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Media Buyer + Planner: Microsoft Review; Competition From In-House

 
 
 

Media Buyer & Planner Today

 

December 19, 2017

 
 

Media Buyer & Planner Today
 
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#1 Microsoft Reviewing Global Media Account
The multinational technology company, which spends some $1.5 billion annually on advertising, is reviewing its global media agency account, according to an Ad Age report. Incumbent is Dentsu Aegis Network which won the media planning, buying and search advertising account in 2014. Prior to that the media account was handled by Starcom MediaVest, which had won the account in 2011. Microsoft uses m:united//McCann, a dedicated agency within IPG for its creative work, which is not up for review.
WHY THIS MATTERS: Microsoft is a large spending advertiser so the account is very valuable. The review is reportedly closed and the company has not said what agencies have been invited to participate. It seems Microsoft conducts a media agency review every three years or so, and in the past that has usually resulted in an agency shift.
A Take: Ad Age
 
#2 Agencies Face Obstacles To Growth From Clients
A new survey by agency business-development firm RSW/US finds that agencies can no longer exclusively rely on referrals and networking to drive the success of their business and bring in new clients. The data points out that in 2007, 94% of marketing agencies used referrals as one of their three primary sources of getting new clients. That number dropped to 71% in 2011 and today it is down to 64%. The primary reason? More marketers are using in-house agencies with 67% in the most recent survey saying they have an in-house agency. That's up from 61% from just last year.
WHY THIS MATTERS: Clearly the competition to win new clients for agencies is fierce. And it's not being helped by a new aggressiveness to get new clients. Some 60% of marketers say they receive 6 to 10 calls a week from agencies, trying to recruit them. Mark Sneider, owner and president of RSW, says agencies must find ways to promote themselves better, be relevant to potential clients, be persistent, but polite, and be true to their heritage.
A Take: Adweek
 
#3 Marketers Enhance In-House Programmatic Buying
Marketers are building up their in-house programmatic media buying capabilities, according to a new study from the Association of National Advertisers, as reported by Broadcasting & Cable and other media outlets. The survey found that 35% have expanded their in-house facilities, and as a result have reduced the role of external agencies that had performed that type of buying function. The ANA also founded that marketers now prefer to set strategy for their programmatic campaigns and control the contracts, rather than let agencies do that. In the survey, 69% of marketers said they handle strategy in-house, while just 24 depend on agencies and other outside sources to set strategy and campaign direction.
WHY THIS MATTERS: "It's clear that a growing number of marketers are taking increasing control of their media investments," says Bob Liodice, ANA CEO. "They're making important changes to their programmatic buying practices to address media transparency concerns." If the agencies don't want to lose aspects of their client business, they need to take steps to work closer with marketers in the area of transparency and trust.
Three Takes: B&C | Ad Age | Adweek

 
 

 

 

 
 

 
 
#4 Dentsu Aegis Acquires B2B Agency DWA (MediaPost)

#5 Most Creative Agency Holiday Videos (Adweek)

#6 Context Makes Digital Ads More Effective (MediaPost)

#7 Impact of New Instagram Features on Organic Reach (Digiday)

#8 FTC Continues Disclosure Push (MediaPost)

#9 Groupon Returns to Super Bowl (Ad Age)

#10 Vatican Hires Accenture Interactive (MediaPost)

 
 

Stat Of The Day
 
 

51
Percentage of U.S. marketing decision makers who used by customer testimonial videos and product/service overview videos to reach their potential customer base, according to a survey by Magisto. Some 49% also use videos teaching how to best use their products, 48% use videos to promote brand events and 43% create videos to inform customers about the company.
– Reported by eMarketer

 
 

 

 

 
 

 

Ratings
 
 

NBC Rides 'Voice' to Win

by Michael Malone

NBC seized the Monday ratings title, riding The Voice to a 1.9 score in viewers 18-49, and a 7 share. That easily beat the 1.0/4 put up by ABC.

The Voice went up 5% to 2.0 from 8 to 10, and the premiere of Ellen's Game of Games did a 1.7.

On ABC, The Great Christmas Light Fight fell 17% to 1.0 across two hours, before The Year in Memoriam did a 0.9.

CBS was at 0.8/3, as Kevin Can Wait rated a flat 1.1 and Man With a Plan dropped 10% to 0.9. Superior Donuts slipped 11% to 0.8 and 9JKL rated a level 0.7. Scorpion fell 11% to 0.8.

Univision did a 0.5/2 and Telemundo a 0.4/1, both same as last week.

Fox scored a 0.4/1 with repeats.

On The CW, Popstar's Best of 2017 rated a 0.2 and The Hollywood Walk of Fame Honors did a 0.1. The network was at 0.1/0.


 
 

Fates & Fortunes
 
 

• KARLIN LINHARDT is out as senior VP, marketing for North America at Subway. He had held the position just since April, joining the national sandwich chain from Accenture. His departure comes just a little more than a week after Subway named a team of Dentsu Aegis agencies to handle its media and creative accounts. 
 
• ANA CEPPI was appointed senior VP, Hispanic Strategy and Client Experience at NBCUniversal. She was most recently VP, business development for healthcare and financial at Univision. Prior to that, she was a VP at American Express and also served as senior VP, account director at McCann. At NBCU, Ceppi will act as an advisor and liaison to clients and agencies helping to grow the Telemundo brand. 
 
• JESSIE WALDEN-MORDEN was named creative director at Independent Kansas City-based agency Barkley. He was previous at Publicis where she served as a senior copywriter. She has also held a similar role at Fallon.

• DAVE LEOW and JON WYVILLE were appointed executive creative directors at Ogilvy Chicago. They were previously with Leo Burnett Chicago, where they were both executive VPs and creative directors. According to an Agency Spy report, they have worked together for more than 15 years, beginning at Y&R Chicago in 2001. 
 


 
 

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