Tom Denford and David Indo from ID Comms: should agencies buy media and then sell it on to clients?

On this week’s #MediaSnack Tom and David get excited by a recent article in Ad Age. In it, Alexandra Bruell puts a spotlight the role of principal-based media buying approaches.

The piece highlights (the perfectly legitimate and legal) practices by media agency groups of buying media inventory at their own risk, in advance of client requirements and then selling it on to clients for an undisclosed profit.

Clients typically have to sign away transparency rights to gain potentially cheaper media inventory.

We consider the implications of this practice, how it blurs the lines further of what an agency is and how it might lead to significant changes within agencies.

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