It has been nearly a month since I last posted. I reckon Christmas and the New Year break is a good excuse, although I notice many others kept the blogging and Twittering going throughout, even on Christmas Day!
But what has kept me busy since the 2 January has been two major activities:
1. Existing clients - tightening budgets, refocusing on possible outcomes and results, and looking for much more detailed activity plans than last year.
2. New business - as I continue to read about global economic meltdown we are receiving a steady flow of new leads (all be it with smaller budgets than last year). The prospects' expectations are the same as existing clients but with one major addition. A clear and simple demand for a senior consultant to direct and manage the campaign. We are having regular discussions about how the pitch team must match the account team.
If this trend continues we will be faced with the serious challenge of trying to turn a profit from reducing budgets while applying more expensive senior time to each account.
On a positive note, I'm guessing that this recession will throw up a number of agencies that take an alternative view to the traditional structure. Lets hope some of them are very successful and we can all benefit from an improved business model. In the meantime I guess we'll just focus on reducing those fixed costs.
I'm looking forward to seeing the results of the latest
PRCA's PR Leaders' Panel later this week. We've asked 160 agency
MDs about their expectations for growth in 2009. Fingers crossed for some positive expectations.