January 9, 2005

the go-between

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More thoughts on “The Hugh­train”:

THOUGHT: the future of adver­ti­sing is clients inc­rea­singly asking their agen­cies to help re-invent not just their brands, but their actual com­pa­nies. The future is agen­cies being inc­rea­singly una­ble to deli­ver on this.
Out of this wrec­kage a new industry will emerge…

Tra­di­tio­nally, the ad agency biz model occu­pied a half­way point bet­ween “the client” and “the media”. They were the go-between.
The ad agency basi­cally had two kinds of folk– the suits and the crea­ti­ves.
The suits loo­ked, tal­ked and dres­sed like the clients. The crea­ti­ves loo­ked, tal­ked and dres­sed like the guys who wor­ked in the media– TV, news­pa­pers, dot­coms, maga­zi­nes etc.
The agency made its money by pro­du­cing the “deli­ve­ra­bles” i.e. wri­ting the ads and buying the media space on behalf of the client. To do this suc­cess­fully, they nee­ded a rather fluid sys­tem that could inter­face suc­cess­fully bet­ween their clients’ cul­ture and the media cul­ture.
Sure, new crea­tive tech­ni­ques emer­ged, new buzz­words appea­red, new brand theo­ries and media were busy being inven­ted at an ever-increasing rate.
But during all this time the basic “go-between” biz model was still hap­pily cran­king away in the back­ground.
This is the part of the busi­ness that is dying the fas­test. Too easily imi­ta­ted by the com­pe­ti­tion. Too easily com­mo­di­fied.
But like I said, out of this wrec­kage a new industry will emerge. It’s cer­tainly the part of the busi­ness that inte­rests me the most.
Rock on.
[UPDATE:]
John­nie Moore makes a good point in the com­ments below:

Yep. For me, it’s the dif­fe­rence bet­ween agency (we talk for you) and faci­li­ta­tion (we help YOU to do the tal­king). I don’t think many agen­cies will adjust to that very easily…

Rock on some more.

7 Responses to “the go-between”

  1. david says:

    Inte­res­ting in that there’s a simi­lar model in the PR world. We’re the gate­kee­pers bet­ween the media and the body cor­po­rate. But with blog­ging it’s beco­ming inc­rea­singly impos­si­ble to tell where one starts and the other ends.
    We also have suits to talk to clients and crazy peo­ple like me to deal with jour­na­lists. But the suits are beco­ming irre­le­vent. Clients look at the suits and think ‘I just laid off three guys like you.. why do I want to pay for YOU and not the guy who’s actually doing the work.’
    Clients want the results — the media hits from us, the ads from you — not talk. Suits are inca­pa­ble of giving them results.
    Should be an inte­res­ting consolidation.…

  2. Yep. For me, it’s the dif­fe­rence bet­ween agency (we talk for you) and faci­li­ta­tion (we help YOU to do the tal­king). I don’t think many agen­cies will adjust to that very easily…

  3. david parmet says:

    John­nie — good point and something else that’s been bothe­ring me about the PR world.
    We are sup­po­sed to be ena­bling / faci­li­ta­ting a con­ver­sa­tion bet­ween our clients and their cus­to­mers through the media. Most agen­cies and PR types howe­ver are more com­for­ta­ble telling their clients ‘this is what you will say and when you will say it,’ sell them point­less ser­vi­ces like ‘media trai­ning’ and ‘mes­sage deve­lop­ment,’ collect big retai­ners and go home.
    That can’t last much longer.

  4. The future of adver­ti­sing and PR

    Gaping Void has some inte­res­ting obser­va­tions on how the world of adver­ti­sing is chan­ging: “The future of adver­ti­sing is clients inc­rea­singly asking their agen­cies to help re-invent not just their brands, but their actual com­pa­nies. The future is agenc…

  5. Future of agencies

    Hugh’s been wri­ting about the busi­ness model of ad agen­cies and how it’s beco­ming defunct. Partly, this is about reve­nue being based on pro­mo­tio­nal acti­vity; mea­ning agen­cies get rewar­ded for making noise rather than sup­por­ting inno­va­tion; for dressing…

  6. Valdis says:

    Why do you need a go-between if you are having con­ver­sa­tions with exi­si­ting cus­to­mers? A go-between ‘could’ bring together two groups currently not tal­king.
    Maybe the mana­ge­ment consulting/PR/advertising indus­tries merge into something new? The faci­li­ta­tion model John­nie men­tions makes sense. In the con­nec­ted world, faci­li­ta­ting sales and ope­ra­tions are not two sepa­rate things.

  7. the Hugh­train Mainfesto

    Just a cou­ple of quick­no­tes about the Hugh­train mani­festo, just relea­sed by Hugh McLeod on Chan­geThis, and ins­pi­red by the Clue­train mani­festo. These are the two con­cept tha mainly hit me: A brand is a place, not a thing: Media is not ʻentert…