Expert: Peter Gabany - 10/30/2008

Question
Dear Peter,

I have owned and operated my own graphic design and print brokering firm
since 1990. We started out with one 'advertising' account. I was only
educated as a Commercial Artist with a heavy background and emphasis in
print. My passion is to turn the business into a full-fledged advertising
agency but I don't have any formal education and don't know how an agency
is structured. I've briefly reviewed Second Wind's offerings but I'm wondering
if you might have any suggestions on how to proceed. I'm located in
Colorado.  

Answer
Thank you for telling me that you are in Colorado. The agency that won the Microsoft account just moved there in the spring and enjoying their $300,000,000 client.

To your point your dream - create a full service agency.

Erik, I am NEVER one to discourage but I ask you to VERY carefully consider the idea of becoming an ADVERTISING agency.

Let me explain.

You are in a unique position and I can't emphasize that enough. You already know about client relationships. You already know sales. You know - and here is the gem - how to collaborate and by the sounds of it effectively - You've been in business for almost 20 years.

An ad ONLY agency today is nothing - absolutely nothing like yesterday's agency. Read Tony Mikas book and it is FULL of warnings to agencies about how they MUST change their business model or die.

I implore you to look at such agencies as StrawberryFrog, Pentagram, Mother and BBH (http://www.bartleboglehegarty.com/) These are NOT agencies in the traditional sense. Yes they do advertising but they do so much more and conduct themselves differently - and frankly HIGHLY successful because they are NOT Advertising Agencies.

You may say - well I am small and not located in New York or London this is fine for them but I'm only me.

So let me direct you to Context Creative (www.contextcreative.ca), a small shop located in Toronto. Or Oxygen Design Agency - www.oxygen.ca These are not ad agencies but they do create advertising.

What I'm attempting to do is open you mind to other possibilities. The Ad agency is transofrming into multi-disciplinary centres incorporating internet, sales promotion, social networking, design, advertising, direct response, event agencies and more.

They are doing this because of shrinking returns and a changing media marketplace. They must adapt - see StrawberryFrog's little book on extinction.

I can go on like this for hours. I am convinced that this is the route to take so much that I have invested heavily in getting there.

Feel free to give me a call to discuss at length.

Regards,

Pete - 905-885-9895 - www.limelight.org