Atomic 212°’s Jason Dooris: “Why Is ‘White Labelling’ Such A Dirty Word In Our Industry?”
In his latest B&T column, Atomic 212° supremo, Jason Dooris, takes a look at ‘white labelling’, or why so many agencies can’t/won’t/don’t outsource the tricky stuff…
My son recently asked me how to build a rocket. I wondered if at 11 he would think any less of me as a father for not knowing how to build one. I asked, “What kind of rocket?” He said, “One capable of exiting the Earth’s atmosphere and returning in one piece with a camera activated to film and distribute footage of re-entry into the atmosphere.” He likes to dream big, my son. Without a second thought, I responded: “Of course I can help!”
He smiled, looked at me with pride and said: “Dad, I knew you would know what to do.”
Suddenly we were both happy. My son was confident in my ability to meet the demands of his brief while I was confident that I could find someone to build a rocket. After all, you can buy a rocket in a toy shop, put a man on the moon or a monkey on Venus. I tucked him into bed and muttered that we could discuss budget in the morning.
He had successfully outsourced his project, just as I would need to find partners to make his project a reality. Or is this better described as collaboration rather than outsourcing? Or matching his requirements with the most relevant skills? He slipped off to sleep dreaming of rockets and space, as did I.
This thought of collaboration, outsourcing or ‘white labelling’ has really stuck with me recently. Partly because of its contribution to the early growth of our business, whereby we bolstered our bottom line by handling a range of client briefs for third parties and other agencies. Partly because of its ongoing importance to our business – not only do we continue to service a range of blue chip clients in a white label capacity, we frequently outsource or collaborate with specialist agencies when our clients need niche skillsets (for instance, our recent projects across VR, AR and martech have all involved collaboration with specialist third parties). But mainly because of the negativity attached to terms like white labelling or outsourcing in our industry.
Why are agencies so fearful of acknowledging their collaboration with specialist parties? To be fair, creative agencies have always recognised their collaborative model. But media agencies are generally stuck in a mindset where they have to pretend they do and own everything. There is a misguided conception that if you acknowledge you are collaborating with specialist partners, you are weak.
But in a time where technology dominates and drives consumer behaviour, where rapid change is the new norm, where large businesses have difficulty evolving rapidly, how can any one agency expect to have all the answers in all scenarios? If a client wants to push into unfamiliar territory, the smartest agencies work with a partner, they share and leverage their credentials as a demonstration of confidence and clarity in meeting this new client challenge – whether it’s building a rocket, constructing a complex mobile app or even something as simple as running a focus group.
Collaboration works for everybody. Most clients want a trusted advisor. They want to sell stuff, meet targets and have a pain-free, educational experience. They love collaboration, and enjoy those rare moments when agencies work well together. They will pay for strong results, and don’t care whether those results are achieved by a single agency or by a collaborative group. And if the work of a collaborative group is presented and branded under a single master agency, why would the client care, provided the master agency is accountable for the quality and the results, and provided any specialist partners are satisfied with the terms of their agency agreement.
Does this mean that we, as agencies, are the problem? Does this mean that our fear of words like collaboration and white labelling, or more accurately, our fear of being seen as a business that outsources, is holding us back? Almost certainly these questions should be answered in the affirmative. Fear is synonymous with fortresses, castles, weapons, blood, battle cries and a raft of other caricatures of inter-agency relations. Today these caricatures have been replaced with lawyers, non-disclosure agreements, threats and denials. They are guarded by account managers armed with protected P&Ls and agency-of-record service contracts.
Agencies that break this mould, who openly embrace collaboration and cross-selling, will emerge the winners in the long run. A perfect example of this is Dentsu’s Posterscope – the multinational agency group Dentsu has developed a best-in-class specialist model that services other agencies. They are pioneers of agency collaboration, but I’m certain some agencies would refuse to work with them (or would never admit to working with them) simply because they belong to a competitor multinational. This attitude is narrow-minded. Another strong example is Mat Baxter’s efforts with multinational giant UM on the local scene – while Mediabrands has an enormous array of services under its roof, Baxter’s UM clearly embraces and sources best practice, both internally and externally.
The reality is that white labelling and outsourcing are widespread, but rarely spoken about publicly by media agencies. It’s the industry’s dirty little secret, which shouldn’t really be dirty at all. Atomic 212°’s first experience with white labelling was when a top three global agency outsourced their weekly client and staff insight reports to our data team. This made sense for both parties, as search and data insights were ingrained in Atomic 212°’s DNA due to our origins in search marketing. Email, data, CRM, coding, forecasting, mobile, content, modelling, the list goes on – and with each of these specialist skillsets you can bet your bottom dollar there is usually an outsourcing relationship.
As an agency, we have been delighted to be exposed to briefs from some of the world’s most complex or renowned brands via white label arrangements. This was particularly the case in our formative years – as an independent agency it was rare for large multinational clients to approach a local independent agency directly. Through the oh-so-dirty practice of white labelling, we were exposed to opportunities from global giants like American Express, Nike, Atlassian and even an exciting Alibaba-funded initiative – in many cases these brands probably didn’t even know they were working with a local agency. Hopefully what they did know was that they got a better and improved business result, and that’s what counts. This same practice also gave us access to domestic giants like Coles, Origin Energy and Telstra. At the same time, our agency was exposed to a broader set of skills in an increasingly fragmented marketing landscape, which cemented our reputation, ability and effectiveness.
A more transparent, collaborative future is inevitable. With this evolution, there will of course be chinks. For instance, who will lay claim to the role of strategic lead or agency lead, or perhaps lead technology agency? Even the seemingly clear-cut area of agency billings is murkier in a world of outsourcing and subcontracting – when three or four businesses are contributing to the same service, shouldn’t they all be able to claim the billings? Does it even matter, particularly when you consider that billings are no true measure of an agency’s health? Another example – in a white labelling landscape, who should take credit in awards entries? Could a media agency who uses Google Analytics rightfully claim an award which they could not have won without the systems, tools and strategic input of Google? This is particularly relevant in a landscape where ‘media owners’ are increasingly acting like agencies in their own right.
Chinks aside, this is a future that agencies and marketeers alike need to embrace. Most of us already do it, but it’s past time we started talking about it. This evolution has truly gathered pace in the past twelve months, which is exciting. If agencies are more open to collaboration, we really can build that rocket.
Latest News
TV Ratings (18/04/2024): I’m A Celebrity Wins Prime Time And Key Demos
Aussie viewers can be a harsh lot at times. Only days after Ellie Cole bled her heart out, she has been sent packing.
Effie&co Launches New ConnectAsia Division To Help Aussie Brands Market To Asian Consumers Overseas & At Home
Not provided is advice on using chopsticks and not spilling ramen down your shirt.
Cashrewards Sets Out Stall For New CMO
Thinking of applying for the Cashrewards CMO gig? Here are some insider tips that, yes, are tantamount to cheating.
‘I Ask For The TV Industry To Stand Up And Defend Itself’ – Seven Boss James Warburton Steps Down
The Seven supremo heads for the exits after five years. Here's hoping the Spotlight team organised the farewell bash.
Poh! Jamie! Adriano! Paramount ANZ reveals its tasty plans for this year’s MasterChef
It's your fan's guide to this year's MasterChef! Although no tips on how to pronounce crudités or use a un fait-tout.
Dentsu’s iProspect Partners With MOOD Tea Ahead Of May Campaign Launch
We love a Mood Tea here at B&T. Although we do store old screws and nails in the International Roast caterer's tin.
Opinion: When Culture Starts Eating Itself: Navigating The Age Of Self-eating Nostalgia
Born boss David Coupland asks is adland going through a nostalgia period? But please, no repeats of Best Of Red Faces.
Who’s Going To Cannes?! The TikTok Young Lions Winners!
It's Aussie adland's next gen! They're off to Cannes with high hopes of bringing back a Lion & a foot-long Toblerone.
Adobe Launches Express Mobile App With Firefly AI
Want to be the coolest kid at Friday staff drinks but forgot your retro Nikes? This new Adobe wizardry may do the trick.
ThinkNewsBrands & IMAA Extend News Publishing Education In Brisbane
Industry duo takes its publishing roadshow to Brisbane. Was disappointed no male attendees were wearing walk socks.
B&T Chats With Wavemaker’s Provocative Pioneers On Their Cross-Pacific Sojourn
B&T TV heads to Wavemaker's Sydney digs to interview two staffers from its New York & LA digs. If that makes sense?
HoMie & Champion Launch “Give One. Get One” Campaign Supporting Youth Homelessness Via Town Square
Much like the fête's prized chutney wears a blue winners sash, so too should this top initiative from HoMie & Champion.
Thinkerbell Takes Us Back To Summer In Latest Work For XXXX
This beer ad wants to take you back to summer! Just minus any chance of a shark attack on your morning bus commute.
Cannes Lions Unveils 2024 Programme Featuring Queen Latifah, Jay Shetty & P&G’s Mark Pritchard
Are you one of the lucky ducks heading to Cannes in June? Check out the headliner acts you'll be queueing hours to see.
Scroll Media Recruits Costa Panagos From Twitch
Costa Panagos set to bring South American flair to the Scroll offices. Assuming that he is, indeed, South American.
Year13, Microsoft & KPMG Australia Launch AI Course For Gen Zs
Born around the 2000s? Need to amp up your AI creds? This guide's for you (although it's not really that age specific).
General Motors Snares Heath Walker From Scania
Do you rage about oversized American cars on our roads? You need to bail up Heath Walker at parties & industry events.
VML Launches New “Envoyage” Brand For Flight Centre
VML unveils new brand for travel operator Flight Centre. Alas, no sign of those paid actors pretending to be pilots.
Subaru Places Media Account Up For Review
Subaru puts media up for review, as adland journos get set for mandatory "agency drives off with..." headline.
TV Ratings (17/04/2024): Contestants Faced With Harsh Realities As Alone Australia Heats Up (Or Cools Down)
Alone still doing the business for SBS. Overly long train journeys not doing the business, but they persist anyway.
Ben Fordham Loses Number One Spot As Ray Hadley Celebrates 156th Ratings Win
The radio numbers are in! Discover who's off for a boozy lunch today & who's waiting for the dreaded HR death knock.
Gourmet Ice Cream Brand Connoisseur Launches New “Thrill Your Senses” Iteration, Via SICKDOGWOLFMAN
Rattling the old "truth in advertising" adage comes this ice-cream spot full of noticeably thin people.
Paramount’s Global Sales Boss: ‘Australia’s Converged Model Is A Blueprint For How I’d Like All Of Our Markets To Be’
Paramount's global sales boss gives local sales ops the thumbs up. Didn't weigh-in on the Lisa Wilkinson debacle.
TikTok Starts Testing Its Instagram Rival In Australia
In exciting news for piano playing cats & brattish pranks in shopping centres, TikTok unveils its Insta rival plans.
Man Wrongly Named By Seven As Bondi Killer Hires Lawyers
Struggling to save for a house deposit? Why not get wrongly identified by Sunrise!
Smartsheet Appoints Indie Agency Sandbox Media To Its Media Account
Can't stand your colleagues? Like to dob them in when they miss a deadline? These work management platforms are ideal.
Boss Not Letting You Come To Cannes In Cairns? Use This Business Case To Convince Them!
Stingy boss won't spring for a ticket to Cairns? Add this to your persuasive argument repertoire. Or grovel.
Alt/shift/ Brisbane Builds Portfolio With Ausbuild Creative, PR, Content & Social Account Win
The Brisbane comms/PR agency lands constructor Ausbuild. Also hoping for a discount on its new glass conservatory.
Young Guns Versus The Old Guard: Who Adds More Value to Our Industry?
Cannes In Cairns poking this hornet's nest in a lively debate. Just so long as the oldies can get up the stairs.
70% Of Aussies Don’t Have Green Power Plans ENGIE Says In Major Brand Campaign Via HERO
Are you the notorious "light leaver on-er" in your flatshare? Quell any infighting with this green energy news.
PrettyGood Launches Offering Brand & Media Solutions For Australasian SMEs
B&T applauds the charitable nature of this new agency. Although we'd hate to see it impact any Chrissie present sends.
A Blunt End: Dolphins Medicinal Cannabis Sponsorship At Risk
Yes, it's another NRL drug story. Yet, thankfully it doesn't involve coke in Kuta during the off-season.
Slew Of New Creative Hires At Leo Burnett Australia
Ahhh, all black! The outfit of choice for agency creatives, David Jones staff and everyone in Melbourne.
Under Armour Unveils Local “Live in UA” Campaign
American apparel brand set for yet another tilt at the Aussie market, as Nike declares "we'll see about that".
Pepsi Launches New Look, Refreshing Classic Fashion Staples Via Special PR
Are you always the bridesmaid, never the bride, as the old saying goes? How do you think Pepsi feels?
Pure Blonde Returns To A Place Purer Than Yours In New Campaign Via The Monkeys
B&T's always been a huge fan of the 'drink yourself thinner' diet plan. So big thanks to Pure blonde, vodka & tequila.