Coke's new ad strategy
a brilliant article on design assembly unveils coke's new performance based ad strategy. essentially they intend to pay ad agencies if their campaigns manage to increase coke sales. if they don't increase sales, the agency has its costs covered and no more.
it's a controversial move by coke, but if anyone can shake up the advertising industry it's coke. considering the budgets coke have laid down for advertising in the past few years i think this is a wise move on their part.
looking over the article's comments it seems a fear of how this could effect other creative industries has immediately emerged. which is great in my opinion. by setting hard measurables the under qualified designers and advertisers will soon fade away, paving the way for the truelly talented few. it may also beckon a new age of adveritising bravery, where only the true innovators are rewarded. Which ever way it goes i can coke's agency opting for some very, very, very heavy testing before the ads go live. Focus group companies will be overwhelmed with people wanting as many assurances as possible.
i think it's a perfectly healthy shift and something the ad industry is in need of. i have no doubt there will be a massive outcry and backlash, but that will come from those scared to put their creative where their mouth is.
i can see it being a great new age in advertising.