The legendary agencies of our industry are looking increasingly long in the tooth. That’s because we’re entering a new economic age, which could be named post-consumerism. The industry, especially the traditional agencies –as well as many old-school digital shops — are losing relevance quickly. The industry was built on its ability to create, track and follow the latest style, but the current revolution in business is one of substance.
Long-accustomed to being the tastemakers in a “push” economy, ad agencies are facing a whole new world, one where the predominant media is not from agencies, but from the public. The seismic shift happened a few years back when the brand conversation began moving away from agencies and into consumers’ hands. Our society was admittedly consumerist: acquiring things of value was an end in and of itself, but value was defined by the “push” message of agencies — luxury was an aesthetic best explained in glossy advertising and dollar signs.
The massive growth in C2C communication has enabled a new culture to emerge, one where people speak directly (albeit often chaotically) about what matters to them. And it appears likely that much of the criticism of advertising’s influence on society was correct: now that consumers can lead (and dominate) the conversation, a new cultural aesthetic — decidedly non-Madison Avenue in its orientation — has emerged: meaning is the new luxury.
The poster children of this new world are the Millennials — but everyone is participating. In our new Artisan Economy, meaning and values take stage center and products and services that are “worthy” are built from a core of values and meaning, rather than flash and economies of scale.
That puts agencies in the back seat, struggling to craft “push” messages that sound as organic and authentic as a real consumer. With each new media form, agencies will rush to exploit it before the crowds take over and overwhelm and undermine the paid voice. Smart brands will invest in supporting and cultivating their consumers and communities rather than agencies — the best marketing “agency” has always the group of customers that love your brand.
Can the industry save itself? If so, it will require a shift from bombarding “push”-style messaging, to empowerment and amplification, focusing on engagement and entertainment, rather than saturation.
Accomplishing this likely requires engaging differently with the agency workforce — the youngest, rather than the most senior, will be best-suited to guide; this will be a daunting challenge for many large agencies, with paycheck-based egos that dominate the building. The new cultural aesthetic is one of egalitarianism…a rare commodity in large ad shops. It may be that smaller, newer shops have an easier time, with fewer organizational rigidity and a more youthful attitude.
This misunderstanding of the catalytic role of the Millenials is evident in a recent Forbes article titled, Millennials, This Is Why You Haven’t Been Promoted, which takes a pat on the head approach to the shift in values embodied by this generation. That, and another article in the New York Times, titled, Ad Agencies Need Young Talent. Cue the Beanbag Chairs, really inspired me to add my voice to this, published today by MediaPost Agency Daily as, Why Facelifts Won’t Revitalize Agencies. Enjoy.
