Personal Touch Critical To Ad Agency New Business Success.

A new survey conducted for the American Association of Advertising Agencies (AAAA) by research-consulting firm Ballester Inc. reveals that advertisers consistently respond best to personal contact with agency executives rather than any other form of communications during new business solicitations.

According to the study, 53 percent of advertisers polled said personal contact with an agency was more likely to lead to the agency getting on the “long list.” Meanwhile, only 3 percent of respondents said promotional materials helped get agencies noticed.

The study, presented by Andre Cappon, president of Ballester Inc., at the AAAA New Business Summit in New York, highlighted other trends and issues in new business, including timing of account reviews, compensation structures, and longevity of advertiser-agency relationships.

Companies participating in the study included 273 major U.S. advertisers with advertising/communications budgets of more than $10 million. The survey was conducted between December 2002 through April 2003, and featured executives from a mix of service, consumer product, and durables industries.

“This is Ballester’s first broad-based, detailed study of U.S. advertising agencies,” said Cappon. “We have conducted similar studies of advertiser-agency relationships in Europe for more than 30 years.”

Additional findings include:

Many advertisers reported long-term relationships with agencies, with 24 percent claiming relationships of 10 years or longer;

About half (51 percent) of advertisers polled expect overall marketing-communications budgets to increase over the next two years;

Of those advertisers who anticipate budget increases, 43 percent believed the media mix would also change.

The complete study was presented at the inaugural AAAA New Business Summit, which begins Monday, June 9 and concludes Tuesday, June 10.

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