The Death of the “Traditional” Advertising Agency Model

So why does the industry lack the courage to change?

Holding on to the past is something we all do. Let’s start with — “Do you remember when [Insert statement here]?” Unfortunately, that old, outdated perspective, just isn’t relevant any longer. So, what credentials do I have that validates this perspective? With 25+ years of agency experience, most of it in executive leadership roles, with tenures in global holding companies such as WPP and Omnicom, smaller boutique agencies and CEO roles, I’ve experienced the industry from a significant number of perspectives. Adding to my experience — I co-founded a management advisory for CMO’s that was acquired by a global management consulting firm. As a Founding Partner, I served on the due diligence team for a holding company acquisition by a global management consultancy and had the privilege of being part of multiple agency strategic planning and visioning initiatives as a management consultant. So, with that said, if you wonder where the perspectives come from, now you know.

Here are the key themes: a. Most agencies are essentially nothing more than a financial institution that has organized brains for rent at a significant mark-up. Note, I didn’t say profit. Yes, I just went on the record with that statement. b. Most agencies are plagued by…