Zoja Paskalijevic, Ciesco Partner, featured in NewDigitalAge
The acquisition of MGM by Amazon signals a redistribution of eyeballs and money from traditional TV to streaming. And this will have a commercial impact on big media agencies already considering how to navigate a new landscape. The heady years when Mad Men struck Mad Deals over lunch with Mad Media owners are long gone; into a world historically carved up into kingdoms by network agencies has come something entirely new: Facebook, Google, and other tech companies.
They have ambitions not just to find a home in this landscape, but to wipe it clean and start again. And the result of this, and increasing digitalisation, (as well as rising adoption of, and enthusiasm for, tech), is enormous pressure on those network agencies and their Achilles’ heel: the media agencies, high-margin businesses advising companies how and where to engage with consumers.
The changes in this ecosystem have been propelled by changing media usage among consumers. Mad Men Paradise: Mass media, easy push advertising, one message to many, via OTS (Opportunity To See, still a key questionable KPI where media monies are thrown at)
Challengers Paradise: Every touchpoint is a data point, with tailored asset and activation strategies, with an opportunity to convert (be it brand lift or a transaction).