Taking a look at the shift in consultancies to increase offerings from traditional operational to the addition of creative strategies - and what that means for agencies
Today, the trend of global consultancy firms acquiring big agencies is a reflection of how the landscape of business is evolving. The world becomes more digitised every day. End-to-end digital transformation is something that global brands need in order to stay current. In an industry that relied solely on its artistic and creative expertise, the advertising industry is now being consumed by global tech consultancies. Therefore, IT and management consultancies including McKinsey, Deloitte, Accenture, IBM, KPMG, and PwC have directed their interests on acquiring new skills by buying up agencies and top strategic and creative thinkers within these top agencies to add to their full suite of consultative offerings. As a result, these consultancies will be able to offer targetted, strategic and creative solutions to their client’s complex problems.
“The customer journey” is the new trend
The ongoing digital transformation of slow to evolve companies has led to a more customer-centric focus when marketing or creating a brand. As we now have access to infinite amounts of customer data, the marketing process is much more targeted and efficient, minimising time and increasing ROI.
Consultancies, with their experience of strategy and technology implementation, are well placed to complete the loop by adding a creative layer and have been doing so through such acquisitions. Whether it’s implementing a CRM system or designing a mobile website, the approach is the same - it's all about the customer experience. Because global consultancy firms already have access to machine learning and AI, they are expected to target the right audience with their specific needs and thus strengthen their brand loyalty.
What’s next for agencies?
So the biggest question now arises: Should agencies be worried? In the long term, maybe, yes. But for now, agencies are still a big part of the brand marketing industry. On the other hand, clients are bringing more skills in house and what these clients need is assistance with tech integration, strategy and creativity on their projects. As consumers raise their expectations, agencies must capitalise on their unique offerings and make use of new tech to create increasingly engaging, immerive consumer experiences.