17245: On Mastheads & Mass Layoffs.

 

Forbes published content adding to the online overthinking and overreaction to rumors that DDB will be retired once Omnicom closes its acquisition of IPG.

 

As repeatedly recognized by this blog, White holding companies fueled the commoditization of Adland, whereby talent, services, and practices became generic, interchangeable, and replaceable.

 

The erasure of once-iconic White advertising agency mastheads is nothing more than collateral damage from corporate colonialism.

 

The notion of dumping DDB is not a new move for Omnicom. Consider the following from Wikipedia:

 

In 1986, Allen Rosenshine, Keith Reinhard and John Bernbach (son of William Bernbach) co-created Omnicom in a three-way merger of BBDO Worldwide, Doyle Dane Bernbach and Needham Harper Worldwide.

 

The origin of Omnicom led to the ultimate demise of Needham Harper Worldwide—as well as other prominent and obscure agency brands over the years.

 

The truly obscene and outrageous part of the proceedings involves associated RIFs.

 

That is, the removal of nameplates shouldn’t overshadow the removal of names from company rosters.

 

Whatever Happens To Omnicom’s DDB, The Copywriting Is On The Wall

 

By Shann Biglione, Contributor

 

Reports of DDB’s demise may be exaggerated. But even if the brand survives Omnicom’s guillotine, the system that created it is already gone. Or why the age of names, myths, and craftsmanship is giving way to the age of scale — for better or for worse.

 

The Rumor Heard Around Madison Avenue

 

Depending on which corner of LinkedIn you scroll, DDB may have been “killed,” “merged,” or “strategically rebranded” by Omnicom. The details are fuzzy. The headlines aren’t confirmed. But the reaction says everything: shock, nostalgia, and a faint sense of déjà vu.

 

Because deep down, everyone in advertising knows how this story goes. The magician lifts the saw, the assistant lies in the box, and we all gasp on cue… even though we’ve seen the trick a hundred times.

 

Whether DDB truly disappears or just gets renamed into something like Omnicom Global Buzzword Collective, the outcome feels the same. The brand as we knew it (the one that made “lemon so sweet” it became a metaphor for excellence) may be reaching the pantheon of famous names that once defined an industry — until we find some of Bernbach’s DNA captured in a mosquito, at least.

 

When Legends Lose Their Leverage

 

Let’s be honest: DDB isn’t the only name in this position. Most of the storied agencies we grew up admiring were built for a market that no longer exists. They were intimate, creative cultures that thrived on craft and reputation, not on integration decks and procurement metrics. In the grand scheme of things, DDB is small, like most of the agencies we grew up idolizing. Lovely names, rich history, no leverage.

 

Today’s holding companies live by scale and client centric “agencies.” Integration beats inspiration. Platforms trump portfolios. And the competition isn’t BBDO versus DDB anymore — this would be the equivalent of two classic cars arguing over horsepower while Accenture, Amazon, and Publicis are rolling out self-driving tanks.

 

The creative myths that once defined advertising are being replaced by operational logic. It’s not cruelty; it’s capitalism — the very fuel that powers advertising.

 

The Blob Always Wins

 

Publicis understood the game early: stop pretending to be a federation of agencies and become a single, pulsating organism centered around the Most Important Client In The World Is You^TM. The Power of One sounds friendlier than The Blob, but the principle’s the same. It’s efficient, scalable, and mildly terrifying. Most importantly, it works.

 

Omnicom, like every holding company, has to look at which brands it chops, and which brands it simmers. Consolidate and simplify the structure. Streamline the story for clients and shareholders alike. It’s the natural evolution of an ecosystem that prizes predictability over poetry.

 

Maybe DDB will technically survive. Maybe it won’t. But in either case, it’s becoming something else. Less name, more node.

 

Mourning What Made It Magic

 

We should still mourn. DDB stood for a philosophy and principles that inspired entire generations of marketers. One that believed in ideas so powerful they could outlive their media plan. It was a place where copywriters became icons and strategy meant something deeper than “data-driven.”

 

If the rumors prove true, we’ll lose another piece of that heritage. If they don’t, we’re still losing the conditions that made it matter. Somewhere out there, a young creative will learn about DDB through a corporate brand chart instead of a reel of classic campaigns. That’s the real loss.

 

The Opportunity in the Aftermath

 

But history moves in loops. Every time the giants consolidate, independents get a little breathing room. When the ecosystem becomes too efficient, someone eventually misses the mess — the human mess that made the work sing.

 

If DDB is truly being folded in, it might mark not just an ending, but a clearing. Space for smaller, weirder, more personal ideas to re-emerge. The Davids who dare to zig while the Goliaths zag.

 

So yes, let’s pour one out. Even if the obituary is premature, we might as well tell them while they’re still standing. But even if the brand survives, the business it helped define is evolving into something… else. The copywriting is clearly on the wall.

 

And maybe that’s fine. Magic never really dies. It just finds a different stage.

16917: DEI Fact-Checking Fast-Talking Fast Feeder.

 

Forbes published content that feels like corporate-sponsored performative PR, seeking to explain the scenario that should be called Mickey DEI’s.

 

National news sources—including Forbes—initially headlined Mickey D’s joined other major brands abandoning DEIBA+ heat shields.

 

This latest Forbes content, however, seemingly whitewashes the proceedings to cast the Golden Arches in a progressive light.

 

Exposing the McTruth requires answering the following questions:

 

Will non-White advertising agencies receive even fewer McCrumbs?

 

Will the National Black McDonald’s Operators Association be adversely affected?

 

Will Black & Positively Golden^® lose its luster?

 

Will Byron Allen deliver color commentary—or subpoenas?

 

McDonald’s Stands Firm Against DEI Pushback, Emphasizes Inclusion

 

By Corinne Post

 

Under growing scrutiny of corporate diversity, equity and inclusion initiatives, McDonald’s is the latest company to publicly communicate changes to its DEI strategy. While headlines often emphasize what firms are scaling back, McDonald’s statement highlights what it is choosing to retain—offering insights into which practices are likely to endure.

 

The fast-food giant announced plans earlier this week to discontinue aspirational quotas, pause participation in external surveys and remove mandatory supplier diversity pledges. Yet, its reaffirmed commitments suggest that effectively managing diversity remains a cornerstone of its long-term competitiveness strategy.

 

Here’s a closer look at how McDonald’s aims to embed inclusion into its operations and strengthen its competitive advantage—offering valuable lessons for organizations reevaluating their DEI initiatives.

 

Inclusion Converts McDonald’s Diversity Into Competitiveness

 

McDonald’s renewed focus on inclusion reflects a key finding from research: diversity alone is not enough to drive innovation or high performance—success depends on fostering inclusion. As McDonald’s explains it, “Our system leverages inclusion to operate successfully and grow our businesses” and “early and full adoption of inclusion gives us a competitive advantage.”

 

For employees to contribute their perspectives and unique resources, they must feel like integral members of the organization, with access to the resources they need and opportunities to influence work-related decisions. McDonald’s Employee Business Networks (EBNs) exemplify how the company embeds inclusion into its operations: “We also lean on employee business networks and franchisee affinity groups to help us solve business problems,” the company states.

 

This approach emphasizes that inclusion is not an isolated initiative, but a practice woven into daily operations, supporting McDonald’s commitment to “continuing to embed inclusion practices that grow our business into our everyday process and operations.”

 

McDonald’s approach underscores that fostering inclusion in all daily operations can convert diversity into a competitive advantage.

 

McDonald’s Diverse Workforce Demands Inclusive Leadership

 

McDonald’s highlights the importance of inclusive leadership as a key factor in sustaining a diverse workforce, even as it pauses external surveys. These surveys previously served to benchmark progress and foster transparency by sharing diversity outcomes externally. By discontinuing them, McDonald’s signals a shift toward internal evaluation methods, aiming to embed inclusion directly into its operations rather than focusing on external reporting.

 

Notably, firms continue to emphasize the need for executives to develop and apply inclusive leadership skills as they remove their DEI initiatives from public scrutiny.

 

Although firms face increasing pressures from anti-DEI activists, in the form of shareholder proposals and public campaigns, the fundamental challenges that have made diversity a strategic priority for corporate leaders—talent shortages, competitive pressures—remain unchanged. This explains why firms like McDonald’s see inclusive leadership as critical to navigating these challenges.

 

As firms respond to both anti-DEI pressures and market realities, McDonald’s demonstrates that leadership remains a crucial lever for embedding inclusion in ways that drive long term success in workplace diversity.

 

McDonald’s Empowers Communities To Champion Diversity

 

The fast-food chain’s approach to fostering inclusion mirrors the co-design principles used by companies like REI and Mattel, particularly in its collaboration with Employee Business Networks and franchisees. Co-design principles emphasize designing DEI projects with rather than for identity-based groups by involving them throughout the process.

 

As McDonald’s explains in their public statement: “Our system thrives when we are shaped by the communities in which we operate.”

 

Unlike superficial consultation, McDonald’s states that the EBNs are involved in business-related decision-making. As such, EBNs are more than advisory groups—they are actively sought out to address business challenges a strategy that has been highly effective at other organizations, like IBM.

 

In addition to collaborating with EBNs, McDonald’s also entrusts franchisees with spearheading local diversity initiatives, empowering them “to champion causes and participate in activities that resonate with their customers and communities in a way that’s true to our Brand’s DNA.”

 

This approach highlights the company’s belief that inclusion stems from continuous engagement with communities, learning from them, rather than only imposing solutions from the top that risk being ineffective.

 

Ultimately, McDonald’s co-design approach reflects a shift from compliance-driven diversity to community-centered inclusion.

 

Accountability, Key To McDonald’s Inclusion Gains

 

The fast-food giant emphasized accountability as core to its long term diversity strategy. McDonald’s pledged to publicly report board, employee and supplier demographics in its annual Purpose and Impact report. It also said the firm will continue to hold its leaders accountable “for fostering an inclusive environment within their teams.”

 

Accountability is one of the most reliable levers for improving workforce diversity. That is because when leaders expect their decisions to be evaluated, they are more likely to act purposefully to suppress their biases, according to researchers Frank Dobbin and Alexandra Kalev, who have extensively studied the efficacy of diversity initiatives.

 

When leaders know that they may be asked to explain poor inclusion scores on their teams, they are more motivated to review their leadership practices. This should encourage them to develop inclusive leadership skills.

 

Similarly, publicizing workforce demographic numbers encourages scrutiny, which may motivate firms to have internal processes that promote fair and equitable hiring and promotion decisions.

 

However, diversity accountability may be limited to the demographic groups for which firms disclose numbers. McDonald’s last report provides information only on the representation of women and of five racio-ethnic groups. Notably, the firm’s most recent pledge does not mention franchisee demographics—a key feature of its last report, which may indicate a strategic decision to limit reporting in this area.

 

The Big Picture Takeaway

 

McDonald’s response to growing scrutiny shows that evolving a DEI strategy doesn’t have to mean scaling back efforts. By embedding inclusion into daily operations, prioritizing leadership accountability, and empowering employee networks and franchisees, the company demonstrates how DEI can remain a competitive asset rather than a compliance exercise. For organizations navigating similar pressures, McDonald’s approach underscores that thoughtful adaptation—rooted in transparency and collaboration—can strengthen both organizational resilience and community connections.

14920: BHM 2020—Forbes.

Forbes published a fluff piece titled, “How Google, Coca-Cola And Other American Companies Are Celebrating Black History Month 2020.” Um, by producing patronizingly deceptive divertisements—veritable heat shields of hypocrisy.

14346: Forbes Agency Council Or Con-cil?

A MultiCultClassics visitor pointed to “Essential Lessons About Targeting Multicultural Audiences With Your Advertising Dollars”—the latest wonky wisdom from the Forbes Agency Council.

Uno, the content is actually focused on reaching Latino-American audiences. Dos, it’s hard to tell if any of the Forbes Agency Council members delivering advice are Latinos/Latinas. Tres, the article appears to be a not-too-thinly-veiled promotion for the ANA. Cuatro, the lessons are common-knowledge clichés—and ironically, the final lesson cautions to avoid clichés.

The biggest indicator that the Forbes Agency Council is a sham can be ascertained via the opening paragraph:

With Hispanics comprising nearly 18% of the U.S. population and growing, according to an Ad Age report, targeting this market segment can be beneficial to your business. Not only is your business reaching an increasing audience that makes up nearly half the country’s annual population growth according to Ad Age, but you may be setting your business up to increase its revenue with a population that until recently has been unserved.

Latino Americans have until recently been unserved? Really? Latino advertising agencies in the U.S. have been around for well over 40 years. Granted, the multicultural firms are treated like second-class citizens in adland, forced to work for crumbs. Plus, as the Latino-American audience has grown, White advertising agencies have seized the assignments without bothering to diversify staffs to properly and professionally service the targeted needs. Thank goodness the Forbes Agency Council—along with the ANA—can play the heroic roles of the Cisco Kid and Pancho to save the day.

Essential Lessons About Targeting Multicultural Audiences With Your Advertising Dollars

By Forbes Agency Council

With Hispanics comprising nearly 18% of the U.S. population and growing, according to an Ad Age report, targeting this market segment can be beneficial to your business. Not only is your business reaching an increasing audience that makes up nearly half the country’s annual population growth according to Ad Age, but you may be setting your business up to increase its revenue with a population that until recently has been unserved.

Many companies, such as Procter & Gamble and AT&T, are directing their advertising dollars toward Hispanics and are coming together under the Association of National Advertisers to determine the best way to target these multicultural customers.

Seven members of Forbes Agency Council detail the lessons that can be learned from the success of agencies under the Association of National Advertisers to effectively target multicultural populations with their products and services.

1. Give And Take

The first thing you have to do is figure out who you want to reach. Narrow it down to the demographic that you want to target and win them with interesting content. Giving them the content they want will get them in the door, and you can market to them later. — Anthony Katz, INexxus

2. Embrace Diversity And Inclusion

Marketers are finding powerful opportunity in embracing diversity and inclusion in the marketing mix. Consumers, particularly younger citizens, are looking for brands and organizations that are in touch with the changing face of America and its place in a diverse world. The sooner brands embrace this movement, the better off they will be for attracting and retaining employees and consumers. — Daryl McCullough, Citizen Relations

3. Offer Quality Mobile Experiences

According to Facebook, this audience is highly active on mobile. Roughly 95% of Hispanic users are on mobile and 47% are exclusively on mobile. The most effective way for brands to reach this audience is by creating high-quality mobile experiences from the initial advertising touchpoint, to the point of purchase. — Steve Dinelli, Blackbird Garage

4. Remember Family Comes First

The Hispanic consumer in the U.S. is first and foremost a family member. They are a part of a tightly knit nuclear family. They proudly belong to a large extended family. They are family first. Advertisers need to learn that family first is what brings this growing population to their brands and when that Hispanic consumer is treated like family by your brand, you’ve hit marketing gold. — Katina Kenyon, Applaudo Studios

5. Embrace Culture Correctly

With being a 30% Hispanic-owned agency, we take this market seriously in most facets of our digital marketing. Imagery and inclusion are very important, along with life event details such as addressing the Quinceañera as a major event with our fashion and styles clients, or even making sure we do not misuse symbols, such as sacred Dia de Muertos images not being used for irrelevant creative assets. — Loren Baker, Foundation Digital

6. Focus Research On Driving Key Insights

As marketers and creatives, we tend to default to what we know when it comes to developing campaigns for our brands. It can be difficult to embody and target a different culture unless you have the appropriate information that drives your key insights. Being a part of the Association of National Advertisers can help provide resources and information that would take countless hours to achieve on your own. — Chris Carter, Rep Interactive

7. Make Sure You Avoid Clichés

The spirit of different cultural legacies and voices amongst those cultures can be respected and given a platform without resorting to clichés. Integrating the voices themselves is the No. 1 most effective way to do this, as with any attempt to tell the story of another culture, it can come off hollow and stale if not done right. — Tim Brown, Tim B Design

14289: Council Needs Counsel.

A MultiCultClassics visitor pointed to “12 Ways To Encourage More Diversity In The Agency World” presented by the Forbes Agency Council. First of all, for anyone wondering who the hell makes up the Forbes Agency Council, here’s the official hype:

Forbes Agency Council is an invitation-only organization for executives in successful public relations, media strategy, creative and advertising agencies. Find out if you qualify at forbesagencycouncil.com/qualify.

Okay, except the Forbes Agency Council members offering a dozen diversity directives appear to be relatively unknown executives—and the group is not very diverse to boot. Perhaps the invitation-only organization should work on its own exclusivity before encouraging the agency world to change.

14244: Partners In Grime.

Papa John’s is getting cooked, as the N-word scandal suddenly appears to be just a small slice of a pathetic, profane and politically-incorrect pizza party. Forbes published a lengthy report titled, “The Inside Story of Papa John’s Toxic Culture,” alleging sexual harassment and bad-boy behavior are basic ingredients of the company.

Meanwhile, Advertising Age reported White advertising and media agencies—specifically, Publicis Groupe’s Fallon and IPG’s Initiative—are cutting ties with the client. The stories imply the shops are taking the high road and rejecting the apparently nasty former CEO John Schnatter and controversial company. If so, the scenario demonstrates the new hypocrisy in adland.

It’s unclear why Fallon was even working for Papa John’s, as the White advertising agency is already servicing Arby’s. How many fast feeders can one agency handle? Plus, reports of merger talks between Papa John’s and Wendy’s means Fallon would have faced more potential conflicts. And Publicis Groupe is not without controversy itself, plagued by publicized and private problems. Given the financial challenges facing the White holding company, it’s not exactly in a position to decline revenue, regardless of the source.

The decision to split by Initiative is really hypocritical, especially considering the news that another IPG firm—Powell Tate—is covering PR duties for Papa John’s. IPG owns some of the worst examples of sexual harassment and racism in recent years. So any company on the IPG roster is actually uniquely qualified to partner with Papa John’s. Hell, IPG is globally recognized for leadership in gender, racial and ethnic discrimination—the company’s conscious bias experience is unmatched.

In short, the shared cultural cluelessness between all parties creates a perfect union.

14241: Papa John’s Cont’d.

Adweek reported the Papa John’s N-Word Scandal is escalating, as Casey Wasserman—CEO of the company that owns Laundry Service—declared Papa John’s Founder John Schnatter’s charges of extortion are “completely false.” Plus, Adweek stated Forbes claimed that Laundry Service resigned the account after Schnatter allegedly used the N-word and “made other racially insensitive statements” during the infamous conference call. This story has more messed up ingredients than a Papa John’s pizza with the works. On the one hand, Schnatter isn’t getting much respect from his company (where he’s still the majority shareholder), as the man has even been kicked out of his office. However, he’s receiving support from sources including The Patriot Post. On the flipside, Wasserman issued a company memo saying, “All matters pertaining to Laundry Service, Cycle, Wasserman and their clients are strictly confidential…”—which begs the question of how the conference call details were made public. While Wasserman revealed his company now has “a centralized PR strategy to go on the record and refute [Schnatter’s charges],” it seems like he’s not moving fast enough to set the record straight. This is ironic, given that Laundry Service was allegedly offering Papa John’s guidance for dealing with the media. Mark Twain observed, “If you tell the truth, you don’t have to remember anything.” Laundry Service, Wasserman, Papa John’s and Schnatter could all benefit from heeding Twain’s words.

On a side note, MultiCultClassics might have jumped the gun by initially branding Laundry Service as a typical White advertising-media agency. The place boasts being committed to diversity and appears to have an inclusive staff—at least what’s left of the staff after recent layoffs. Papa John’s looks pretty diverse as well. The leadership at the Wasserman-led parent company, not so much.

Wasserman CEO Calls Founder of Papa John’s Extortion Claims ‘Completely False’ in Memo

Company plans ‘to go on the record and refute them’

By Patrick Coffee

The CEO of the company that owns Papa John’s now former ad agency Laundry Service today sent a memo to all employees calling recent claims by the brand’s founder John Schnatter “completely false.”

In the memo, which Adweek acquired, Wasserman CEO Casey Wasserman also advises employees to avoid talking to the press or discussing client business with anyone outside the parent company, Laundry Service or its production division Cycle.

Last Monday, Adweek broke the news that Laundry Service had parted with CEO Jason Stein and approximately 60 employees due to “client attrition.” The following morning, Forbes reported that the agency had resigned the account following a May strategy call in which Schnatter used the N-word and made other racially insensitive statements.

Schnatter subsequently resigned as chairman of the pizza chain.

On Friday, Schnatter claimed in interviews with local TV and radio stations near the company’s headquarters in Louisville, Ky., that unnamed Laundry Service employees had “pressured” him into the conversation and attempted to “extort” his company for $6 million before leaking news of the call to Forbes.

Wasserman strongly denies those statements in the note. He also writes that the company will soon come forward specifically refuting Schnatter’s claims.

“As you all know, there’s been a lot of coverage about Laundry Service and Wasserman related to the Papa John’s situation in the past several days,” the note begins. “The disparaging and outrageous comments about Wasserman and Laundry Service that have been covered are completely false and we have a centralized PR strategy to go on the record and refute them. Until that time we cannot expect the media to know the truth.”

The note tells employees to defer to third-party PR firm Principal Communications Group if a journalist should reach them by phone or in writing, advising them to avoid even providing a “no comment” response.

“To this end there are a lot of journalists making inquiries about Papa John’s and Laundry Service, and those inquiries should continue be referred to our corporate public relations representative, Melissa Zukerman,” the note reads.

It concludes: “All matters pertaining to Laundry Service, Cycle, Wasserman and their clients are strictly confidential and should not be disclosed to anyone outside the company.”

A spokesperson for Laundry Service and Wasserman declined to comment for this story. A Papa John’s representative did not respond to a request for comment by press time.

This morning, The Wall Street Journal reported that Schnatter and his lawyer sent a letter to the company’s board of directors calling his decision to resign “a mistake.”

13945: Running On Empty.

Forbes published a diverted diversity dispatch for She Runs It, another not-for-profit organization that’s not-for-diversity, but rather, for the promotion of White women, exclusively in marketing and media. “The desire and intention to solve for diversity and inclusion in this industry is sincere across all stakeholders, but companies struggle to make meaningful progress,” claimed She Runs It President and CEO Lynn Branigan. “Even across our own [She Runs It] community I am aware that we need to champion a more diverse population and move beyond a single dimension of diversity as it relates to gender.” Really? What evidence exists to corroborate the contention that any marketing and media stakeholder is sincere in embracing diversity? Reality displays an absolute lack of sincerity. And for Branigan to admit her own brainchild bunch isn’t championing the global cause—viewing diversity as primarily a gender issue—underscores her cultural cluelessness and lack of credibility.

She Runs It Launches Coalition To Quantify Diversity And Inclusion In Marketing And Media Industry

By Jennifer Rooney, Forbes Staff

At a time when diversity and inclusion initiatives have only become a bigger priority in the marketing and media industry, led in part by prominent CMOs who are lending their voices to myriad efforts, She Runs It, a not-for-profit organization that aims to pave the way for women leaders in marketing and media, today introduces a consortium designed to “solve for inclusion and diversity in marketing and media”—with measurement.

Called the Inclusion and Diversity Accountability Consortium (IDAC), it launches in collaboration with Diversity Best Practices and is based on the premise that “what gets measured, gets done.” The initiative is rooted in a drive to quantify success in diversity and inclusion in the marketing and media industry.

Initial participants include Blue 449, DigitasLBi, Estee Lauder, Fullscreen, GroupM, KBS, Leo Burnett, L’Oreal USA, Publicis Communications, SapientRazorfish, Starcom USA and Unilever.

“The desire and intention to solve for diversity and inclusion in this industry is sincere across all stakeholders, but companies struggle to make meaningful progress,” said Lynn Branigan, president and CEO of She Runs It, in a statement. “Even across our own [She Runs It] community I am aware that we need to champion a more diverse population and move beyond a single dimension of diversity as it relates to gender. We believe this initiative is additive to others, and that the actions required of consortium participants will move us from preaching to practice to progress as we isolate and attack the obstacles that have made true diversity elusive for our industry.”

Consortium participants must commit to three key actions: They must take part in an annual benchmarking study called the DBP Inclusion Index, which seeks to identify areas of opportunity for diversity and inclusion efforts within companies; they must have executive presence at quarterly roundtable discussions designed to share best practices; and they must implement or maintain initiatives specific to each company in fostering diverse talent and building inclusive cultures.

“The advertising and marketing industries would significantly benefit by ensuring that their cultures are inclusive and their employee base is diverse and representative of the growing and changing marketplace and consumer base,” said Deborah Munster, executive director for Diversity Best Practices, in a statement.

“Creativity and innovation thrive when different perspectives, disciplines and experiences are recognized, respected and cultivated,” added Marilu Marshall, senior VP, executive management, chief inclusion and diversity officer at Estee Lauder. “As a global consumer-facing company, with diverse employees, brands and products, we continue to prioritize these values in all that we do and are proud to be a part of the Inclusion and Diversity Accountability Consortium.”

Mike Densmore, president of KBS New York, acknowledged the depth of the challenge the industry faces. “Everyone in advertising knows the lack of diversity within our industry doesn’t properly represent the realities of the world we live in, and this issue needs to be addressed with tangible action in order for things to change,” he said. “And there’s no question industry leaders agree that this is a social issue they strongly believe needs to be fixed. The problem is most people are viewing it incorrectly. Diversity is much greater than just a social issue: it’s actually a productivity and economic issue. There are multiple studies that prove the companies with the most diverse talent base thrive the most from an employee satisfaction standpoint as well as bottom-line growth.”

Indeed, as the focus on diversity and inclusion continues to sharpen across the industry, the coalition will both add to and benefit from parallel efforts.

“Our organization, and indeed the entire industry, has been looking to make meaningful change happen for decades,” Branigan said. “It’s clear that no one effort is going to get the job done. We look at this as an industry-wide platform that provides a tool for media and marketing companies to measure and track progress. We believe that every initiative is additive, and we celebrate all of the individuals and groups who want to join our consortium or wave similar flags.”

13354: C’MON WHITE MAN! Episode 49.

(MultiCultClassics credits ESPN’s C’MON MAN! for sparking this semi-regular blog series.)

Forbes published a pathetic perspective from Avi Dan, who wondered, “Is Ageism The Ugliest ‘Ism’ On Madison Avenue?” The last time this blog noticed Dan, he was declaring that White advertising agencies risked becoming irrelevant in a multicultural world—a questionable stance, given his experience serving at exclusively Caucasian shops like Saatchi & Saatchi, Berlin Cameron, Euro RSCG, Y&R and D’Arcy. Now Dan is condemning ageism, which is probably tied to his own veteran status. Expect Dan to inevitably advocate for elderly White women, elderly LGBT, elderly White foreigners, elderly people with disabilities and elderly Caucasian house pets.

C’MON OLD WHITE MAN!

Is Ageism The Ugliest ‘Ism’ On Madison Avenue?

Avi Dan, Contributor

My post last week on the steps that some advertisers are taking to encourage agencies to move in the direction of greater diversity by hiring more women and minorities provoked many comments. While most applauded the effort to strive for a more diverse workforce, many readers also expressed frustration about ageism on Madison Avenue.

Advertising is a young man’s, and woman’s, game. The median age of staff in agencies is 38, lower than that of the population as a whole by 3 years. More than 60% of employees in the ad industry are aged 25-44, vs. only 50% of all U.S. workers. Just 5% of ad agency employees are over 50, and most are not in the creative department.

Agencies have traditionally aided and abetted, and often absurdly promoted, the idea to marketers that the only valuable target audience out there is men and women under 35. Clients are made to believe that the people who create their ads must look like the people that they are told buy their products.

The persistent zeroing in on young demographics is based on the antiquated belief that it creates brand loyalty and lifetime consumers. However, the concept of brand loyalty is as relevant today as 8-track cartridges. In this age of fragmented media, brand proliferation and constantly shifting technology, consumers are more sophisticated and more restless. These days they are steeped in advertising on all screens, and are comfortable navigating a marketplace of limitless choice.

By clinging to an outdated approach, agencies fail to show their client relevant communications solutions. Boomers, those in their 50s and 60s, are poised to become half the U.S. population by the end of next year and control 70% of the nation’s disposal income. They account for $46 trillion in wealth and stand to inherit $15 trillion in the next 20 years. They spend heavily on cars, travel and technology, and account for 50% of all CPG dollars spent, dominating 119 out of the top 123 CPG categories. Yet, only 5% of ad dollars is directed at them, disproportionately in insurance and pharma ads, despite the fact that a recent study by the University of Michigan showed that marketing campaigns targeting baby boomers are twice as likely to be successful than those targeting millennials.

Having come of age during the Consumer Revolution of the 1960s and 1970s, boomers are a tsunami of consumption. Ironically, that also cemented the youth infatuation by marketers and agencies. The Pepsi Generation was the biggest, most affluent, and most free-spending group of young people anyone had ever seen. But as that generation matured, marketers feared that advertising to older boomers may stigmatize their brands as “oldish” and irrelevant. And yet, more often than not, by ignoring boomers marketers are not fishing where the fish are.

There are a number of reasons why anyone older than 45 in the creative department of an agency is likely to have either made it to the executive floor, been downsized, or — gone off to become real estate agents.

First and foremost, agencies believe that “experience is expensive.” In a market where agencies are forced to cut costs wherever they can, they hire the young, and they hire cheap.

Second, there is a bias towards the young creatives due to the demands and the pace of doing business. Burnout for older professionals is a concern. Third, there is a perception that older creatives do not adapt to technology as well as young people.

However, when the average age of a creative is 25 and the average age of a car buyer is 52, you know you have a problem. With the American population getting older, agencies should balance their ranks with the peers of baby boomers.

If every client only sold products to people under 30, it might make sense to have a staff made up of people under 30. But the reality is, that many of the clients that will come into an agency have products that need to appeal to a wide audience. The majority of 20-and-30-somethings working in agencies (there are exceptions, of course) have zero insight into anyone different from themselves and they don’t seek that insight. They are too invested in the youth zeitgeist.

Perhaps it’s time for CMOs to stop rewarding agencies with inexperienced talent and look at agencies that rebalance their staff along the lines of age diversity as well as diversity across gender, ethnicity, religion, etc. — so they can produce work that will resonate with the required audience.

It’s just common sense.

Avi Dan is CEO of Avidan Strategies.

13352: Pepper-Spraying Total Market.

Pepper Miller provided a perspective on Total Market that was published at Forbes. Miller might be too polite in her exposition, despite openly stating, “The truth about Total Market strategy is the elephant in the room: It’s not working.” Actually, it is working. For the ruling White majority, that is. Total Market involves White advertising agencies—with the Total Support of White holding companies—seizing Total Control of the Total Marketing Budget, snatching even the crumbs from minority peers, ultimately resulting in the Total Destruction of multicultural shops. It’s Total Bullshit.

The Promise And Reality Of ‘Total Market’ And How CMOs Need To Address It

By Pepper Miller

Total Market strategy is defined by the Association of Hispanic Advertising Agencies as “a marketing approach followed by corporations with their trusted internal and external partners which proactively integrates diverse segment considerations. This is done from inception, through the entire strategic process and execution, with the goal of enhancing value and growth effectiveness. In marketing communications this could lead to either one fully integrated cross-cultural approach, individual segment approaches, or both in many cases, but always aligned under one overarching strategy.”

Proponents of the approach promised a new, innovative and inclusive approach for reaching The New America. However, despite articles, white papers and presentations, many marketers are still confused about what Total Market strategy is. The truth about Total Market strategy is the elephant in the room: It’s not working.

In reality, it’s business as usual, with multicultural segments being addressed via casting and work that is often stereotypical. And many marketers are now realizing that multicultural market share and customer-satisfaction gains made when ethnic agencies were used are evaporating.

The shift of large percentages of ethnic ad business to general-market agencies within the past decade was swift, shocking and devastating. As general-market agencies reap the business of multicultural business, ethnic consumer patterns and opinions indicate that results have been less than stellar. Also, current staff is untrained, and minority talent on both the agency and client side remains sparse.

“We don’t have the talent that understands the multicultural audience. The right talent is an investment proposition,” says Esther Franklin, executive VP, head of Americas Experience Strategy at Publicis Media.

Co-CEO Cory Isaacson of Walton Isaacson avoids that Total Market trap by making inclusion a priority. “I’m this white guy (partner and Co-CEO Aaron Walton is Black) who strongly believes in the diversity of thought and culture because it provides the most powerful solutions for our clients. It’s part of our mission and values. It’s the right thing to do and the way to win.”

Carlos Santiago, CEO of Santiago Solutions Group, also reminds us that some corporations’ decisions to dismantle internal multicultural resources only further intensifies the need for ethnic talent: “The dissolution of multicultural centers of excellence puts more responsibility on already strapped brand managers,” he said. “There’s no one to call to ask for help, except general-market agency partners who lack ethnic talent and who are not cultural experts.”

Additionally, given that technologies have changed the way people interact with brands, marketing is required to do more with less. The only mandate is “efficiency,” with few concerns about being “effective.” Many marketers who continue to believe that ethnic audiences effectively can be reached with general-market media alone use this erroneous practice. This approach often ignores obstacles that prevent effective ethnic engagement, for example, low brand awareness, pricing issues, and the need for relevant content and programming. TMP requires a media overhaul where new standards and measurements are established.

“There is a major, industry-wide issue around analytics, media and ROI…. Current industry media measurements need to evolve because there is no consideration for culture, relevance and influence,” says Lizette Williams, multicultural marketing leader, North America, at Kimberly-Clark.

Kirsten Atkinson, VP of media and branded integration for Walton Isaacson, adds, “The future of effective measurement is the ability to quantify unduplicated reach against audiences across channels and establishing a standard metric and/or industry benchmark for ‘relevance’ and ‘resonance’ of communication efforts.”

And while Hispanic budgets see slight increases, budgets for the Black segment were decimated, especially following the 2008 election of President Barack Obama and the belief among marketers of a new, post-racial society. Further, during the economic downturn, minority segments disappeared from many marketers’ radars. As a result, CPG, automotive, QSR, financial services industries and large non-profits are not effectively engaging these consumers. Worse, many are now losing customers –especially Black customers — who at one time, for many, over-indexed on their brands.

At the realization of losing ethnic segments or not moving the needle, fixing the problem is often associated with denial and fear, but fear of change is the most conspicuous.

Jeffery Bowman, a pioneer and controversial player in Total Market, promotes change management through his business Reframe the Brand. “My business model is focused on a change-management outcome, not a marketing outcome. We’re losing the multicultural conversation and need to make the business case [for it],” says Bowman.

Accountability too is an important factor for change. Susan Cavanaugh, Procter & Gamble’s media innovation and ethnic communication planning brand manager, says that all parties, especially brands, should be accountable for Total Market success. “Brands need to engage more, but we don’t want to enable brands with mandates. They don’t work. So, we encourage brands to share their multicultural strategies and key performance indicators. We are providing research that empowers them because [Total Market] is not easy…. You have to push people to be more inclusive and teach them how to be culturally relevant.”

In the end, Total Marketing is neither good nor evil. It is not a diversity initiative. It is a concept of how marketing could work. It should be inclusive, and CMOs should keep minority-focused agencies and media in the mix to continue to address the specific needs of these segments.

12247: Stayin’ Alive With Jeff Goodby.

Forbes published a perspective from Goodby Silverstein & Partners Co-Founder and Co-Chairman Jeff Goodby titled, “A Survival Guide For New CMOs,” where the adman essentially presented a pep talk on how to become a better Chief Marketing Officer. Gee, can’t imagine the average CMO is interested in employment tips from an old-school White advertising agency creative director. After all, Goodby technically works for CMOs, not vice versa.

There are a few basic—and blatant—flaws with Goodby’s desire to play sensei to prospective bosses, revealing the inherent character defects of Old White Guys and narcissistic nimrods. (This is presuming that Goodby wasn’t actually writing an invitation of sorts, indirectly indicating the qualities and characteristics he longs for in a CMO buddy—in which case he would still come across as an Old White Guy and narcissistic nimrod.)

For starters, only a fool seeks to change others. Your first priority must be to change yourself. In fact, it should be the sole goal, as we really can’t control other people’s actions and attitudes—unless we have the authority to fire them. While there are advertising agency executives who have boasted firing clients, the overwhelming majority realizes they are servicing—and even serving—at the pleasure of a CMO.

Related to the point above, we must always begin by honestly examining our own contributions in a professional relationship. That is, are we doing everything possible to ensure premier profitability*—in every sense of the term—for all parties? And more importantly, are we causing problems that hinder success?

Unfortunately, advertising agency executives such as Goodby inadvertently erect roadblocks and dilemmas for CMOs, primarily because of ties to holding companies. Thanks to WPP, Omnicom, Publicis Groupe, IPG and the rest, agencies experience the same challenges as advertisers: e.g., the imperative to hit quarterly earnings, reduced and limited resources, unrealistic deadlines, consensus and committee thinking, clumsy hierarchies, revolving door management shifts, unclear priorities, dysfunctional partnerships, etc. Additionally, the holding companies have commoditized agencies, rendering shops generic. Agencies ultimately bow to the holding companies’ whims, which are every bit as awful as the bullshit dumped on advertisers by their overlords.

Omnicom, Goodby’s parent Death Star, is a master at the game. How else can one rationalize Goodby Silverstein & Partners being replaced as AOR for PepsiCo’s Propel Zero by Fathom Communications? Or the shuffling of the Quaker Oats account through Omnicom sister shops? Or the insane maneuverings in the Commonwealth debacle? Sorry, but Goodby is a mere puppet in the modern political proceedings, making his CMOs preaching and pontifications pretty pathetic.

In the survival guide lecture, Goodby also veered into a sad tangent regarding account reviews, decisiveness and speed. Goodby wrote:

Almost all CMOs of any stature have loads of ready opinions about which campaigns they admire. They all have strong thoughts about who the best four or five agencies in the world are. But the moment they move into a new job, they totally forget all this and act like they’ve just landed here from the planet Zork.

If you need a search consultant to help you make this decision, fine. Tell him or her that you want to have an agency in a month. One month. Tell the agency you want the new campaign a month after that. Watch. It will happen. And it will be good.

Um, Goodby sounds like a citizen from the planet Zork. Holding companies and conflicts prevent staging shootouts starring “the best four or five agencies in the world.” Hell, Omnicom routinely organizes closed competitions between sister shops. Plus, the aforementioned commoditization and generic issues result in reviews with a hodgepodge of rivals. For example, the NBA is currently pitting incumbent Goodby Silverstein & Partners versus R/GA and Translation—which undoubtedly has Goodby banging his head against the wall.

Goodby’s speed statements—“Tell the agency you want the new campaign a month after that. Watch. It will happen. And it will be good.”—are outrageous. Whatever happened to fighting for time to properly craft messages? Most agencies fail to generate good work with a decent production schedule in place. Goodby Silverstein & Partners’ campaigns for Sprint and Quaker Oats were hardly breakthrough. The agency’s cross-cultural milk campaign sucks. Are these examples of churning crap out in a month? Goodby should take a moment to rethink his words.

“A Survival Guide For New CMOs” reflects Goodby’s corporate cluelessness and outdated beliefs. Maybe it’s a mid-life crisis composition, allowing Goodby to air his frustrations of coping with constant chaos. Harkening back to the glory days of tyrannical clients positions the adman as a doddering dinosaur. CMOs with the potential to become the next Steve Jobs can be counted on one hand—and Captain Hook’s notorious hand at that.

The 2014 Jeff Goodby is no 1983 Jeff Goodby. He acknowledges today’s CMOs cover more responsibilities than ever—responsibilities that Goodby Silverstein & Partners do not comprehend or influence. Yet Goodby is apparently still living the delusion that the universe revolves around big ideas exclusively hatched by the White advertising agencies.

Goodby’s condescension and prima donna tone hurt the pitch. The adman missed an opportunity to inspire. “A Survival Guide For New CMOs” could have been “GS&P Amazingly Extends New CMOs’ Lifespans” or “How New CMOs Can Win Trips To Cannes.” He needed to show how Goodby Silverstein & Partners help turn new CMOs into rock stars. The focus should have been on Goodby’s performance and the wonders he and his agency bring to the party, as opposed to recommending what his bosses ought to be doing.

Finally, why the hell is Goodby advising CMOs on job security? In recent years, Goodby Silverstein & Partners lost Quaker Oats, Propel Zero, Sprint, Hewlett-Packard, Chevrolet, Corona Light and Modelo Especial. And the agency is not alone in having billings and business yanked in 45-month intervals. Account reviews are as common as corny jingles. In the end, the short tour of duty applies to both sides of the equation. So it’s kinda crazy for a traditional White advertising agency executive to be explaining job security to his employers.

To summarize: Transformational change begins with you, not them.

*Addendum: Premier Profitability is a term intended to cover a range of objectives. The word profitability goes beyond sales figures and financial gains to include profiting or benefiting in professional and personal ways. Careers should advance and happiness should ensue. The creative content has to generate awareness, entice responses, build relationships, provide entertainment, deliver information, win awards, etc.—it must delight and impress the creators, agency partners, clients, consumers and industry peers.

10081: Phil Mushnick Fan Rides To Rescue.

The byline for Forbes columnist Tom Van Riper includes, “I cover the business of sports for Forbes.” Which clearly qualifies the man to declare, “Phil Mushnick’s Rants Were Not Racist.” Thanks for putting the controversy to rest, Tom.

But seriously, Van Riper is simply playing a stereotypical role in the proceedings, as evidenced by the following quote:

The furor is the latest sad example of political correctness stifling actual meaningful discussions of race in America. Context is thrown out the window—if you use the word (or allude to it), you are a racist.

In short, a man writing sports columns for a business publication feels entitled to pooh-pooh the offended as “politically-correct” and averse to conducting meaningful discussions on race in America. Why, Phil Mushnick was only seeking to engage in a thoughtful conversation on social issues facing us all. Guess the critics were just too jaded to realize such enlightenment could come from someone who has spent over 30 years covering the Nets, Rangers and New York Cosmos.

Bless you, Tom Van Riper, for clarifying matters with such eloquence. For a sportswriter, you’re very articulate.

9621: 30 Under 30 Equals Zero.

From The Root…

No Blacks, Latinos on Forbes’ Under-30 List

Forbes magazine Monday unveiled its list of “30 Under 30” — “These are the people who aren’t waiting to reinvent the world. Forbes, leaning on the wisdom of its readers and the greatest minds in business, presents the 30 disrupters under 30, in each of 12 fields, making a difference right now.”

One field was the media, and Yvonne Latty, who teaches journalism at New York University, was proud to see former student Mary Pilon on that list. “She was a superstar in a year long honors class I taught 3 years ago…loved her!” Latty said in an email.

Then Latty looked for the people of color. There was Maneet Ahuja, a hedge fund specialist at CNBC who is of South Asian Indian background. That was it.

“This is a big problem and one that is just getting worse…depressing,” Latty messaged Journal-isms. “There is this small slice they choose from and we are not represented in the slice that they look at…sad cause these lists shape what the people think are ‘hot’.

“…it is very frustrating for me[.] one minute I am thrilled to see my incredible, talented student on the list and then I look at it again…I don’t see any black faces and scrutinize the white faces to see if one of them just maybe could be latino…then I realize they are not,” said Latty, who is both Latino and black.

Alexandra Talty, a Forbes spokeswoman, told Journal-isms by email on Thursday, “While there are over fifty people of color on our other 30 Under 30 lists, diversity in media remains a national issue, which this list reflects.”

That rationale was rejected in an informal survey of journalists of color familiar with 20-something media people who are “disrupters.”

Read the full story here.