Dive Brief:
- According to research from 4A's and LinkedIn, the advertising industry has retention problem – and a turnover gap with related industries that grew 10% over the last year.
- A majority of people who left the industry (54%) said the reason was little opportunity for advancement. Other issues cited were wanting more challenging work from agencies (50%) and a lack of satisfaction with agency leadership (46%).
- Compensation was mentioned by 45%, trailing other more workplace-related issues, although the research found the advertising industry had an entry level compensation gap of $45,000, compared to technology companies.
Dive Insight:
"You're never going to be able to outspend Google to attract talent," Jann Schwarz, global director of agency holding companies at LinkedIn, told Adweek. "What you can do is tell a story that's more compelling or tailored to the individual, about what it is they can achieve and accomplish, what sort of development and personal growth opportunities there are within the industry."
Advertising overall is less trusted than recommendations from friends, online reviews and editorial content. Nielsen’s 2015 “Global Trust in Advertising” found ads trail all three at just over 50% trust level, compared to 83% for recommendations from friends.
The recommendation from the 4A's and LinkedIn research is for ad agencies to brand their business in a more appealing and honest way. That move that would require more transparency on their end, something that the advent of data-driven digital marketing has already forced on the agency business model.
