The agency model continues to demand change. Agency models based on optimizing media continue to collapse, but it seems like the typical response of marketers is to simply continue optimizing the buys. These habits are still crippling marketing agencies ability to grow. Some of habits that need to be broken:
1. Strictly Hiring by Marketing Tool
Job descriptions for new hires are still based on (channel) tool-specific strategies without hiring strategists tasked with tackling client business goals. Tools jobs are everywhere: Social Media Strategist, Pay-Per-Click Campaign Strategist, etc.
Of course we need human resources to execute and deliver on these channels. I’m arguing that by identifying strategists by their tools is a self-serving model. If you’re hiring hammers, everything looks like a nail.
Not only that, but gears are ready to be turned by the global market. Customer relationships are managed by call centers around the globe. Who’s to say the widget you’re hiring for (or turning) can’t be outsourced next?
Instead agencies can hire by business objectives. As an example, nix the “Social Media Strategist” title in favor of community development. Focusing on the business objective creates consistent consumer experiences (between social media, communications, on site touch points, etc) and allows agencies to measure results by what makes a real difference to the client.
As an additional note on this practice: Agencies hiring resources in this way aren’t setting themselves up for long-term profitability. Optimizing tools is short-sighted and leaves money on the table for both the agency and the client. (Continuously optimizing investments means less budget is inevitably required to gain the same results.) Put another way, channel hires optimize channel or tool return on investment without consideration for true growth.
Smart businesses have already begun to take note and things are already stirring:
2. Underestimating Data
Even as marketers begin to finally focus on data, technologies outpace them. “Big Data Scientists” identified within Mashable’s Career of the Future: Data Scientist are already automated by data synthesizing and predicting tools–but we’re only just catching up the the IDEA that big data is widely available and ready to “drive product and operational decisions”. Big data isn’t just driving decisions, it’s able to predict outcomes.
“Big data” allows us to understand data outside of siloed channels. Big data allows us to understand individual behaviors regardless of tools. Big data lays a foundation for actual business growth. And it’s already been automated and organized.
3. Optimizing Existing Models (Instead of Making Real Change)
Companies continue to pat each other on the back–while downsizing–and aren’t putting a clear direction forward. (Consider: Clickable’s article GM Consolidates $3B Media Spend With Carat) As a Detroiter, this kills me. If all automakers did was optimize Ford’s Model T, where would we be? Yet this is the same approach GM is taking with media buys.
There’s an opportunity to innovate and change the way humans relate to and use their transportation. In the same way Borders didn’t sell books, GM doesn’t sell cars (they sell a means of transportation and lifestyle). Refocus marketing on that relationship and how to use relevant marketing channels will logically follow.
Creative campaigns will only bring companies so far. Campaigns are fantastic ways to connect with the hearts of people. But strategists need to focus on building programs that will address business goals–before connecting with people who’ve heard variations of the same messages over and over and over.
What will win?
Building marketing agency models that focus on program development–solving business problems through individuals–will win. (Consider: Tools Execution is Not Customer Centric: Recreate The Marketing Agency Model)
Your thoughts?
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