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Creative and media agencies have been diverging over the past three decades, sparking industry-wide discussions about sustainable business models. While the initial separation seemed logical, it has led to a disconnect between disciplines, even within the same groups, making collaboration increasingly difficult.
Creative agencies focus on generating brilliant ideas and visually appealing work, measuring success by the coverage, case studies, and awards they earn. On the other hand, media agencies prioritize performance, placement, and optimization, ensuring every dollar spent is maximized. These different priorities, values, and timelines not only frustrate clients but also pose a significant threat to the success of campaigns.
Rory Sutherland, vice chairman at Ogilvy, highlighted this issue, noting that media agencies profit from media in the absence of creativity, while creative agencies struggle to monetize creativity without media. The imbalance is exacerbated by media agencies’ reliance on algorithmic solutions over human creativity, leaving the creative side “surviving on tips.”
Focusing too much on media buying and placement can lead to mundane creative work, which undermines long-term brand building and strains the relationship between creative and media agencies.
One potential solution is a return to the traditional full-service approach, but while there’s a shift towards reintegration driven by AI and client demands for a more integrated approach, a full reunification seems unlikely. Many clients still prefer collaboration between different agency disciplines rather than a complete return to the full-service model.
Having worked in account management on both sides, I understand the challenges and frustrations. The lack of collaboration and understanding between media and creative partners is a significant barrier to best practices. My business surveyed senior global marketers, and 71% reported poor to subpar communication between functions.
Despite technological advances that offer opportunities to bridge gaps, the industry remains skeptical. Adtech is often viewed negatively, with fears of creative teams being replaced by AI and media plans being auto-filled with AI-generated content. However, automation and data analytics don’t have to spell doom for the industry. They can be tools to streamline processes, inform creativity, and allow teams to experiment at scale, using real-time insights to drive continuous improvement.
In a competitive environment, the temptation to exploit tech jargon and knowledge gaps is counterproductive when creative and media teams should be united in their goals. Instead, we should focus on solutions that protect each team’s expertise, using data to demonstrate the value of all parts of the process, ultimately enhancing the effectiveness of the work.
One client suggested that what the industry needs is a neutral “Switzerland” where teams can collaborate, understand what drives value, and strengthen partnerships. Adtech could be the key to enabling a more integrated model centered around data, regardless of agency structure.
As the economy improves and new opportunities arise, agencies are encountering clients seeking more cohesive media and creative strategies. It’s now up to us to harness both human experience and technology to create a unified force of creative excellence and intelligent optimization.