Nowhere has this been more prolific than in the area of database marketing. You only have to look at the number of agencies that now have "data divisions" and the strategic alliances that have been created as a result of mergers or acquisitions to feel the winds of change blowing in full force.
So what has this change meant for bureaux? Certainly an agency that claims to be able to provide data solutions appear to pose a threat to their business. However, the majority are far from what they seem and many cannot offer a comprehensive solution to the agency's data needs. Clients should be wary of agencies that claim their data division can cover the work that is usually done by data specialists. Often the agencies will end up having to outsource the particularly in-depth or complex work to a bureau.
To this end, the creation of agency data divisions actually provides an opportunity for bureaux. If they are savvy, they can create alliances with agencies to take on the work that they cannot handle in-house. This way, bureaux retain their position as the specialists and for clients, the benefits are two fold. Using the agency to manage a bureau means that the client only has to manage one relationship. It also means that the data and creative work for a campaign will be aligned as insight into a customer base gained from analysis can be used to tailor creative.
The only thing that bureaux should be wary of in this situation is that they are not left out of the relationship. Agencies sometimes white label a bureau as the in-house data division and so the client has no idea that work is being outsourced.
It can be argued that the biggest threat to the traditional bureau model now lies with data owners. As they extend their service offering, they are encroaching on the work of the service-based bureaux. Here, the advantage of bureaux is that they are able to source their data from anywhere, enabling a more flexible resource for clients.
Essentially, the new offerings from agencies and data owners do not spell the end of the bureaux. They are still in a position to offer expert knowledge and a flexible service offering but they need to ensure that they make enough noise about their capabilities to avoid being drowned out by agencies and data owners.