The State Of Performance Marketing: iProspect

The State Of Performance Marketing: iProspect
SHARE
THIS



B&T recently chewed the fat with iProspect’s Dan Kalinski, Ollie Rapson, Mark Byrne about all things performance marketing, including whether or not the likes of Accenture, Deloitte and PwC are a threat or an opportunity for agencies specialising in this sector.

How do you rate the performance marketing industry in Australia compared to overseas?

Ollie Rapson: The progression of performance marketing is variable by industry. In certain industries, Australia outstrips other nations and in others, it lags.

Ollie Rapson

Ollie Rapson

Generally, the uptake and leverage of performance marketing is dictated by how tangible a return and investment can be. It’s no real surprise that the banking sector’s investment in digital marketing is world-leading here in Australia, where it’s never been faster for people to get a credit card. Inversely, Australian retailers struggle – particularly those selling big ticket items – simply because delivery costs eat into margins so much. This doesn’t happen in other markets like the UK.

Mark Byrne: Australia is often cited as a ‘Goldilocks’ market for innovation – not too big, not too small. Hence, it’s a testbed for betas for the likes of Google and Facebook, which gives us the advantage of often being at the forefront of tech roll-outs.

Mark Byrne

Mark Byrne

From an agency standpoint, there is a very collaborative style of work in this market. This gives us more opportunity to develop integrated campaigns across channels.

What is the biggest challenge that iProspect faces going forward?

Rapson: Talent supply remains a big challenge. Young people typically don’t come out of university with strong digital marketing skills, though this is improving. It’s the time and money invested by agencies into their development that makes them leaders in the field.

With agency fees coming under pressure, the ability to retain people on dollar value alone is becoming quite the challenge. That’s why it’s so important for agencies like iProspect to provide unique opportunities – such as the ability to work in different locations, flexibility, culture, opportunity for progress – to keep our staff engaged over the medium- to long-term.

Do you consider the likes of Accenture, Deloitte and PwC a considerable threat to iProspect’s business model?

Dan Kalinski: iProspect and our sister agencies have always been, and continue to be, at the forefront of our clients’ businesses. This is both at a strategic leadership and implementation level. We are the ones leading discussion and debate with our clients, and the scope of our experience and capabilities in the industry means we take the leadership position when it comes to executing on strategy, on plan and on delivery.

Dan Kalinski

Dan Kalinski

We already share clients with some of the consultancy firms and are of the view that they can actually add value to the ecosystem and challenge some of the outdated concepts, especially around remuneration or the overall value of digital. It is, however, our opinion that clients ultimately need to choose a partner that can provide a well-rounded service, strategy and point of view to deliver a solid business result.

Ultimately, the relationship can be symbiotic as we approach our clients’ problems from two different angles. At iProspect, we always start with clients’ bottom line on the one hand and customer and conversion data on the other, and formulate appropriate strategies based on results from execution rather than on hypothesis or best practice. Additionally, whatever we do is firmly linked to other channels and touchpoints across the entire marketing ecosystem. It’s the combination of execution, ‘pain’ and risk sharing, joined up thinking as well as real campaign and customer data, which means agencies will always remain central to clients.

What should marketers be investing in now?

Rapson: Marketers need to understand data – what exists, and how they can use it. There is a vast, untapped ocean of information that could be used to redefine marketing strategies. Well-honed and targeted ads are key to reducing excess spend and improving propensity for audiences to interact. Broad stroke assumptions don’t cut it anymore. Data is an essential part of all we do.

Byrne: There are two key areas for marketers to focus their investment. Firstly, putting the infrastructure in place to capitalise on owned data. This means having the right tech, the right talent and the right operating structure to collate and activate off of different data sets.

Secondly, brands and marketers need to invest in ways to create rich and engaging (data-informed) content – at scale – in order to allow them to fully take advantage of the personalised messaging that will become available.

What will the performance marketing industry look like in 10 years’ time?

Byrne: 10 years is a long time! I think within five years, words like ‘digital’ and ‘performance’ won’t be used in this industry. Even today, people don’t think about online or offline, digital or ‘the real world’.

Equally, we’re already nearing a place where everything can be tracked, measured and optimised against, so this idea of performance (versus brand) won’t exist.

From an industry perspective, agencies will be able to fully deliver on providing consumer – rather than campaign – experience, and overall experience rather than individual channel performance.

Ollie: Everything is striving toward bringing brand communications in sync with people’s lives, behaviours and time. Marketing will be slick, in tune with lifestyle choices and seamless.

As Google and other publishers gather more and more information, and provide better technologies to whittle down ads to the exact consumer, the more they will be able to charge as the potential value of the consumer will be far more tangible. I see a future of pay on ‘performance-only’ models being far more common, and this is starting already.

Latest News

How To Spot A Trend Versus A Fad
  • Opinion

How To Spot A Trend Versus A Fad

Nils Vesk (pictured below) is an innovation architect who’s delivered programs for some of the most prestigious organisations in the world, including Microsoft, IBM, Commonwealth Bank and Nestle. In this guest post for B&T, he shows you how to spot a lasting trend that’s not merely just another passing fad…   The importance behind learning […]

Opinion

by B&T Magazine

B&T Magazine
Study: Almost Half Of Aussies Browse Mobile Retail Sites For “Retailtainment”
  • Marketing
  • Technology

Study: Almost Half Of Aussies Browse Mobile Retail Sites For “Retailtainment”

A new study today has revealed that although mobile commerce may have begun as a convenient way to shop on-the-go, it has quickly developed into an entertainment experience for many Aussies. The PayPal mCommerce Index Trends Report 2018 (which you can read in full here) found that two thirds (67 per cent) of Aussie smartphone owners browse shopping sites just […]

by B&T Magazine

B&T Magazine
Why Engagement Is The New Rule Of Content
  • Opinion

Why Engagement Is The New Rule Of Content

In this guest post, King Kong’s head of growth, Sabri Suby (pictured below), takes a look at recent changes to Google’s rankings and how it will affect content makers and the measure of any content’s success… Changes to Google’s ranking algorithm mean that time on a page is valued higher than the number of clicks. With these new rules […]

Opinion

by B&T Magazine

B&T Magazine
Fairfax Media Recruits 20 Trainee Journalists Across All Its Titles
  • Media

Fairfax Media Recruits 20 Trainee Journalists Across All Its Titles

Fairfax Media has today announced the recruitment of 20 trainee journalists to join the newsrooms of The Sydney Morning Herald, The Age, The Canberra Times, The Australian Financial Review, Brisbane Times and WAtoday. This represents one of Metro’s largest trainee intakes in years and underlines the commitment of the mastheads to fostering a new generation […]

Sydney Australia - November 7, 2011. An extreme close up of an American express card issued by the Australian bank Westpac.
  • Media

AMEX Launches Global Media Review

Are there not enough hours in the day? Are you cheek-by-jowl with your co-workers? Well, hopefully you won't win this.

Sydney Water & Republic of Everyone Create Vinyl Records Made Of Recycled Marine Plastic
  • Campaigns
  • Marketing

Sydney Water & Republic of Everyone Create Vinyl Records Made Of Recycled Marine Plastic

Sydney Water has pioneered a way to create records from marine plastics and, in doing so, encourage more people to join the movement of local clean-up groups rolling up their sleeves every weekend to clean plastics, litter and other pollutants from the city’s beaches and waterways. Plastics are collected by volunteers, then cut in pieces […]

Credit Card Compare Names Its First Head Of Marketing
  • Marketing

Credit Card Compare Names Its First Head Of Marketing

Aussie credit card comparison site Credit Card Compare has announced the appointment of Caroline Raffan as its inaugural head of marketing. Raffan (pictured above) has over 10 years’ experience in brand strategy, campaign development, digital marketing, events, public relations, content creation, market research, advertising, stakeholder management, social media marketing, and project management. She joins Credit […]

Why Programmatic Needs To Become A Branding Machine
  • Advertising
  • Marketing
  • Opinion
  • Technology

Why Programmatic Needs To Become A Branding Machine

In this opinion piece, Phil Murrell (pictured below), country manager for Australia and New Zealand at Sizmek, argues that programmatic ad spend needs to move up the branding funnel. When I started in digital advertising way back in 2004, we got our media insertion orders via the fax machine. We relied on that machine to […]

Opinion

by B&T Magazine

B&T Magazine
An Apology To Salmat’s Karen Lewis
  • Media

An Apology To Salmat’s Karen Lewis

Whoops! B&T's stuffed up and this certainly comes with our sincerest apologies for any offence caused.

by B&T Magazine

B&T Magazine
Adland Execs To Be Locked Up
  • Media

Adland Execs To Be Locked Up

Continuing adland's fascination with prison when it comes to charitable causes comes this latest trip to the slammer.

Australian Directors’ Guild Announces Mentorship Winners
  • Campaigns
  • Media

Australian Directors’ Guild Announces Mentorship Winners

Now in its second year, the Australian Directors’ Guild’s (ADG) Commercial & Content Directing Mentorship program announced its next round of eight mentoree recipients. The winners were announced at a special event held last night at FINCH, Sydney and attended by members of the screen and advertising industries. Acclaimed director, and ADG President, Samantha Lang, […]

Diversity Case Study Series: OMD
  • Advertising
  • Marketing
  • Media

Diversity Case Study Series: OMD

One need only look at the Cadbury Favourites chocolate selection to know it has nought to do with industry diversity.

by B&T Magazine

B&T Magazine
Eyeota Deep Dives Into Australian Automotive Purchase Behaviour
  • Media

Eyeota Deep Dives Into Australian Automotive Purchase Behaviour

Eyeota, the global leader in audience data, has today released its latest results on automotive purchase intentions in Australia. The results provide a deep dive into what motivates the buyer and segments those into six different personas.

APN Outdoor Joins The AANA
  • Marketing
  • Media

APN Outdoor Joins The AANA

AANA's annual Christmas dinner and dance got a teensy bit more crowded following this announcement this morning.

QMS Introduces ‘The Lonsdale’ To Melbourne
  • Advertising
  • Media

QMS Introduces ‘The Lonsdale’ To Melbourne

Digital outdoor media company QMS Media has turned on a new premium landmark digital billboard situated in the heart of Melbourne’s CBD. Delivering a commanding presence at the major intersection of Lonsdale and Russell Streets, ‘The Lonsdale’ offers extended dwell times to both vehicle and pedestrian traffic, impacting more than 2.2 million contacts per month. […]

Portrait of a woman looking through out the blinds. Office worker looking through window blinds
  • Opinion

The Lurking Brand Threats Facing CMOs

Treading on gardening rakes and possible alien abduction notable omissions from this CMO threats piece.

Opinion

by B&T Magazine

B&T Magazine
Women In Media Profile: Susannah George
  • Media

Women In Media Profile: Susannah George

B&T is delighted to profile Urbanlist supremo Susannah George who, we understand, is not related to George Brandis.

by B&T Magazine

B&T Magazine
Ikon Lands Avis Budget Group Account
  • Advertising
  • Marketing
  • Media

Ikon Lands Avis Budget Group Account

B&T chooses and recommends Avis and John Karandonis shoes. Hang on, that was the end of Sale Of The Century.

by B&T Magazine

B&T Magazine