ad agency

Podcast: 7 Tips for Ad Agency Professionals

Peter · February 24, 2017 · Leave a Comment

A Podcast Interview: My 7 Marketing Tips For Ad Agency Professionals

I’ve discussed the great value of guest posting in earlier blog posts. The primary advantage is that you get your post and thinking out to a much larger audience than you would get by just posting on your company website.

Another way to get your message out there is to be interviewed by a company that is interested in what you have to say. In a recent case, I was interviewed by Paul Wicker of the super-smart ad tech company ADSTAGE. Here is how they describe their marketing platform. Cross-channel campaign creation and performance in seconds

Identical Workflows for Cross-Network Campaign Creation

Create campaigns faster with a simplified and seamless flow across Google, Bing, Facebook, LinkedIn, and Twitter Ads. We support the most popular ad formats on each network so you can make most sense for your online ad campaigns.

Bottomline is that they can help you to better manage your multi-platform campaigns…. and isn’t that a very nice thing.

My PPC Show Interview

You can listen to the PPC Show interview and see the synopsis right here on ADSTAGE’s website. Below are a couple of the more (if I do say so myself) salient points… If you have been reading my blog, you know that these are two of my major business development recommendations.

“We’re in a world where specialization wins.” If you’re looking to start your own agency, know that clients are looking for specialists. We’re no longer in the grand old days where agencies were either television, print, or radio. Know your specialty and make sure clients know it, too.
“Your website HAS to be a sales tool.” So many agencies fall into the trap of turning their websites into fun, creative projects or brochures. While that’s all well and good, if your website is not set up to make a sale, then it’s not doing much for you. Sales is a 24-7 game now and your website is doing a lot of that work for you. Make sure it’s set up that way.

I hope you enjoy the interview. And, don’t forget to take a look at ADSTAGE’s ad tech tools and dashboard. I love dashboards…

6 Business Development Referral Strategies

Peter · February 18, 2017 · 1 Comment

6 Business Development Referral Strategies To Get, Well, You Know

Most of the advertising agencies that take me up on my Corleone Offer usually tell me that the majority of their client base growth comes from a positive client, friends, and family business development referral.

Perfect! A referral is a VERY hot lead.

However, for way too many agencies, referrals are a default sales tool. They get most of their new clients via referrals because they are not doing other forms of hard core sales. Simply put, they do not have a tight manageable sales plan that includes both in and outbound marketing.

But, the issue of the paucity of sound agency sales plans is another story. This post is all about how to goose referrals so you get all of the ones your agency deserves.

The secret? Be proactive… Ask and ye shall receive.

Referral Strategies

A key to having a robust referral strategy is to make sure that your current clients are aware that you actually want referrals. Referrals from happy customers are one of best ways that B2B companies generate new business. OK, this isn’t a huge surprise. However, what is surprising how few companies have a dedicated strategy for fostering these valuable personal hand-offs.

4 Obvious, Yet Wonderful Benefits Of A Referral

A referral is a white-hot lead. If we assume that your happy customers are savvy enough to recommend you to the right potential customer then you are well on your way to establishing a valuable conversation and a new business win.

The closing ratio of referrals is higher (it has been reported that the closing-ratio of a referral is 6 times greater than an unqualified lead.)

For the obvious reason that a referred prospect is generally a very motivated buyer, the referral-generated sales cycle can be as much as 75% shorter.

A referral strategy is cost-effective and will reduce your sales expenditures – free is good. Free is a great place to start.

6 Effective ‘Active’ Referral Strategies

I’ve generated referrals from existing clients and customers using the following set of strategies. Given the fact that you are talking to happy customers or friends, these strategies will be a very efficient use of your “sales” effort.

Start with an objective. Know what increase in referrals you are targeting and what type of clients you want. Unqualified referrals are not a good thing.
Determine which of your clients or friends, these could be people you talk with or people you stay in touch with on social media platforms like LinkedIn, Facebook and Twitter are contacts that might know the people or businesses on your prospect list. Do the research to help your clients help you.
Go ahead… ask for referrals. Some referrals come because your client or buddy is specifically asked if they know of a good company in a your business category. Some come because your customers love you so much they actively ‘sell’ you. Some need to be stimulated to think about how to help you. It’s OK to ask. It is also wise to let them know what type of referral you are looking for. Take away as much guess work as you can. Make it easy for them to refer you. But, do not overdo it. Clearly, you do not what your clients to feel burdened.
However, before you ask, make sure that your current clients are motivated to refer your service or products. I’ve written about how to determine which of your clients might be referral magnets. Check out: Is Your Agency Loved?
You might need a bit of time to massage your clients through the delivery of unexpected services ahead of directly asking for their help. As they say, give and ye shall receive.
A big must. If you get a referral, make sure that you keep the referrer informed about your conversations and any progress. Don’t forget to say thank you. If you actually win new business, you might want to consider sending a gift as follow-up.

Referrals are nice, but one eventually runs out of friends with friends. How to deal with this unfortunate fact? Have a broader sales plan.

Will Marijuana Get Advertising Agencies High?

Peter · January 17, 2017 · 1 Comment

Will Marijuana Get Advertising Agencies High?

This is an update to a post I wrote in July, 2015. I must admit that I was right then that marijuana will get advertising agencies high. High as in offering a brand new multi-billion dollar product category that needs agency services. All of them – product design, PR, PPC, SEM, website design, social media, print advertising and on and on. The reason for this update is the Newsweek article, “Here are the businesses taking marijuana products into the mainstream”. Here is a bit from the article. I suggest that your savvy agency will figure out how to get on board this fast moving train.

“With roughly 22 million Americans consuming marijuana on a monthly basis in 2015 and nearly 37 million people admitting to using pot at least once a year, marijuana brands and companies are increasingly looking to reach new consumers with upscale products that go beyond weed’s reputation as an easy high for people who like to wear tie-dye shirts and listen to mellow music. The push is aimed at offering a greater variety of ways for people to consume cannabis, whether they are first-time users or people who may have smoked grass back in the day and are looking to ease back into the drug now that it is legal.

“If you look at what traditionally people think of when they think of a pot shop, they’re thinking of a place with Bob Marley posters in it. There’s nothing mainstream about that. That’s not how you sell anything, but for some reason, that’s how people think you sell pot. That’s got to evolve,” Adam Bierman, CEO and co-creator of MedMen, a California-based marijuana management firm, said during a phone interview.

The marijuana industry is now a $6.7 billion business, according to Forbes. Figures this high aren’t easily achieved, especially not with down-market products sold in cramped stores covered in marijuana symbols, Bierman said.”

FYI, the photo of the Bob Marley product above is from Portland’s Bridge City Collective, a two-shop business that I invested in two years ago. I saw the marijuana train coming down the track and got on board very early. I am including the photo because it is an excellent example of where marijuana industry branding is heading.

—

So, Will Marijuana Get Advertising Agencies High?

Yes.

But, do not take my word for it. 502DATA is a website that reports on Washington State’s marijuana industry. Take a look at the sales numbers and… you tell me? Will marijuana get advertising agencies high? Um, drive advertising agency revenues higher? Seems logical.

Here are sales numbers for Washington’s producers, processors and retailers in today’s early-stage market. Then imagine that this is a national business that will inevitably experience consolidation.

But, for now just be amazed at the growth of a brand-new product and service category. A big one. Total 2015 Washington marijuana sales could go beyond $400,000,000 in 2015. [Read more…] about Will Marijuana Get Advertising Agencies High?

Death Of The Brand?

Peter · January 5, 2017 · Leave a Comment

Death Of The Brand… What Does This Mean For Your Advertising Agency?

Watch this L2 video on 2017 predictions. What does it mean for your advertising / digital / design / PR / experiential agency?

I know…. these predictions are both an opportunity and a big problem. I’d grab the opportunity (I love pain points) and I think it is huge. You?

https://www.l2inc.com/video/scott-galloway-and-maureen-mullen-predictions-for-2017

Is Advertising Art?

Peter · January 4, 2017 · 3 Comments

Is Advertising Art? Yes and No. Thoughts on 2017.

Here are some thoughts about the business of advertising that I will explore in 2017. A key one for me is thinking about the value-oriented question: “is advertising art” or is “advertising science” and how the recent move to data-love effects what you are selling to your agency’s current and future clients.

What I Think We I Will Be Talking About This Year

Is advertising art or science? We’ll it used to be very much art. Today, it has become, in my estimation, too scientific. I find that it is getting harder to find the big advertising ideas (name five from 2016). You know, the ideas that resonate, hit the emotions, get talked about. These big, brand-building, sales-generating “ideas” seem to be lost in a world of ever evolving tech / digital platforms and data mining.

Sure, this could simply be ‘good-old-days ad veteran speak’. But, no… While I grew up on mega-buck TV shoots, I also moved into the digital world in 1996 (founding NJ.com then ActiveBuddy) and ran a ‘digital’ agency in Oregon – so, I’m not too-stuck-on-good-old-days afterall. I just miss the time when people stood around the company water fountain and talked about advertising.

Today… we are simply not spending enough time thinking about the BIG ideas that drive humans to pay attention and to act (to give a shit) and then to want to do the action you, as a marketer, want them to do. We spend too much time talking about the technology and targeting that puts boring ad ideas in front of people. Boring.

Does the technology work? Facebook advertising fibbing / bullshit – again and again (the BIG 2016 story). And then there is ad fraud. Billions? Wasted? Clients have woken up. This should be interesting.

The business of advertising sucks (Part I). I talk with dozens of agencies. Most, even shops up to 200 people (I won’t even get into the networks) are barely making it. Why? Well, most do not really know what business they are in. They like making ‘ads’ and using the latest ad tech. But, they do not know how to make money. Most, the vast majority of agencies, do not even have a business plan that spells out the path to success. Please, start with a plan. And, given the pace of change, review the plan every year.

Ultimate bottomline: Most agencies do not have a marketing plan.

ADHD. In addition to not having a business plan, many agencies do not run a consitant marketing program. Many (most agencies) do not run their sales plan with any consistancy. They: Start – Stop – Start – Stop. They clearly have some form of attention deficit problem. Agency leaders have to treat business development like they treat an agency client. Do not take your eyes off the new business ball.

The business of advertising sucks (Part II.) I was blessed during the first half of my advertising career. We got paid well by the 15% commission system. This ended for me about 1989 when a new CMO at my Northwest Airlines client wanted to reduce that to 8%. Get this, this cut took us from $9 million in revenue and $3 million in profits to about $4.5 million in revenue. All of a sudden we were opporating at a loss – if we did not cut back on our service. We didn’t and it didn’t matter because, of course, the new CMO wanted to hand the account to another (read: his) new agency. OK, its 2016 and you guys are now chargeing by the hour. I witnessed this problem at my Oregon agency. The problem? Not so much that we got paid less. But… the problem of getting paid by labor hours for creative sevices. The value my agency provided clients far exceeded the hourly rates we could provide in an industry that had become based on low costs. There was always another agency that would work for a lower hourly rate.

Ready? Sell your agency? Sorry, most owners will never be able to sell their agency. Ever.

Why? Most agency owners are not building a business for sale. That means that they do not have a product or service that someone else will want and want to pay big bucks for. You can build a valuable agency. But, you have to make the goal of building value part of your plan. A part of your business plan. To get there, figure out what kind of agencies are getting bought (most sales are local) and have the type of agency that another wants to buy.

Process equals success. Having a clear, well-managed agency process is critical. Agencies have to find as many repeatable systems as possible. Otherwise, you are doomed to the world of over-work and low-margins. Read this: Advertising Agency Process and Profitability. It is long. It is based on how my agency built a system for profitability. An agency I was able to sell.

There is much more. But, I have to go now. Adios and —– Feilz Ano Nuevo!!!

OK, Back To The Art Of Advertising

One more thought. You are in the advertising industry. This means that you have to connect with hearts and minds in order to cause the action you seek. This means that a form of art is involved.

Sure you have to use advertising technology to get the word out (that’s all that overwhelming stuff in the Lumascape at the left). But, you will not get the results you want until you spend some time making advertising art that connects, inspires and informs.

Soooooo, as a New Year’s gift, I give you a very brief definition of art. Think of this Richard Serra video the next time you crawl into the ad tech wormhole. Who is Richard Serra? From Gagosian, his dealer…

“Richard Serra is one of the most significant artists of his generation. He has produced large-scale, site-specific sculptures for architectural, urban, and landscape settings spanning the globe, from Iceland to New Zealand.”