What Ad Agency Clients Think.

Why clients move.

The recession is hitting advertising agencies and their clients hard.

According to the “Client-Agency Economic Outlook Survey” from Reardon Smith Whittaker (RSW), the economy has had a negative effect on the business of 87% of US agencies—and 91% of their clients.

In the first half of 2009, 55% of clients had spending decreases of 6% or more.

In addition, 35% of them expect to see marketing spending fall by 6% or more in the second half of the year.

Possibly because e-mail is considered an inexpensive and effective marketing method—good for tighter budgets—50% of agency clients spent more on e-mail marketing than the previous year.

Almost one-third of clients increased their commitment to search engine optimization, while 56% and 28% did the same for social media and online display, respectively.

“If you don’t have a good grasp of new media, you had better get on it,” recommended RSW analysts in the report.

The main reasons clients left agencies were lack of fresh ideas (73%) and the need to cut costs (44%).

The report recommended that agencies ask themselves: “What insights, ideas, creative solutions can you bring to the client’s table that others can’t?”

If advertisers don’t have good answers, clients will go find them…somewhere else.

To download report CLICK on link below:
https://hispanicad.combanners2/downloads/AgencyOutlook.pdf>

Courtesy of http://www.emarketer.com