Media agency churn at 33.2 per cent as MFA moves to ‘regrettable loss’ turnover measure
The churn rate among media agencies belonging to industry body the Media Federation of Australia (MFA), hit 33.2 per cent in 2014, a new survey has found.
The result is up on the last publicly released MFA data set for 2012 which showed turnover among media agencies at 30 per cent.
The body chose to move to a new metric in its 2o14 assessment, breaking down the churn rate into “regrettable loss” and “non-regrettable loss”.
According to an infographic summarising the new annual MFA Census and Salary Survey report regrettable loss, which last year was 26.8 per cent, is defined as generally staff moving to another competitor media agency, while non-regrettable loss is staff who left media agencies altogether, last year at 6.4 per cent. Under the old metric, by adding the two together, the combined industry churn rate would have been 33.2 per cent.
sweatshops
nothing has changed
So what’s new?….Programmatic buying and tech replacing human insights and knowledge and skills. A lack of willingness to invest in the training of local skills…just import them. Career use-by dates haunting those in their early 30’s and earlier. Skilled jobs being off-shored for a fraction of the cost to maintain agency margins in an increasingly tight and pitch obsessed market. All this sits well with an industry that is so focused on surviving today but is absolutely failing to build a future.