2019 Financial Mail AdFocus profile

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99c prides itself on its

Service-orientated positioning — the agency’s focus is on the client as opposed to looking inward.

Over the years, more and more clients have come to appreciate this way of operating, which is perhaps one of the reasons why it has performed solidly over a year that has been a challenge for many other players in the industry.

CEO Andrew Brand says in the context of an economically constrained environment, 99c has grown its business, and hasn’t had any significant decreases in client adspend or advertising appetite. “We have been fortunate that our clients see the value of marketing and haven’t pulled back on their plans despite the economic difficulties. Some are even spending more and taking advantage of the opportunities that inevitably present themselves in tough times.”

It’s an environment where clients want more for less, are more demanding and expect every rand spent to work twice as hard, yet Brand sees this as simply the way all agencies need to be working at the moment. “We work in a service industry and we need to accommodate the needs of our clients. Ultimately the rewards that come with delivering should naturally follow,” he says.

Given the current situation in SA, with xenophobia reaching a record high, not to mention political and business uncertainty, the economy looks set for further hardship. “As a business owner, these are the issues that keep me up at night, as they do my clients. What we need is political and economic certainty so that we are able to plan the future of our businesses; and we need real leadership as opposed to political posturing and short-term thinking,” he says.

What does help 99c to roll with the punches is the way in which the business has been structured.

The majority of the agency’s clients work on retainers, based on a resourcing and work scope basis and both parties agree on the parameters of work needing to be delivered.

“That said, this is a working climate where planning is often thrown out of the window in order to respond to market flux. However, we’re able to adapt comfortably to this way of working,” Brand says.

Protecting margins while clients’ budgets are under pressure is something the agency has worked hard at over the past few years. Brand says they have brought in more resources but are smart in terms of the skills they seek.

“We look for hybridisation in certain skills, individuals who can work across disciplines. In this way we provide clients with an integrated model and extra staff, but we remain affordable while they’re under pressure. This operating model allows 99c to absorb more work across disciplines, as we have a larger pool of resources,” he says.

He points out, however, that certain technical skills remain specialised, especially within digital and production. If there were a word to summarise the current climate, Brand believes it would be pragmatism. “Agencies have to work smarter, we have to be more efficient with our time and we need to collaborate with our clients throughout the campaign journey, so that we’re able to arrive at a mutually agreeable space without the creative concept being compromised; and without excessive churn.”

Technology has been instrumental in ensuring greater internal efficiencies — such as constantly evolving internal review processes and the introduction of a single point of contact for client feedback. “Alone, each change we have made does not seem like much, but when seen as a whole our processes have become far more efficient, both for our clients and our people,” says Brand. The use of technology and constant improvement of systems and processes that can lead to greater efficiencies isn’t only about better work, but about a happier staff.

When it comes to trends and changes in the industry, Brand admits he doesn’t place much emphasis on following trend predictions given that they are often random and rarely accurate enough to add significant value.

That said, it’s imperative for agencies to remain relevant, redefining themselves and reimagining what services to provide clients, while ensuring they invest in skills that fit the perception clients have of an agency that is future ready. “We need to be able to give clients what they need, before they even know they need it,” says Brand.

Clients are increasingly taking certain advertising functions in-house, particularly in the areas of data, customer engagement and strategy development. “If this is what clients choose to do, it’s pointless trying to compete with them in these disciplines. What we can, and always will provide, is the creative that will complement the direction they have chosen to take. We’re employed by our clients to do the things agencies have always done — to create great ads and serve as a guiding light where they need us,” he says.

Brand maintains that it’s essential for the agency to be able to provide clients with skills that supplement and complement their own in-house competences should they be required, particularly as the marketplace moves further into the online and omnichannel space. Many agencies are grappling with this 24/7 environment and the new skills it requires, and how to marry data with creative. “The question has to remain what we can do within this space to help our clients grow market share,” he says.

However, talk about an industry skills shift may still be premature, he cautions. “Talking about a shift in skills presumes the industry had the skills in the first place and is based on the premise that these skills are readily available. I’d argue that there is a severe skills shortage, and it’s one of the biggest challenges facing the industry at the moment,” says Brand.

He argues that for some time we’ve existed within an “Emperor’s New Clothes” environment — every year there is a new thing that is the “next big thing”. The industry continues to suffer a distinct lack of creative skills, particularly in copywriting, and a tendency to often rush the promotion of talent too quickly, thereby creating unrealistic expectations or experience vacuums, Brand says.

His emphasis on the importance of traditional creative skills is not surprising, given that he runs an agency that is known for the quality of its creative (which is spot-on when it comes to resonating with customers — think the Checkers Little Shop and Little Garden campaigns, or Ackermans’ well-received “I am me” lingerie campaign, which celebrated body positivity). 99c is also trusted by clients for the honesty and transparency of its operations. The agency’s objective is to create work that sells, and Brand maintains that if the client does not make a profit or gain market share as a result, the agency has failed.

Because 99c is not an agency to measure its success based on creative awards (in fact it hardly enters them), Brand has taken the decision within the next year to become less shy about marketing the business.

“We are a creative agency and we’re proud of our work, but ultimately we would rather talk about our clients,” he says. He plans to ensure that more people understand what 99c stands for.

At the same time there will be a focus on growing the agency’s Joburg operation and concentrating on building its international profile through some global projects it has won. “SA has a high global standard at a compelling cost for international clients, which is why we want to innovate in this space.”