WFA survey highlights key trends in advertising production "decoupling"

Date: 20/05/2008

On 6th May WFA presented the results of a survey run in conjunction with ISBA on the practices behind advertisers "decoupling" or "unbundling" traditional agency services.

The results were presented at the recent ANA Financial Management Conference in Naples, Florida and explored the trend for separating the business of production from creative development.

In the broadest sense, decoupling can be defined as "activities further down the supply chain, traditionally controlled and managed by agencies, which are moved and may be controlled and sometimes even managed directly by the client or by a third party designated by the client."

Summary of results:
- Print production is by far the most popular area to decouple;
- Decoupling production has generated average savings of 17-25%, but even higher in other areas;
- ¾ of respondents agree that decoupling requires greater procurement expertise;
- Engaging senior stakeholders within marketing and the agency is the best way to get buy-in;
- Decoupling can bring two interrelated benefits: better transparency of costs throughout the supply chain and better control of agency costs.

About the survey:
The survey received approximately 50 responses from a wide variety of global marketers from across the WFA and ISBA membership. For more information on the results please contact Steve: [email protected]

WFA aims to leverage the practical expertise within its network by running benchmarking exercises such as this for the benefit of its members. To explore some of the issues we tackle, visit our issues page.

WFA members can download the full results below.


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Documents:
WFA Survey Results - Decoupling.pdf