The latest Myers Report reveals the advertising industry is at a crossroads as young agency professionals excel in tech and digital but lack industry knowledge and client relationship skills.
Established in 1984, the Myers Report claims to be "the media industry’s most respected source of business intelligence and revenue performance metrics."
The report uncovers a power shift within media buying. Brand and product managers, not agency professionals, increasingly control budgets, prioritizing cost-effectiveness above all else.
This shift translates to a surge in programmatic buying, which now powers 65% of national transactions and over 90% in retail and social media.
Of the 4,200 respondents composed of advertising agency and brand media professionals, 62% have worked in the industry for eight years or less, and 85% of them are decision-makers.
However, only less than 20% of these decision-makers have a basic grasp of key programmatic concepts, and “only a small minority” have built meaningful client relationships.
“This knowledge gap underscores the evolving nature of the media sales profession, where data and automation have overshadowed the importance of personal relationships and in-depth industry knowledge,” the report stated.
Considerations for the Future
To be able to successfully cope with the changing industry landscape, the Myers Report advises agencies to consider taking the following actions:
- Embrace data-driven efficiency while nurturing client relationships and fostering industry expertise
- Cultivate a culture of continuous learning and invest in employees’ online education
- Be quick to adapt to changing market needs and embrace the evolving media landscape
Agencies that prioritize these strategies will be best positioned to navigate the crossroads and secure a prosperous future in this dynamic industry.