Time to reinvent the Global Chief Digital Officer

A head hunter sent me a job spec recently for this role. The thing that struck me about it was that it was designed from the same script I would have read when I was assessing the UK Head of Digital role at Zenith many moons ago. It had the same ring to it. Basically it asked the applicant to be a God of all things digital, drive digital strategy, pitch and win business, develop a content role, run teams and be a social guru amongst other things.
The fact is even since 2008 life is a lot more complicated. The demands are greater all around. Since then the word strategy actually means something, we have added a real need to develop a social and content strategy, search has become evermore complicated, advertisers want a Youtube approach, there is RTB more recently and the top of the pops – Partnerships. We only have partners now, with that however comes work on both sides. All of which our heroic Global chief digital officer is meant to keep and eye on.
The reality is something very different, running from one global pitch to the next, spending less and less time on strategic direction, becoming more and more removed from each of the specialist topics and ultimately not having any control of anything as your scope is too wide to even know what one country is doing from the next, and when it comes to the US one city to the next.
The one thing that digital promised and never delivered was efficiency through technology, in fact the opposite happened, it created carnage amongst organisations. Multiple adservers, platforms, bid technologies, tag solutions, DSPs and so on. The organisation and consolidation of tech has not been achieved by any of the media groups. This is not just a problem of technical and data driven turmoil but also wasted man hours. There are analyses of technology solutions going on all over the world, evaluating tools country by country at any one time. How many adserving reviews across EMEA across any given group. This all takes time and stifles the opportunity to create efficiencies and economies of scale. Why is this happening? It happens because no one has the true authority or bandwidth to control it. I use tech as an example but could be a number of other areas.
I am reminded of a meeting I was in with Carolyn Everson as she joined Microsoft, OK may not be the best example but I wondered how you join an organisation like that and succeed with so much going on. As it turned out that was too much for her too but I liked her first stab as she made it clear the three things she was going to focus on. And that was it. Three things. I believe the Global Chief Digital Officer needs the same. There is too much for one person to be all things to all subjects. You become generalist to the point of irrelevance, better to focus. And more than ever be commercial.
There should be less KPIs and more focused on bringing about business benefit to the organisation through a commercial approach and that means driving a few parts of the business in directions they might not like but will benefit the whole. Strategy needs strategists not CDOs, let them be part of the team. People clamour and claim that digital is at the heart of the business, and you know to some extent it is, at least compared to ten years ago, but what is not is a global, commercial and focused digital business plan, that needs work and a lot of it. I would argue that teams of specialists need to grow in this mould with a CEO of digital, A team focused on achieving less, but better, running a business that delivers to the bottom line through creating a commercial framework focused on scaling and consistencies.
Last and focused on one individual point in the title, the role should be global. That works in both directions, if it is a US role then don’t forget the rest of the world, and no that is not a cliché, and if it is a European lead, you better spend a lot of time in US, ASIA as well as EMEA. If you focus on global and a few things, you can achieve a lot.
I look forward to seeing the first Global Digital CEO, that comes with the same weighty KPIs as any other CEO role.

Scale is suddenly out of fashion

What a weekend of news. An incredible, history making moment when you realise you are part of an incredible piece of business. These two incredible men have done the impossible. They have created the largest Ad group in the world by some way and with no-one finding out! Hands up who wants to work in a stagnant, stale business that does not evolve or change? Not me. That is why I joined VivaKi and it has been a roller coaster ever since. Now this. Publicis Omnicom Group. It was one of those announcements where the descriptor WOW worked.

I think the coverage has been intriguing, some sensible, most negative but to be expected I guess as this merger touches so many, some utterly small minded, ludicrous and opportunistic.  

As regards the coverage the one thing I have seen time and time is the discussion on scale and how many commentators comment ‘ advertisers will not benefit from this increased scale.’ I find this fascinating for a couple of reasons. The first is that advertisers, media auditors, pitch consultants and every agency pitch document starts with how big they are, at least if you are in the top 10. It has always been so and will be for some time but all of a sudden we have everyone saying scale does not matter. I just don’t buy it and most advertisers don’t either. Scale as I have written in a previous post is not just about buying, it is about resource, depth of pockets, it can be many things, but lets stick with media buying, it will count. Anyone saying otherwise has an angle.

Connected to this is the fact I have grown up by an industry telling me about Group M scale. Media owners, my own agencies in other markets, middle men, pitch consultants – ‘Group M scale counts and is a big deal’ year after year this has been the message, so I am intrigued that suddenly I read that this is not the case and there will be little to gain from this merger in that sense. You can’t have it both ways – either it does count or it does not, because that is not the message we have been giving or receiving for the last 20 years.

I am hugely excited about this merger, we are a small part of history and whatever the future holds, I love being in it rather than looking in on it.

Media freebies..black, white or grey?

Image

This is the point at which I confess that I once increased an IO on the back of some fancy lunch..sorry not going to do that because I know I have not, but in fact that is too simple an example. There is no black and white, just grey.

The recent Digiday post about a planner in the US writing to multiple publishers asking for them to buy food and drinks for a leaving do, click here for that, sparked some conversation on this topic which came from both sides of the fence. The long and short of it was that the request was outrageous and what a cheek this guy had. In this instance they were right in my mind to be offended, what went wrong with this particular request was it lacked respect, lacked a reason and was delivered to  a group ie anyone will do.

That said, where did this all start? Did it start with the agency asking for free things or was it always the approach of the sales person, lets not just focus on media, this happens in every industry to some extent or another. In every industry the opportunity to build relations has started with hospitality. Now what this story does not tell you is how many of the recipients had previously showered this team with gifts and so lead them to believe this was all possible. And if they did? And if they helped their business, can they now have issue with the request being thrown back at them. Grey throughout.

Generally speaking hospitality is a legitimate way of doing business because we are a people business and the more time we spend together the more we understand each other and then more likely the business gets their message across. People buy people at the end of the day. BUT and a big but, it should not lead to obligation and where friendship becomes darker and things are twisted to personal financial gain. The level of that hospitality also needs examination – I believe the person who offers should always be present ie don’t just get me tickets but take me. I also believe that situations where couples and families are being hosted on ski trips etc pushes the boundary.

I saw an email once, intercepted by an agency person (who was on the exchange accidentally and not involved) between a re-targeting company and a direct client that basically said ‘thanks for the contact introduction, your camera is in the post’ That kind of thing should not be allowed to go on, or a now defunct agency whose Head of media gave the search business for an account to his friend’s independent search agency and by all accounts was paid well for it. This is the dark side of the business and hopefully a smaller and smaller part of it.

The final side of this is when a publisher or tech company is asked to sponsor an event which can come in many ways but its is a clear value exchange and they are ‘paying’ to be part of that event, again that could be food, drink, prizes etc etc but the relationship is clear.

This episode in particular was unfortunate and ill thought through and that person needs to be clear on what is acceptable and what is not but to publishers and media companies this is a cost of business and with all business there are people who do it well or badly. Written entirely differently the media owner could legitimately decide that it was a good opportunity to be in front of 90 media buyers and that is a business decision for them.

Big Sales orgs are spending $30million+ a year on marketing and so they have accounted for the 90 bacon butties, what they had not accounted for was the way the guy asked for them.

Anyone meet me in Pret and grab me a cheese and ham sub?

Trading Desks – the latest darling of the Pitch consultant

I will let you into a secret, this whole RTB thing is a real hot topic..I know, I know I hear you say but it is not with the people you would imagine, no it is with the auditors and intermediaries. They have seen an opportunity to turn a buck and are starting to get really interested in the subject.

‘Advertisers think this is a murky world’ is what I hear time and time again, but then I often wonder how they have come to that conclusion. Experience suggests that very few advertisers are engaging to any great degree, that is a shame in my view as we do all our best work with those advertisers who co-build the solution. My hunch is the plethora of intermediaries and auditors who don’t understand this subject and cant see how to make it work in their one size fits all race to the bottom approach to dismantling our industry step at a time. I also think that there maybe some advertisers who have had a bad experience and then try to spread that and tar everyone with the same brush without having a close grasp of the facts and of course, the competition in all its forms.

It is a diverse market place with many different offerings available and everyone approaches commercials and operations differently, so there is no simple way to do this, it is incumbent on communication between us and our advertisers and an ability to talk openly about how and why we do what we do. Audience On Demand for instance in display is 100% RTB, 100% transparent on inventory, buys only VivaKi Verified inventory, takes no position and does not arbitrage so we have a pretty simple approach to life that if an advertiser wants to discuss, we are more than happy to do so. I would say though that we also need to make sure we evaluate all companies in the same way, not just look at Agency Desks but all exchange trading operations.

We want a constructive dialogue in this space as opposed to a series of companies all trying to build their own businesses on the back of the latest hot potato of RTB and through scare mongering. There are so many fantastic opportunities in RTB, Google Search re-marketing, Youtube retargeting, mobile innovation, data design and execution, the best of that work comes through a very close collaboration, if we can do that, we will deliver some great, great work. 

 

 

Should advertisers pay more to keep agencies inefficient?

With every year that goes by the advertising community continues to look for more and more opportunity to drive down pricing and increase value from agencies. No one can blame them, a whole auditing and procurement business needs to exist and why should good work or good people get in the way of the procurement officer hitting their bonus? 

There is some irony that the companies advertisers use to drive efficiency also create more and more work for agencies through a pitch process to also justify their role. Meeting after meeting, tests, projects, hands on sessions, formal pitch meetings, digital focus, more forms and oh some pricing at the end. It means that agencies continually come under the strain of having to find new opportunities to earn or save money. Their only their options.

In the camp of saving, we talk a lot about making things more efficient. The whole Trading Desk model has been put under that camp, but you know, perhaps we should look to our media channels that have come with the most history. I find myself wondering why we need different TV buying departments in today’s world. We have teams of people in agencies that all do the same thing, give or take, their roles are clearly defined, they all work on the same systems, there could be no finer example of an opportunity to streamline a business. This is not just about my group but all of them. Do we need multiple buying departments by agency?

I think that if we are to keep up with the relentlessness of procurement and pitching we should do a couple of things. First lets re shape the businesses so that there are some key trading people in London but consolidate the buying into single group operations, based somewhere cheaper, where you train people to come and do a 9-5 job, they get paid, they go home having worked bloody hard.(God forbid you even employ people without degrees?)  Would advertisers be happy with that? Could they stomach the fact that agencies do as media owners do and have multiple conflicts and teams all working together across agency silos? Well that I guess is the core of the issue, if they are fine, all well and good, if they are not then they should pay more for making the agency groups run in a less than efficient way.

Second, lets start challenging the advertisers to change their business for the better rather than be lap dogs and respond to whatever they want. ‘I can be whatever you want me to be?’ We should try more along the lines of ‘your business is structured really badly, you want some good advice?’ Consultancy comes cheap in advertising and media, the advertisers should take more advice, it is designed to help on reflecting the changing landscape. I had a refreshing meeting where an advertiser asked me to challenge him more on how he should structure his business for the new world of RTB and Data. How nice it was to have a decent debate on that, and imagine the possibilities. If only there was more of that.

20130621-235344.jpg20130621-235359.jpg

Welcome to some photos of the last few months to liven up my blog. It has been a crazy few months but incredibly exciting and met some very cool and bright people that make life os interesting.

20130621-235413.jpg

The first sights of Cannes, the main event and the Publicis entrance..one was visited more than the other..

20130621-235424.jpg20130621-235441.jpg

Power ladies on one panel – Carolyn Everson of Facebook, Laura Desmond of SMG, Erin Clift of Spotify and Wendy of Coca Cola – not bad..

20130621-235452.jpg20130621-235533.jpg20130621-235502.jpg

The juxtaposition of the classy Seb Fontaine against the Gutter Bar, we did both very well, great night with Spotify.

20130621-235509.jpg

20130621-235517.jpg20130621-235525.jpg

20130621-235546.jpg20130621-235554.jpg

The Rubicon Panel at Le Rooftop, Cannes, the worlds leaders of Trade desks talking the talk. It was hot!

20130621-235602.jpg20130621-235621.jpg

20130621-235615.jpg20130621-235628.jpg

The Eden Roc outside of Cannes, beautiful spot for an evening meal with a few old friends, colleagues and new friends

20130621-235634.jpg20130621-235641.jpg

20130621-235807.jpg

20130621-235824.jpg20130621-235837.jpg

Doubleclick Client Advisory Board in Los Angeles – St Regis. Amazing venue and more announcements from Google. I also had my five minutes in the spot light!

20130621-235908.jpg20130621-235852.jpgOne of the greatest runs for a hangover cure, down by Dana Point

20130621-235957.jpg20130622-000014.jpg

20130622-000042.jpg20130622-000118.jpg

Google Zeitgeist – the amazing collection of people, politicians, genius types, robots and Jesse J – standard!

20130622-000135.jpg20130622-000154.jpg

Publicis Investor Day – the great and good of Publicis all at LBi

20130622-000214.jpg20130622-000233.jpg

CES – More to add here but suffice to say this was the hardest bit to get through

20130622-000259.jpg

A few months in photos..#VivaKi