When reviewing their business many advertisers ask if they should include the incumbent in the pitch process? The answer to this is easy and based on the following:
1. Is it a review because the current relationship is damaged?
2. Has the incumbent be given several opportunities to improve?
3. Does the incumbent have no chance of being successful?
4. Has the incumbent demonstrated the highest professional integrity?
If you answer YES to each of these then you should not include the incumbent in the review process. Why?
1. It is a waste of their time and their resources will be further diverted from your business during the process.
2. Including them in the process will not ensure a smooth transition as at some point you will have to tell them they are unsuccessful and they could feel deceived.
3. Including any candidate just to make up the numbers reduces your opportunity to find the best supplier.
It does not seem too hard. But it is amazing how many people struggle with this.

Author: Darren Woolley

It amazes me the number of marketers that think of changing their agency like they change their underwear. Sure, this could be a sign of the level of disatisfaction many marketeers feel towards their agency, but changing horses does not always lead to a better ride home.

Author: Colin Haycock

The Advertising Federation of Australia undertakes an annual salary survey amongst their members for the exclusive and confidential use of their members. But not all of the members use the survey salaries in negotiations with their clients.

It has become a bit of a standing joke that when the agency say they have used the AFA rates in their retainer calculations it is because they actually pay less than the AFA rate.

Likewise, when they say they have used actual rates it is because they pay their people higher than the AFA rate.

Personally I think that if an agency is using the AFA survey rates they should provide those rates, which of course they can not, as the survey is the intellectual property of the AFA and not for general use. In which case, why not just use summed actual salaries. At least these can be verified by audit.

Author: Darren Woolley

It amazes me that when we discuss process with many creative agencies they react by thinking we are trying to formularise creativity. In one case a Group Account Director told the client "if P3 continues reviewing the agency the creative magic would disappear". In fact what we are really doing is creating a rigorous process to protect and foster the creative process.

Clearly defining the brief, objectives, timelines and budget then creates a space for the creative process to operate from. Think of it as building a foundation on which the creative idea can be built or the launch pad on which the concept can soar.

Without a disciplined and defined process, creativity can quickly become compromised and confined within the parameters imposed on the concept after the fact. This is invariably the case when the agency complains about the client stifling creativity.

Author: Darren Woolley

Have you ever been asked to quote a job with no target budget? ("just go for it, the client's got heaps and wants a world class job")
Have you ever been asked to quote a job and not been asked for a director's treatment?
Have you ever been told by an agency producer that the lowest quote will win the job?
Have you ever submitted a quote and not been asked if there are any areas where there could be potential savings? And asked to resubmit based upon these savings?
Or have they just come out and said it's a check quote, given you a figure to come in at, and then promised you the "next big one"
All the above scenarios (some subtle and some not so) are indications that you are not the agencies favoured director and production house, and are basically submitting a quote that will be used to underscore the agencies choice of director because your quote will be higher than that of their predetermined choice.
Some agency producers claim that they have never ever heard of or engaged in check quoting ever.

P3TV invites your comments.

Have you ever been asked to submit a check quote?
Do you think the current quoting / tendering system is fair?
Do you have any comments regarding the 3 quote system?
Would you like to see it change? If so, in what way?

P3TV are interested in any feed back what so ever you may have regarding the current way of quoting / bidding.

Author: Clive Duncan

Why is it that agencies continue the practice of "grossing up" profit margins? - so 12% becomes 13.6% - small but it mounts up.....

Author: Tony Quail

What happens to props at the end of shoot? I don't think it is reasonable that they end up at the Creative Director's country house - I would rather see them sold to staff or at least donated to charity. Legally, at the time of the shoot they are the property of the client.

Author: Tony Quail

It is always a bit of a laugh when clients tell us their agency has demanded a particular director because he / she is only person in the world capable of doing a particular script.

In one case the agency convinced the client that this director was not only the only person capable of doing the job, but that this also justified the 30% premium on the production cost. The joke was on the agency when 12 months later the agency, having fallen out of love with that particular director, now was recommending a different director for the production of a continuation of the campaign.

There are many fine directors, producers and directors of photography in Australia and New Zealand. The film industry is recognised gloablly for the quality of the people. It is a pity that the advertising industry does not recognise more than a handful of "flavour of the month" directors, often at the expense of the client's budget.

Author: Darren Woolley