For this week’s special report on production companies, SHOOT surveyed agency producers, heads of production, creatives and executives at production houses to get a sense of how people are feeling about the changing nature of relationships between ad shops and production companies. Agency folks answered these questions: "How important a factor in awarding a job is a production company’s track record and stability? Have you scrutinized this variable even more in light of recent events, such as company closures?" and "Generally, what qualities do you look for in a production company?" Production company execs answered the latter question regarding long-term directorial relationships. Below, are the responses.
Craig Allen
Broadcast production
director
Venables, Bell & Partners, San Francisco
A company’s track record has always been important to me. I’m not really scrutinizing their stability any more thoroughly today versus a few years ago. I’m doing what I’ve always done—making sure that there are smart, honest, experienced folks running the company. It’s important for me to know that the company has handled many kinds of production issues, whatever they are, and that they hire the right people for the particular production challenges I bring them.
I think the level of long-term agency/production company relationships has been pretty consistent even though the economy and competitive environment today are putting more of strain on keeping those relationships going. The intense competition for fewer jobs generally means that you can usually find someone to do the job more cheaply. But ultimately if an agency and a production company have had a good experience working together, and if they both want it to happen again, they’ll figure out how to make it happen again. Nothing beats that shorthand communication that comes from having successfully worked together before.
Nancy Axthelm
Executive VP/director of broadcast production
Grey Worldwide,
New York
Right now, track record and stability are critical factors in awarding a job. Things are rough out there, and clients have good reason to be wary. Between the world condition and the economic situation at home, anything that can encourage client confidence and trust is a big plus. A longstanding relationship with the agency goes a long way to reassure a concerned client, but now it is more imperative than ever that we work with companies that are stable—both monetarily and reputation-wise—in order to ensure success. Companies that have knowledgeable, long-term management in place to back up talented directors are the ones that you want to partner with in general, and it is a necessity if you happen to be going offshore to shoot.
I think that we have seen more of a return to long-term relationships. In the face of so much insecurity, people are more comfortable putting their trust in names that have come through for them before. In many cases, that relationship is with the director, but equally important is the relationship with the production company or the executive producer. There is certainly a trust factor that plays a big role in whom a job is awarded to, but I’ve also seen a lot more up-front discussion with directors/production companies in an attempt to creatively solve any possible problems, conceptually or monetarily. The fairness factor—the mutual trust on both sides that you are going to be treated fairly and/or get the most for your money—goes a long way.
Hyatt Choate
Executive producer
BBDO New York
The directors are what sell the production company to me. Those are the people we are spending the money on. Great directors bring a higher quality of work across all aspects of production, like the best crews, great designers and strong creative.
I think when you surround yourself with stars, you stand a better chance of getting a great product. This is what I bank on.
Regarding a production company’s track record, I have heard of companies closing and locking their doors and I find this trend disturbing; however, I have not had a problem with any production company’s track record to date. Of course, if I heard a company was going under, awarding a job to that company would not be an option.
With the number of spots being shot and the size of budgets shrinking, relationships with directors and their production company have become an even more important part of our business. Our clients want and deserve the best product available, so knowing the level of work we can expect, and knowing these companies are being fiscally savvy, are very important.
Texas East
Senior partner/broadcast
Ogilvy & Mather, New York
I would say that yes, the agency does value a consistent relationship with the best production companies. We consider them strategic partners. We also do research on companies before we award jobs to confirm fiscal stability.
We look for relationships based on flexibility and trust. Companies with which we have these kinds of relationships have a much better opportunity to introduce us to new directors. I know that this is a continuing trend here.
Bob Emerson
Senior VP/executive producer
BBDO New York
The reputation of a production company is one of the things we consider when determining whether to include [a particular shop] in our bid. Not only does the company need to be financially stable, it also needs to have smart and flexible people in the executive producer/bidder area. These are the people who have to work with the agency producer to come up with the smartest production design—given budgetary, logistical and celebrity demands.
In addition to a reel and word of mouth on the director, I also find out how the management is known for supporting their director throughout the process, and more importantly, how committed they are to making the project great and having the agency want to come back.
Long-term relationships are very useful in that they cut out a lot of the learning curve needed to be on the same page with the agency. This relationship can be with the director or the executive producer. Regardless, if a key person knows what we want, there won’t be that unpleasant moment on the set when we ask for a fourth button as the meal penalty approaches.
Although BBDO New York has a lot of long-term relationships, we also like to bring in new faces. For example, I just used Rawson Thurber (all of 28 years old) on a project, and he did a great job. However, I’ve also known Tom Mickel, executive producer at F.M. Rocks [Santa Monica, Thurber’s spot roost], for over 12 years, when he was at bicoastal HKM Productions.
In the end, even in this economy, BBDO is working pretty much the same we always have: focusing on the work with the right director, the right production support; relying on a bit of the new, and a bit of the old.
Joanne Ferraro
Managing director
Coppos Films, bicoastal
It has become less prevalent for ad agencies to have long-term working relationships with production companies because of the buyer’s market we now have with directors. They are harder to hang on to because of all the directors and companies that agencies have to choose from.
On the other hand, you can’t stay in business without these relationships. Often, when ad agencies have new clients or problematic clients, they look to us for our expertise and our assistance. Our directors get involved in the concept stage to flesh out and develop concepts, particularly if the campaigns are ongoing. When times are tough, as they are now, ad agencies don’t always take risks with start-up production companies. They seem to rely on the six to 12 production companies that they know they can rely on. The smaller boutique agencies can then reach out beyond the top directors for their projects. But it is getting tougher and tougher to keep reels fresh and develop new talents. For a company like Coppos, we need to maintain our existing relationships, forge new ones, and continue to provide our ad agency clients with the best and brightest talent we can find.
Jennifer Golub
Head of production
TBWA/Chiat/Day, San Francisco
I place my confidence in relationships. There are individuals in this business that I know will never fail me, or TBWA/Chiat/Day. They are talented, resourceful and trustworthy. They will guarantee the work regardless of obstacles, fiscal or otherwise. Of course as partners, an agency must fulfill their responsibilities equally. [I look for] directorial talent partnered with talented, forthcoming executive producers who ensure the work and the process.
Long-term relationships are greatly valued. We must over-deliver every time on behalf of our clients. The stakes are high so we count on the individuals we know we can depend on. You manage risk when you turn to a director or an executive producer who has gone every length for you time and time again. Of course this holds true for editors, effects houses and composers as well. We work with new talent all the time, but there is generally one familiar aspect of that relationship. It is a wonderfully small business. Most people who are in it have earned the privilege.
Jeff Labbé
Senior VP/creative director
Leo Burnett USA, Chicago
I would say that track record is critical. [When I was with] Wieden+ Kennedy, Portland, Ore., it was kind of a hidden rule to go with the production company first. Our schedules and shoots with tracking athletes sometimes made it nearly impossible for directors, but with a solid production company supporting the idea, you were always in a better place. The creation of any film is a collaboration of resources, which goes much deeper than the director. I tend to watch a reel over and over, once for the direction, and again and again and again for the production quality and depth of the film. Ben Grylewicz [executive producer at W+K] would teach us to look beyond the idea and think about what it took to pull it all together.
Stability doesn’t bother me as long as a production company doesn’t shut down the day we are shooting. This profession is constantly evolving. It’s a business of creativity, and we all get restless and bored, and sometimes we screw up because we are doing the cool, great spots with friends, and then someone walks in and says, "Hey, is anyone paying for this?" I miss the big companies like Propaganda and Satellite, but all the hard-working creative producers, directors and crews are still shining, brighter than ever. The only drawback has been that I am cold during the holidays, because no one sends me a jacket anymore.
The most important qualities I look at when evaluating a production company are:
1. Balancing relationships. In a sense, the production company becomes the middleman between director and agency. They have to first and foremost support the director, but they can’t make that too obvious to the agency. The best companies balance this dynamic and support both sides.
2. Not saying NO! The word "no" shuts down the energy of any shoot. The directors shut down, the agency creatives shut down—it’s just a bad word. There are times when we all are going to hear the word "no," but the great companies usually make things happen, or if the answers really is no, they disguise it in a way that keeps things going.
3. Their staff. A hard working, professional and fun staff—a staff that has a point of view. I like to be surrounded by like-minded people. We live with ideas for a long time, and when it’s handed over, you want the respect of that nurturing, and the trust that you can now hand it over and everything is going to be just fine.
The great reels have the great relationships. No idea written on a piece of paper is the sole responsibility of that individual. Personally, I feel a relationship with the production company/directors is key to making great work. You cannot fly into town, sit in a tent village, eat snacks, get a tan and expect to walk away with a great spot. You have to be involved, and the relationship building starts before you arrive. The role of film is more prevalent than it used to be in advertising. Clients want more than a commercial—they want Web ideas, videos, even long format programming. If agencies don’t stop looking at production companies as vendor vs. partner, then the agency and their reel will be at a disadvantage.
Tom Mooney
President/partner
Headquarters, bicoastal
Long-term relationships are always going through changes. Today is no different. I have some agency relationships where they always think of my directors, and if they are right for the project, they give me a call.
The difference today is there is less work and therefore less good work, and everyone is available to shoot, so it’s a free-for-all. The good news is that when times are tight, clients want to work with directors and companies they know. It’s a trust thing. The company and directors will deliver the project no matter what. If the money is tight, they will make it work. If you need a couple of versions, we will do it. We might complain, but we’ll do it.
There is a rhythm that gets developed between directors, company and agencies that can move the process along faster. The turnaround time these days is short. The spot has to get shot in two weeks, so there’s no time for the getting-to-know-you dance. [Now it’s:] Here’s the schedule. Here’s the money. Can you do it?
Steve Neely
Head of production
North America and
executive VP/executive producer
FCB San Francisco
We always consider who the production company is. Can they support their director? It doesn’t necessarily have to be one of the big or established production companies. A lot has to do with who the key person is at the company and your trust in that individual. Make no mistake, you are going to the production company for the director.
But a production company can definitely sway the decision. Oh yeah, then there’s always that money issue…
John Noble
Senior VP/head of broadcast
production
The Martin Agency,
Richmond, Va.
Track records mean a lot to me. Now. Especially when we’ve been burned. Last year, we awarded a big job to a well-known production company (that is now out of business). I must admit I had some reservations, and heard hot and cold things about them from other production heads, but this director was new to their roster and was incredibly enthusiastic about the project. In the end, the director was great, but the company really, really sucked, and because of that the work suffered. So the moral is: More than ever we are using companies we are tight with, especially places where we have strong relationships with the executive producer and/or owner. My personal message to production companies: Be smart, collaborative and fair to us, and we’ll always come back for more pie. It’s not that hard.
Yes, long-term relationships with production companies are alive and well. Long-term relationships with directors are a different beast altogether. It’s no longer 31 Flavors out there, it’s more like 31 hundred flavors to choose. The right company that has just the right reel and/or treatment and chemistry for the project [is out there]. True, we have a couple favorites, but the producers at Martin are constantly on the hunt for new talent because there are so many good directors out there these days.
Stephen Orent
Managing partner
hungry man, bicoastal/
international
As in any business, long-term relationships are very common. Are they any different now than they’ve been in the past? No. Business relationships come from trust and confidence. In our business, it starts with the director, first and foremost. I can’t speak for the agency side, but what we’re seeing is a shrinking economy where clients are asking more for less, combined with many agency cutbacks where creatives are spread thinner and thinner. I feel like agencies and clients need to know the director and production company are fully behind them, creatively and financially, when they go into production on a job. This has always been the hungry man way, but there is no doubt you feel it more today than in the past. I also feel that without strong agency relationships and production company confidence, it’s very hard to launch new directors. The bottom line is: Business is business. It doesn’t matter if your brother is Goodby or Silverstein—if you’re not delivering the goods, you’re not getting the job, and probably not even the board.
David Perry
Executive VP/director of
broadcast production
Saatchi & Saatchi, New York
Picking a director is already such a complex process that nobody wants to add the issue of his company’s solvency to the discussion. Too few agencies have ever been burned by companies going out of business for this to be an issue. We are more concerned with getting value for our tight budgets, and getting first-rate people in critical positions like location scout, casting director, director of photography and stylist. Since the production company comes attached to the director, we rely heavily on his relationship with his company to get us the job we want.
Long-term relationships between directors and agencies have been declining for years. A director used to own a campaign, but there are so few true campaigns anymore that every commercial is up for grabs. Plus, there is less fidelity in our relationships. All agencies have a wandering eye, and new directors are coming into the business every week. The director who got us here may not be as exciting as the new guy from Amsterdam or the kid from the Art Center with three spec spots. And Web technology lets us surf through 10 directors online in the time it used to take to screen a single reel. Any agency/director relationship that survives all this is surely built on firm ground and will be valued.
Bill Sandwick
Executive producer
HSI Productions, bicoastal
Long-term agency working relationships have become more common as budgets and schedules become tighter. Agencies want to work with production companies and directors they know can and will deliver an A-level film under any circumstances. The pressure is on the production company with every job. We have to deliver.
Jerry Solomon
Executive producer
Epoch Films, bicoastal
There are more directors, less work and tighter budgets. You do the math. The business is more competitive with each passing year. Every production company, no matter how big or small, has had to re-evaluate all aspects of their business from marketing to markup. On the surface, the agencies appear to be in an era of the ultimate buyer’s market. However, there is another factor to take into consideration. Fear.
Poor decision-making may result in loss of clients and loss of jobs. Tough economic times and global uncertainly has created an atmosphere less conducive to risk taking. Despite more creative options and competition driving down margins, agencies are relying—more than ever—on strong relationships with production companies. Are long-term relationships more prevalent? Absolutely—especially on priority projects. Agencies may not always choose the reliable production company over the more creatively desirable director, but the appropriate talent at a trusted production company will always be considered, if not actually bid.
Cami Taylor
Co-founder/executive producer
Crossroads Films, bicoastal
and Chicago
There have always been—and still are—long-term working relationships with certain agencies and certain directors, and consequently, the production companies to which those directors belong. A change that has occurred is the likelihood that an agency will maintain a long-term relationship with a production company and choose to be provided with any number of the various directors from that company’s roster. In doing so, agencies enjoy both the security of returning to the same production house, and the creative diversity of choosing a new director. This may remove an agency producer’s concern about possible instability or production inadequacies at an untried and unproven production company, and allow the creatives to work with a variety of exciting directorial talent.
Why is this happening now more than before? [It’s possible that] with the ongoing industry cutbacks and the ever growing number of directors, this is a way to quickly assure an agency a successful commercial, and a positive creative experience.
Shawn Lacy Tessaro
Co-founder/executive producer
Biscuit Filmworks, Los Angeles
Friday mornings we get SHOOT, and we read about another production company closing. On Monday, we get Adweek, and we read about one agency merging with another. So, I think everything is just like it used to be. I don’t think that long-term agency/production company relationships are more or less prevalent, but if you are lucky enough to have one, count your blessings and do a few jobs for free every now and then. I think the nature of the business is that production companies become the flavor du jour, and then not the flavor du jour. So enjoy the runs while you have them.
Robbie Vitrano
Creative director
Trumpet, New Orleans
The stability question is real. The de facto upfront money makes it a real issue for anyone protecting their client relationship.
Track record and qualities take me in a different direction. This has to do more with director talent/experience (i.e., their reel). I find that a "quality experience" (i.e. on time, good crew, accountability, customer service) is pretty much the cost of entry. You are respectful that they show up, but really only make noise if they under deliver.
The trend had been to give one of the zillion new guys a shot if they’d meet the (low) budget. But sometimes relationship allows you to meet the incredible shrinking budget.
Steve Wax
Partner/executive producer
Chelsea Pictures, bicoastal/
international
Because we’re living through a very special time—[post] 9/11, the market downturn, our President’s attack on the world order—all relationships are up for grabs.
Good work is being rejected, and fear is being in-duced. Tentative- ness has never nurtured creativity, but this turbulent landscape is a particular opportunity for a director with strong conceptual skills.
In the midst of a highly apprehensive atmosphere, many agencies are relying on production companies and directors to shore up their position. Frequently, directors are asked to help create spots, and then assist in the selling of them to clients. In the past week, we’ve had two directors on different conference calls pitching their ideas to the CEOs of large clients.
Often now, we get scripts that are little more than a creative premise attached to a couple of starter boards. Kind of like fixer uppers in the real estate trade. "What might a director do with this project?" we’re asked. On one hand, this makes you feel more like a partner than a vendor. On the other, you sometimes wonder what some people really do for a living.
So for some directors, the opportunity is there, if they deliver … and if the spots air, and if the creatives stay on the account, and if the creative director doesn’t change, and if the account remains at the agency. Then there might be some repeat business.
