The first phase of marketing procurement was to apply basic practise: NEGOTIATION.
- Just affecting smarter structured negotiations with marketing suppliers brought benefits to the client organisations that brought procurement alongside marketing.
The second phase of marketing procurement was more difficult, but brought bigger benefits: CONSOLIDATION & RATIONALISATION.
- The phase of agency of record (AOR) consolidation, rostering, streamlining, media consolidation, production aggregation and decoupling, brought bigger benefits than simple negotiation, and ensured marketing and procurement bedfellows (albeit reluctantly in some cases).
At Flock we believe that the third wave of marketing procurement is here, now. It is the hardest, but will bring the biggest benefits of all: INTEGRATION.
- This is where the different component marketing service parts are brought together to drive effectiveness and efficiency. This is where new marketing ecosystems are specified and built, and marketing and procurement work in true partnership, with shared goals.
In a survey of 46 Global Marketers conducted by Flock Associates:
- 70% said they would get a 10% greater return on their marketing investment if their campaigns were better integrated.
- 31% said they would get a 20% greater return on their marketing investment if their plans were better integrated.
- 64% said their agencies were poor at collaborating to find production efficiency for the client.
So, according to our research nearly 1/3 of you reading this believe you could save 20% of the marketing budget if you can affect a brilliant integration. That is a mouth-watering prospect but what do you need to deliver such benefits?
Here are some starters for ten. If you would like to know a fuller list and how to turn the theory into practice do give us a call, but we hope this will whet your appetite:
- COLLABORATION CULTURE. Get basic cross agency communication and shared information working and foster a co-creative way of working.
- ONE TEAM, ONE DREAM. Develop one common process that fits you, and make your agencies work to it.
- CONSUMER OBSESSED. Develop a common currency for target audience (rather than have each agency develop and research their own).
- BRAND CENTRIC. Develop a common understanding of the brand and communications idea.
- A MAP FOR SUCCESS. Have a common channel plan based on consumer journeys.
- CONTENT. Look to build common integrated Content Calendars, Content Factories and Content Envelopes.
- SQUEEZE. Look to leverage your budget and relationships to benefit other channels, agencies, and departments.
- BALANCED SCORECARDS. Have a common (objective) measurement and evaluation framework that looks at ROMI first, second, and third.
- CARROT & STICK. Create appraisal and contractual frameworks that drive integration.
- TECH GLUE. Harness common technology to drive integration to save time for thinking and execution.
To help you deliver these starters for ten and the benefits of integrated marketing procurement you’ll need an integrated marketing resource, designed to work in this way. It will be better to have just one partner, rather than trying to get separate media consultants, production consultants, pitch consultants, relationship and financial auditors, technologists and data/econometricians to work seamlessly together.
Flock are the INTEGRATORS with expertise, proven tools and technology. We are uniquely built around the three pillars of wisdom required to make integrated marketing procurement the new reality. We are integrated:
- Marketing Expertise
- Procurement Expertise
- Agency Expertise
And, we are underpinned by great technology.
So, if you would like to find out how to gain the benefits of the third wave of marketing procurement: Integration, call the Flock.
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