles of disruption.

Eight out of 10 of the world’s most innovative companies work with Media Monks, which focuses on brand performance and AI business transformation. The agency was the inaugural Adweek AI Agency of the Year in November 2023.

Media Monks believes that AI can outproduce us, claiming AI currently can beat any work done by a manual media planner, as well as that AI can out-create us — “software will digest the world” — and, therefore, the question of ethics is an important one.

Naturally, the agency has developed its own tech, Monks.flow, an AI-centric professionally managed service for marketers. Its uses are as follows:

  • Brand integrity

  • Global consistency

  • Collapsing the cost of creativity

  • Effectiveness and conversion

  • Media buying and planning, which will become more direct and have less need for digital media agency buyers; AI will handle most of this via algorithms

  • More pipeline

  • Fewer people

  • More insights, much quicker and leading to a faster strategy

  • Output- and outcomes-based commercial approach

Media Monks shared its growth figures and did some forecasting for the industry: in year three, it grew by 46%; in year four, by 23%; and, in year five, by 2%. For the current year, the growth is flat and will be tempered by tech costs continuously decreasing. What does this mean for the industry? There will be more consolidation; the number of staff will continue to decline; and holding company staff numbers will decline, too.

In terms of AI and ethics, Media Monks believes that ethics will become more and more important, far more so than legal issues.

Overall trends

In conclusion, here are my overall trends from this latest AdForum Worldwide Summit:

  • Social media is now more powerful than paid digital media

  • A creator economy revolution is under way; this won’t reduce the number of people in our industry but should improve the quality of their outputs

  • Culture drivers are becoming more and more important for brands to remain relevant

  • Influencers are more important than ever, the original model is now outdated and authenticity is key, and

  • TikTok is being used more and more as a search engine.

THE IAS AGENCY CREDENTIALS AWARD 2024: Marketers look past awards to get to the grit

Everybody loves an award – and winning agencies almost always get a second look. However, writes Johanna McDowell, CEO of the Independent Agency Search and Selection Company (IAS), what they’re really looking for is grit - credentials that outshine trophies.

Every agency strives for creativity, that ‘special sauce’ that sets them apart from their peers. But with today’s budget constraints and a digital explosion that can edge a brand from good to great with just one campaign, marketers want grit: and this is seen in Credentials that show the backbone of an agency.

Having the confidence to reveal credentials in a pitch shows a marketer that the agency understands the client’s business requirements and the importance of ROI. Highlighting history and their current client list notes the agency’s standing in the industry, especially when backed up by press coverage and case studies. What any marketer sees here is value for money.

Add to this agency culture, BBBEE standing and procurement recommendations, and the client gets the full picture and not just the frame.

As we head towards the 2024 Assegai Awards, incorporating the IAS Agency Credentials Award, the importance of overall expertise is under the spotlight. Those who have followed the IAS Credentials Award journey will know that the panel of judges comprises mainly marketers to ensure fairness and not having an agency judging a peer.

Judges include overseas experts in marketing, along with several renowned local marketers. Ensure that your entry meets the specifications and provides the opportunity to shine. The submission format encourages agencies to present their best sizzle to a calibre of marketing experts they ordinarily may never meet.

With entries open now, the Assegai Awards along with the IAS Credentials Award 2024 close on 31 August - so get your creds out, give them some polish and make sure your entry gets noticed – for grit, not just shine.

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Global network agencies: To merge or not to merge?

The last two years has seen a fairly rapid consolidation of network agencies, some of which began during Covid and has continued apace, writes Johanna McDowell. In reviewing the current landscape the big question is, why the ongoing merging?

Considered the world's biggest advertising agency group, WPP focuses on communications, experience, commerce and technology and its consolidation has been the most dramatic we’ve seen.

In November 2018, WPP announced that Wunderman and J.Walter Thompson would unite to form Wunderman Thompson, an end-to-end creative, data and technology agency. Then, in 2023, WPP united Wunderman Thompson and VMLY&R to create what it called a “global powerhouse” in VML.

We’ve seen similar trends with the Omnicom 2023 acquisition of digital commerce high-flyer Flywheel joining the stable that comprises BBDO Worldwide, OMD, PHD, Ketchum, FleishmanHillard, Tribal Worldwide, DDB, Porter Novelli, among others.

Tech businesses the next big thing?

In South Africa and globally, it now appears that the only types of businesses these large networks are buying are those in the technology space. By this, I mean actual tech companies and not tech agencies.

The reasoning behind this is to make the number of cogs in these large businesses work together as a smooth-running machine. Expense here is key – the cost of running so many separate agencies over the years has made clear the need for seamless and less expensive control.

AGENCY SCOPE 2023/24 showed that the percentage of clients not concerned by competitive conflict in their sector within an agency has grown from 21,3% in 2019 to 40% now. This trend has supported the consolidation of network agencies making it easier for consolidated agencies to take on competitive brands.

Impact on independents

What has all this meant to independents? In South Africa, we’ve seen some doing very well over the last few years and others still finding their feet. Some have been break-away start-ups by disaffected people who might have been part of a network and decided to go solo to provide innovative ways of working in the advertising industry.

There are currently some really successful independents globally, but again, they’re being bought. An interesting example, though, is marketing agency Uncommon, which sold 51% to Havas, on condition they could continue to run as they saw best for their business

A number of flourishing independent agencies dot the globe right now, mainly because they’re in touch with their local market which is what clients want; they’re entrepreneurially driven which means clients see – and take note – that the agency owner is in the room during pitches.

Price-wise, it is clear that these firms do not have to repatriate their profits to global HQ, which again makes a difference to how they are viewed by clients.

What about media agencies?

The dominant media agency players in South Africa are all holding company global networks. Some are completely owned by global networks, some are just partially owned.

However, the top ten tend to be the network players, and for good reason: The guarantees that the media owners require from agencies to place advertising, which makes flourishing as an independent agency difficult.

Taking on the big clients becomes a minefield of guarantees and costs, which means independents do the strategy and planning, but tend to buy through the network agencies.

Overall, it seems to me to be natural for advertising people to want to start and run their own business. It’s who they are – but it’s not easy. Good business advice and cash management are vital to flourishing without the constraints of a network holding company that may tie their hands too often for creatives.

Independent agency networks

Blossoming in another corner of the patch is independent agencies that own themselves,  as shareholders in their own network. Beyond Connect and Worldwide Partners are examples of these group structures where individually owned specialist agencies come together as a group to offer multi-disciplinary solutions to client’s bespoke challenges.  Each agency is run according to its founding culture, unaffected by any group demands and as such individual agencies are owners, in charge of their own destiny.

At a glance, the change in trends across this sector is noticeable. Where WPP once had over 30 buildings in London, it now has three campuses. The global behemoths have had to slim down and become agile, meaning less cost and speedier communications.

Technology has been an enormous help in driving a slimmer and more seamless operation, enabling global entities to work together as if they were in the same office. And when a global agency network is the real network, clients feel the benefits.

In conclusion, there is no good or bad side – there is only what works best for a network’s clients or an independent’s clients. Where the pursuit of excellence includes cost reduction, agility and knowledge of local markets, brands win, clients are happy and small operators thrive as well as their large counterparts.

Digital spend, digital return – and digital snake oil salesmen

Agency Scope digital spend figures throw up some interesting local and global trends, while experts warn against digital snake oil stats.

According to César Vacchiano, president and CEO at Scopen, the number of agency partners clients are currently working with in South Africa has increased yet again.

“In 2021, the number averaged 12.7 agencies working to carry out marketing, communication and advertising projects,” he says. “In 2023, the figure reached 15.2, with the three agents that collaborate most with advertisers being digital platforms at 5.3, BTL agencies at 3.0 and advertising agencies at 1.9.”

As anticipated, Vacchiano highlights digital further growth in the digital paid media arena, from 33.1% to 37.4%. CEO of the Independent Agency Search & Selection Company (IAS) and SCOPEN partner, Johanna McDowell says what is important to note is that while investment in digital paid media has increased, it’s done so at a far slower rate than previous years.

“Total digital spend has, in fact, decreased,” she says, noting the drop from 37.3% in 2021 to 34.9% in 2023. “While the difference isn’t vast, it is important to note where the most budget is being spent and digital paid media is the front runner.”

How South Africa is stacking up

In reviewing AGENCY SCOPE’s findings on markets with the highest digital budgets in 2023, China and Brazil head the pack with 50.1% and 49.9% respectively, while South Africa’s spend of 34.9% falls below the lower order countries Colombia (37.5%) and Portugal (35.7%).“Globally, digital spend has decreased by around 2%, but trends show these figures are more than likely to increase again,” Vacchiano asserts.

McDowell suggests the trend to watch is how digital budgets are being spent. “Social Media continues to claim a large share of digital spend.  Where South Africa lags in spend is mainly in the e-commerce sector, where growth has been lower than other countries. I don’t think it’s a concern, it’s just the state of play right now. Expect to see growth in e-commerce in the future.”

Overall, McDowell notes, digital paid media coffers are showing improvement and this will likely continue, but at a slower rate than previous years. “What’s really interesting from our stats is how fragmented everything is becoming,” she says. “The challenge facing marketers is knowing where to spend their money and how best to deploy declining budgets.

“We noted recently the decline in marketing budgets in relation to turnover. Word from the marketers themselves is that they are putting more money into digital as they believe it’s the cheaper route to go. We’re not convinced this is the best thing to be doing. While digi-spend may bring some great analytics, is it working for brand-building?”

Snake oil: Analytics instead of research

What the IAS is suggesting to clients is to rely more heavily on their media agencies, which are able to aggregate all the data and look at the stats, and relate what consumer data shows the best path for the brand to be taking, whether it be traditional or digital.

“Marketers must guard against ‘snake oil salesmen’ who offer the newest gadget or software that promises to be the Next Big Thing in analytics. Thinking more data – or a different way of delivering it – will be what solves their issues may prove very costly.”

Vacchiano and McDowell agree that knowing exactly how effective these spends are and how this budget is being spent is extremely difficult.

“Some new digital audits may be a better way to spend budget right now,” says Vacchiano, “to ensure your money is going to the right places and that the correct measurement tools are being used to optimise your spend”.

IAS Agency Credentials Award 2024: Guidance for a shot at the prize

It’s that time of year again, when agencies get an opportunity to shine up their credentials and polish their presentation to marketers waiting to be impressed. But, says Johanna McDowell, Independent Agency Search and Selection Company (IAS) CEO and Scopen partner, make sure there’s more substance than shine...

The DMASA Assegai Awards’ call for entries is a good time to remind agencies that the prestigious annual event introduced the IAS Agency Credentials Award as a new award category in collaboration with the Assegai Integrated Marketing Awards in 2016. It was a first in South Africa and remains the only award in the country that recognises the significance of agency credentials.

The aim of the award is to acknowledge an agency's credentials and its ability to wow marketers. So, what are credentials supposed to do? Essentially, they inform marketers how agencies market themselves, so positioning that comes across as distinctive and case studies that stand out garner attention.

What marketers always want to know is the history and general information about the agency; its client list and standing in the industry, backed up by press coverage and case studies; its points of differentiation; and its proven value for money. Company culture, BBBEE standing and procurement recommendations are also crucial to a client determining the value an agency provides.

Who judges the agency?

In creating this award, we enable agencies to highlight their best suite of services, show up and be seen. The secret sauce, though, is who the judges are. What we don’t want is one agency judging others – aside from any possible bias, there’s no better group to adjudicate than the very group that choose agencies from pitches: Marketers.

To find an award platform that fits the bill, we reviewed all the industry awards and their judges. The best fit for the IAS Credentials Award was the Assegai Awards.

As a judge myself, it was clear that half or more of all judges were marketers - which made sense for two reasons: firstly, marketers reviewing agency credentials would give precise, valuable feedback and acknowledgment about what works for them.

Secondly, agencies would have the opportunity to showcase their credentials to a group of top marketers they may otherwise never have access to.

The latter has been lauded by previous agencies as being an extremely valuable opportunity to put their names and talent on show.

A virtual judging session including the IAS and the marketers who will be adjudicating the IAS Credentials Award will ensure that all are aligned for the selection of the credentials most deserving of the award.

It’s a real-time opportunity to see the points of which all judges are aligned, with a deep-dive discussion to determine a winner and not a mere allocation of points. This format also provides participants to engender maximum impact on today’s marketers.

Entries are open now and will close at the end of August.

As always, we look forward to these esteemed industry awards. You may not walk away with a trophy, but we’re confident your next pitch will certainly be a winner.

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Marketers look past awards to get to the grit

Well-structured agency credentials continue to attract the attention of marketers

ADFORUM GLOBAL SUMMIT 2024 NEW YORK CITY 13-17 MAY - DAY 5

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Another strong line up of global agencies represented at the upcoming AdForum Worldwide Summit

The AdForum Summit, held twice a year  in selected cities across the globe, will include Johanna McDowell and the Independent Agency Search & Selection Company (IAS) as part of an exclusive, captive audience of search consultants.

 

The 2024 AdForum Summit will take place in New York City between 13th and 17thtMay 2024, providing the IAS with the opportunity to assess and forecast global communication industry trends; and, with up-to-date information constantly being exchanged, an exclusive forum to share ideas, challenges and opportunities. The major theme running through the Forum this year will be AI, from a multitude of angles, looking at the value it can bring across areas from creativity to customer relations.

 

The AdForum summit is an invitation only event that brings top players in the industry together, and offers them the chance to grow their business, network, and experience how they are shaping the future. The IAS is the only South African pitch consulting company that has been participating consistently in the summit over the past 17 years.

 

More than 20 participating agencies including big names like WPP Group, DDB Worldwide, Uncommon and Stagwell, as well as some new independent players, will be visited during the summit week.  These participating agencies will have private meetings with more than 35 global search consultants at their respective offices in order to have 1-on-1 conversations about agency goals, strategies, key corporate messages and to showcase their creative visions and talents.

 

“The main reason we accept the invitation to attend is to ensure that the IAS continues to be at the forefront of global issues and trends facing the advertising and communication industry and the complex world of agency selection. AdForum offers us the chance to discuss the future of the marketing communications industry. This will be especially important this year with the rapid strategic shifts taking place within agencies as they grapple with the new needs of marketers, new ways an agency can partner with business, as they seek to break through the old, embrace change and bravely tackle the next frontier of challenges,” says Johanna McDowell, Founder and CEO of IAS and partner for SCOPEN Africa.

 

SCOPEN Africa will also be represented by McDowell at the Summit along with other SCOPEN colleagues from around the world.

 

For South African agencies, brands and marketers, IAS will be hosting a Masterclasses in June where insights and learnings, along with new case studies, from this summit will be shared. Look out for details on our LinkedIn page here.

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Competitive conflict? No big deal…

In his latest SCOPEN trend highlight, President and CEO of SCOPEN César Vacchiano notes that where once certain clients would prefer not to employ an agency that was working with a competitor, attitudes have changed.

“Our study shows that the percentage of clients not concerned by competitive conflict in their sector within an agency has grown from 21,3% in 2019 to 40% now. That’s a fair leap,” says Vacchiano, “and while precise reasons were not requested from respondents, further analysis indicates that two main factors stand out in marketer’s attitudes to this – trust, and wanting a specific agency, at all costs.”

Says Johanna McDowell, Chief Executive Officer at Independent Agency Selection (IAS) and Managing Partner of SCOPEN Africa, “We saw an uptick in trust between clients and agencies during Covid19, and are pleased to see all parties appear to be maintaining the status quo.

“This, combined with clients knowing that a specific agency will be best for what they want to achieve and choosing them despite any reservations they may have had shows a maturing of the market.”  

Like Vacchiano, McDowell says it would be interesting to discuss this with marketers and further digging may bring interesting new moves to light. “Is it only about trust, or the fact that some agencies are positioning themselves in the consultancy space, which is known for being a space that has always had conflicting clients and competitive brands.”

“It is less of an issue than it used to be,” Vacchiano posits, pointing out that “in some cases the degree of specialisation of an agency and its reputation means their value is such that some clients are prepared to take any perceived risk simply because they want that specialty and that service.”

Trust, technology and intellectual property

Here, McDowell notes that it is not in the interest of any agency to share client information or be concerned about what a competitive brand may be doing. “For years, agencies have had frameworks within teams work so as another team on a competitor’s project doesn’t get the down low on who is doing what.

“Technology, too, can ensure that even within the same agency, competitor’s information can be locked down and accessed only by password protection for each project. Agencies have long been using both company values and technology to protect each clients’ intellectual property, again reducing any anxiety in among marketers.”

Clients not entirely comfortable with sharing an agency with competitors are usually in the retail, banking and FMCG sectors, but even these may share an agency depending on what type of work the agency is doing for each. Again, Vacchiano highlights that it is not in any agency’s best interest to transgress the protective framework.

McDowell adds, “Overall, a key factor is, quite simply, a marketer wants the agency they want. They want the creativity, the culture, the level of innovation and they’re prepared to work with the agency known for meeting the highest standards in each area.

“Clients want the best and in a sea of sameness, they’re showing more and more that they’re willing to roll the dice on an agency known for being the best. So far, trust is winning.”

Brand vs performance cultures

As marketing agencies continue to seek ways to deliver the goods, we are seeing ‘old agency’ bumping up against ‘slick martech’, writes Johanna McDowell, CEO of the Independent Agency Search & Selection Company (IAS) and SCOPEN partner. On top of these draining legacy issues, do we really need another new dashboard?

To paraphrase Nick Law, creative chairperson at Accenture Song, “Branding is a mature culture of storytelling and craft, suspicious of the scientific world of algorithms, while the performance world is young and bright, with a deep understanding of modern media and technology, sneering at the hand-wavy romantics”.

At this point, nobody seems truly able to fill the gap left by operating brand and performance separately. On the one hand, traditional agency creativity is often off the mark where targeted content is required; on the other, performance teams seem to be continually throwing more martech at a communications problem.

Turning data into action

So, how do we deal with what has become known as the “messy middle”? Understanding the need for data and analytics, the IAS believes that turning only valuable data into actionable marketing campaigns is necessary. This will require a balance between brand and performance at an organisational level.

It’s not more software that’s required, but more soft skills – now effectively power skills – when applied to creating a marketing ecosystem that understands the job to be done. Organisations must comprise people who understand both communications and technology, and what each should be doing to draw the two sides together.

The primary focus should always be, “how does this help the marketer and the brand?” We see data management as a function that must shift from being a separate department within the marketing ecosystem to being the responsibility of business leaders.

Value in simplification

AGENCY SCOPE 2023 noted that marketers are recognising brand building and the creativity behind it as being crucial, even as many keep chasing the analytics. How do we make sure the missing middle doesn’t handicap the process?

Simplifying processes could result in reducing the “messy middle” and its part in the agency ecosystem’s often sluggish response to opportunities to turn data into sales. The AAR, IAS’ UK partner, suggests an incremental building of the industry by moving more creativity and budget to data-lead targeting, driven by clients.

Simplification in this context does not necessarily mean reducing or even streamlining the number of agencies within a marketer’s eco system, but rather the understanding that clients need these skills that are becoming more specialised as technology advances at speed.

For example, the key area of consumer targeting has grown to incorporate essential data that requires specialists to extrapolate the precise analytics that will positively impact marketers’ results and the long-term success of the brand.

Staying in their lane

With each additional specialisation, marketers are left to determine which of their current agencies have the capabilities they require and whether yet another agency may be needed. Here, the IAS suggests choosing one organisation that has the skills and experience to find ways for existing agencies to collaborate better or to introduce a single, multi-channel organisation that frees up the client to focus on core daily issues.

This enables each agency to stay in their lane, recognising each others strengths, and work to support the ambitions and objectives of the brand.

It’s time for the “them and us” of brand versus performance to combine their vast swathes of data and talent to create a “magic middle”, simply and swiftly, for the sake of the brand and its customers.

Fortune favours the brave – someone has to stand up soon and say, “Enough…”

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Nedbank, the ‘ideal’ client, and also the most attractive brand for agencies

As a continuation of the study on de BEST AGENCIES TO WORK FOR, according to professionals working in agencies (both creative and media), SCOPEN analyzes in its BEST MARKETER TO WORK WITH Study, the most attractive brands in South Africa for these same professionals, and the qualities that an ‘ideal’ client should have.

The field work was carried out between the months of July and September 2023 and a total of 200 professionals have been interviewed (155 from creative agencies and 45 from media agencies).

The three main characteristics that the South African interviewees mention when they talk about those that a brand must have to be considered an ‘ideal’ client are, firstly, Partnership / Build Long-Term relationships (for 56.5%), secondly, its Ability to Take Risks and look for Big Creative Ideas (38.0%) and in third place, the Professionalism and Seniority of the Brand's team (20%). Other characteristics are mentioned below, such as Adequate compensation, an in-depth Knowledge of the business, Clarity in briefs and objectives, the client’s ability to Share Feedback and information and their Respect for timings.

Cesar Vacchiano, President of SCOPEN International asserts, “It is very relevant that when agency professionals choose those client companies they want to work with, they prioritize long term partnerships that produce confidence and trust when risk taking, over adequate compensations (that probably exist in those long term relationships). Analyzing longer-term client-agency relationships across different markets we always notice that these partnerships produce admired professionals in both parties and better work (creative and effectiveness awards).”

 

The South African clients that, according to the agencies, come closest to these definitions of ‘ideal’ are: Nedbank, ABInBev and Chicken Licken.

 

On the other hand, regardless of how the brands score on the different attributes that evaluate their relationship with their agencies, the professionals are also asked about the brands with which they would like to work (more aspirational, due to the visibility and impact of their communication). In this ranking, the first three positions are occupied by: Nedbank, Nando's and Absa.


Joe Public and Mindshare stand as the most attractive creative and media agencies to work for

SCOPEN presents the results of the second edition of the BEST AGENCY TO WORK FOR Study on creative and media agencies in South Africa, which identifies the most attractive agencies to work for, for the professionals who currently work in them. The field work was carried out between the months of July and September 2023.

In this edition, a total of 200 professionals have been interviewed (155 from creative agencies and 45 from media). The sample is higher among professionals from Johannesburg (73.5%), with greater female representation (58.5%) - higher in media agencies - and the average age is 44 years. On average, they have been at their agencies between 7 and 8 years and more than 7 in their current position. Management positions have the highest representation in the sample (a third of them are CEO/Partner/MD).

The key factors that most influence an agency change are Professional Projection/Learning (51.1% - almost 26 percentage points more than in the previous edition) and Salary (41.5% - 10 pp more vs. 2022). Aspects such as Company/Organizational Culture (17%), Professional Team/People (11.9%), Client List (9.6%), Creative Quality (8.9%), Hours -Home Office, Flexibility- or International Network (both with 8.1%) are mentioned less.

Among the six tangible aspects suggested, the three most important that influence preference of one agency over another are Location & Access (27.3%), Work-life balance -working remotely and with flexibility- (23%) and Benefits -other types of remuneration- (21.8%). Among the intangible aspects, Respect -how employees think they are perceived by their leaders- (27.5%), Credibility -how employees perceive their boss/leaders and the company- (23.5%) and Pride -Value of work, image of the company in the industry- (17.5%) are the three that stand out.

In South Africa, the satisfaction of professionals working in their current agencies is high, with an average recommendation level of 8.8 out of 10, and an NPS of +57.3. Only 13.7 of the professionals interviewed declare their intention to change agencies (certainly or probably). If they did, they would mainly change to a client company.

Cesar Vacchiano, CEO of SCOPEN Global, says… “Across all markets we see that due to the uncertain times we live in, most agency professionals (43% in South Africa), are not thinking of changing agencies. Among those thinking of changing, the vast majority want to move to a client company. It is a big problem if agencies are not attractive for professionals in our industry, as without outstanding talent, agencies will lose relevance for marketers.”.

Joe Public achieves the top position among the most attractive creative agencies

The 10 creative agencies leading the Best Agency to Work for 2024 for South African professionals are:

#1 Joe Public                             #6 GREY

#2 Ogilvy                              #7 M&CSAATCHI ABEL

#3 TBWA\                             #8 Promise

#4 Accenture Song                #9 Grid

#5 VMLY&R                         #10 FCBAFRICA

 

 

Joe Public maintains the position it achieved in the last edition, as the most attractive agency to work for among creative agency professionals. This is mainly, because of its first position (much higher than the rest of the agencies) in the Top 10 ranking of independent agencies. Ogilvy and TBWA\ reach second and third position (being first and second in the Top 10 of Group Agencies). Among the Top five in the global network agency ranking, we find Accenture Song, which achieves fourth position, not having appeared in the Top 10 previous edition, and VMLY&R, which rises two positions (it was 7th in 2022). We also found two significant rises from Grid and FCBAFRICA, both of which appeared in position 17 in the previous edition, and now reach positions 9 and 10 respectively.

 

Mindshare achieves first place among the most attractive media agencies

 Mindshare reaches first place as the most attractive media agency to work for (it was in fourth place in 2022), followed by The MediaShop (first in the previous edition) and phd (which rises one place). In the Top 10 we find four significant increases: CARAT (which goes from tenth to fourth place), OMD (from 11 to 6), and Publicis Media and UM (which go from 16 to 7 and 10 respectively).

 The 10 media agencies in the #BATWF 2024 are:

#1 MINDSHARE             #6 OMD

#2 The MediaShop        #7 PUBLICIS MEDIA

#3 PHD                         #8 Metamedia

#4 CARAT                    #9 Starcom

#5 Wavemaker           #10 UM