“agency-deathwatch” Update
My agency-deathwatch post is an evolving post that continues to grow (basically anything I bookmark in delicious and tag “agency-deatwatch” is added to the post).
I wanted to highlight two entries that are worth reading:
First from David Armano of Logic+Emotion: Advertising: Innovate or Die. Vol. 1. Davids article clearly lays out the need for R&D and innovation in advertising, and how the traditional agency model just does not fit.
Second The Agency Model is Dead from BlueFlavor Blog. Blueflavor lists five nails in the coffin of the agency model:
Coffin Nail 2: Big Ideas: They don’t always reap big reward
Coffin Nail 3: The Cost of Trial and Error
Coffin Nail 4: The Growth of In-House Resources
Coffin Nail 5: The Talent Pool
Both of these articles talk about the issues that are subverting the Agency business model, and why agencies need to change to survive.
Related:
Five Implications for The Social Media Agency
3 Rules For Managing Viral Marketing - What Every CMO Needs To Know
2 Comments, Comment or Ping
hans
The cost of trial and error can grow two ways. The first would be how the article puts it in terms of number of trials due to fragmentation. The other would be lower cost per trial costs by using lower cost methods on the Internet. I know that most of the ad budget is still in the old school mediums, but maybe we will see an increased interested in more trial and error as budgets shift online (look at the auto industry shifting budget)
Aug 24th, 2006
karl long
That’s a great point Hans, and one I totally agree with, in fact that’s the one point in the article where I was shaking my head in disagreement. The low cost of trial and error and you have the perfect playground for experimenting with ideas new ideas cheaply. Combine that with his assertion that “big ideas” are less effective than they were (which is well supported by Chris “long tail” Anderson’s “death of the hit”), and you have the perfect environment for trying out lots of small ideas.
Actually, big ideas are still effective, but not in the same homogenous mass media kind of way.
Aug 24th, 2006
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