Business model innovation in the digital disruption era: the cases of the advertising agency

dc.contributor.advisorBu-nga Chaisuwanth
dc.contributor.authorPittayaphan Sriweawnetrth
dc.description.abstractThe advertising industry has an important role in helping to drive a country’s economy and social development, and it is undeniable that it continues to evolve in accordance with changing trends, technological advances, and digitalization. Massive digital disruption is dramatically reshaping the advertising industry landscape. Technological advances have altered the way consumers communicate, access entertainment, bank, shop, and, especially, interact with brands on their own terms whenever and wherever they choose. Consumers also want content tailored to their needs and interests. Marketers are now more than ever competing to capture consumers’ attention at the right moment. Thus, they must change their approaches in brand building and communicating with today’s consumers as digital disruption has also changed the media landscape impacting on brand’s advertising. This means that advertising agencies must change their roles as intermediaries by altering, adapting, and/ or disrupting to cope with changes in consumer behavior, technology with unprecedented speed, and accelerating changes in client needs to stay competitive and survive. Moreover, these changes are virtually constant and multifaceted. Thus, advertising agencies need to revisit their assets such as culture, structure, policies, resources, talents, and processes as well as their business model and revenue. To cope with this phenomenon, what should be the business models and significant innovations adopted in these fast-moving fronts so they can quickly exploit opportunities that arise to embrace digitalization? This qualitative study aims to discover how to improve advertising agencies’ competitiveness, both locally and globally, in this digital disruption era that creates changes and new challenges, including numerous new rivals for the advertising industry. It also aims to increase current knowledge of advertising agencies, regarding business models and their elements, to help reveal possible Business Model Innovation for advertising agencies in the digital disruption era. The research found that current advertising work is facing rapid changes caused by digital disruption as digital channels become the main communication avenues.  The key informants have called the impact of this phenomenon, “the toppling of the board”, meaning digital disruption is resulting in old work models no longer being applicable.  If ad agencies cannot transform to cope with these changes, the companies and people involved in the advertising industry may lose their work because they no longer can respond to changing consumer behaviors.  Moreover, the term, “toppling of the board”, also relates to ad agencies’ business operation models. If ad agencies can transform their business operation models to meet the challenges caused by “the toppling of the board” phenomenon, they will be able to survive successfully as they adapt to cope with rapidly changing situations. The research results also show that current business operations must be transformed, including introducing new guidelines such as the establishment of teams and/ or diversification of skills and increasing the speed of work output to cope with the changes caused by digital disruption. The only way for an ad agency to survive now and in the future will require introducing flexible potential business models. Examples are presented in the research discussion which offers more variety and agility to meet the continual introduction of new trends and changes in target audiences and their buying decision making to be able to
dc.format.extent170 leavesth
dc.publisherNational Institute of Development Administrationth
dc.rightsThis work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International
dc.subjectBusiness modelth
dc.subjectBusiness model innovationth
dc.subjectDigital disruptionth
dc.subject.otherAdvertising agenciesth
dc.titleBusiness model innovation in the digital disruption era: the cases of the advertising agencyth
dc.typetext--thesis--doctoral thesisth
mods.physicalLocationNational Institute of Development Administration. Library and Information Centerth Graduate School of Communication Arts and Management Innovationth Arts and Innovationth Institute of Development Administrationth of Philosophyth
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