Creative Services: Executive Decision Making
United States based CPG executives must consider how well a creative service agency fits their business' specific needs. One major criterion for today's marketing environment is being attuned to digital services. Other criteria include examining previous cases, resources, and being responsive to performance metrics.
Our sources and research were pulled primarily from research organizations. Skyword, a marketing firm, was a primary source. We also turned to McKinsey, Forbes, Marketing Magazine, and the Guardian for information. We compiled our list of what drives executives at CPG brands to choose specific creative services agencies based on articles specific to CPG companies as well as general sources on choosing a creative services agency. We required some general information due to the lack of sources that specifically answered the question. While we found information, we wished to supplement what we found with extra data where necessary.
CPG companies need for both their products to stand out in a crowded marketplace and to generate demand for new products. The digital arena is perfect for both of these problems. CPG companies choose creative services businesses based on the ability to fulfill both of these criteria. Digital content marketing is more important than former stalwarts such as limited editions, standout packaging, and prime shelf space for CPG companies.
Creative service agencies instead have a different task for CPG brands. They must work on effective direct-to-consumer advertising. One such example is Coke. The Share the Summer campaign was extraordinarily successful for Coke. For this campaign, consumers posted pictures of themselves drinking Coke in unique locations. This campaign captured the trends of individuality and standing out which worked surprisingly well for such an old and well-known brand.
When choosing a creative agency, executives often examine case studies by the agencies under consideration. Case studies can reveal how an agency tackles specific problems and what solutions they devised for those problems. Case studies also reveal if an agency will work well within the framework of a CPG. In other words, if a company never worked with the type of problems the CPG must handle, then they are not a good fit for the CPG.
Executives attempt to choose creative service agencies based on the size of the organization and the creative services required. A creative services agency must be sufficiently large to handle the scope of the problem. However, an agency that is too large may also be unresponsive if they have a relatively large amount of clients.
Responsive to Performance Metrics and Transparency
Creative service agencies need to be responsive to performance metrics. Executives who choose these agencies attempt to gauge whether an agency is quick to adapt. In other words, if certain strategies and plans are failing, creative agencies need to switch strategies to improve their plan's prospects. The CPG marketplace is vicious. More than 30000 new products launch a year with 80% of them failing within the year. Thus, creative agencies need to account for and preempt possible failures.
A related aspect to being responsive to performance metrics is consistently gathering data to measure the success or failure of the plans being implemented. Essentially, this is the aspect of transparency. Creative agencies need to be transparent about the efficacy of their plans. Creative agencies need to work with the CPG brand to ensure the business is receiving the proper service. A creative agency that is not transparent is immediately sketchy.