On this week’s #MediaSnack Tom discusses the different types of media auditing and what each type actually looks at.
Part of the problem is that what people typically call a media audit (using what’s become known as a media auditor) actually isn’t auditing in the strict sense. A firm that grades an agency’s media buying performance by analysing pricing and quality isn’t actually auditing but “price benchmarking.”
Tom talks to Adrian Jenkins, a Chartered Accountant (like a CPA for those of you in the US) and founder of an independent company called Financial Progression which conducts contract compliance audits of agencies on behalf of advertisers. ID Comms has a long working relationship with Financial Progression and recommends that advertisers regularly audit their media agencies.
Tom and Adrian describe the different types of audits, explain what contract compliance is and how it benefits the advertiser.
Tom argues that it is important to consider contract compliance auditing as part of a mix of accountability techniques to make sure your external agencies are working productively to deliver your marketing and business objectives and operating with transparency.
Adrian’s perspective is that, far from creating hostility and mistrust between advertiser and agency, a compliance audit can actually benefit the relationship because it removes any uncertainty, provides transparency and aligns both parties for the future.
Finally, Adrian gives his top tips to those advertisers who haven’t audited in this way before, and he explains how to start and what to look for.