why youtube doesn't get more money from agencies - and what to do about it

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“OMG YouTube is so awesome. Why don’t agencies give us more money?” @markpollard My digital lives here: http://www.markpollard.net

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A presentation for YouTube about what may be holding them back - deliberately provocative but delivered with a smile.

TRANSCRIPT

Page 1: Why YouTube doesn't get more money from agencies - and what to do about it

“OMG YouTube is so awesome.

Why don’t agencies give us more money?”

@markpollardMy digital lives here: http://www.markpollard.net

Page 2: Why YouTube doesn't get more money from agencies - and what to do about it

Now with the bonus, limited-time only cursory tale:

How not to sell to a strategist

Page 3: Why YouTube doesn't get more money from agencies - and what to do about it
Page 4: Why YouTube doesn't get more money from agencies - and what to do about it

So if you’re so awesome why is

it so hard?This is not a rhetorical question

Page 5: Why YouTube doesn't get more money from agencies - and what to do about it

Why should they choose you?

Well, answer this:

This is not a rhetorical question either

Page 6: Why YouTube doesn't get more money from agencies - and what to do about it

The typical online display sales pitch

1. Lots of engaged users (yes, in the content – not ads)

2. Slightly different formats (well, sort of)

3. We have an email database – put a banner in our EDM

4. Because we like you we’ll throw in millions of impressions

5. Here are case studies of banners that beat the industry average

6. X% of time is spent online so give us X% of your budget

Page 7: Why YouTube doesn't get more money from agencies - and what to do about it

I don’t believe in online display advertising

The big issue with this sales pitch

and I’m not alone(although I am being slightly dramatic)

Page 8: Why YouTube doesn't get more money from agencies - and what to do about it

Many people were surprised that you were

becoming like them

So, when YouTube recently unveiled new advertising options

Page 9: Why YouTube doesn't get more money from agencies - and what to do about it

What them does really well

1. Mates with the media agency CEOs – since they were kids

2. Big, annual deals with discounts and pocket money

3. Sometimes, global deals even (eg Bing)

4. Lunches

5. Helps them hit numbers with one buy (ie makes it easy)

6. Dinners

7. Gives them adequate performance

Page 10: Why YouTube doesn't get more money from agencies - and what to do about it

In other words

They understand what makes people tick

Page 11: Why YouTube doesn't get more money from agencies - and what to do about it

People will choose the option that most easily

delivers adequate business results with maximum

personal benefits

Page 12: Why YouTube doesn't get more money from agencies - and what to do about it

And to complicate things

The agency world is nowat its most complicated

Page 13: Why YouTube doesn't get more money from agencies - and what to do about it

And the big challenge

The ultimate decision-maker is the client but they nearly always only make decisions based on what’s presented to

them by the media agency

Page 14: Why YouTube doesn't get more money from agencies - and what to do about it

What I’d do if I was you(which I’m not - just in case you were wondering)

Page 15: Why YouTube doesn't get more money from agencies - and what to do about it

1

Get closer to clients without putting the agencies offside

* (business vested interest: deals and relationships) *

* (personal vested interest: being the smartest in the room) *

Page 16: Why YouTube doesn't get more money from agencies - and what to do about it

2

Get closer to the agencies – but it will take time and

possibly a different culture

Page 17: Why YouTube doesn't get more money from agencies - and what to do about it

3

Make it easier to buy both more and more effective placements on the web

(You do this already though, right? Through one contact point?)

Page 18: Why YouTube doesn't get more money from agencies - and what to do about it

4

Show how your brand uniquely benefits brands – and isn’t just a cool brand

for a marketer to buy

Page 19: Why YouTube doesn't get more money from agencies - and what to do about it

5

Own the elephant in the room: talk about the

best mix of PAID and UNPAID involvement

with YouTube

Page 20: Why YouTube doesn't get more money from agencies - and what to do about it

6Even better than the previous point:

Provide bigger solutions for online content or online video out of YouTube

(eg video syndication)

Page 21: Why YouTube doesn't get more money from agencies - and what to do about it

7

Prove against competitors that money on YouTube leads to better outcomes

Page 22: Why YouTube doesn't get more money from agencies - and what to do about it

8

Create different advertising models – the ones we’d

expect from Google

Page 23: Why YouTube doesn't get more money from agencies - and what to do about it

9

If you can’t do any of the other points then you have

to win on value

Page 24: Why YouTube doesn't get more money from agencies - and what to do about it

“OMG YouTube is so awesome.

Why don’t agencies give us more money?”

My answer

There isn’t currently a compelling business or personal reason to give you more money

So, if we started here:

Page 25: Why YouTube doesn't get more money from agencies - and what to do about it

1. Get closer

2. Show tangible brand & results benefit

3. Differentiate with models and formats

4. Stop faking about unpaid: it’s sampling!

5. Otherwise: win on value

What I’d do about it

Page 26: Why YouTube doesn't get more money from agencies - and what to do about it

And now…

How not to sell to a strategist

Page 27: Why YouTube doesn't get more money from agencies - and what to do about it

Strategy at its simplest is an informed and measurable point of

view (opinion, even) about where a company needs to go in the future

(not always to go brilliantly)

Page 28: Why YouTube doesn't get more money from agencies - and what to do about it

At a high level, in the agency world

Brand strategy Channel strategyWhat a brand is about

and for whomHow a brand behaves and how people can

interact with it

Page 29: Why YouTube doesn't get more money from agencies - and what to do about it

Brand strategy at its simplest takes something unique and motivating about a brand

and connects it to a human insight (an unspoken human truth)

so that people relate to the brand and feel they need its products

Page 30: Why YouTube doesn't get more money from agencies - and what to do about it

Brand strategy

Problem

AudienceGoal

Insight

Proposition & Proof

Creative idea

Page 31: Why YouTube doesn't get more money from agencies - and what to do about it

Back to the point

How not to sell to a strategist

Answer: Sell to a strategist

Page 32: Why YouTube doesn't get more money from agencies - and what to do about it

What we needRelevant and local statistics

Case studies

Really creative examples (that worked and are affordable) for the creative teams

Help managing the ‘newness’ of it all with clients

A reason for the media agency to recommend it

More marketers talking about it marketers convince other marketers better than anyone else

Page 33: Why YouTube doesn't get more money from agencies - and what to do about it

I’m finished now

But my opinions live on at @markpollard and www.markpollard.net