I recently got a call from an influential player in the advertising business. She had a simple question: “Are advertising holding companies relevant today? Should they even exist?”
At the time I didn’t have an answer. I love advertising and agencies. The industry holds some of the smartest, most thoughtful and creative people I’ve ever met. Yet, the agency business model is horribly broken.
Thinking about it over the last few weeks, I recalled many other industries that have faced the same existential crisis. The poster child, Kodak, introduced the Brownie camera in 1900. That year people bought 150,000 Brownies and took, on average, five photos or 750,000 total pictures. In 2017 there were 1.2 trillion digital pictures taken. Kodak created the idea of sharing images, but it started to…