Sir Martin Sorrell on the 5 biggest ways AI will change marketing
Jul 20, 2023
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Sir Martin Sorrell, founder of WPP and S4 Capital, discusses the challenges facing the marketing industry, the impact of AI, and the skills needed by marketing teams. He shares his insights on the biggest disruption to the industry in the next 10 years and gives advice to his younger self. The podcast also delves into ethical considerations around advertising's use of personal data and explores notable figures and the evolution of the Cannes Festival.
The impact of AI is one of the biggest disruptions that will shape the future of the advertising industry.
CMOs should focus on agility, taking back control, and leveraging first-party data.
Deep dives
The Growth and Challenges of the Advertising Industry
The podcast episode features a conversation with Martin Sorrell, the founder of WPP and S4 Capital, discussing the biggest challenges facing the advertising industry. Sorrell emphasizes the disruptions coming down the line that will shape the industry's future, including the impact of AI. He advises CMOs to focus on agility, taking back control, and leveraging first-party data. Sorrell also explores the role of AI in productivity improvements, hyper-personalization, media planning and buying, and overall process improvement. He highlights the importance of knowledge and using AI as a tool to empower everyone in the organization. The episode delves into the ethical considerations surrounding advertising's use of personal data and touches on the success and growth of WPP and the current state of the industry.
Is Succession Based on Real-Life Media Empires?
The podcast briefly touches on the TV show Succession and its similarities to real-life media empires like the Murdoch empire. While Sorrell notes that the actors don't fully resemble real-life counterparts, he believes the plot is fairly close to reality. The show explores the dynamics of media family businesses and the tension between succession struggles and maintaining the power of the brand.
Regrets and Lessons Learned
When asked about his biggest regret in his career, Sorrell mentions the financial restructuring in the '90s that resulted from the Ogilvy deal. He acknowledges the burden of debt that led to restructuring and highlights the importance of recognizing market trends and executing at a faster pace. Moreover, he discusses the need for agility and adaptability as the business landscape evolves.
Building a Fantasy Agency
Sorrell envisions a fantasy agency composed of elements from various successful agencies. He cites Accenture's digital capabilities, AKQA and RGA's expertise, Globe Ant's consultancy services, and the specialist skills of companies like Oliver and Jellyfish. Additionally, he mentions the value of media businesses like Essence and the importance of technology partners like Epam, ThoughtWorks, and E-PAM in the agency's development.
In this episode, I am talking to one of the titans of our industry, someone who I think has had a bigger impact on our industry than perhaps anybody else. He is Sir Martin Sorrell founder of WPP, the biggest holding company in the world.
He has since gone on to set up S4 capital, so now finds himself in the challenger position rather than the dominant player. I wanted to talk to Sir Martin about what he sees as the biggest challenges facing our industry today and what are the disruptions coming down the line that are going to shape our industry in the future?
What's his advice to CMOs? What does CMOs need to care about and what should they be doing? What skills they need to deal with the challenges coming at them in the world today. And because this is a special edition recorded live at the Cannes Lions Festival, I wanted to ask him about AI.
Timestamps
00:00 - Intro 01:11 - Background 07:18 - How do you assess the state of creativity now? 12:02 - what should CMO’s be concerned about? 16:08 - How real a game changer is AI? 18:34 - Do we lose creativity with AI? 26:19 - What skills do marketing teams need to make the most of AI? 29:01 - What will be the biggest disruption to our industry in the next 10 years? 32:08 - What advice would Sir Martin give his younger self? 39:35 - Ethical considerations about how advertising uses our personal data 41:26 - Biggest decision Sir Martin regrets making 43:01 - What was the secret to the growth of WPP? 45:33 - Why start again after exiting WPP? 46:21 - How close is Succession to the Murdochs? 47:34 - Tell me something you’ve never told anyone 48:50 - What would Sir Martin’s fantasy agency look like?
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