Meanwhile, telecoms giant Vodafone has brought most of its digital ad-buying in-house because it wants greater control as well as making use of its first-party data to target consumers — and it has put the remainder of its £400 million media account up for review.
In a sign of frustration, Sara Martins de Oliveira, the global director of brand and media at Vodafone, says: “Where is my really digital creative, optimised, at scale, done in an agile, very fast way? I don’t have answer yet from an agency.”
All of this disruption in the agency space is an opportunity for new entrants as digital communications become central to how all companies do business.
Consulting giant Accenture has been the most aggressive entrant, most recently buying hotshot US creative agency Droga5.
Accenture is challenging traditional agencies by treating advertising as one part of the wider customer experience and trying to connect every “touchpoint” from product innovation, branding and search to sales, delivery and after-care. “It’s about creating great experiences,” says Brian Whipple, the global head of Accenture Interactive, the digital marketing division.
While legacy advertisers are rushing into digital, the paradox is that disruptor brands are investing in traditional advertising because they have amassed tons of customer data but need fame and brand love.
Uber’s newly-filed stock market prospectus shows it spent a chunk of its £1 billion annual ad budget on TV. Online brands such as Amazon and Just Eat increased their TV spend by 7% in Britain last year, according to trade body Thinkbox.
Every brand, old and new, is rethinking its communications at this time of rapid change — and agencies need to move faster to stay relevant.
Gideon Spanier is global head of media at Campaign
