The Fear and Loathing of Advertising (Part 1 of 3)

The Fear and Loathing of Advertising (Part 1 of 3)

"There's nothing I'm afraid of like scared people" - Robert Frost In 40 years of working in the advertising industry, I have never sensed so much negative feeling toward advertising agencies among small business owners as I do today. In the past, networking events were an important source of new business opportunities for me. Now when I mention that I own an advertising agency, people cringe, glaze over or slink away.

What has happened? Has the business world changed? Is there a fear of the unknown? Or has advertising failed to achieve the respect of small business people? I think it's all three.

Let's begin with how the business world has changed. Most small businesses have less liquidity than in years past. Seeking the most bang for their buck, they choose social media based on its reach and affordability. The opportunities appear endless. Many business people think they can create their own message and control where and when it gets circulated, without outside help.

Another change is driven by the media itself (newspapers, TV, radio stations). To secure the placement of ads, commercials and even direct marketing initiatives, they waive or hugely discount production costs. Cutting even deeper into the heart of the traditional advertising agency, they give the client the 15% commission they used to give the agency for its time and coordination efforts. All this sounds like savings for the small business person.

Let's return to social media. Indisputably it's a great advance in communications. But exploiting its potential requires specialized knowledge. Working on your behalf, a social media expert can help determine the motivations and habits of your prospective and current customers, craft messages that will resonate with them, and reach them exactly where they are. He or she can also ensure your social media campaign is proactive and consistent. Best of all, the price you pay a social media professional will provide a measurable return on your investment. Read my past Sticky Note, "So, How's Your Social Life" or "Email Marketing & Social Networking" for more insight.

However, you get what you pay for.

And what about those great savings on traditional media (i.e. who needs an ad agency)? For you to compete successfully, you have to have a brand  (LBA), an instant recognition that says you're good, you're trustworthy and you're successful. When the control of your message and how it looks is left to your media partners, the brand gets lost. These guys' objective is to sell space - whether magazine, newspaper, radio, TV or coupon mailer - not help you beat out your competition. For that, you need someone dedicated to your objectives.

Have ad agencies dropped the ball? Probably. Some have failed to deliver on their promises. Perhaps they've overreached. Or maybe they just got fat and lazy. It makes me crazy to think this is so. Surely there are exceptions. Unfortunately, it doesn't take many bad experiences to create fear and loathing for an entire industry. Everyone deserves to get what he pays for.

Here are a few suggestions.  Pay attention to the advertising of like products or services of successful companies. Find out who created the marketing and interview as many of those providers as you can. Don't be swayed by cutesy, clever ads (Refer to my Sticky Note, "I Traded a Gun for a Stick"). Often these are designed to win awards for the agency, not sell product for the client. Judge the agency by the results they've achieved for their customers, whether it's gaining measurable information, building loyalty or increasing sales. Hire the best and hold them accountable.

This is the end of Part 1. Parts 2 and 3 will be coming to you soon. Parts 2 and 3 will cover why most companies have a fear of the unknown when it comes to advertising.

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