Resp0nse to Economist article “Signs of Recovery” 21 July 2010
Yes, advertising expenditures have been relatively durable GFD, but I think the far more interesting question for such an august journal as the Economist to contemplate is what the future of the current advertising agency model is. Alternative media is changing so quickly, and consumer taste with it, that the mass media, television driven model of the past in my view is unsustainable. The question for the Avertising industry, and traditional media if it comes to that, is what if anything will replace it. There is not currently an obvious answer to this question, but what we can say is that old style ad agencies and media companies have not yet worked out how to use the new social media outlets, and are a long way from integrating them fully into their overall media mix. Perhaps the finger is still fully in the dyke as they work out how to make money from them. It deserves an Economist think piece for which they are so famous.