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Why Brands Are Taking a More Pragmatic View of Agency Conflicts

A recent Campaign article explores how attitudes towards agency conflicts are evolving as consolidation within the marketing services industry reduces the number of potential agency partners available to brands. Historically, many marketers operated strict rules around competitive conflicts, avoiding agencies that worked with rival organisations. However, as holding companies expand through acquisitions and agencies develop increasingly specialised expertise, many clients are now taking a more pragmatic approach. Rather than automatically ruling agencies out, marketers are increasingly assessing whether conflicts can be effectively managed through governance structures, dedicated teams, data controls and operational separation.

Commenting on the trend, Lucinda Peniston-Baines, Co-Founder of The Observatory International, noted that agency convergence has made conflict management a more complex issue, encouraging clients to balance potential risks against the benefits of accessing specialist expertise and talent. She observed that while brands generally prefer exclusivity, many are becoming more flexible when they see the value an agency can bring through its category knowledge and experience. Lucinda also highlighted the importance of realistic expectations, noting that even where dedicated teams and safeguards exist, complete separation can be difficult at the most senior levels of an organisation. Ultimately, she argues that clients are increasingly focused on ensuring robust governance, trust and data protection measures are in place, rather than applying blanket restrictions. As the agency landscape continues to consolidate and AI introduces new considerations around data security and information management, the ability to effectively manage conflicts is becoming just as important as avoiding them altogether.

This article is based on reporting originally published by Campaign. Read the full article: “‘If you’re really strict, you’ll have no options left’: why brand anxieties around client conflict are diminishing” (Campaign, April 2026).

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