‘There will be a lot of agencies that just can’t survive’ – global supply chain crisis
Seja Al Zaidi speaks with two agency CEOs to investigate the cause and effect of the organisational quandaries posed by the global supply chain crisis.
A series of tumultuous global affairs have resulted in drastic supply chain issues around the world, highlighting global vulnerabilities and challenging marketers in their efforts to source and retain top talent amidst economic crises, plague and war.
The immense strain put on supply chains has been one of the most stubbornly persistent and universally challenging issues posed by the COVID-19 pandemic. While it’s common knowledge that consumers, suppliers and businesses alike battle threats to the timely and complex processes of manufacturing, storage, transport, logistics and distribution, there are lesser known impacts to agencies and marketers, who have been left to embattle the trickle-down effects of a turbulent economy and constipated supply chains.
Maybe it’s time agencies realise what they are before clients end up going direct. An ‘agent’ in any other industry clips 10% from the talent. In our industry, it can be anywhere between a 300-3000% markup. In fact, 3x the salary is the norm (pay for your salary, pay for your boss, pay for the rent).
It’s not happening anymore. And if companies don’t wake up and realise this, they’ll find themselves out of business. Big clients are going to nimble outfit, not paying planners, glorified receptionists or agency principals and reaping the benefits.
What a load of BS. So boring. There’s plenty of talent out there but agencies refuse to consider these people. They’re either too male, too pale or too old. The answer is right under their noses and if they can’t see it, that’s their problem.