What Does The Future Hold For The Ad Agency Of Old?

 


Unless you're socially isolating under a rock and didn’t get the memo, it is no secret that the world of marketing, PR and advertising is changing at lightning speed, with a major paradigm shift in the way agencies function being visibly noticeable over the past 3 years.

 In a Mad Men-esque ad world, the one that introduced most us to the esoteric art of advertising, it used to be that things fit neatly into categories as pretty as January Jones:

 An ad agency created ads and if they did media placement/buying, they placed the ads too.

 A marketing agency or a digital marketing agency could do a variety of things depending on their specialty ranging from brand identity to perhaps creating your website, some paid advertising and maybe events and activations to get the word out about your brand.

 A public relations agency focused solely on media attention. This used to be limited to pitching traditional media for articles, placement etc. With the advent of social media, many of these rebranded as social media agencies, managing their clients' online as well as offline personas.

 As the social and creative web has become mainstream the game has completely changed. Things are smarter, faster, cheaper as opposed to dumber, slower and more expensive.

 The happy divide between an ad agency, a digital marketing agency and a social media agency has crumbled.

 The digital marketing agency of 2021 is the Swiss Army Knife of communications. Post 2020, with budgets thinning and retainers dwindling, even these one stop shops are fighting to surving. So what then is the future of marketing, PR and advertising agencies going to look like?

 

Here are some thoughts:

 

1. Jack Of All Trades vs. Master Of Just One

 The days of Mad Men are over. Big fat agencies are slowly streamlining to cope with the new normal. Massive overheads, foosball tables and conference rooms with glass walls full of hastily scribbled strategy drive up expenses and create an environment that is but slow-moving. Slow to think, slower to act and the slowest to react to changes in the market.

Sure, it is nice to have “everyone under one roof” for control purposes, but now with more ways to do work virtually, a team of freelancers can be assembled in a jiffy. Or a consultant who's worth ten interns.

Does it take more work on the digital ad agency end to do this? Absolutely. The future is more about partnerships between highly specialized experts as opposed to just more bodies.

 

2. Content Is King. It's Creators, Kingmakers

 It used to be that if you had a budget, you could just hand over all of your marketing, advertising or social media requirements and sit back and approve the magic.

The problem with this, and where we are going in the future, is that smarter, faster, cheaper promotion and advertising requires participation from the client.

 The future is all about the client becoming a trusted resource as opposed to a product pusher. This is where content creation comes into the mix. By creating content ranging from blogs, to videos and even podcasts for clients, agencies can help max out their value proposition to clients. Also thanks to the democratisaiton of content, creating it is much easier than before. It is time for digital marketing agencies to create as well as promote their clients content.

 

 3. Agents Of Education

 Teaching will be another model that will continue to take shape. More specifically, teaching people and companies. Not keeping the secret sauce secret. This means educating and enabling as opposed to controlling.

 This means agencies/consultants, etc. will continue to create their own content online and off. And in many ways, this content can be monetized directly. Perhaps instead of clients, you have subscribers and create a community. A membership site or a mentoring program.

 The end result is part publisher and part digital advertising agency.

 

4. Not Outsourcing Relationships

 Let’s talk about the social media agency for a second. Almost every agency offers social media services to their clients

 But, what exactly is being offered and what should be offered?

 Can a social media agency assist with content creation? Can an agency find relevant articles/other content in your niche to share on Twitter, Facebook, etc.? Can an agency suggest people to follow? Can an agency set up a Facebook page and Twitter account for you? Can an agency suggest tweeting topics? Can an agency post content to your Twitter and Facebook accounts? Suggest blogs and forums you should be participating in/on?

 It's either yes to all the above or you should really consider another line of work.

 

 5. Respect New Media Sources

 We're not saying traditional media is dead, neither are we sating the same about traditional advertising is dead.

But, there are some incredible opportunities online to generate buzz, sales, trust and more that many agencies aren’t educated on.

 There are blogs and new media sources with incredible sponsorship and advertising opportunities that go beyond print ads. Tiktok, what was once seen as a platform for buffonery, is now as important to advertisers as Facebook or other media. Same with podcasts, we grossly underestimated peoples penchant to listen intently to others talk.

 

Traditional media in many cases is like a one night stand. It is hot, sexy and then it is over. Online media like content sponsorships and their like are more like a long-term relationship. Online content is spreadable and can increase in value over time since is stays up. Whether you're a digital ad agency, a digital marketing agency or a social media agency, ignore new media platforms and formats at your own perils. Early adopters who were once laughed at, are now laughing their way to the bank.

 Xebec has been around for the past three decades, and we're always looking at the future with our commitment to creativity and great service rooted firmly in the past. This is why we've adopted a holistic model of operations that makes us part digital ad agency, part digital marketing agency and also a bit of a social media agency, in doing so we've always stayed at the cutting edge of brand communications and strive to walk a holistic path without clients where one function perfectly complements the other. From brand design to content creation and much more, bring your business over to Xebec and get a taste of the future.

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