It seems to be a watershed time for the Search sector at the moment. In the early days the specialists had it all their own way, and it was a reasonable assertion that the multi-media agencies didn’t have the capabilities to compete with them. Now it’s different.
There are still a few specialist Search bullshitters making general comments about the multi-media agencies apparently not getting it, but in reality the facts speak for themselves. Some of the multi-media agencies seem to be getting it alright - to the point that they currently represent just over half of the top ten search buying points.
So it’s obvious that some of the multi-media players are good at Search, and some aren’t – just as there are good and bad specialists. However it’s hard to argue against the benefits of integration, meaning that the better multi-media agencies are in a position to seriously challenge the better specialists for much of the other half of the market, so it’s not surprising to see that things are getting interesting.
Just as Glue has been pitching for non-digital creative business, I assume that some of the Search specialists will be diversifying too. It’s no secret that several are experimenting with banner buying, but that’s not enough in my opinion. They’re going to need to get into the online video game, and that’s increasingly related to the practice of TV planning, which has its own set of specific challenges.
Meanwhile I assume that many of the good specialist agencies and people will get bought by the bigger media groups, as they have been to date. For those that choose to remain independent, they’ll need to find new ways to compete. I believe that the time for generalising that all the multi–media agencies don’t get it has well and truly passed though.