Just the other day, new marketing materials for Mullen, the ad shop for brands like Orbitz, Lending Tree, and TJ Maxx, landed soberly on my desk: "Marketing in the new era of fiscal responsbility; Have we been on an adolescent binge for the past 40+ years?" The New York Times' Stuart Elliott revealed Denny's newest TV spots: "Promoting the Weekday Express Slam — a $4 version of its signature menu item, the $5.99 Grand Slam breakfast — start off this way: "It’s one thing to bail out Wall Street. But who’s gonna bail you out?'" Crate & Barrel's latest ad sings like a bad Wall Street hangover: “Oven-proof. Dishwasher-proof. 401(k)-proof.”
In advertising, there's a fine line between piggyback on the grim--and clammoring for relevance. But the reality is, everyone from ad agencies to CMO's are feeling vulnerable right now, as the prospects for slashing budgets into recession-size numbers is becoming ever the more immanent. As Elliott reports from this week's gathering of 400 marketers and ad agencies (representing 8,000 brands) at the annual Association of National Advertisers conference, billions of dollars in ad spending is at stake (along with many of their jobs). BBDO's CEO Andrew Robertson described the feeling as “standing on the burning bridge”--and the buzz was that car, building, and clearly financial companies were going to serve the biggest blows (I heard that Kleenex is actually increasing it's budget, no joke. What other brands do better in times of economic turmoil? ). Reports Elliott, "A recent survey of association members found that “more than half expected spending to decline over the next six months.” Even that seems naively starry-eyed. Industry execs may want to start relocating their lunchtime accounts from Balthazar to Denny's for that greasy $4 culinary bailout.
Related Stories: | Topics:Innovation, Technology, Leadership, Management, Careers, Stuart Elliott, Denny's Corporation, Media, Advertising, Professional Services Sector |
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Recent Comments | 2 Total
October 19, 2008 at 8:05pm by A. Lapre
While not good for the economy, less advertising would be welcomed. We're flooded everyday to spend money on stuff we really don't need. People bought it - no pun intended - and are now in major credit card debit. $300 boots are at the end of the day, just boots.
October 19, 2008 at 9:49pm by Sheraz Sharif
Its funny about advertising. It seems to be a necessary, yet loathed part of capitalism. Without brands marketing to us how will we know they exist?
I happen to work for a large advertising network. Brands and agencies are not oblivious to the fact that intrusive advertising in becoming increasingly less effective. In some cases is causes ill-will toward the brand.
I say cut the budgets! I say we have to force agencies and brands to be more innovative in how they reach us. You want relevancy? Then find a way to engage me in a two way conversation.
I am not sure how much this get thrown around here on Fast Company, but Malcolm Gladwells 'The Tipping Point' is a good introduction as to how one can reach people and effectively deliver a message. My experience, however, is that large monolithic organizations such as advertising networks and big brands are slow to change.
Maybe a severe lack of dollars will once again fuel innovation.