Observatory International Newsletter – June 2022
Findings from the latest Observatory International / ISBA remuneration survey
We’ve recently finalised our bi-annual remuneration survey with ISBA. With a global pandemic and economic pressures we anticipated there would be some behavioural and financial changes on ways of working with agencies since the last survey in early 2020. Whilst the pandemic may have led to many innovations, the creation of revolutionary remuneration constructs is not one of them. We did however see a marked shift in the need to link agency payments to their performance. Worryingly only 55% of respondents to the survey felt they were getting value for money from their creative agencies.
Client teams are already spotting that service levels from their agencies are down from pre-pandemic, caused by the much publicised talent shortage with many leaving the agency world and proving difficult to replace.
Evidence suggests that many brands will need to look closely at the way they work with their agencies, the number they have and how that roster serves the needs of marketers.
To obtain a copy of the report please click here.
Lessons learned from the marketing community to attract, nurture and retain talent
Again with ISBA, we recently held a round table discussion on the major challenges for the marketing and communications industry to attract, nurture and retain talent.
High churn, talent shortages and salary inflation, all exacerbated by the pandemic, have meant that senior marketing management are now having to devote an increasing amount of time to build and motivate their teams and retain staff, which has now become management’s number one issue.
To read more about the solutions discussed please click here.
Five rules for pitching in a talent crisis
Following on that theme Danny Hill from our Greater China & South East Asia region recently published an article on five rules for pitching in a talent crisis. It’s vital that advertisers take heed of the key principles outlined if they want to be able to select the best possible partner from the agency community. To find out more please click here
How not measuring your agencies’ performance is costing you money
If you want to avoid a pitch altogether then measuring your agencies’ performance could be the solution. Over the years in managing both agency searches and agency performance measurement programmes we’ve identified clear hard costs to an organisation of not measuring your agencies’ performance. They include:
- The downward spiral to expensive re-pitching
- The cost of managing a ‘bloated’ roster
- Potentially paying too much in bonus payments
To find out more about these issues and how to overcome them please click here