Revolution in Advertising Sales: The Myers Report Foretells a New Era in Media

The Myers Report, a cornerstone in the advertising and media industry for over 40 years, has chronicled the evolution of media sales organizations in a landscape continuously reshaped by technological advancements and shifting market dynamics.

The Myers Report 2023, which tapped into the perceptions of 4,200 industry professionals, provides not just a snapshot of the current state of advertising sales but also serves as a guidepost for future strategies. It underscores the need for a balanced approach that incorporates both technological advancements and the human element of sales and marketing. The organizations that will thrive are those that can blend data-driven efficiency with creative, relationship-focused strategies, adapting to the transforming landscape of advertising-supported media.

In recent years, particularly noticeable in The Myers Report 2023, there's been a significant shift in the dynamics of media buying and decision-making. Agency media professionals, even those at the in-house agencies of leading national advertisers, have expressed concerns about their limited access to brand and product managers who are increasingly pivotal in controlling advertising budgets. The decision-making power in media buying has transitioned from traditional marketing roles to those in purchasing and procurement, often reporting to CFOs or directly to CEOs. This shift reflects a broader change in the advertising landscape, where financial considerations and cost efficiency increasingly drive media transactions.

Programmatic and automated planning and buying, emblematic of this shift, now represent an estimated 65% of all national media transactions and as much as 90%+ of transactions in retail and social media. This trend underlines the growing reliance on technology and automation in the advertising sector, but it also raises questions about the diminishing role of traditional, relationship-based advertising strategies. The Myers Report's findings suggest that while tech-led transactions have led to growth in certain categories, they have also contributed to a general decline in the marketplace's vibrancy.

The average tenure of media agency employees, now less than eight years, suggests a lack of deep experience in the industry but stronger computer skills and digital media familiarity. Sixty-two percent of media agency employees have been in the advertising business for eight years or less, and 85% of these professionals hold decision-making authority or influence. Yet only a small minority have meaningful relationships with the sales organizations they interact with. Their knowledge of industry fundamentals is, by their own admission, lacking. Even among media agency professionals in the business three to fifteen years, fewer than 20% can accurately describe programmatic advertising or define DSP, SSP or RTB. Only 5% can explain a "clean room" or define "over-the-air TV." This knowledge gap underscores the evolving nature of the media sales profession, where data and automation have overshadowed the importance of personal relationships and in-depth industry knowledge.

The Myers Report's insights into these evolving dynamics offer a glimpse into the future demands that will be required of media sales organizations. Beyond transactional capabilities, knowledge will be the primary differentiator. The most successful sales teams will be those that invest in educational resources and marketing that teaches and builds relationships with their stakeholder groups.

The industry is at a crossroads, needing to balance the efficiency of data-driven, programmatic approaches with traditional relationship and knowledge-based strategies. To remain competitive and relevant, future-focused media sales organizations must adapt to and invest in this changing landscape, focusing not only on technological proficiency but also on nurturing meaningful client relationships, providing on-demand online learning resources for their stakeholders, and staying attuned to the evolving market needs. The Myers Report 2023 highlights critical challenges and trends that are likely to shape the future of media sales organizations.

SOURCE: The Myers Report 2023 Survey of 4,200 Advertising Agency and Brand Media Decision-Makers and Influencers; 4,200 respondents. Fieldwork August/September 2023. For details visit www.myersreports.com.