Re-engineering the Advertising Industry



The world of advertising is undergoing a fundamental shift, as the functions of large agencies are being gradually taken over by small, agile groups of creative thinkers and planners, says IESE Prof. Xavier Oliver in this interview. Small advertising "think tanks," sometimes supported by freelancers, are now able to address clients' needs effectively and less expensively.

As a total reengineering of the market takes place, ad agencies are increasingly being paid for their ideas, rather than the execution of these, he says. Despite market changes, clients and advertisers still need communication planners and creatives to develop their brands globally, he said. "You have to find the right people to get out of the box."