The Immortal Life of Agencies

Rory Sutherland: Where does innovation really come from?

Feb 15, 2024

Join Robin and Rory Sutherland as they dive into the barriers to innovation in agencies, accidental innovations like Viagra, value of inefficiency, and aligning briefs to organizational needs. They touch on commercial innovation, avoiding convention, and a powerful observation about annual reports.

51:16

Creator website

Episode guests

Rory Sutherland

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Episode notes

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Quick takeaways

Innovation in agencies should not be limited by client briefs; proactive creativity is essential for sustainable growth.

Agencies must shift from reactive problem-solving to proactive innovation to drive meaningful progress.

Current system of payment by the hour hinders creativity; agencies should value proactive problem-solving over conforming to briefs.

Deep dives

The Importance of Innovation in the Advertising Industry

In the podcast episode, Rory Sutherland discusses the importance of innovation in the advertising industry. He compares the industry to the 1920s fashion industry, highlighting the shift from tailor-made solutions to mass-produced advertisements. Sutherland emphasizes that creativity often arises unexpectedly and suggests that agencies should proactively create solutions beyond client briefs. He raises concerns about how the current system of payment by the hour limits creativity and innovation, advocating for a shift towards valuing proactive creativity.

Introduction

2min

Expanding Creativity and Innovation in the Advertising Industry

24min

Revolutionizing Agency Innovation for Value Creation

5min

Navigating Pricing Strategies and Client Reciprocation in Agency Relationships

5min

Exploration of the 'courtier' concept and collaborative problem-solving in advertising industry

2min

Navigating Innovation and Behavioral Science in Independent Agencies

11min

Fostering Innovation Amidst Challenges in Agencies

3min

In this episode, Robin is joined by acclaimed advertising guru Rory Sutherland.

Known for his innovative thinking, particularly in applying principles of behavioural economics to advertising and consumer behaviour, he and Robin explore the barriers to innovation in modern agencies.

From accidental innovations like Viagra, to the value of inefficiency, as well as the alignment of briefs to organisational needs, rather than those of the consumer, this far-reaching conversation offers a wealth of inspiration for having a different kind of conversation with your clients.

They also share ideas on commercial innovation - like why agencies don’t adopt models from other industries, and how to avoid being hampered by a default to convention.

Rory also shares a powerful observation about annual reports that you can never unhear.

This is a fascinating perspective on the future of agencies and the cultural shifts required for meaningful progress.

CHAPTERS:

02.18 Why advertising is like the 1920s fashion industry.

04.20 We only solve the problems we’re asked to solve.

06.08 Innovation happens in reverse.

06.52 Proactive creativity is seen as a cost.

09.54 The danger of AI in creative thinking.

13.38 Most problems aren’t clear until we try to solve them.

18:12 Why Cannes should be about buying ads not awarding them.

21.10 Most of the wealth of creativity is stolen by the advertising bureaucracy.

24.05 Agencies sell like bad estate agents.