Originally published in AdWeek. November 14, 2024

Michael Ramirez

by Michael Ramirez

In a consumer-centric world, stop buying media in agency-centric ways

We live now in the age of authenticity. Audiences don’t just crave personalized and relevant messaging, they will actually tune out anything that feels too contrived or salesy. To that end, according to a February 2023 Airship survey conducted by Sapio Research (original study), one-third of Gen Z and Millennial consumers worldwide do consider useful any content and offers that actually factor in their specific locations.

This should worry agencies because the conventional approach of hiring media buyers in major hubs like New York, Los Angeles, and Chicago is no longer an effective strategy. Today, more than ever, calls for a type of professional soul-searching that asks, “If the industry aims to be customer-centric, why are we purchasing media in an agency-centric way?”

Sure, your agency may have access to extensive resources and research tools that you like to brag about — but that perceived advantage can become moot in the absence of tangible local market insight. To be truly competitive, agencies must consider expanding teams to include local talent who live and breathe the markets they serve. This empowers these folks to be significantly better at their jobs and dramatically enhances the return on investment (ROI) for your client’s media spend. This matters significantly, given that US advertisers will spend $157.1 billion on local ads this year, which is up 4.4% from last year.

Local experts come with community insights

Here’s the difference maker: The value of local knowledge extends beyond mere statistics. It encompasses an intuitive grasp of regional cultural nuances, consumer behavior, and emerging trends that can significantly impact campaign effectiveness. Local experts provide insights into community preferences, regional sensitivities, and even local media-consumption patterns that are often overlooked by teams operating from afar.

Take, for instance, our recent “Cancel the Quit” campaign for Toyota focused on Olympic athletes who live, work, or attend school in Northern California. Our media team, based out of that location, developed Toyota’s branded film spots and then strategically and successfully placed them in front of Toyota’s target audiences in that area. The results were significant: We boosted NorCal Toyota’s consideration metric by 5 percentage points in just three years.

Local experts can establish on-the-ground relationships

Let us hypothetically consider an agency with a team based in Atlanta that’s working on a campaign targeted at Atlantans. These marketers not only understand the city’s unique attributes and idiosyncrasies, but they also come with established relationships with, say, local outlets and influencers. These robust connections lead to better advertising rates (yes, even better than large agencies touting volume discounts and rate breaks) and more impactful media placements (not to mention brand loyalty and positive consumer perceptions) because they garner trust by demonstrating a genuine commitment to the Atlanta market. Why? Because it feels authentic.

While local broadcast partnerships typically gain the most from this type of structure, digital expertise may also benefit. Agency-wide spending at a network level can ensure that local markets receive the customization needed across search, social, and programmatic, including CTV.

So, here is your to-do list:

  • Invest in local ad-media talent who are inquisitive and approachable.
  • Task them with exploring and finding local insights.
  • Ask them to forge valuable, on-the-ground relationships.
  • Use the above intel to resist trends and universal stats, and instead think locally.
  • Make shifts in brand awareness and sentiments part of your KPI spread.

Cheesy as it may sound, this all adds up to a human touch often missing in centralized media buying, which is crucial in creating campaigns that resonate meaningfully with local audiences. Consumers want — and are starting to expect — brands to not only understand their individual preferences but also acknowledge local context. This is especially true in our current economic climate, where inflation and job uncertainty make anyone think thrice before investing in a product or experience.

To put that in broader terms, localized marketing can collectively help brands unlock $54.1 billion in revenue every year — with emphasis on the word “can.” That is a significant sum, and agencies must come with the expectation that they have to find strategic ways to work for it.

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