blogging, commenting, data planning, Mediated

2,056 days later I’ve returned to Mediation; to find that nothing, and everything, has changed

So, where were we? It has been 2,056 days since I last posted to this Mediation blog. That’s well over half a decade since I shared my thoughts on the un-negotiated data-based contract between advertisers, media platforms and audiences.

It would be a pointless task to try and list out the changes, evolutions (and revolutions), disruptions, procrastinations, legislations, debates and discussions that have characterised the media and marketing industry over that time. They are vast, and profound.

Or are they?

A look back to the Mediation posts of 2014 (there were six) shows I covered the following topics:

The Un-Negotiated Contract: How the model changed, and why the fight for access to data and information has never mattered more … explored the role of data in media and marketing, and implications for data transparency and consumer privacy.

In the Netflix Spark: Why the arrival of the SVOD platform heralds a more even distribution of the future for everyone … I discussed streaming and its impact on the video advertising ecosystem.

Being a true version of yourself: Lessons on transparency from Kyle and Jackie O, and Bethany Mota … explored influencers and brand authenticity.

Weapons of Mass Contagion: why our amazement and anger at Facebook’s emotion experiment is misdirected … wrestled with the surprise and shock at social media algorithm’s ability to influence our feelings and emotions (be kind, it was 2014).

What’s your Story?: a tale of two narratives, and a big lesson in the power of narrative via Jamie Oliver and Thank You Group … covered the nature of brands and storytelling.

And in Reunification isn’t going to happen so get over it: Why media is already planning for a future that’s here already. and why that’s awesome … posited on agency and holding group structure and specifically the debate over a return (or not, as I predicted) to full-service.

So five and a half years ago the debate was largely grounded in data, media business model disruption, influencers and authenticity, brand storytelling, and how agencies and holding groups can best structure to deliver outcomes and client objectives.

What’s astonishing is how little the industry’s topics of debate have changed … yet just how much the discussion and developments within those topics has moved on.

If you are a consumer living within the European Union or the US State of California, government legislation has made huge steps to negotiating the contract between your personal data, advertisers and media platforms. In the last half decade the progress on this topic, in terms of public awareness and legislation has moved dramatically – tho the latter probably more than the former.

Consumer perception on social media (with its inherent biases and dangers) and the role it plays in our society and culture has moved on significantly. The original debates on Mediation around this topic look nothing short of quaint in a world in which social media’s pivotal role in politics, social equality, extremism (in all its forms), and data transparency is still being fully understood and debated. As is its role in the media ecosystem of major brands with an eye to brand safety.

Influencers have ridden the roller-coaster of Gartner’s hype cycle and have, arguably, now found a plateau of productivity following their trough of disillusionment. That said, the normalisation of influencers and KOLs for some brands has been tempered with its rejection by other brands in favour of more centralised and authentic brand narrative and messaging.

Indeed, the perceived role of brands (by marketers and some agencies) has also evolved, the most recent iteration being a bout of purpose-driven marketing, which reached a recent zenith, until everyone looked around and realised that every brand’s purpose was exactly the same; to basically be ‘here for you’. For many brands, the search for a post-Purpose model seems to be more than well underway.

Meanwhile in media land all the shifts – both seismic and nuanced – that were underway 2,056 days ago have only accelerated. Streaming’s march has continued, with the arrival of entrants like Disney+ only adding more credibility and urgency to the clear direction of travel.

I was wrong on the reunification of media and creative, which did come to pass after all… just not in the way that I imagined. Rather than agency brands reuniting across the media and creative divide, instead new models have emerged. On one hand the holding group brands themselves shifted from back-end infrastructure to marketer-facing agency brand. Or on the other they de-branded to create completely new integrated offerings for clients – particularly those with global scale.

An honourable mention for the progress that audio has made in the last half decade, mainly due to podcasting. The continued rise of Spotify will only be accelerated by the very chunky investments they are making into original audio content and talent.

Also TikTok, the platform that captured and then created a cultural moment of content creation that took not just other social platforms but the entertainment industry at large by surprise. There’s a lot more to come from them.

And mentions also to the gaming industry – with which brands still seem to be struggling to find a way to authentically engage, and to Ecommerce, although it probably has over-inflated mental availability right now among the media and planning community.

The last 2,056 days were less kind to some corners of the media landscape. Print and magazines continue to have a horrible time – with some notable exceptions that have managed to both diversify and also tap into a recurring revenue model (including The Guardian with its successful membership and supporter model).

Mediation’s time away saw the most damage however to long-term brand building and marketing investments. Short-termism, an over-reliance on performance-based planning and the pursuit of efficient over effective media planning has, frustratingly, flourished. We’ll come back to that I’m sure down the track.

That’s hardly a comprehensive assessment. I’ll not try to pretend that it is. But after the longest break, we are (kind of) up to speed.

So why now? Why return to Mediation after an absence of more than two thousand days?

The answer is both short and long. The short answer is because Covid, obvs. Like many people, the last few months have been one of contemplation and consideration. I count myself more than fortunate that I am in the luxurious position to be able to find time in the current moment to contemplate its implications. For many millions of people this horrible current situation is characterised not by mindfulness, but by stress, fear, anger, anxiety and loss. I am in a very, very fortunate position.

The longer answer is that I’ve found myself returning over the last few months to the reason I originally began writing Mediation back in 2006. Over eight years I attempted to negotiate the future of media and communications. The negotiations were between legacy and next-generation media platforms; between established models and new ways of thinking. They were between those invested in building something new and those invested in preserving the status-quo.

The mediating was also between brands and audiences, the nature of their relationships and interactions (albeit fleeting), and between the different corners and elements of the industry; the holding group behemoths and the rogue start-ups.

Through all of that, the question was how to mediate a better tomorrow? What can we learn from the new things under the sun whilst building on the best of what has stood the test to date? How can media be accessed and leveraged by brands and marketers in meaningful and effective ways that works in everyone’s interests?

I believe that question is as urgent as ever. It is a question being revisited with renewed urgency in this time of change and upheaval. Old assumptions are being questioned and new models and beliefs are being explored and tested.

There is much to debate and discover.

It’s good to be back.

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collaborating, IPA|ED:three, Mediated

Clients versus Agencies Round One Results: Clients 1 – Agencies 0 … and why some independent mediation may be required

sir-clive-woodward-via-Wales-online

Clive Woodward … Coach supremo – it will make sense later on (pic via WalesOnline)

something of a war or words seems to have broken out on the pages of Adnews of late. on one hand we have David Morgan of Nestlé (let’s call him the ‘client’) and on the other a range of voices including Leigh terry of Omnicom Media Groupe, Travis Day of Vizeum and Peter Grenfell of VCCP (let’s call them the agencies).

here’s a few samples of the debate:

“We’re getting stuck in the middle, stuck in operations, stuck in process management … we’re spending so much time doing things that are not core to our trade of marketing, that it’s taken up our ability to do our trade of marketing. Today, our guys are managing eight, nine, 10 different agency groups – digital groups, media groups, creative groups, strategy groups. It takes up a lot of time to talk to them, coordinate them, project manage them.”

David Morgan, Nestlé director of corporate communications and marketing services, speaking at ADMA Conference two weeks ago

“Managing relationships is easier when agencies are treated as strategic partners … modern agencies of all disciplines are recognising this and pouring significant effort into ensuring that they have a partnership role with all clients; that they are trusted advisor and, most importantly that their reporting and admin are streamlined”

Travis Day, general manager of Vizeum Melbourne

“Agencies can be guilty of getting caught up in their own world … agencies need to open up and be more collaborative with each other. Creative agencies need to not be sniffy because they lead the strategy and media agencies need to not be sniffy because they hold all the money.”

Peter Grenfell, MD VCCP

it’s been an interesting debate not just because it comes at a time when tensions across a whole range of agency / client issues are coming to the fore – remuneration and transparency, the pitch merry-go-round and the protection and respect of IP, and most recently the time and agency effort spent on entering awards – but also because there doesn’t seem to be any kind of logical or constructive response or solution to Morgan’s assertion.

the frustrations on both sides or more than understandable. unfortunately (or fortunately depending on your POV) media went and fragmented. fact.

non of which is new news … back in 2008 I wrote a piece as part of my IPA Excellence Diploma (module three if you’re wondering) in response to the question: what approach should a client take in terms of who does communications planning on a brand? my observation at the time was that the agency response to “media fragmentation … has been twofold. Firstly, diversification into a multitude of different and varied operations; secondly, generalisation …historically all props had to do was scrummage; now they expect themselves to run, catch, pass and lift in the line-out too”

I know … I resorted to a sporting analogy, but bear with me.

I explored the idea that the players (agencies) on the pitch were now so diverse and the necessary roles so specialised that coordination was a full time job (the latter point was perhaps the very one that David Morgan was making at the ADMA conference that sparked this debate). it seemed to me at the time that there were to solutions, the client coordinates or the agencies do, and observed flaws with each:

“One, individual agencies can never know enough about other disciplines to ensure communications planning they derive consider every perspective. It’s like asking prop-forward to plan a game strategy incorporating the nuances of the role of fly-half; the knowledge required is too broad and getting broader all of the time.

Two, Buckminster Fuller’s principle: “If all you have is a hammer, every problem looks like a nail” (as quoted in John Grant’s After Image). A player will never take themselves off the pitch; the very concept that any one agency can comprehensively and without bias write comms planning that excludes themselves is fundamentally compromised.” (source)

I suggested that there was a third way. that some clients may want to employ a coach (and the sporting analogy is complete) who is neutral, independent and can coordinate and allocate roles and responsibilities for agencies whilst the client focuses on marketing and ultimately business objectives.

as Clive himself said:

“My role isn’t to do players’ jobs for them. My job is to ensure that every player performs to their potential and as part of a team”.

Clive Woodward, BBC Interview

that sound’s like exactly the kind of role we need to me.

it’s perhaps not entirely right for every client, and there are flaws – not least of which is that its another outsourced role and relationship for a client to manage; but its a constructive suggestion … and I can’t help but observe that some of the agency response to Morgan’s challenge is at best smart observation of the problem, and at worst a claim (bordering on a whine) that agencies aren’t respected enough as ‘strategic partners’.

I fear that statements like “Creative agencies need to not be sniffy because they lead the strategy” do less rather than more to win the respect of a client who posed a reasonable and clearly present issue to the agency community.

this round’s result: Clients 1 – Agencies 0

we explore this is a ton of depth on last week’s PHDcast which you can enjoy listening to here:

player not working? click here to listen on Audioboo

featured image is Clive Woodward (the coach, gettit) via WalesOnline

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affiliating, Mediated

The Fork In The Affiliate Road: Quality Or Quantity? And At What Price?

Mediation is guest Mediated today by James Atherton, affiliate planner at Vizeum.

Affiliate_marketing Since the credit crunch first reared its ugly head, tongues have been wagging around the affiliate world, with one main concern spilling out of people's minds; was the looming cloud of a recession gilded by the sweetest of silver linings?

With every penny ever more precious, with every cent being counted, would the greater focus by merchants on return from marketing spend see an industry seeing significant year on year growth make the shift to a dominant mainstream channel? Or would overall reduced marketing spend mean affiliates would suffer along with press, radio and TV?

For a while it seemed that affiliates were at least safe, and were at best coasting to a better, and richer, future. As one might expect, merchants were increasingly enticed by the idea of a channel that only pays out on a tangible return. However, overall reduced marketing spend has seen a more significant shift as merchants have shifted focus on other media to CPA and ROI targeted campaigns. Aggregators, PPC and traditional display-based advertising are delivering on CPA and ROI based models that have begun to return lower CPAs than affiliates and higher ROI.

There’s a simple lesson to be learnt from this; it is no longer enough to simply drive sales. Whilst this represents a sea change in thinking for many, for affiliates to capitalise on the current economic condition it is imperative that two things are addressed, and soon:

  • Quality of traffic
  • Costing Models

Without a significant increase in the quality of traffic, or the way that traffic is handled, the opportunity that is available to affiliates, that sweet silver lining, is likely to evaporate. By changing the overall perspective of a volume driving channel to one that is linked to profitability, ultimately doors will be opened rather than shut.

This is not to say that fundamental upheaval is necessary. However, publishers need to accept that positioning and potential will need to be increasingly tied to the needs of the merchant rather than CPAs and EPCs as merchants become more educated.

A simple example of this would be loyalty sites, a group that have seen huge successes in recent times, but who have also left a bad taste in merchants' mouths that have been burnt one too many times. Simply by developing offerings that tie into the LTV of a customer – for example an insurance bounty that only pays out on renewal of a policy – they can create a harmonious model that would make significant steps toward realising the huge potential growth for affiliates that is currently available.

The affiliate channel currently sees itself at a fork in the road; partially through its own impressive and intrinsic growth, but also through unforeseen global economic changes. By acting quickly and sagely, it can make the move from being a specialist part of the marketing mix to something that consistently sits at the heart of all merchants’ overall media strategies.

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