Another example is the conversion of mobile phone cards and bank cards. According to these four criteria let’s look at the advertising industry. First of all you will find that advertising companies have no switching costs. Many companies change their agencies once a year. This year, this advertising agency will serve and next year another agency will serve them. The connection is seamless Of course there are also many companies that have cooperated. With the same advertising company for many years but the reason why companies. Do not change agencies is not because of the high cost of switching. But because the agency’s customer service is in place. Or the advertising company has a strong sense of service and serves customers very comfortably.
The core of value in the past was optimization and efficiency
Of course some companies will feel that the new agency does not understand itself and they have to run in again. This is the switching cost, but this is extremely demanding for advertising companies. Secondly advertising companies have no network effects and the more customers. You serve the greater the benefits customers get. I used to work in an advertising company and we took Burundi Email List new. Business but we were reluctant to let existing clients know. Because the customer will feel that you have taken the new business, and the manpower and time allocated to him will be reduced. What’s more terrible is that there is no scale effect. Because the deliverables, strategies and ideas of advertising companies are non-standard products, not standardized industrial products that can be produced in an assembly line.
While the core of value in the future is creation and experience
The premise of standard products is that there is a large group of customers who have the same needs, but Party A’s needs for advertising and marketing are completely individualized, and each company is different. Because each company has different market conditions, competitive BWB Directory situation, consumer groups, brand development stages, product and industry attributes, resources owned by the company and corporate culture, so the products and services provided by advertising companies must be customized. Anyone who tries to mass-produce strategies and ideas on the assembly line in this industry will eventually lead to rote copying, and the quality of products and services will decline.
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