Friday, March 03, 2006


A half-dozen top media agency executives put the ongoing debate of a creative-media agency rebundling in no uncertain terms: "no way".

    “The conversation about rebundling doesn’t make much sense to me,” said Mr. Klues, whose group includes Starcom MediaVest Group and ZenithOptimedia. “You’re not going to see us become the media department of a full-service agency.”

Publishing and media companies don't want to advertising to become a commodity; big surprise.

Fragmentation of publishing outlets is what empowers agencies to be the hub of ad provisioning. Connecting the dots between an advertiser and many publishers would eliminate the agencies job as a middle-man.

Although the report doesn't call out who is uniting media, the culprits are clear: Google, Yahoo, MSN, and perhaps eBay.

Google; the online search engine is certainly poised to be the network which unifies the media world. Google has made acquisitions and buyouts in traditional advertising media: TV, Radio, Magazine, and Newspaper. Google's intentions are clear: offer businesses advertising real estate in any publishing outlet.

eBay is also a formidable contender with its proposed eBiz Media Auction Service. In contrast to Google monopolistic tactic of buying out and reselling ad space, eBay would likely offer a more transparent marketplace where publishers would list specific ad units they're willing to auction. Publishers would feel more comfortable knowing that they are still in control of the price and sale, however it would still be brokered through eBay.

(portions taken from AdAge: AAR47E)

No comments: