what clients think of agencies

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  • 8/11/2019 What Clients Think of Agencies

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    Getting To The Bottom Of What Clients

    Think Of Agencies

    Advertisers are increasingly frustrated with ad agencies.

    A new online survey among 1,900 business leaders in marketing, media, and procurement by myfirm, Avidan Strategies, a marketing consulting firm, reveals that their view of agenciesperformance is dim. Clients are being asked to deliver more with less and are seeking a better,

    faster, cheaper attitude from agencies.

    Corporate America is questioning the return on their advertising investment, and agenciescontinue to struggle to prove their value. There is an impatience for efficiency and effectiveness,

    and there are higher expectations of accountability.

    In this consumer-led environment, the proliferation of media choices has brought about afragmented marketplace as well. Many clients have upwards of 20 agencies and marketingservice firms, creating rosters of microspecialist agencies. As specialization continues there isa need for coordination through integration.

    Agencies need to be become more proactive in experimenting with different business models.Todays agency models are constructed to suit the agencies, not the clients. Agencies need to

    redefine their value proposition in terms of commercially driven business building ideas. Theyneed to embrace measurement and integration as an intrinsic part of their offering if they want to

    be perceived as having a higher value by marketers. It is high time to acknowledge that theeconomic model of agencies is broken.

    Big agencies handle the majority of advertising dollars, but they dont articulatea better valueproposition to clients, and 73% of the panel believes that small and medium size agencies aremore creative. The advertising holding companies fair even worse, and 85% think that they havenot improved service to clients, and view them as inefficient and unable to overcome internalterritorial disputes.

    One respondent commented about a holding company, [It] hasnt really done it for us, while

    another concluded Not only did any of the agencies involved know what the other was doing,

    but they also split the fee in such a way that each agency felt like they were not fairlycompensated. So we got pushed to the back of the line. We finally had to manage the agenciesourselves, which was not what we were promised upfront.

    Relationships are fraying and turnover is accelerating. Agency tenure has been declining steadilyas clients continue to consolidate, with 51% declaring that they have been reducing their roster inthe past 3 years, and 44% say it is still too big and they plan to consolidate further. Asked what

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    type of agencies they plan to cut back on next year, most, 69% mentioned digital agencies, and48% creative agencies.

    The survey reveals a fundamental tension between clients operating in the current toughenvironment, with the sense that agencies are not pulling their weight. When asked what recent

    changes in marketing influenced them the most, 55% of clients pointed to growing demands foraccountability as the main factor, with increased scrutiny of results by the CEO and the board.Yet, accountability is their main area of frustration with agencies71% point to it as the areathat agencies need to improve most.

    Another area in which agencies fall short of expectations are the skills required for deliveringintegrated communications. Most marketers would like their agencies to lead integrationbetween all brand communication partners. However, when asked about agencies ability to

    execute, 72% of marketers report that agencies are inconsistent and need to improve, and 24%say that, agencies are falling short and not doing a good job.

    Aside from a general dissatisfaction with the performance of agencies in the areas ofaccountability and integration, there is also an overwhelming consensus among clients thattraditional agencies have not yet found their digital footing. A substantial 46% of marketers thinkthat agencies are struggling in transitioning their business model to incorporate a more digitalplatform, and another 36% observe that agencies are making progress acquiring digital assets butfind it difficult integrating them.

    Given that agencies fail in areas that clients deem critical, its not surprising to see a growing

    inclination among clients to call agency reviews. When evaluating agencies, 90% point to thequality of the creative ideas and strategy as the most important attribute while 74% say thatunderstanding the clients business is essential, 56% point to integration and coordination, and

    48% are looking for implementation and follow through from agencies.

    An overwhelming majority, 77%, believes that clients should conduct a two-ways assessment, inwhich the client evaluates the agency and the agency evaluates the client. Over half, 58%,believe that an agency evaluation should be held every 12 months, while 38% believe in semi-annual evaluations. When asked what is the best way to compensate agencies, 82% of clientspoint to a fee plus a performance based bonus.

    Clients identify a number of areas where they need to improve as well. First and foremost, 82%see a need for better briefs, while 67% see an opportunity to align client/agency teams better;almost half of the respondents, 47%, believe that training is necessary, while 41% say that clientsneed to do a better job of fighting silos at their end.

    When it comes to an agency review, 78% say it is triggered by business performance issues,while 63% refer to changes in marketing leadership, 59% to dissatisfaction with the creativework, and 56% pointed to general relationships issues. Only 7% point to compensation/fee issuesas instigating agency reviews. Asked who should be the hands-on manager of agency reviews,37% opt for a function head in marketing (e.g., agency relations manager, or marketing director),while 32% say the CMO (acknowledged as the person to make the final agency decision), 24%

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    point to search consultants. Procurement is becoming a more important part of agency reviewswith 47% expect them to participate in the process.

    Agencies need to reevaluate their value proposition, and evolve their economic business modelin ways that will strengthen the partnership with clients. The alternatives are clear: maintain the

    status quo and sustain a slow descent to irrelevancy with cuts in quality as margins erode; or,improve margins, and attract and retain top talent by making their offering more relevant to theircustomers needs.

    Questionssss

    Media planning doesn't involve traditional sales, but you must get clients to buy into your

    recommendations. Here are 60 questions to begin with. Asking the right questions is often as important

    as giving the right answers. Asking the right questions not only arms you with the information you needas an agency to create a successful social media marketing strategy and media plan, it gets the client

    thinking along the same lines as you. It helps them to look at success in the same way you do and aligns

    your priorities. So in this week's column, I thought I would relist some of my favorite questions we ask

    when we are pitching or on-boarding a new client for media planning and social media marketing. Of

    course, many of the questions can be applied to any agency service. Some of these questions seem

    obvious. But the reality is that many of these questions are never asked - we often assume that we

    already know the answers. Also, if you are on the client side, these are questions you should be asking

    yourself and using to prepare agency briefs. (Please know that I am 100 percent sure I am leaving many

    questions out, so email me any you think I should have listed and maybe I'll put them in a future column

    - of course I will make sure to give you credit!)

    Service/Relationship

    1. What qualities and behaviors do you want to see in your agency team?

    2. What qualities and behaviors do you not want to see?

    3. What is not working about your current vendor relationship or in-house solution?

    4. What are common mistakes and misconceptions agencies make or have about your business and

    brand?

    5. Do you have a wish list of initiatives that are not part of this program but you would like to see come to

    fruition in the future?

    6. How do you measure the quality of your agency relationships?

    7. What are things you would like to see your agency take more responsibility for or go over and above

    the call of duty on?

    8. What is the most often you can meet with us for status and planning meetings?

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    9. Do all the people in your company who need to know what we are doing understand what we are

    doing?

    10. Are there any training or informational seminars you would like us to give to different groups in your

    company (online media, search marketing, social media marketing, etc.)?

    Goals/Metrics

    11. What are your metrics for success? CPM, CTR, CPC, CPL, CPA, ROI, page views, engagement time,

    brand recognition?

    12. How about for social? Fans, followers, chatter, shares, social site traffic/leads/revenue, etc.?

    13. What is the most important action on your site? What is the least important action on your site?

    14. What will make this campaign successful in your eyes? How about in your bosses' eyes? How about

    in your sales team's eyes?

    15. Do you have any historical or current benchmarks for these metrics we can trend against? (Often, for

    example, a client is at a $50 cost per action and they are hiring you to get it to $25.)16. Can you elaborate on things you have tried in the past? What worked well and why do you think it

    succeeded? What didn't work and why do you think it failed?

    17. What is your average margin on a sale or what is your average cost of goods sold? What are the

    expenses that go into the cost of goods sold?

    Tracking and Reporting

    18. How do you currently measure ROI?

    19. What tracking systems and social reporting systems are you using now?

    20. Are you able to trace offline actions and sales (call center, retail, post-lead conversion) to online

    investments? If so, how?

    21. Are there any security compliance regulations we should know about that will make it hard to get our

    tracking code onto your site? If there are, who should we start talking to now?

    22. Are there any in-house reports or dashboards you will want our data integrated into? If so, can we see

    them so we can deliver data to you in the right format?

    23. What can we provide you to help express your success within your company and promote the good

    work that you do?

    Media

    24. What media properties do you know you want to be in? Why?25. What properties do you know you do not want to be in? Why?

    26. What are your geographical constraints?

    27. Are you asking for online value added placements with your offline media buys?

    28. Do you have any proposals from media reps that contacted you directly?

    29. Do you want to have a media day to meet with the reps of the larger properties we are buying on?

    Social

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    30. Why would anyone want to be your friend? Why would they want to connect with you, listen to you,

    and share what you have to say?

    31. What fears, compliance issues, and workflow issues are holding you back from doing more social

    media marketing?

    32. Do you have a companion steady state social advertising budget?

    33. What social properties do you have up and running?

    34. How do you handle naming conventions, URL conventions, and management for various brands and

    regions throughout the world in order to avoid clutter?

    35. How do you encourage your employees to produce great content that expresses your company's

    expertise, good corporate citizenship, and human side?

    36. When you produce content, where do you centralize and archive it?

    37. What are the internal and external sources of content around your industry? Staff experts, industry

    experts, blogs, media, government agencies, etc.?38. Who is managing social now?

    39. Can you describe your workflow and approval process related to your social publishing?

    40. Do you have an internal training and policy on how employees talk about the company and brand on

    their social platforms?

    41. How do you handle password management for all your social properties?

    42. How do tweets, status updates, and other posts get created and approved?

    43. Do you know what types of posts and content spark high levels of user engagement?

    44. Do you have standard operating procedures and rapid response legal/customer service resources for

    moderation?

    45. What are some of the bad things people might say about your product or brand and how do you

    address those issues in the real world?

    46. How are you measuring success in social media now?

    Audience

    47. Who are your target customers broken down by product?

    48. Do they have any seasonal or geographic buying patterns?

    49. Please provide all the customer analysis data you can to us?

    50. Who are your best customers and what do they have in common?51. Who are your average customers?

    52. Who are your worst customers?

    53. What are common mistakes and misconceptions consumers make or have about your business,

    products, and brand?

    Messaging/Offers

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    54. What are all the benefits of your products broken down by product and target audience? How do you

    help people?

    55. What are all the offers you can realistically make to your different audiences broken down by

    audience and product? What can we give them right now?

    56. What has worked and not worked in the past for a benefit and offer messaging standpoint?

    57. Can we see all the creative (banners, search ads, email, and landing pages) you have ran in the last

    couple years? Do you have the results for these various executions?

    58. Can we talk to your sales people about what closes a deal? Can we hear a pitch from your top sales

    person?

    59. Do you mind if we secret shop your competitors and hear their pitch?

    60. What makes you different from your competitors? Why are you better? Why was your product

    developed?

    Now it is important to note that you do not need to ask your client this whole list of questions or give thema questionnaire to complete before you meet them. The last thing you want to do is give clients

    homework.

    This is a list for you to complete gradually over the course of several conversations, emails, and

    meetings. However, once it is completed it is nice to send them all the questions you have asked them

    and what their answers were - just for "clarification" of course. They will love this document, guaranteed!

    5 QUESTIONS YOUR AGENCY SHOULD BE ASKING -

    What questions should your firm be asking? Below are five that indicate whether you have a good agency

    partner one that is looking to evolve their campaigns as your marketing and sales strategies inevitably

    change:

    What are your sales and marketing goals for the next quarter?

    If your agency doesnt ask you this question, how will they position your products and services correctly,

    and to the right audience? Your goal may be to gain market share in consumer electronics tradespace,

    but your firm may be spending all their time pitching your product to parenting media. Or, your goal is to

    increase sales from IT decision makers, but your agency team is spending all their effort on Facebook.

    Both parties need to be working in the same direction, so be sure your firm knows which way you are

    headed.

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    What is your retail strategy and new retailer (reseller/distributor, etc.) timeline?

    At BLAST, we know how to position our clients as valuable partners to their retailers, while at the same

    time helping them look attractive to new, potential retailers/resellers/distributors. Utilizing social media

    channels is an excellent way toamplify a retailers in-store or online promotionfor your products, and

    retailers love to see partners making an effort on their behalf.Retail trade pressand promotion should

    always be part of the overall campaign outreach and your agency needs to show an interest in this aspect

    of your business.

    What is your primary goal for creating a social media presence?

    Deciding on which social media platforms to engage with consumers depends on what yours goals are as

    an organization. It doesnt make sense for every company to have a Facebook fan page,nor does it

    make sense to only focus on growing your number of channel followers/fans/friends/connections without

    qualifying those people.

    Before you hire an agency to execute social media efforts on your behalf, make sure they ask you the

    central question of WHY you want a presence online is it primarily for customer service, do you want to

    use your followers as a focus group, or are you looking to target CEOs of SMBs? Each answer has a

    different social media strategy built around it; one that will show measurable and quantifiable results if

    executed the right way.

    What type of award opportunities would you like us to pursue?

    Whether its aproduct-, company-, or executive-targeted award, its important that your agency knows

    which types of awards will help leverage your organization and/or its products to the right audience. Why

    have your agency spend time writing lengthy award submissions? Winning an award can help your

    organization make the transition from start-up to established, while other types of awards can

    helpincrease your companys visibilityto potential investors (if this is a goal of yours), or position your

    executives as leaders in your industry, to name few.

    Who would you like us to leverage as the organizations expert?

    There are many opportunities to utilize the expert knowledge of our clients executives to get the

    companys name in the news and regularly appear throughout social media channels and were not

    talking about the canned executive quote found in a press release. Having regular discussions with our

    clients gives us insight into the topics about which they are most comfortable speaking, as well as new

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    messages theyd like to communicate to the press. Bylined articles,Q&As,speaking engagements, Top

    Ten Lists, reactive pitching and commenting on their behalf on LinkedIn discussions are all tactics we use

    to further saturate the public with our clients messages and expertise in their various industries.

    A client recently said that one of the things he likes best about working with BLASTmedia is our

    entrepreneurial spirit a sense of how crucial it is to be timely, results-driven and adaptable to the

    changing needs of their business. Bottom line, you need to hire an agency with people who know how to

    get you where you want to go,and that will never happen if they arent asking the right questions (and

    more importantly, listening to what you have to say.

    18 Questions an Inbound Marketing Agencyshould ask to its Clients ?

    By Pushkar Gaikwad on February 18, 2014

    /With0 Comments

    If you are an inbound marketing agency offeringinbound marketing services,you probably wantto have a set of questions ready to ask to the clients to understand their requirements betteras Inbound marketing efforts need to be planned in advance. Since it caters to a specific targetgroup, its important that the client and agency align themselves to the same philosophy as they

    try to achieve through their campaign. In order for you (the agency) to successfully execute aninbound marketing campaign, here are 18 questions you may want to run by your client beforeundertaking the effort -

    You can following categories for your questions, Targetand Goals

    1. Who is Your Target Audience ?

    The very purpose of an inbound marketing campaign is not to have an instant mass reach but tosegment and target the core consumer base. Thus, the client needs to be very clear in terms ofdefining who their target audience is.

    2. What Goals you have for the inbound marketing Campaign ?

    If the objective is to yield immediate financial returns or witness a splurge in traffic overnightthen inbound marketing may not be the best strategy for them. By its nature, inbound efforts aimto engage a customer. At the same time, knowing the objective will provide you with a roadmapto implement the campaign. Is it lead generation ? Is it pushing sales by 20% ? Whatever it maybe, unless you dont know what the specific objective is, you will not be able to satisfy them.

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    To Summarize, here is the list of 18 questions you can (and should) ask to the Client

    1. What are the marketing channels you are currently using?

    2. Which marketing channels has given the best ROI?

    3. Who do you want to reach with your online marketing? Who is your target market?

    4. Is your audience online? Do they actively use the Web / Social Networks?

    5. Where are the majority of your target customers located? (local, regional, nationwide)

    6. Who are your competitors ?

    7. Who are your current customers?

    8. What are the demographics of your target customer base? (age range, profession, male/femaleetc.)

    9. What is your current statistics for the following?Lead Acquisition Cost:Lead Conversion Cost:Annual Customer Value:Lifetime Customer Value:

    10. What are the expectations for your online marketing? (In the first six months generate$50,000/year in online sales or generate 20 qualified leads per month, etc.)

    11. What is your monthly marketing budget range that you have in mind?

    12. What is the positioning you want to adopt for your brand ?

    13. Are you going to supplement the campaign with push marketing techniques ? (banner ads,video ads, etc)

    14. Do you have an existing list of email database ?

    15. What is your content strategy ?

    16. How would you define your target audiences profile ?

    17. Is there any particular campaign that you liked ? If yes, then why ?

    18. What other marketing strategies are you adopting so that there is a sync in all marketingactivities ?

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    If you know any more such questions which you can (or should) ask to clients, please post it incomments and I will add it in the list.