While I was in New York recently, I met up with a number of Mad Men (the slang term coined in the 1950s by advertisers working on Madison Avenue), and how they have transformed their advertising agencies over the past decade. Some have been successful in adapting to the new advertising models on social media platforms whilst others are still clinging to the mass media of television, radio and print.
The growth of the Internet has spurned millions of micro-businesses and the ability for them to ‘self-service’ their own advertising campaigns. For most of these small business owners, advertising on television is not part of their strategy nor their budget and hence are not attractive to the traditional ad agencies. However the good news, at least in theory, is that for just a few dollars, anyone can easily set up a Facebook or Google Ad account and place their products and services in front of a very targeted audience.
They say with great power comes great responsibility, and so it is with advertising. The power to influence a significant number of people and have them pull out their credit cards and buy your stuff is enormous. But it is also very difficult to achieve.
Online users have acutely refined their sensors to detect scams and require advertisers to prove their authenticity. It is essential that they must first develop the ‘know, like and trust’ factor before any transaction can take place.
Just because any business owner can set up a video ad campaign on Facebook or YouTube doesn’t mean they can make it work.
The fact is that most ‘self-service’ ad campaigns fail. This can be due to targeting the wrong audience, not articulating the benefits of their offer to their potential buyers or just being plain boring, like a most of the other ads.
Creating effective video ad campaigns, or any type of ads for that matter, requires great insight of your target audience and the ability to express the transformation you offer your audience. Buying decisions are made with our emotions and justified by our logical mind. So by simply stating your offer is not enough and that’s why creative ad agencies still exist.
So where do these micro business owners go from here? Their ad spend is too small for the Mad Men to take any notice of them, and the self-service model is not adequate for them to make their campaigns profitable. Whilst Facebook and Google offer advertisers some help, it is limited more to the technical use of their own platforms.
The answer for the micro businesses is the micro ad agency model. This consists primarily of a chief consultant that oversees two to five ‘account managers’ that are responsible for creating and executing all aspects of the campaigns.
Here at VIMACO, we offer yet another level of support with an ongoing Video Ads Mastermind monthly coaching program to help those business owners using the self-service option as well as the ‘Done–For-You micro-agency model. This may well be the future of ad agencies as millions of new micro businesses are launched in the years to come.
Video Marketing Strategist