The Pearlfinders Index - Quarter 2 2010
The Pearlfinders Index - Quarter 2 2010
Welcome to the Pearlfinders Index, taking the temperature for the second quarter of 2010.
When analysts talk about opportunities in the marketing services sector they tend to examine agency profits, marketing spend and the channels commanding them. Though fine for corporate planning, these are of limited value as practical pointers for agencies looking to plan their next new business campaign. So the Pearlfinders Index collects and analyses a large sample of first-hand data on the opinions of marketing decision-makers. It enables us to map the entire market for emerging trends on preferences for marketing support, confidence to increase spend, inclination to review, and interest in new techniques.
Desirable Disciplines
From a broad range of data we drill down to specific disciplines to analyse the trends and patterns most relevant to your area of expertise. For each discipline we produce a summary of our findings, which you may download by clicking on the links below.
Digital
Digital is ever further integrated into the mix, and digital agencies should seize the opportunity to expand their business by responding to a broader range of business challenges. Closer attention should be paid to reviews in other disciplines, as communications and creative reviews mean digital will almost inevitably be required in the process.
With the arrival of the iPad, and analysts suggesting one in five mobiles is now a smartphone, marketers are looking for sophisticated, visionary advice on how these channel may be exploited.
Download Q2 Index : Digital PDF
Design & Branding
With M&A activity expected to continue its growth throughout the rest of 2010, opportunity for more traditional branding work will increase alongside it. However, as in many parts of the economy, design agencies will be reliant on this speculated growth to off-set the decline in public sector projects.
Ensuring focus on sectors with a higher propensity to require brand and design is essential. Throughout 2010 we’ve seen particular areas remain buoyant for this category such as FMCG, retail and motor. However, sporadic bursts of interest in this discipline from sectors which appear sensitive to constantly changing market conditions, require a fluid yet agile new business approach to ensure success.
Download Q2 Index : Design & Branding PDF
Experiential, Sponsorship & Events
Brands are increasingly using experiential techniques to move outside of their traditional audiences and develop new revenue streams. The older, and more mainstream, demographic attending festivals provides an opportunity for less youth-orientated brands to gain traction, while many brands are looking to engage female audiences in different environments to challenge perceptions of their products.
The increase in product launches demonstrates brands’ new-found verve and adventure, following a troublesome 2009. The involvement of live activity associated with launches to date in 2010 will provide opportunities for agencies within this category.
Download Q2 Index : Experiential PDF
Media & Advertising
The pressure on brand marketers to make the right choice of agency is making them increasingly likely to explore alternatives and see new agencies. Honesty, openness and transparency are more highly prized than ever, as we see that evidence of ROI is not always perceived as a guarantee of future delivery in a changed consumer landscape.
Opportunities for ad agencies to thrive in 2010 are strong with both review numbers and positivity increasing as the year progresses. However the variety of brands discussing their advertising set up is wide and not those traditionally associated with being major agency targets. This along with the change of review methods and habits by brand marketers mean agencies must adapt to ensure they capitalise on this new found optimism.
Download Q2 Index : Advertising
Continuing the trend we identified in Q1, the financial sector is an increasingly reliable source of corporate and consumer PR opportunities. Banks and insurance providers are now focusing on their corporate brands - consumers are more promiscuous than ever when it comes to switching providers, leading to financial institutions being more bullish when it comes to brand messaging than they were during the recession.
Charities and associations are singling out PR as a continuing investment area, despite feeling the knock-on effects of public sector spending cuts. In the second quarter of 2010 we noticed declines in the popularity of many marketing services disciplines in this industry, however communications is the one area we've seen remain strong. While there was a small decline in the overall number of PR-related reports, we saw a 15-point increase in charities' likelihood to review communications plans.
Consumer PR agencies are succeeding in convincing brands that they should be the incumbent to deliver online PR and social media strategy. In many sectors this meant we saw its decline as an independent requirement from budget holders, cited more frequently as part of the overall communications strategy. An exception to this rule would be the motor industry that we noted is still viewing this as a segregated piece of their communication plan.