Michael Farmer

Michael Farmer, a seasoned consultant and author, shares his wealth of knowledge on agency profitability and the disconnect between value and fees. He reveals how unclear scopes and excessive resource use can erode margins. Highlights include the importance of developing a data-driven understanding of agency output and how smaller agencies can thrive by focusing on client outcomes rather than just deliverables. The discussion emphasizes the need for agencies to adapt their strategies to navigate commoditization and prioritize meaningful relationships with clients.

Michael Farmer, a consultant and author with 30 years in agency economics, shares his insights on productivity challenges in agencies. He discusses how measuring work is crucial to understanding profitability and highlights the impact of excess staffing and rework. Farmer predicts AI could enhance creative productivity significantly but warns it might lead to fee compression. He emphasizes the need for agencies to reinvest AI savings into senior talent and calls for a focus on strategic growth rather than just creativity.

Welcome to Strategy Skills episode 356, an interview with the author of Madison Avenue Makeover: The Transformation of Huge and the Redefinition of the Ad Agency Business, Michael Farmer. He also wrote the award-winning Madison Avenue Manslaughter, an inside view of fee-cutting clients, profit-hungry owners, and declining ad agencies (Third Edition, 2019). In this episode, Michael speaks about the time he worked for McKinsey, Bain, and BCG, and the differences between the three consulting firms. He also shared his advice for those aspiring to build their consulting firm and discussed the technique that helped him write his first book, Madison Avenue Manslaughter. Finally, Michael shared his experience of helping in the Transformation of a Creative Ad Agency (Huge). Michael Farmer is Chairman and CEO of Farmer & Company LLC, a strategy consulting firm for advertisers and agencies. He also serves as Professor of Branding and Integrated Communications at The City College of New York (CCNY). He has an MBA from Harvard Business School and was previously a Director of Bain & Company. Connect with Michael here: https://www.farmerandco.com/ Get Michael's book here: https://www.amazon.com/Madison-Avenue-Makeover-transformation-redefinition/dp/1911687646 Madison Avenue Makeover: The Transformation of Huge and the Redefinition of the Ad Agency Business. Michael Farmer. Enjoying this episode? Get access to sample advanced training episodes here: www.firmsconsulting.com/promo

Brian Jacobs, a veteran in advertising and co-founder of a new initiative, joins Denise Turner, CEO of Route Research, and Michael Farmer, consultant and author, to discuss transformative efforts in the advertising world. They tackle pressing issues like agency compensation, consumer trust, and advertising fraud. The guests emphasize the need for creativity and accountability, reflect on the industry's evolution, and stress the importance of collaboration among stakeholders to drive positive change and adapt to modern challenges.

Michael Farmer, an author and agency advisor with roots in consulting, dives into his latest book, exploring the monumental shift in advertising agency practices. He discusses the transformation of HUGE and the industry's move from traditional fee structures to client-centric models. Farmer shares his unique journey from English major to advertising consultant, highlighting pivotal career moments. He emphasizes the challenges agencies face in fostering innovation, restructuring for client engagement, and adapting to the evolving market landscape.