Gruelling, but invigorating and rather inspiring.
Going into the process, we knew this was never going to be an easy year to judge agency performance. Over the past 12 months, advertisers have trimmed budgets, moved operations and centralised marketing strategies. Procurement specialists demanded more bang for their bucks, while agencies watched their collective bargaining power with clients erode. The demands, ever more relentless, put jobs at risks and further jeopardised agencies’ abilities to service accounts effectively.
Going into the process, we knew this was never going to be an easy year to judge agency performance. Over the past 12 months, advertisers have trimmed budgets, moved operations and centralised marketing strategies. Procurement specialists demanded more bang for their bucks, while agencies watched their collective bargaining power with clients erode. The demands, ever more relentless, put jobs at risks and further jeopardised agencies’ abilities to service accounts effectively.
For a few, there were some rude awakenings. But as painful as it has been, this recession has also proved to be a powerful force for change. It demanded the development of new ideas, and in some cases facilitated long-needed action. Indeed, finding innovative solutions to an agency’s business issues this year became as important as driving results for clients.
In this environment, a few surprises made it on to this year’s shortlists (which you can view at media.asia). In some cases, the jury found the performances of the newcomers - particularly in the media and creative agency of the year categories - genuinely inspiring.
There were cases where clients had continued spending, convinced by their agency partners that measured responses to their advertising were accurate.
Across the shortlisted entries, there was a much greater emphasis on measurement and analytics, as clients looked to their agencies to improve the effectiveness of the work.
And agency networks grew. They identified critical gaps in the market. Desperate not to be crippled by a heavy reliance on global advertisers, they hunted new sources of business: local brands with branding potential.
The digital land grab continued, with agencies from all sides jostling for position. There were a handful of cases where clients had favoured digital agencies over traditional siblings. There were also encouraging examples of digital agencies taking a seat at the top table.
The worry was that agencies would be slow to adapt to changing circumstances. Yes, it’s doubtless been a year of survival, and it’s still too early to judge how badly the industry has been damaged by the recession.
But never have agencies done more prudent housekeeping to maintain strong balance sheets in order to generate a proper return on investment. Nor have they ever worked harder to convince client procurement specialists of the price that would be paid if brands were not properly supported during the harsh economic times.
Got a view?
Email Atifa.silk@media.asia
This article was originally published in 19 November 2009 issue of Media.
