AWNY's "What’s Hot in Media Buying for 2010 Breakfast" drew more than 350 people to the New York Hilton on Thursday,
February 4th. The panel consisted of moderator Abbey Klaassen, Executive Editor of Advertising Age, Andy Chapman, Co-Lead of the Exchange at MindShare, George Janson, Managing Partner and Director of Print for Group M, Rob Jayson, President of Strategy at Zenith Media USA and Ben Kennedy, Director of Business Development at Joule.
Klaassen began by speaking about current economic conditions and how it has affected the advertising industry. She then asked the panel how print has been affected due to the changing economic times. Chapman noted that exchanges and networks are a part of the mix and said publishers could be worried about content. Jayson noted there are ways to better monetize the content to the consumer.
Other topics included integrated buys and if there is something media companies can do to make things easier for groups within the media department. Jayson noted that the best way to work together is by sharing the advertising brief. Chapman added that cross channel planning is helpful because teams then have an understanding of all media.
New media is even more challenging, noted Kennedy, explaining that mobile technology needs to be taught to all media departments because it will only work best when integrated with the right media. All panelists agreed that the greatest challenge right now is that clients are afraid both because digital media is new and there is no accepted method of calculating ROI. He added that clients need to be convinced to try new things and be as innovative as possible.
"Experimental programs can't just be another line on the flowchart. We need to be more integrated with our campaigns," Jayson added.
"I think we will be buying brands, not media," Janson noted, in commenting how agencies will be buying media two to three years from now.
Chapman does not believe media will be bought differently, it will instead be bought more efficiently. Content that leads to consumer experience will be the most important medium.
Kennedy added that while many agencies still plan traditionally, there are some exciting developments worth incorporating into the planning process. Mobile, for example, is a more efficient choice that reaches the consumer while living their lives. A new technology - called 'Geofencing' - will allow clients to send coupons or vouchers directly to mobile devices of those who pass their locations. "If you pass a McDonalds, they are going to know what you're listening to, what you're watching and more," he said.
Chapman point out that most agencies are aware mobile is hot because of targeting capabilities however it is important to get the right message to the right target demographic. Some of the apps are good, Jayson commented, but they need to target the correct people.
"Mobile is at the starting line," Kennedy added, "but it's the most personal thing in someone's life." Mobile is becoming a hotter topic each day within the industry and is coming up a lot in conversation. He then added that it is not quite where it needs to be in terms of experience but agencies need to respect what it is as an industry. The next step is to figure out how to add utility and value to this new medium. The industry as a whole is still trying to understand how to fully measure this medium.
Chapman agreed, "When we work on integrated plans we need to input mobile. We think about search in the same way that we should be thinking about mobile. Mobile should be a part of every campaign."
The panel looked at new technologies, including the iPad and speculated whether it will catch on. While the device mimics a magazine, Kennedy pointed out that it needs to trump a Smartphone or laptop in order to be successful. Chapman is an Apple fan but agreed and noted that the product is not differentiating itself enough. They then discussed social media and whether it will remain popular three years from now. As a whole they agreed social media will attract a 'wider circle of friends'. "People already live and breathe this-it's like air to them," Chapman said.
"The biggest challenge with new technology and social media is that people are expecting to get an instant response," Jayson noted, saying clients are getting leaner and consumers are growing up and expecting more response than ever before. Chapman added that clients need to install a better infrastructure to be able to manage working with agencies on social marketing. Kennedy observed that social media should only be used to communicate simple information to the consumer.
The big dilemma: determining the metrics of success. Currently media is being measured by impressions, click-thru rates and cross-media studies. Mobile and social media companies are looking for more ways to identify engagement. The customer journey is becoming more visible as new tools track more and more information. Agencies are currently looking past impressions and more toward a cost-per-click foundation. Once this has stabilized, it could move toward a cost-per-inquiry basis as user-friendly tools are developed.
Jayson advised agencies to advise clients to spend more money internally on marketing.
"Clients need to have a better infrastructure to be able to manage working with agencies on social marketing," said Chapman. The major reason why clients like social media is because they pay little or nothing to activate and maintain it. But it is important that clients use social media correctly. Kennedy said all social media should include something of interest to the consumer, presented and sent simply.
The panel agreed that it is very important that clients do not forget traditional media, such as display ads, when investing in social media. "The banner ad is not going away," said Chapman, and it is important to have a cross channel media plan to efficiently and effectively reach targets in all areas of their lives.
During the question and answer session, the panel was asked what skills are essential in today's advertising and media industry. The answers: flexibility, and understanding the consumer relationship and the brand.
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