Why Data Regulation Changes Mark A Big Opportunity for Marketing Agencies
In this guest post, n3 Hub’s business development manager Stephen Schwalger (lead image), says changes to the way marketers can use data, the rise of AI and more in-housing by clients means marketing agencies are facing a number of challenges into the future…
Significant changes to the way companies can collect and use personal data are forcing a rethink by marketers about how to conduct campaigns.
Proposed changes to Australia’s Privacy Act means tactics that have been used for years will need to be overhauled and customers given the opportunity to opt out of targeting marketing. Permission will also be required before any personal data is collected in the first place.
The changes come in the wake of steps undertaken by the big tech platforms to address privacy and personal data protection policies being strengthened across the globe. With Google and others restricting third-party cookies usage for tracking visitors to websites and the serving of personalised advertising by the end of 2023, marketers and brands will need to have quality first party data that they can use into the future.
Marketers are also facing growing challenges from the rapid evolution of artificial intelligence (AI) tools. Where traditionally marketing materials have been crafted by experienced copywriters and designers, an increasing proportion is likely to be generated by AI.
A change of strategy
As a result of these seismic forces, the way in which marketing and advertising agencies operate is going to have to change. Customer data will need to be correctly collected to ensure that all privacy requirements are met and explicit permission obtained before it is used in any way.
Customers will also need to be offered the ability to opt out of marketing at any time and have any personal data that might have been collected deleted or archived. Any failure to do this can result in prosecution and hefty fines.
Agencies are also being squeezed by the fact that an increasing number of clients are opting to take responsibility for social media marketing in house. Rather than relying on an agency to generate all the creative and book advertising space, this is increasingly being done internally.
The bottom line is that agencies will need to rethink the way they attract and service clients. Rather than relying on traditional discrete marketing activities and a campaign-based model, they will need to adopt an end-to-end customer experience approach that can add value at multiple points in the marketing process and that is tailored to individual customer’s journeys.
The importance of Customer Data Platforms
These changes to the marketing landscape are placing an increasing focus on the value that can be delivered by Customer Data Platforms (CDPs). CDPs bring all of the data from across the business into a central platform that allows agencies and their clients to create detailed profiles of customers and orchestrates highly personalised marketing messages delivered at the right time in the right channel.
Already widely used by leading brands, the value of CDPs will increase even further as companies come to understand the full implication of the proposed changes to data privacy and management regulations to be introduced in Australia.
Agencies that make use of a CDP will be in a much better position to strengthen and deepen the relationship they have with their clients. The agencies will be able to design and deliver sophisticated and compelling campaigns that are based on accurate and well managed customer data, which when combined with great creative will deliver significantly improved outcomes.
Customer privacy can also be strengthened. As all collected data is encrypted and stored in a single location, it can remain secure at all times and removed should a request be received.
Armed with a CDP, an agency can also improve the way it delivers multi-channel marketing campaigns. Data collected can be used to provide a consistent experience for customers regardless of the communications channel they choose to interact with a brand.
Better client relationships
While many brands are understandably cautions about what the multiple changes in the digital marketing space will mean for them, increasing numbers of agencies are seeing it as a significant opportunity.
By offering a one-stop-shop of strategy and services, underpinned by a CDP, leading agencies will be well placed to become a strategic business partner for their clients. As well as developing and delivering sophisticated omni-channel marketing campaigns, they will be able to attribute marketing performance across the wider business metrics. In particular, they’ll be able to demonstrate specific sales, media cost, customer acquisition numbers, customer lifetime value, reductions in churn and almost any other KPI that the business is ranked upon.
Agencies will add further value by assisting in the effective collection and management of customer data and by helping clients comply with current and future data privacy requirements. All management can be undertaken by the agency, removing a significant burden for in-house teams.
The pace of change in the marketing sector will continue to be rapid in the months ahead. By establishing a strong working relationship with a sophisticated and experienced agency, brands can be well placed to continue to grow their share of the market.
Please login with linkedin to comment
Stephen SchwalgerLatest News
On The Menu Joins Forces With TBWA\Melbourne To Melt Freezer Shame
This campaign "fights misconceptions about frozen food". Ice-cream, pies, Sara Lee! What misconceptions, B&T asks?
IMAA Announces Digi-Byte Event Featuring Industry’s Top Talent Plus “Immersive” Gaming Competition
The indies fan group unveils plans for its newest event. Says anyone in a WPP running singlet will be refused entry.
Bowel Cancer Revealed As Australia’s Deadliest Creature In New Campaign, Via Ogilvy Health
Does your office have a secret & serial farter? Possibly lure them out with this important bowel cancer campaign.
Who’s In Charge? B&T Reveals The Best Of The Best Industry Association Chiefs!
B&T's acknowledging the 10 very best industry association bosses. Discover if your membership dues are worth it here.
TEDxSydney Splits Into Two; Check Its New Creative Program
TEDxSydney moves to Luna Park's Big Top in June. Get motivated & throw up on the Wild Mouse at the very same time.
TV Ratings 14/5/24: Punters More Interested In Farmer Wants A Wife Drama Than Jeremy Clarkson’s Agricultural Adventures
Think sheep husbandry programs are TV's missing link? You can't complain with Farmer Wants A Wife AND Clarkson's Farm.
Paper Moose and Innocean Australia launch Love Our Work Industry Charter
It's a top initiative fostering harmony in the creative space. Not to downplay the unbridled joy of destroying a rival.
IAB: Privacy Act Changes Might Lead To “Nonsensical Outcomes” For Digital Advertising As Industry Wrings Hands
B&T front row at the IAB's Data & Privacy Summit. So private, in fact, attendees were wearing fake moustaches.
Fortress Games Hits Play On Partnership With Havas Network’s Organic And One Green Bean
The games culture destination names local agency roster who'll hopefully explain what a games culture destination is.
Fabulate Launches New List Of Fastest Growing Aussie Creators, Including Leah Halton, Across Social Media
A list of who's hot in Australia's influencer/creator world's here. And it's bad news for foodies angling for a freebie.
Find Your Work-Life Balance: ‘Airbnb’ Your Next Job With ViewJobs
Farmer Wants A Wife piqued your interest in all things regional? See who's hiring with this regional job initiative.
Madeleine Hawcroft Joins Deadset Studios As Executive Producer
Madeleine Hawcroft has joined the Deadset Studios team. Confirms she is of no relation to Russel.
Zimmermann Opens An Immersive Brand Space At Iconic Paris Department Store Le Bon Marché With Amplify Paris
Zimmermann continues to pioneer Aussie fashion on the global stage. Not forgetting Tradies underpants in that comment.
Red Rooster And Four‘N Twenty Team Up To Rev Up “Aussie-ness” Ahead Of Footy Final Season
Australia's greatest culinary gifts to the world join as one. B&T unsure of the whereabouts of the lamington.
‘The Emperor’s New Clothes Are Going To Be Stripped Off’: News Corp’s Pippa Leary & Panel Of Industry Leaders Urge Advertisers To ‘Wake Up’
B&T goes one-on-one with News' MD of client product, Pippa Leary. Sadly, we got KO-d in the third.
News Corp Rolls Out Shoppable And Targeted In Time View Ad Formats
Accidentally doze off during the juicy bits at yesterday's D_Coded? No one will be any the wiser with these cheat tips.
Samsung Launches ‘Clash of Commuters’ with CHEP Network and Livewire
Look no further than this for the huge marketing potential of gaming. That & people willingly drinking Monster.
Fintech Disruptor Revolut Launches New Above-The-Line Campaign In Australia To Challenge Traditional Banking Conventions
Disruptor wants to "challenge traditional banking conventions". "We'll see about that," retorts Mr CBA, Westpac, et al.
Chris Freel: The Uncomplicated Complexity In OOH
Former UnLTD boss come oOh! sales director talks his love of outdoor (as in the ad medium, not hiking up a steep hill).
Cairns Crocodiles The Work: B2B Campaigns Sponsored By LinkedIn
B&T's shining a light on the B2B category for the coming Croc Awards. Well, more candle after the torch batteries died.
Expedia Launches Travel Shops Giving Influencers Tools To Shopify The Travel Content Experience
Travel's so popular they even have large conferences in Las Vegas dedicated to it. To prove it, B&T's there. Right now.
News Corp’s Lou Barrett On D_Coded: ‘The Penny Has Dropped… So We’ve Supercharged How Brands Plan, Book & Measure In One Place’
B&T chats with Lou Barrett post News' D_Coded event yesterday. Alas, we didn't talk the Tele's bikie gang fascination.
Advertisers Wasting 42% Of Digital Ad Spend – Next&Co report
With the cost of living crisis biting I think we can all agree that waste is rarely a positive thing...
Introducing New Podcast ‘MID’: Holly Wainwright Rebrands The Mid-Life Experience For Australian Women
The joys of midlife are celebrated in this new podcast. And play it loud if the old eardrums are starting to creak.
TV Ratings (13/05/2024): The Summit Brings In The Eyeballs For Nine
The Summit does the business on its return for Nine. Meanwhile, press photo confirms the importance of headwear.
Snap’s ANZ Agency Lead Ellie Rogers Steps Down Amid Restructure
Ellie Rogers says family was a big part in her next career move. Not so B&T, who only comes to work to avoid ours.
Breast Cancer Foundation NZ’s Awareness Drive ‘The Signs Are Everywhere’ Is B&T’s Campaign Of The Month for April 2024
B&T's ad of the month is both a worthy cause & worthy winner. Even if KFC's Zinger box can feel slightly hard done by.
iSelect Launches New Brand Campaign ‘Save More’ Via Howatson+Company
If there's an agency that's "so hot right now" it's Howatson+Co. And, yes, B&T's unnecessarily bigged-up this new work.
In The Making Expands Into Melbourne
Brisbane PR agency unveils its Melbourne plans. Still adjusting from the pineapple print to the mandatory all black.
It’s Off The Crisper Sale! Introducing KFC’s New Original Crispy Burger Series
This article contains the location to obtain free KFC burgers. Why not send the workie for real world office experience.
Spotlight On Sponsors: Rugby Australia Sign First Dedicated Female Retailer
Don't know your Storms from your Wallaroos? At least you'll be sports sponsor aware with B&T's ongoing series.
Mars Agency Rebrands As Mars United Commerce
Tired of fielding prank calls about nougat & caramel, Mars Agency rebrands to the more long-winded Mars United Commerce.
Azerion Expands Platform With Interactive Video Products
Did your last inter-team marketing brainstorm see 'interactive video' come up more often than not? Read on quickly here.
Inside NGEN: Seven’s Rachael Everett On What We Can Learn From Sport
Were you the wheezy kid that always wagged PE at school? Even more reason not to avoid this lessons-in-sport piece.
Cairns Crocodiles The Work: Changing the World Campaign Presented By Pinterest
Casual dress & motley beards aside, did you join adland to try and change the world? Get tips from those who did here.
Nine And Magnite Strengthen Partnership To Boost 9Now
Nine calls in Magnite to sort out its BVOD programmatic ads. Not before having to switch the plugs from a Type C to a I.