thinking beyond the deadline
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Advertising & marketing: Addressing some of the challenges of the advertising industryTRANSCRIPT
Thinking beyond the deadline Its time for thought leadership in the advertising industry
Disclaimer: I fully recognize that the Indian advertising industry is saved from complete humiliation by the great quality of creative product,
strategic thinking, work culture, motivation levels, and thought leadership displayed at your agency, whichever agency that may be. This
article reflects the state of affairs of all the advertising agencies other than yours. Though it does not concern you directly today, I urge you,
if you agree with the argument, to communicate this thought to the leaders of other agencies. Think about it. You are not going to stick to
this current heaven forever.
When was the last time that the advertising industry did an incisive introspection of its current
state and how the business model needs to be reconfigured to take the industry to the next level?
When was the last time that advertising stalwarts took up issues that would address challenges,
and indeed opportunities, at an industry level? I do not recall reports where, except for agency
remuneration structures, any other industry specific issues were debated or even tabled by any
advertising industry association.
Indian business leaders in other sectors regularly discuss industry alleviating aspects like
„Opportunities created by WTO agreements‟, „How to compete with the Chinese‟, „How to create
more billion dollar companies‟, „How to move up the value chain. Globally‟. They debate issues
like good corporate governance and global competitiveness or strengthening domain expertise
and vertical focus. Narayan Murthy and Kiran Karnik raise issues like building a strong
educational foundation nationally to maintain our competitive edge in the knowledge sector.
It won‟t be surprising to find their counterparts in the advertising industry sitting at „Monday
Morning‟ meetings taking a stock of outstanding accounts, client complaints, and deliverables for
the week, etc. At the silver jubilee celebration of the Mumbai Ad Club keynote address, Anil
Ambani had given a thought-leader vision of making India the „Imagination Capital of the World‟.
Everyone clapped and appreciated the thought but did not let it rest in their heads longer than the
hangover from the cocktails after the same event. The next day, though it was a weekend, I
guess, the industry got busy chasing deadlines.
Often, questions are raised in the industry about falling standards. But is it really a question of
lack of talent? To on outside observer it appears to be a question of lack of leadership.
Ladies and gentlemen of the advertising world, look around you. You and your colleagues are
stressed out, overworked and no longer excited about the tasks you do. Attrition rates are higher.
Work days are longer. Margins are lower. Clients are not singing praises either. Most often, and
most importantly, there is a significant and continuous erosion of respect from clients for the
advertising professionals that are designated to be custodians of their brands. I hazard a guess
that clients today view advertising professionals as „blue collared workmen‟ who execute
communication requirement materials and not „white collared communication consultants‟ who
strategize and ideate on managing consumer perceptions about their brands. (I do not mean blue
collared as derogatory to white collared. The problem is when industry professionals expect to be treated
like white collared consultants but get treated as blue collared workers, there is disillusionment.)
As Anil Ambani mentioned, “Rs.1000 crores to Rs.11000 crores is higher than the „Hindu rate of
growth‟. But does it warm our hearts and give us pride and satisfaction? Is it a true barometer of
the potential of the Indian creative talent?”. Folks, it is about time the advertising industry reflects
upon some important questions.
Not for one moment am I suggesting that ‘Imagination Capital of the World’ is the only reasonable direction
to pursue. But for the sake of argument, if we were to choose that as a worthy vision, what issues does the
industry need to address to be in a position to even make it possible for industry participants – professionals,
clients, global industry - to consider that vision a possibility? I offer three for starters.
Organizational structure
Separate divisions for PR, events, BTL, etc. have not been meaningfully contributory. Perhaps
there is a fundamental flaw in creating separate divisions for what is essentially intended to
deliver an integrated communications package. I mean, imagine a separate division for press and
TV!!! If that seems absurd why would, if they are integral as you say to the communications task,
PR, BTL and events be exempt from that expression? Just because the industry did not have the
time to think about how to weave in these relatively newer aspects into what traditionally called
mainstream, these functions have continued to languish on the sidelines. Oh, and the advertising
industry had a very creative way of handling the online medium. It just ignored it!!!
Well, some agencies did make feeble or not so feeble attempts to deliver integrated
communications solutions. But ask clients and they will perhaps suggest that the only time multi-
disciplinary teams came together with an integrated concept was at the pitch presentation.
If we were to reinvent the advertising & communications business model, what would the
structure look like?
Could we separate ideation from execution in the real sense? I would argue that writing a
strategy document and chasing an artwork require very different skill sets. Most people would
be happier doing one of the two. (Imagine a person in a consultancy firm suggesting a prudent
financial strategy to a client and then promptly sitting down with the account books to audit the
accounts. It does not happen. Because common sense tells you that it is not supposed to happen that
way. Consultants and auditors are differently qualified and differently driven.)
What should be the role of leadership in the new advertising agency model? What should be
their intent and contribution while engaging with the client? (Consider IT industry examples where
leaders assume the role of evangelists and vision holders)
Work culture, environment and human resource management
Why do advertising professionals, generally speaking, seem to be overworked, stressed and,
often, working with unhealthy disinterest?
What investments need to be made in adequate and appropriate infrastructure and resources
to ensure that industry professionals are able to conceive the possibility of watching a sunset
with the family?
What training processes need to be in place to help build domain expertise? How many
advertising professionals, even if they wanted to, would find the time to really understand the
industry of the brand they service? I mean really really understand the industry. Consider the
possibility that if you were to leave the agency today, most clients would hesitate to hire you in their
marketing departments. That’s because they do not believe that you have adequate knowledge of the
industry to make a valuable contribution.
Redefining the role of the agency (and in the process regaining lost respect)
When was the last time the advertising industry did a survey of clients on what they think of the
industry and what things they would like to see changed? I would think that such a survey would
throw up some very scary points of view. But so be it.
I would suggest the following steps:
The industry needs to commission and conduct this survey.
Once it is done, industry leaders should debate possible ways of addressing issues identified
by clients.
View points should be, as in any mature industry, be discussed with the stake holders at all
levels in the organization.
These discussions are likely to help organizations reconfigure their value propositions and/or
their delivery models. In this process, segmentation and position taking would emerge.
(Consider this. For an industry that consults its clients on differentiation and a distinct positioning, there
is little positioning of the players themselves.)
Then comes the role of communicating this change through Industry PR
Friends, for an industry to mature, individual participants need to rise from their own environs to
debate issues at an industry level. Some leaders from the advertising industry need to step out of
the daily grind and devote time to address challenges and opportunities at an industry level. Don‟t
be complacent that, as in the past, the advertising industry will survive and grow in the future. As
they say, „The future ain‟t what it used to be‟.