Home Brand Aware What People Get Wrong About In-Housing

What People Get Wrong About In-Housing

SHARE:

“Brand Aware” explores the data-driven digital ad ecosystem from the marketer’s point of view.

Today’s column is written by Josh Palau, vice president of media strategy and platforms at Bayer Consumer Health US.

In-housing isn’t a fleeting trend or small blip on the radar. This is a new way of working that is critical to brands and how they survive.

In October 2018, Bayer CH announced a partnership with MightyHive to help us bring our media in house. Since then, I’ve had very enlightening conversations with my peers across brands, agencies and tech partners. It’s been great to learn about how others are approaching in-housing – and even offer advice.

But I’ve also encountered misconceptions about in-housing and our own plan that are important to address.

‘What’s the endgame?’

Iron Man Tony Stark once said, “Part of the journey is the end,” and though in-housing is not intergalactic warfare, there is an important lesson to be learned.

People don’t often think about the end when planning the journey, which is a huge miss. Our endgame model is that in 2020, all digital media planning, buying, optimization and analytics will be done in house. Having a clear and thought-out goal allows us to build a comprehensive plan to get there and identify who to involve to make it happen.

In-housing has implications for legal, finance, HR, recruiting and marketing, which requires brands to establish new processes or change existing ones. Starting with the end establishes what will be impacted and prepares the organization for the road ahead.

I’d argue that some in-house projects stall because they lack a clear endgame. With the goal established, brands can turn their focus to the types of partnerships they need and the right mindset.

‘Aren’t you just switching agencies?’

Whether a brand’s end state is a blended model or fully in house, it can’t just switch agencies – it needs to find a partner that shares its vision and will help it to get there.

After years of having a digital media agency, Bayer needed a partner that could help us set up the backend architecture and allow us to own contracts, with the full understanding that our partnership would come to an end when we take the reins.

People have asked, “Aren’t you just switching agencies,” which really grinds my gears because that is the wrong mentality. Yes, MightyHive is an agency, but we have found the best partner for our vision.

‘So, you’re building an in-house agency?’

One of the biggest benefits of bringing digital media in house is to make the organization better. The internal agency doesn’t achieve that. Bayer is not building an in-house agency, and that’s not something I’ve ever aspired to do.

The challenge with an in-house agency is that you can fall into bad behaviors, such as not being transparent, and you’re not as integrated with the business. I believe that for organizations to get better at digital, they must have more embedded expertise.

In our center of excellence model, having a search expert who provides guidance across the portfolio of brands is good, but it’s more powerful to have a search expert who is embedded with the brand. They are leveraging subject matter expertise while also being immersed in the brand category.

In-housing will continue to be a bit of a “choose your own adventure,” with no one model or process being ideal for every organization. However, aligning your end state and mindset are important first steps to understanding which model is right for your brand and the best way to get there.

Follow Josh Palau (@TheOfficialJP3), Bayer Consumer Health (@Bayer4SelfCare) and AdExchanger (@adexchanger) on Twitter.

Must Read

Comic: Header Bidding Rapper (Wrapper!)

Sure, Debates Between Prebid Members Can Get Heated. That’s Why It’s The Programmatic Melting Pot

The Prebid Summit in New York City on Tuesday exceeded the event’s reputation for liveliness.

Has The Ad Industry Lost The Pulse Of American Consumers?

The ad industry has become a community of people who say things like “This is going to sound relatable” and follow it up with a sentence that may as well be Martian to 99% of America.

LG And Magnite Launch Agentic Home Screen Ads With A Winning NFL Quarterback

LG home screen inventory is now available through agentic buying, opening up a premium TV placement to faster, more automated campaign setup.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Prebid’s Proposed Auction Overhaul Would Do What The Court Wouldn’t: Separate AdX From GAM

Reorienting the ad auction so that ad servers bid into Prebid lets publishers access demand from Google AdX without also having to use Google’s ad server.

Meet Starling, The Startup That Says It’s More Than Just Another CTV SSP

Starling recently launched as a connected TV SSP and wants to capitalize on the opportunity to address a major pain point facing CTV marketers: the lack of show-level data.

AdExchanger's Big Story podcast with journalistic insights on advertising, marketing and ad tech

The Apple Bites Back

Apple has a new block list for data brokers and ad tech vendors that do cross-site user tracking – which could expand to include a much broader slate of ad tech and martech vendors across the entire ecosystem. Plus: a few thoughts on Advertising Week New York.