For the past five years, the CEO of Interpublic Group's media investment arm, Mediabrands, has banged the drum about the need for performance-based compensation for agencies. More recently he also took up the banner of automation, proposing to automate 50% of all media investment by the end of 2015.
Interestingly, the automation rallying cry seems to be taking hold faster than the one about linking agency pay to business outcomes. But Seiler says the one necessitates the other.
And he believes the accelerated programmatic investment of major brands like Procter & Gamble, American Express and Mondelez will accelerate this future.
In a conversation with AdExchanger at the Cannes Lions festival, he explained why:
"[Programmatic and pay for performance] will actually move forward together. My thought always was, if you're paid always based on your client's business outcome, then how many bodies it takes to achieve that is irrelevant. How much money it takes to achieve that is irrelevant. And the two compensation models are around how much money you spend or how many bodies it takes to do that. Neither is in a client's best interest. If you push for automation you've got to find a different way to be compensated. Because if it means you stripping out a bunch of bodies, we're not all just going to make less money. We need to make money based on something that is more important than spend or body count.