Anthony J. Hopp

Chairman and Chief Executive Officer

Campbell-Ewald

Chairman of the Board of Directors

American Association of Advertising Agencies

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内容：

Before I proceed with my remarks, I'd like to add my sense of personal loss on the passing of Ken Kaess.

I also want to recognize the outstanding leadership provided by our president and CEO, Burtch Drake, for putting together this meeting and for the achievement on all the important initiatives he shared with us.

Burtch and staff, thank you all.

As a long-time veteran of this conference, I'm pumped-up by the overwhelmingly positive news that comes out of other industry meetings. For example, here are some headlines from the computer and electronics conferences:

Industry icon still has youthful drive

Emerging telecom technologies will keep competition alive

Innovation alive and well in IT industry

But what comes out of our advertising conferences? Here's a sampling from the last five or six years:

The death of the :30-second spot

The threat of the Internet

Clients not valuing all that we do

Insufficient compensation

Consumers stealing control from us

And how about this headline?

Survey shows problems remain in agency-advertiser relationships

That's the ANA survey where agencies were "meeting or exceeding expectations" of 93 percent of the clients! In fact, 94 percent said their relationship with the agency was "about the same or better."

When we're not positive about what we do, we stimulate those negative stories and headlines about our industry. Why do we see so much doom and gloom? We're resourceful and inventive people. We build brands. We improve lives. We have some of the most exciting and interesting jobs in the world. Is there anything you'd rather be doing? I don't think so!

Clearly, some of my contemporaries are "spinning" a glass that is half-empty at a time when our clients want to fill it up. I can't think of a time when I've been more excited to come to work each day.

As an industry, agencies need to elevate our self-image:

Get our heads out of the tunnel

Be deliberate about dealing with our challenges and positive about all the contributions we make to our clients

I'm reminded of Linus's words in the Charlie Brown Christmas Special-the one we've seen every December for the past 40 years: "Charlie Brown," he says, "You're the only person I know who can take a wonderful season like Christmas and turn it into a problem."

Are we as an industry just as guilty? Too self-absorbed? Can't we sense the potential?

Our responsibility is to trigger consumer behavior-reverse old habits. We change attitudes. We change minds. We change lives.

That's why this year's theme is so natural for us and so absolutely perfect.

R-O-I is not just Return on Investment:

But it's a Return on Ideas 

And Return on Involvement 

As well as Return on Investment

It's the perfect occasion to show our clients, show business thought leaders and, most importantly, show ourselves that we're comfortable with all the changes facing our industry. That we accept change and embrace it.

This is the time to demonstrate that we're dealing from a position of strength, or, more accurately, from a position of Power and Magic. Permit me to explain.

I'm not troubled by accountability. Nor am I concerned by the explosion in media or the control consumers are achieving. Why should I be?

There's never been a more powerful and magical time in advertising. Ours is the industry where people with earth-shaking creativity thrive. We immerse ourselves in the lives of consumers to reveal amazing insights and create brilliant ideas-big ideas that ignite the relationship between consumers and the brand.

We're uniquely qualified for our role. Clients can't do what we do. If they could they would, but they can't.

Today those insights and creativity extend to how those ideas get delivered. We're among the first to adopt a new technology. New media communications opportunities are exploding. And our industry is again demonstrating that we use emerging media more creatively than anyone else. Nobody else can do what we do as well as we do it.

Let's face it, engineering may make something bigger and research may make it better, but advertising makes it special.

For ad agencies, it all starts with insights and ideas. I'm sure you've seen this phenomenon again and again. A fresh insight sparks an idea. The creative juices flow. And remarkably, but predictably, a tiny idea becomes huge, brilliant, transforming, revolutionary.

Big Ideas. That's the Magic!

But our contribution doesn't stop there. We are the caretakers between the brand and the consumer. And, today, the ways in which we involve consumers with our big ideas and engage them with a brand are almost limitless.

Involvement. There's the Power.

Agencies who harness this Magic and unleash this Power have always created real value for their clients and our industry. Return on Ideas and Return on Involvement, which are our unique contribution to our clients' businesses, drive Return of Investment-a third accountability for which we are taking increasing responsibility.

Power and Magic!

Ladies and gentlemen, there's never been a more Powerful and Magical time in our industry. We have ways of expressing our craft that were unthought-of a decade ago. Never before have there been more ways to connect with the consumer. And, never before have there been so many ways of accounting for ourselves and our unique contributions. I am so excited that clients want to hold us more accountable because it will demonstrate how valuable we really are.

Accountability in our industry is nothing new. We've always welcomed accountability for so many things unique to agencies: for example, our ideas and our ability to involve the consumer. Through our growing accountability for Return on Investment, we find ourselves squarely within a culture of accountability-a culture to be welcomed and celebrated!

Through our accountability for Ideas, Involvement and Investment, we illuminate our indispensable role; we clarify the unique, the invaluable contributions that agencies make to the success of our clients, the growth of their business, and the strength of their brands. We step up to responsibility for driving revenues and the role we play in creating shareholder value.

Think about it. Through accountability, we demonstrate fully, clearly and completely that nobody else does what we do. Quite frankly, nobody even tries.

Ad agencies are more directly involved with the success of client's products and services than any of our professional cousins-the accountants, lawyers, organization experts, whomever! Unlike other service professionals, we don't put out fires-we light 'em up. We fan the flames!

As I'll discuss in a few minutes, this Power and this Magic drive brand loyalty, brand equity and the incremental revenues that underscore Return on Investment. Nobody else can say that!

Unlike any other marketing resource, successful agencies are not tied to any particular medium, nor are they limited to any communications technology. Nobody else can do that!

And our only commitment is truly unique and singular: our client's success. Nobody else can promise that. It is ad agencies' big creative ideas that inspire and renew the connection between consumers and brands. Consider nuggets like "Juan Valdez" and "I Love New York." These and others began as little sparks at an advertising agency. Nowhere else!

We educate. We entertain. We challenge. We breed competition. We generate progress. Unique? Yes! Indispensable? Definitely!

Throughout this conference, you're hearing from some of our industry's leading R-O-I experts. They'll enrich our understanding of Return on Ideas, Involvement and Investment, and how they pay off for our clients.

I want to take a different approach-sharing a broader perspective, if you will. Over the next few minutes, I want you to join me-to revel in the Power and the Magic this industry has always delivered to our clients and share some thoughts on our growing accountability for Return on Investment.

Return on Ideas is the Magic-the observable, significant and unique impact of advertising on business. Here lies the fact that agencies find deeper insights-insights which lead to tremendously big, brilliant ideas.

The magnificence of these ideas captures, motivates and ignites consumers, linking the brand, the image and the company; creating a role for the brand in consumers' lives; improving, in turn, their quality of life.

There is no shortage of huge advertising ideas that embody the definition of "Return on Ideas." And because these big ideas keep coming, I've intentionally selected some examples that aren't on everyone's "classics" reel.

One of the biggest ideas in our industry is the brainchild of Chiat\Day, which drove the revolutionary iPod campaign for Apple. It launched a new, highly personal electronic technology and created a personal brand experience with each potential customer. The bold colors of the campaign with a white iPod, white ear buds and white cord created a unique advertising look and style. It made the iPod the best-selling consumer device and drove a score of other major brands to invest in a new "white iPod economy."

Ogilvy talked to thousands of women around the world to gain fresh insights about beauty for Dove soap. Their big idea: Redefine Beauty. The advertising inspired women to rethink what defines "beautiful." And their "Campaign for Real Beauty" included other initiatives to encourage dialogue and debate about the standards of beauty in society. The Dove Self-Esteem Fund helps young girls develop a healthy confidence in their bodies and their looks.

It was McCann's big insight that "MasterCard is the best way to pay for things that matter." A 99¢ photo reprint or a $5 bleacher ticket can enhance our quality of life. They matter. Because they're "priceless." This idea is so large that it doesn't need to be tailored for each new culture it enters around the world. It creates a new "priceless" culture of its own.

At Campbell-Ewald we're extremely proud of the "Thrive" campaign developed for Kaiser Permanente, the country's largest integrated health care organization. Based in the western states, Kaiser Permanente had the perception of being an old, stodgy bureaucratic organization. "Thrive" communicates a bigger idea. Health care is not just an industry, but a cause. "Thrive" has redefined the Kaiser Permanente culture, changing employee perception of their company and its mission and their own particular role in achieving that mission.

"Thrive" is designed to nurture a partnership with consumers, persuading them to adopt a lifestyle of healthy meal planning and exercise-encouraging them to "be your own cause."

While big ideas like these continue to inspire, I think the most exciting contribution agencies are making today is Return on Involvement. Return on Involvement is the Power created by the emotional connection, the engagement, agencies make between the brand and the individual consumer. And today some of the most exciting and involving agency work is extending Big Ideas in ways that engage consumers wherever they live their lives. It's taking advertising to a higher level. As these connections are made again and again, our big ideas become part of the larger culture.

These broader emotional connections also inspire and engage the client's employees, and amplify their pride and their personal involvement with the brand.

This afternoon Bob Barocci and Alice Sylvester will present some state-of-the-art thinking on how we can all demonstrate "engagement" as evidence of our Return on Involvement.

As many of us push beyond our traditional advertising "comfort zone," we are becoming more accountable for moving the needle on Involvement. And I want to showcase a few examples where agencies are strategically linking traditional and non-linear media to move consumers to a higher level of emotional involvement with the brand, and a greater recognition of how the brand enhances their quality of life.

Cramer-Krasselt linked traditional with non-linear media first by posting CareerBuilder.com's extremely popular Super Bowl spot, "Chimps," on the client's Web site. Within 24 hours of the final whistle, 2 million unique visitors hit the site, with 130 thousand watching the commercial.

Secondly, in a three-week period surrounding the game, more than 2 million people sent unique "Monk-E-Mail" messages, featuring their own voice lip-synched to an animated chimpanzee.

Equally fascinating and enjoyable, Crispin Porter + Bogusky's "Come Clean" campaign for Method Soap rises to the level of the imaginative product line itself. Visitors to the Web site clear their conscience by typing their "sins" directly onto a woman's hands. As they're washed away by Method soap, you're rewarded by "cleansing absolution" and bits of mock wisdom-specific to your transgression.

And the idea that ignites the Nike brand is the insight that anyone can be a superstar in whatever they aspire to do. "Just do it." Now that idea is transitioning to another-to be more than an advertising campaign to a method of involvement. One that builds sites like Nikewomen.com.

R/GA has done this site work that takes a two-dimensional world and turns it into a three-dimensional experience. Through involvement, they are making the brand be part of the experience or actually become the experience.

Clearly, our industry's culture of accountability is becoming complete as we immerse ourselves into our third accountable, Return on Investment.

Yesterday, Gordon Wade gave an outstanding, insightful presentation on the ANA "Marketing Accountability Task Force Findings." It focuses on the best thinking of major advertisers about R-O-I. It's an initiative that we can fully support.

The ANA White Paper is a blueprint for moving marketing and our industry from a level of mere "awareness" about the tools and processes of financial accountability to a position of "leadership." The goal is to reach the point where broad data resources and our expertise allow us to take responsibility for real-time changes in advertising investment levels that will drive bottom line results. The White Paper is "must reading," and it's available here in the press room.

Yes, accountability is essential, and there's so much to learn. But we're also making solid progress.

Now running for over 10 years, Young & Rubicam's Brand Asset Valuator is winning the acclaim of advertising practitioners, academics and the financial world, both for its diagnostic Power and for demonstrating the value of brand building.

At Campbell-Ewald, with the support of Longwoods International, we're developing a Brand Impact Model with proprietary methodology that gets at Return on Investment. This tool permits us to conservatively measure the relationship between marketing expenditures, awareness and sales. Plus, its powerful engagement insights fuel our creativity.

Consider, too, McCann's Demand Chain Model, which addresses marketing demand barriers and connects all marketing communications programs and supporting metrics to the client's demand goals.

We are making contributions to our accountability for R-O-I. So, what have we learned so far?

From my perspective, there are three crucial leadership implications for agency CEOs. First, we as an industry must build consensus regarding our accountability. Your voice, your participation is critical here. This is not an issue where any of us can stay on the sidelines.

The ANA White Paper positions our major accountability as growing brand equity ... a significant driver of shareholder value. I agree.

Where do you stand on accountability? We need an industry consensus. Join in the debate!

Second, build a culture of accountability at your agency. Help create a broad understanding and respect for metrics and their application for your business. The ANA White Paper can be extremely valuable here.

It's important to remember that metrics are like a thermometer: metrics alone won't cure anything. If a brand needs to grow, it needs therapy. That therapy, in turn, recalls the dimensions of accountability that have been the hallmark of advertising since day one: Return on Ideas and Return on Involvement.

And third, while each client will drive the process of increasing accountability from its own perspective, agencies must earn a seat at the table. We have the intellectual capital to contribute all throughout the implementation process to validate our participation.

Yes, this will be hard work-very demanding and costly. But, clients need and expect our full support and engagement here.

As I conclude, I want to share the thoughts of a previous Chairman of the AAAA. In his address he said, "Advertising agencies of today have been through fire. They have intelligently shaped their organization to meet new conditions as they develop and are now ready and eager for whatever the future may have in store."

Those were the words of Henry T. Ewald, the first Chairman of our proud agency. He shared them with this meeting in 1933. In his own way, Henry Ewald analyzed The Power and The Magic of this industry seven decades ago.

Like then, agencies that will continue to succeed today are those who've grown strong in the face of adversity and adapt themselves to the marketplace. Well said, Henry!

I hope you feel good about The Power and The Magic in your company. And I invite all of you to join me in positively communicating and clarifying the powerful contributions our industry is making to all of the dimensions of R-O-I: Return on Ideas, Return on Involvement, and Return on Investment.

Ladies and gentlemen, thank you very much.