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The true role of advertising agencies today

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The true role of advertising agencies today

The new president of UDECAM, Gautier Picquet, has fueled the controversy around the role of Google and Facebook in the advertising phone numbers database free download In a recent interview , Picquet talks about the role that agencies play against GAFA (an acronym that refers to Google, Apple, Facebook and Amazon).Stéphane Levy has spoken against these statements, contributing his own personal and professional vision as President of the Labelium Group . We reproduce both points of view below in order to analyze the challenges that advertising agencies face today.As an agency, is it possible to restrict investment in Facebook and Google?
One of the points that Gautier Picquet addresses in his interview is how agencies should react to certain decisions that the GAFA that the advertising sector does not like. The president of UDECAM ( Union Des Entreprises de Conseil et Achat Média ) advocates that the industry maintain a strong position: “Beyond complaining about the GAFA in the press, we must be able to say no and cut the advertising investment of our clients . As agencies, we can apply measures of financial pressure: in France, Google and Facebook attract around 3.3 billion and 1 billion euros of investment respectively and most of it goes through our hands ”.However, Stéphane Levy wonders about it: “Is n’t it the agency’s role to guarantee the best investment for its clients ? How would you react if your bank told you that it was not going to make this investment or take out this insurance because it “doesn’t like it”, even though it may be profitable for you? ” And he adds: “Personally, it would seem a bit suspicious to me and I would tell you that it is not your budget that you are managing. As a client, I hire an agency to ensure that the best results are achieved and to take advantag

 

 

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The dominant position of Google and Facebook
Gautier Picquet also addresses the hegemony of GAFA in the digital advertising market and regrets the way in which Google has made the decision to change  gulf email list  the management of third-party cookies in Chrome . “It is proof that Google only thinks about your interests. One thing is clear to me: the composition of the global advertising ecosystem does not have to be decided from an American headquarters, “he says.
Faced with these statements, Stéphane Levy interrogates Picquet: “Don’t you think that this same feeling is the one we have from independent agencies compared to the Big 6 (those that make up the UDECAM mostly)? From my agency, we have been in permanent combat for 15 years, trying to emerge in front of your political and commercial force ”.Google and Facebook have transformed the sector in which agencies operate: they now have to change their business model to deal with the permanent threats of internalization or other independent challengers . STÉPHANE LEVY , PRESIDENT OF THE LABELIUM GROUP
Narrow margins in the advertising businessAccording to Gautier Picquet, agencies have to know how to reject a pitch when the rate conditions are laughable. And he regrets that “sometimes you know in advance that you are going to lose money.” In this sense, it declares that it is necessary to stop accepting the unacceptable, starting because the remuneration levels are not aligned with the consultants’ skills or with their workload.Regarding the challenge posed by margins in the advertising business, Stéphane Levy admits that the pressure is colossal, but it turns out that there are new actors who manage to stand out and that it seems that they can make a living. “We can take the example of The Trade Desk company. Created just ten years ago, it is valued at 12 million euros, an amount almost equivalent to Publicis or WPP, but with the difference that it only has 1,500 workers, “says Levy.dvertising agencies are forced to reinvent themselves todayThe true role of advertising agencies
téphane Levy compares Picquet’s position to the battle Kodak fought over the commercialization of the first digital cameras, with the paradox that UDECAM agencies could easily become the “iPhone of the industry”. “You have talented teams, a very broad spectrum of specialties, and wonderful clients,” says Levy.

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