The Essay On E-commerce, Media, Agency Model, And Corporate Strategy.

E-commerce and its implications on CPG and brick and mortar companies

The study discusses the three cases in an organized method and also analyses how the information from the events will be helpful for the future career. This study selects three events and presents the knowledge and learning and how this event helps in future career development.

The explosion and development of the e-commerce market throughout the world is transforming how customers purchase, with certain subsequent implications mainly for the manner marketing groups work and perform- as e-commerce requires it to become a crucial part of sales as well as marketing strategies. Reading on the recent problem Admap, the concentration of which is “DTC”, R3 consultancy’s Shufen Goh and Greg Paull, extract the thinking of directing CMOs around the main subject. Organizations in the centre of transforming from a basic “brick and mortar” retail tactics and strategy to an online-based business strategy deal with many challenges and issues. They mainly note that “ranging from how to rearrange distribution as well as logistics of the supply chain to mainly dealing with demanding consumer expectations as well as controlling the full-scale online transformation of marketing and also sales (Warc.com, 2022). This case shows how many CPG and brick and mortar companies struggle to survive in the trend of the e-commerce market and it is also not easy to adapt to the changes rapidly. E-commerce generates a wide range of revenue and profits as it supports consumers and obtains brand value. Consumers do not rely only on content and “word-of-mouth” before purchasing an item or product, the consumer ensures to view the feedback regarding the item on every platform or site on which the item is listed. The Use of E-commerce sites is increasing day-by-day because currently, people prefer to purchase products from online stores rather than physical stores. But this consumer behaviour creates a serious impact on other businesses like CPG companies which are mainly dependent on offline stores.

The third event is media transformation, this may have accelerated as an outcome of the Covid-19 pandemic, yet new investigations present that agency models of business are lagging mainly behind their consumer needs and expectations. Even the gap among transferring looks set and expectation to reform the method media agencies operate in 2021. In MediaSense, the media advisors or experts in collaboration with the “incorporated Society of British Advertisers”, interrogates almost 100 world CMOS as well as marketing direction to create the media report of 2020 (Warc.com, 2022). They observed that, while 65 percent of directors and CMOs trust that they mainly have the strong leadership and vision for “media transformations”, only a few people realize that they were appropriately equipped in certain areas. The investigators observed that for many brands almost 30 percent of Coronavirus pandemic had given a catalyst to sleep up media transformation, shifting towards more customer-centric and integrated methods of working and operating;45 percent of companies state that they are impelling ahead, and just 25 percent states that they have preventative measures, and have put everyone on hold.

Media transformation and agency models: Insights from recent research

From the first case, e-commerce in today’s world plays an important role beyond comfortably making purchases. The increase of “online to offline” shopping trends and marketing has observed organizations leverage new “digital touchpoints” to direct individuals into “brick and mortar” shops and utilize gamification in offline stores spaces to mainly add a new digital factor to making buying. These kinds of experiences can support direct brand loyalty. In this case, the part of marketing and sales has developed and improved beyond getting feedback from consumers, as well as the functions and features, has the main power and ability to impact innovation as well as bring in “Return on investment” (Bai et al. 2018). This role is only not about branding, this was stated by Raja Rajamannar, chief marketing and communication officer of Mastercard. At present, pandemic situations also push people to use this digital online shopping platform and make new platforms for retailers to sell their goods through online mode. On the other hand, this may impact negatively on the small and physical stores (Gyenge et al. 2021). But there is also one thing: when people receive the wrong product and defective product, this situation creates trust issues in online stores. Consumers move to offline purchasing.

The second event is about Renault's search for the agency model, making the choices and decisions to integrate them into one entity. The manufacturer of French cars will be mainly bringing cooperatively Omnicom’s OMD as well as agents whether the Publicis accept it or not. The objective of this move and initiatives is to specifically streamline the agency system, ensuring that every parties and group are on a similar page and perform in teamwork together (Warc.com, 2022).

The company did not generally have the alternatives to get rid of this public as well as take the operation in-house, yet "Bastien Schupp", VP of the Renault for global "brand strategy" as well as marketing, stated that these initiatives will not be as efficient as the one organization or structure being formed. In the second case, Renault, the company has traditionally and completely depended on Omnicom's OMD for media as well as Publicis for innovation. But currently, the French automotive leading company plans to integrate the agency groups into an assimilated unit, whether the agency accepts it or not. Moreover, unbranded companies are anticipated to begin operating from October with members from the different competitor holding organizations working collaboratively on the similar belief as well as the same "Key performance indicators", though they would retain the revenue and also revenue loss statements. In the third event, the previous research of MediaSense has observed a clear relationship between agency model reforms and media transformation. Provided that 57 percent of informants currently state that their agency is " hampering and disturbing their transformational progress", the authors suggest that the year 2021 is plausible to view a remarkable disruption in the market of media agencies (Gomez?Mejia et al. 2021).

From the above events, it is determined that the agency model is generally based on customers paying an organization a charge for the services. The charge is mainly based on the volume of full-time workers operating in that company and the business scope handled by the agency. This event helps people to understand and know about how this agency model benefits the organization. The agents get to understand various marketing strategies and plannings of organizations to explore in the sector. Establishing a brand and company is not easy work, this is the main factor that every organization is dealing with. The agency authorizes the company to work with various ambiances potentially for multiple organizations that would support them establish their abilities, skills and upgrading their resume. Moreover, the best hiring agency will present valuable training and knowledge thus they can obtain the skills they require to find advanced work. This experience and learning are valuable because these events show media agencies collaboratively working with the organization and improving the productivity level through various strategies. From these events, the people understand how effectively media agencies help the organization to expand more on business. These types of agencies help consumers implement as well as manage marketing planning and strategies to acquire their business targets.

These learning experiences serve learners in their future career and course because the learning related to the e-commerce sector and marketing strategy, media agency, and media model, are all management subjects. This learning is useful in their course because they understand the concepts of marketing, how agencies plan an important role in the organization and develop the business working with partners in the company, how agency models resolve the issues among agents and business principles. The learning and understanding of marketing concepts in a field with various uses, marketing methods, and concerts can be learned by students of every major, supporting them to move forward mainly with a multiple skill set. It is also essential for any work and business which supports them to achieve their targets and drive advantages. Studying marketing and other concepts will help the students understand why consumers think and behave in a specific way while purchasing something, they can understand their demands, and how their actions can profit the business.

Conclusion

It is to be concluded that the three events are discussed in this study are extremely helpful and effective for students in their course study and future career. The three different events provide different learning and knowledge on marketing, agency models, and media agencies and their importance in the field of business.

References

Bai, T., Zhao, W.X., He, Y., Nie, J.Y. and Wen, J.R., 2018. Characterizing and predicting early reviewers for effective product marketing on e-commerce websites. IEEE Transactions on Knowledge and Data Engineering, 30(12), pp.2271-2284.

Gomez?Mejia, L.R., Martin, G., Villena, V.H. and Wiseman, R.M., 2021. The behavioral agency model: Revised concepts and implications for operations and supply chain research. Decision Sciences, 52(5), pp.1026-1038.

Gyenge, B., Máté, Z., Vida, I., Bilan, Y. and Vasa, L., 2021. A new strategic marketing management model for the specificities of E-commerce in the supply chain. Journal of Theoretical and Applied Electronic Commerce Research, 16(4), pp.1136-1149.

Www.warc.com, 2022. Agencies must change faster to keep up with the post-pandemic media landscape | WARC. [online] Warc.com. Available at: <https://www.warc.com/newsandopinion/news/agencies-must-change-faster-to-keep-up-with-post-pandemic-media-landscape/44425> [Accessed 17 March 2022].

Www.warc.com, 2022. Renault shakes up its agency model | WARC. [online] Warc.com. Available at: <https://www.warc.com/newsandopinion/news/renault-shakes-up-its-agency-model/en-gb/41109> [Accessed 17 March 2022].

Www.warc.com, 2022. The merging of e-commerce and marketing | WARC. [online] Warc.com. Available at: <https://www.warc.com/newsandopinion/news/the-merging-of-e-commerce-and-marketing/en-gb/41526> [Accessed 17 March 2022].