People Close to the Advertising Community Agree That It Was the Tipping Point

Last week, I suggested that three recent events would mark the tipping point in the migration from the traditional advertising model (the one based on interrupting programming and forcing selling messages on to viewers, listeners, and readers) to a post-advertising model. The three events were:

1) InBev’s purchase of Anheuser-Busch and its need to cut costs drastically to fund the transaction, which will likely mean significant cuts in Bud’s marketing budgets.

2) GM, fourth-largest advertiser in the U.S., announced it was cutting its marketing budget, again.

3) Procter & Gamble’s Global Marketing Chief, Jim Stengel, announced he is leaving his post, and will be replaced by Marc Pritchard. Under Mr. Stengel, P&G’s brand groups seemed especially slow in integrating digital media into its marketing plans. I suggested that based on all my non-conversations with Mr. Pritchard, P&G would likely speed up its transition to digital marketing and reduce its TV and print budgets.

Well, today, Ad Age posted a story about the Procter & Gamble transition that supported my observations based on my non-conversations. It seems that if I had spoken with Mr. Pritchard, he would have provided the comments I was looking for.

Of course, it seems Ad Age didn’t speak to him either. (Note to self, use “people close to” language when I want to sound authoritative.)

Here are the pertinent quotes from Ad Age to confirm my assertion:

“People close to P&G say Mr. Pritchard was one of the biggest early internal champions of interactive media in the mid-1990s. Even late last year in his role as president-strategy, growth and productivity, Mr. Pritchard was asking about digital media, said one person close to the company.”

The story went on, “Mr. Stengel added that there wouldn't be any retreat on moves toward nontraditional media under Mr. Pritchard. ‘You'll see us moving more and more into the media that's working for us best with good ROI,’ he said. ‘And that will be in the interactive space. You'll see progression there. And you'll continue to see Marc support that.’"

So there you have it. People close to the advertising community confirm, these three events do mark the tipping point for the end of traditional advertising as we know it.

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Jul 23
Posted by: Bill Hanekamp on July 23, 2008 Topic:
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1 responses to People Close to the Advertising Community Agree That It Was the Tipping Point

J

I am fortunate to cross path with Microsite and learn about the well, a lot , and everything which makes you so good at what you do best: motivate educate and stimulate viewers, clients and tech people. I still have some concern regardng one particular company you are involved with : Philip Morris and not I am not a smoker.

I think it is unfortunate to put your skills and expertise in the hands of .... Philip Morris products.

Not to mention the fact of the matter is this: who cares what the client produces as long as you have an obligaton to make smart business decisions with big companies at any cost.