Survey: Economy Improving, New Business is Up for Small to Midsize Ad Agencies

January 27, 2011

Having endured one of the harshest economic periods since the great depression, agencies are reporting that 2011 is off to a better start.

A total of 430 advertising agency executives participated in the 2010 Advertising Agency New Business Survey.

The survey was sent by e-mail to a database of over 10,093 U.S. full service advertising agencies ranging in staff size from 5 to 350 full-time employees. The survey closed end of day, December 31, 2010.  The survey was developed and results analyzed by Michael Gass Consulting, Special thanks to THE LIST for providing the data sampling.

The results are not a scientific study, it does however, provide an indication of their beliefs, feelings and perceptions regarding agency new business trends in the last quarter of  2010.

Here is a summary of the survey results:

  • How has the economy impacted your business? Business is up or up significantly for 47% of the 430 advertising agencies that responded. 34.3% reporting that business was down or down significantly. These percentages are reverse from a similar study conducted in 2008. It looks like the end of The Great Recession for the advertising industry and business is starting to improve.
  • Would you say that obtaining new business is easier or harder than it was in 2009. New business is slightly better. In a 2008 survey, 56% of the agencies indicated new business was hard/harder than the previous year. That number drops to 47% for this 2010 survey, indicating a slight improvement. For 34% of the agencies surveyed new business was the same. 18.5% said it was easier or a lot easier in 2010.
  • What is the number one reason why it is harder to obtain business versus last year? Lack of opportunities (48.6%) was the number 1 reason new business was harder, followed by more competition (23.8%).
  • What are the 3 top sources for new business? 50% of ad agencies generate new business through referrals (25.9%) and personal networks (24.5%), the third primary source of new business is the agency’s website (9.1%).
  • Does your agency have a full-time new business director? If yes, how long have they been employed? More than half of the agencies (57.3%) have a new business director and most of them (38.5%) have been in their position 5 or more years.
  • Does your agency have a blog? 35.8%, of the agencies surveyed still do not have an agency blog.
  • Does your agency have a written new business plan? Just over half of the agencies that responded (53.7%), have a written new business plan.
  • Does your agency have a unique point of differentiation from competitors? An impressive 76.8% of agencies surveyed said yes, they indeed have a unique point of differentiation from their competitors.
  • When asked to briefly describe how their agency was different from the rest, you can decide if they are really that much different from their competition. Here’s a link to over the 243 of the agency’s that chose to respond: http://bit.ly/i3oe8J

Click on the following link to download a copy of the 2010 Advertising Agency New Business Survey


Study: The hype is real, social media has arrived in business

January 27, 2010

The Big Question ad agencies want to know, are businesses actually using social media?

The University of Massachusetts Dartmouth’s Center for Marketing Research conducted a nationwide telephone survey  in 2009 of those companies named by Inc. Magazine to the Inc. 500 list. According to the study,

… social media has penetrated parts of the business world at a tremendous speed.

The report also shows that the fastest growing private companies are adopting social media 4 times faster than the largest public companies.

“This research proves conclusively that social media has penetrated parts of the business world at a tremendous speed. It also indicates that corporate familiarity with and usage of social media within the Inc. 500 has nearly doubled in the past 12 months,” researchers, Dr. Nora Barnes and Eric Mattson.

Social media has arrived in business. The hype is real:

  • 56% of the Inc. 500 are using at least one form of social media
  • 66% consider social media “very important” or “somewhat important” to their strategy
  • 51% of companies are monitoring social media

They’re using it because they consider it important to their business and marketing strategy.

Click Here to download a copy of this study.

Additional articles that may be of interest:

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Results of My 2009 Readership Survey

June 7, 2009

Recently I conducted my  Fuel Lines: 2009 Reader Survey. A special thanks to all who took time to participate and provide their feedback and insight. This information has already been a big help.  A new design for Fuel Lines is already underway as well as a review of  current features and needed updates for better communications, resources and tools for ad agency new business.

find my blog

 

These are actually responses to an open question, “How can I make my blog better” that I thought you may enjoy scanning through:

  • I don’t know. Content-rich, I don’t have enough time to assimilate all of it, but appreciate it greatly.
  • i like it the way it is…
  • You post too many repeats on Twitter. I see tweets about the same blog posts go by dozens of times. I start tuning it out and then miss it when you post something new
  • more vision as to where this is all headed
  • New feature – best tweet of the day or worst tweet of the day
  • More social media wins such as hearing the podcast w/ Jaci Russo
  • FYI, I generally skim your emails and read more if something pertains to my needs/interests. But it’s spotty and not regular. I just get too much good email and don’t have enough discretionary reading time.
  • Try to stay objective…provide perceived pros and cons of social media. Too much slant toward SM as the new savior can sound like you are selling vs. advising. Good stuff!
  • I think it’s terrific. Can’t recommend any changes
  • New design
  • I am sure it can always be better – but I already value what you offer. Your blog has been very helpful in helping to support my small agency efforts.
  • Love the blog voting. Would love to see more success stories that support strategic advice. Continue to educate on how social media can help agencies move the needle for new business
  • keep writing it
  • More streams of input on a subject – more Gestalt
  • I think its great as is
  • Stop repeating the same stories
  • more links to outside resources
  • I was unable to choose more than one option in the question above. I actually read most of your offerings and find all applicable and useful tools. I would like to see more information regarding using FB and TWitter and Linkedin as a New business tool. As a company we have profiles but are uncertain as to how to ask viewers to subscribe to our blog. I am uncertain how to attach myself to my firms profile etc…
  • I enjoy your blog very much and do not have suggestions for improvement
  • You could include something about renewable energy sources, like sun or wind energy… you know.. this sort of thing… maybe eletric cars..
  • Talk more about Social Responsible Brands. Who are they? where are they? why are they responsible? etc
  • Keep doing it
  • Just keep up the good work
  • I think an overall greater variety. It seems that topics get recycled and show up again. Also more client results from social media. It seems like we are an industry of practitioners without too many of us getting paid for social media campaigns
  • Keep doing what your doing
  • I get emails from you and occasionally visit your site from there. Is that what you’re talking about?
  • Keep writing even more
  • Keep it coming! It’s awesome!
  • It’s terrific already
  • More content for B2B new business – how social media can be leverage for complex technologies being sold to businesses
  • don’t know. i’ve never read it
  • I love the BLOG and I love following you on twitter. The challenge I have is that I am new to the blog and it feel difficult to just jump in since there is so much to review. What would be great for newbies is if there was some type of orientation section on how to best navigate. Or perhaps a “if you only have time to read 10 things on here, read these”. I tend to just feel behind and I am sure once I have a few hours to really play on the site it will seem much more manageable, but that is my current state. Keep up the good work
  • I like it now
  • The layout could be improved to make the posts look easier to read, even though they’re long
  • keep doing what you are doing…it’s all informative. Meaning you won’t be able to please all
  • I am so illiterate about computers that it amazes me to see what you do… (this one actually came from my mother!)
  • Just keep up the great work. Very insightful
  • It’s very jammed packed with information. Very good. Maybe bigger agency case histories on what worked for a social media campaign
  • I am impressed with the practical advice. I have passed it on to the President of our agency. I am the CEO but much of the social media is new to me
  • It’s one of the few that I even look at – maybe differentiate articles more issue to issue – not just Social Media helps agencies get new biz – every month 
  • think it is pretty good and you have aPOV that is clear and sensible. Just a question of time management to stay current
  • I would be interested to hear from other agencies how they go about their new business e.g. Russo Group. More examples and thoughts on initial contact with potential clients and means of standing out from the crowd
  • Think your blog is already very helpful and informative. Better? Maybe diversify your topics a bit. Not much
  • Put pics of hot women on it (via scott@nelsoncreative)
  • Seems to do a pretty good job. Would love more factual info on ups and downs within industry, and including the larger shops
  • not sure about your blog, but your twitter outreach and e-newsletter a little aggressive. i prefer to hear from people via email 1x per week and no more than 3-5x per day on twitter. anything more is a little obnoxious in my opinion. i subscribe to several sources that i read regularly so when everyone is pushing out material multiple times per week it tends to just get lost
  • I think it’s one of the best new business blogs out there. Keep up the good work!
  • you’re doing a great job right now!
  • I do like the interviews you’ve done with agencies. They are often very informative
  • I like your stuff and you have a lot to offer. But I think you tend to go a little overboard on social media. It is a tactic, and not the be-all and end-all. We are still pitching and winning (and losing) good ole’ fashioned accounts. Not denying or ignoring the impact of Twitter, Facebook, etc., and we are making social media a priority in our agency but clients are still advertising on TV and in print and doing PR campaigns, etc. Thanks for asking and being open to input. Best wishes…

Click here if you would like to review the report.

 

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    FUEL LINES: 2009 Reader Survey

    April 28, 2009

    results-of-my-2009-reader-surveyI am eager to make my blog better and more relevant to your needs and interests. But to do that, I need your input. That’s why I have created this 2009 Reader Survey.

    I would like to ask you for a favor. Would you please take a few minutes to fill out the survey? By doing so, you will be helping me make my posts even more interesting and relevant to you.

    Your input is important to me. The survey is easy to fill out. And it will only take  a couple minutes of your time. Thanks in advance for your participation!

    Start the Survey

    file00862


    Survey: A Client’s Perspective on Ad Agencies

    January 29, 2009

    Reardon Smith Whitaker (RSW) a lead generation/business development consultancy. Their U.S. managing director, Mark Sneider, recently made me aware of RSW’s third annual “Clients Perspective on Agencies” Survey. Mark thought there would be some good nuggets of in information for FUEL LINE readers. 

    The 2008 Client’s Perspective on Agencies was completed by 184 key marketing decision makers from across the United States during November, 2008.  

    One of the nuggets from this research reaffirms that most clients are interested in things newer and mostly digital. 

     

    rsw-survey

    Click on this link to read the entire “Client’s Perspective on Agencies” Survey

     Also check out Mark’s new blog The Cobblers Children 
      
    For the latest agency new business updates subscribe to FUEL LINES by Email

    Michael Gass, agency new business consultant, primarily to small-to midsize advertising agencies, utilizing both traditional and new media tools.

    twitter / michaelgass

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    Top 25 Ad Agency New Business Research and White Papers

    November 5, 2008

    Below are the top 25 ad agency new business research and white paper reports for 2008 according to our FUEL LINE readers. Each report is provided as a downloadable PDF.

    2008 Advertising Agency New Business Survey

    Survey: Agency CEOs worried about the economy

    RSW Agency Outlook Survey 2008

    A Client’s Perspective: Economic Survey 2008

     Digital Reality: the Path to Future High Performance in Advertising

    Press Releases: How news is found, tagged, and shared

    Agencies are the hurdle to faster adoption of new/emerging media

    How the Best Agencies Do It: Promotion

    The Intelligent New Business Survey 2007

    Your Agency’s Most Important Client

    Not a Business Development Director, But a Chief Marketing Officer

    RSW Prospecting Pyramid

    The Pitch – What clients want and agencies provide

    Should Category Experience Really Matter?

    New Business Surveys and Reports

    The Agency as a Brand

    Guidelines for the Pursuit of New Business

    Key Questions for Agency Strategic Planning

    Defining the Agency Brand

    RSW New Business Manager Report 2008

    Study: Most Internal Business Development Efforts Fail

    Why Agencies Should Stop Chasing the Rush of New Business

    How the Best Agencies Close More Prospects

    Appealing to Everyone Appeals to No One

    RSW Economic Survey 2008


    2008 Ad Agency Survey Finds Traditional New Business Methods Not Working

    October 21, 2008

    When asked about their top three sources for new business, most agencies picked the traditional methods such as referrals, networking and presentations. 

    Observation: Even when the traditional methods are not working and the growing popularity of new media, agencies have been slow to change their new business practices. 

    Download 2008 Advertising Agency New Business Survey Report

    Michael Gass Consulting recently sponsored the 2008 Advertising Agency New Business Survey, a national online survey of small to midsize advertising agencies. The purpose of the survey was to gain insight into the perceptions and trends regarding agency new business in light of the current tumultuous economic climate. 

    Our sample came from a database of 4,955 U.S. full-service advertising agencies ranging in staff size from 5 to 80 full-time employees. An online link to the survey was also made available. We emailed the survey advertising agency CEOs and new business directors in August and kept the survey open through October 5, 2008 using an online questionnaire. There were 302 agencies that responded. 

    The survey was developed and results analyzed by Michael Gass Consulting, with greatly appreciated support and input from Dr. Phillip S. Rogers. Special thanks to THE LIST for providing the data sampling. 

     

    For the latest agency new business updates subscribe to FUEL LINES by Email

    Michael Gass, agency new business consultant, primarily to small and mid-size advertising agencies, utilizing both traditional and new media tools.

     

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    Fueling Ad Agency New Business


    2008 Ad Agency New Business Survey – “Fewer Opportunities”

    October 20, 2008

     

     

     

    Of the reasons why it was “harder or a lot harder” to obtain new business, the majority of agencies said prospects were more difficult to reach and there was fewer new business opportunities. 

    Observation: Agencies tend to put new business practices on the back burner when times are good and they are busy. Then attempt to jump-start their new business pipeline in difficult times. When we experience a down market usually agency referral business dries up. 

    Download 2008 Advertising Agency New Business Survey Report

    Michael Gass Consulting recently sponsored the 2008 Advertising Agency New Business Survey, a national online survey of small to midsize advertising agencies. The purpose of the survey was to gain insight into the perceptions and trends regarding agency new business in light of the current tumultuous economic climate. 

    Our sample came from a database of 4,955 U.S. full-service advertising agencies ranging in staff size from 5 to 80 full-time employees. An online link to the survey was also made available. We emailed the survey advertising agency CEOs and new business directors in August and kept the survey open through October 5, 2008 using an online questionnaire. There were 302 agencies that responded. 

    The survey was developed and results analyzed by Michael Gass Consulting, with greatly appreciated support and input from Dr. Phillip S. Rogers. Special thanks to THE LIST for providing the data sampling. 

     

    For the latest agency new business updates subscribe to FUEL LINES by Email

    Michael Gass, agency new business consultant, primarily to small and mid-size advertising agencies, utilizing both traditional and new media tools.

     

    Bookmark and Share 

    Fueling Ad Agency New Business


    2008 Ad Agency New Business Survey – “New Business is Harder”

    October 19, 2008

     

     

    Over half of agencies surveyed said that obtaining new business was “harder” or “a lot harder” than it was in 2007.  

    Observation: Traditional methods of obtaining new business has not been effective. The rise in popularity of new media plus the state of the economy has accelerated marketing budgets move to online. According to current research, traditional ad agencies are not digitally prepared. 

    Download 2008 Advertising Agency New Business Survey Report

    Michael Gass Consulting recently sponsored the 2008 Advertising Agency New 
    Business Survey, a national online survey of small to midsize advertising agencies. 
    The purpose of the survey was to gain insight into the perceptions and trends regarding agency new business in light of the current tumultuous economic climate. 

    Our sample came from a database of 4,955 U.S. full-service advertising agencies ranging in staff size from 5 to 80 full-time employees. An online link to the survey was also made available. We emailed the survey advertising agency CEOs and new business directors in August and kept the survey open through October 5, 2008 using an online questionnaire. There were 302 agencies that responded. 

    The survey was developed and results analyzed by Michael Gass Consulting, with greatly appreciated support and input from Dr. Phillip S. Rogers. Special thanks to THE LIST for providing the data sampling. 

    For the latest agency new business updates subscribe to FUEL LINES by Email

    Michael Gass, agency new business consultant, primarily to small and mid-size advertising agencies, utilizing both traditional and new media tools.

     

    Bookmark and Share 

    Fueling Ad Agency New Business


    2008 Ad Agency New Business Survey – “Business is Down”

    October 18, 2008

     

    Comparing 2008 to 2007, half of agency CEOs/New Business Directors indicate that their business is “down” or “down significantly.”  

    Observation: With current market conditions there will be many more months in the downturn of agency new business. 

    Download 2008 Advertising Agency New Business Survey Report

    Michael Gass Consulting recently sponsored the 2008 Advertising Agency New Business Survey, a national online survey of small to midsize advertising agencies. The purpose of the survey was to gain insight into the perceptions and trends regarding agency new business in light of the current tumultuous economic climate. 

    Our sample came from a database of 4,955 U.S. full-service advertising agencies ranging in staff size from 5 to 80 full-time employees. An online link to the survey was also made available. We emailed the survey advertising agency CEOs and new business directors in August and kept the survey open through October 5, 2008 using an online questionnaire. There were 302 agencies that responded. 

    The survey was developed and results analyzed by Michael Gass Consulting, with greatly appreciated support and input from Dr. Phillip S. Rogers. Special thanks to THE LIST for providing the data sampling. 

     

    For the latest agency new business updates subscribe to FUEL LINES by Email

    Michael Gass, agency new business consultant, primarily to small and mid-size advertising agencies, utilizing both traditional and new media tools.

     

    Bookmark and Share 

    Fueling Ad Agency New Business


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