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The ultimate thing Google can teach you about agencies relationships

The ultimate thing Google can teach you about agencies relationships

We already talked about agencies relationships several times. We also gave you advices to handle it properly, with great care, to get the best out of it.

But we’ve got some more!

Learn here how Google manages its relationships with agencies. You could easily take care of such a situation in a similar way!

Where are agencies relationships leading us to?

The Agency of Record (AOR) is in perpetual move. The advertising world is changing. Building a relationship with an agency becomes a real challenge. But what does the market reveals about the actual situation? What do marketers think about their agencies and what are the results? Before going into the details, here are some key facts you need to know to understand the real issue:

Single Full-Service agency is dead. Why?

In today’s world, clients tend to hire only a few agencies to handle their marketing strategies. As we previously mentioned, 16% of them rely on one single full-service digital agency. 80% of them hire only three or fewer agencies to work on their digital marketing efforts.

Some marketers even decided to work with no agencies at all, privileging in-house agency. But this is another problem to consider!

As we can see on this chart, the big trend is to refer to only a couple of agencies.

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This technique offers its perks to the clients. Agencies owned by large media or holding companies can provide some important benefits: a real diversity of capabilities or in-network efficiency and pricing for example.

They are not to be banned from your agency model.

But is this way of working with only a few agencies really efficient? Are marketers satisfied with the results? Not really.

Unhappy Clients

Fact is most of them are unhappy by their current relationship towards their agencies. Clients are increasingly frustrated. Most of them feel that their agencies is incapable of understanding subtle aspects of their marketing plan and the issues their company is facing considering their market.

Agencies continue to struggle with the practice of integrated Marketing Communication. They have trouble managing consistent messaging across channels, lacking specialization in such a field.

Agencies are expected to differentiate through technical industry expertise and digital knowledge. Huge agencies can’t offer you that. They’re not particularly specialized for this and thus cannot supply your demand. They can however offer you other advantages, involved in a greater system!

Advertisers are now looking for highly specialized digital shops. But they keep employing one full-service agency to rule it all. What’s the point? That’s nonsensical!

Why don’t you try another method then? The exclusive AOR arrangement is becoming a thing of the past. Marketers need to move to the next level of agency-management to succeed just like Google does.

Long live Roster Agency System!

You want to have the same marketing impact as Google does? Then there’s one meaningful thing you have to start doing NOW: work with a roster of agencies instead of just one general agency. Work with small agencies, or big ones, who cares, as long as they are specialized.

Google got that part right. Indeed, they’ve developed a real network of agencies, working with no less than 18 agencies at once, all specialized in a field! And yet they’re still hiring new ones.

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That’s pure genius. Indeed, Advertisers demand both best-of-breed channel expertise and a more holistic integrated digital strategy. The only solution to obtain both of those is hiring several agencies, offering you tons of capacities! The circle is then complete.

Financial issues will you claim? Well no. Not if you work with several small agencies. This is one of the great perks of small specialized agencies: lower spending minimums. Accumulating several of those might even cost you less than hiring two big agencies.

3 reasons to adopt Google’s Roster Agency System

1.    Highly specialized working teams of agencies

Big agencies tend to lack specialization. Small independent agencies excel at their own specialty. Agencies are expected to differentiate through technical and digital knowledge. But clients still hire “classical” agencies while needing a digital one. No need to say this is pointless. Hiring several highly specialized agencies in addition to one huge classical agency is the best combination you could ever hope for. No need to go much further here, you got it from what we’ve already said. Hiring a single full-service agency is nonsensical, you have to go roster!

2.    Collaborative work is your key to success

The problem you will surely encounter is the lack of collaboration between those agencies, and you. It’s a hard thing to do to align data collection and optimize each and everyone’s work. It’s a whole ecosystem you have to build here, to get the best out of each agency you’re working with.

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3.    Data sharing and ideas merging

These complex client/agency ecosystem have brought with them many data management issues (sharing, access, transparency). But still, sharing interesting data by organizing a collaborative way of working will bring you much more satisfaction than letting your agencies work alone. Their ideas will merge and something big will come out of it. You can be sure of that.

This roster system is an incredible way for your business to grow and for your marketing plan to outperform itself! Get your internal marketing staff to work on this ecosystem’s way of functioning. You’ll see great results on your business.

You ever wondered what you needed to do to obtain the efficiency of Google? Well here’s the secret. Apply it to your company, work on it everyday and challenge yourself by launching this huge project.

 

About Camille Petteau

Camille est étudiante à l'IHECS. Passionnée par le marketing, la publicité, la photographie et la cuisine.