Closed reviews—everything agencies and brands need to know about the pitch process

Coca-Cola Co. and LinkedIn each recently shifted significant chunks of their media businesses to new shops. But neither company invited scores of agencies to pitch—instead, they made the changes through what’s often called a “closed review.” A closed review, or a “closed door review” limited to a select number of invited agencies, isn’t a novel concept. However, the aforementioned companies’ reliance on such a strategy shows that agencies should be prepared for what to expect if called upon to participate in one of these reviews. There are slightly different norms in the process, which can be a little quieter than a standard pitch, given the limited number of shops involved. Also: Walmart sibling Sam’s Club picks Publicis Groupe as integrated AOR Below, Ad Age has gathered answers to some of the most commonly asked questions about closed reviews. You can stay up to date with several ongoing pitches with our Agency Review Tracker, exclusive to All Access subscribers. What is a closed agency review? There doesn’t appear to be a universal definition. Several consultants emphasized that, aside from the “cattle calls” on LinkedIn that have become increasingly popular in recent months, every review is technically “closed.” Some people consider a closed review an incumbent- or holding company-only pitch, while others categorize it as a process more intimate than a standard pitch, with only a chosen few shops involved. (Both Coca-Cola and LinkedIn, for example, only invited two agencies into their reviews.) Many of the rules carry over from a standard pitch. In a closed review, a marketer may forego steps such as an initial request for information, but they’ll likely still issue a brief of some sort, multiple consultants told Ad Age. There often isn’t a series of rounds or whittling down of agencies—the process essentially starts at the finals. Read: Why major brands are hiring agencies on LinkedIn Are the closed reviews actually quieter? There’s a perception that closed reviews are much more hush-hush than standard pitches. That’s because, in a closed pitch, agencies are less likely to leak information about the process, since doing so only risks inviting more competition, said one new business executive speaking on the condition of anonymity. “The last thing you want is for it to get out, because of other people trying to get in it,” this executive said. Agencies are especially tight-lipped in holding company-only reviews. When “you’re putting your network at risk by that thing opening up and becoming more broad, that’s problematic,” a second agency executive said. This person added that, because of how quickly closed reviews move, there are “fewer cracks to be had there.” What prompts a closed review? Each brand is different, but there are a few general reasons why a marketer would initiate a closed review, including the need to move fast, said Meghan McDonnell, president of consultancy Pile and Company. With fewer agencies in the mix—and therefore fewer moving parts—the process is inherently speedier, she told Ad Age. “You can skip the early stages of credentials and things like that and go on to stages of the process where the client gets to know the agency, and the agency gets to know the client,” said McDonnell. Broadly speaking, closed reviews make the most sense for massive brands like Coca-Cola Co., as there are only a handful of holding companies that can manage their business anyway, according to multiple search consultants. One consultant said that closed reviews often happen when there’s a high level of dissatisfaction with the current setup, a marketing leader with enough gravitas and clout in the organization to make a quick change and the “need for speed and action.” “A company with a lot of brands doesn’t make the shift easily,” this person said. What should agencies expect in a closed review? Agencies well-versed in pitching shouldn’t be taken by surprise by anything that happens in a closed review. But, in some cases, they should be a “little bit prepared for the Wild West,” said the first search consultant. In a closed review, the usual standards of fairness and uniformity don’t always apply—the brand isn’t necessarily giving the same information, time or requests to each agency, said the first consultant. “It’s like a street fight,” this person added. Industry insiders advise agencies to be proactive and quite aggressive in this type of process. For example, ask direct questions and push for information unless explicitly told not to. Here, there’s no need to hold back or wait for formal “rounds” of the process. If you have something strong to offer, bring it forward early. What clients want most in these situations are speed, decisiveness and actionable solutions, the first consultant said, because they’re likely doing a closed review to initiate fast, effective change. What should brands expect while doing a closed review? Clients have less leverage in a closed review, said a second agency search consultant. With less competition, agencies aren’t necessarily going to come back with aggressive pricing or concessions, this person said. Marketers looking for the best commercial value may instead want to run a wider pitch, injecting some more tension into the process. “[Marketers] have to be prepared to walk away” from a closed review if the pitching agencies aren’t meeting their needs, the second consultant added. How can I get invited to a closed review? There’s no concrete way to nudge into these pitches. Agencies that have worked with the brand previously may have a leg up—there are many incumbent-only reviews—but ultimately, the marketer decides which shops get the invite. Within reason, it can be helpful to court the account, said Joanne Davis, founder of Joanne Davis Consulting. “Win it before it’s in review,” she said. “Schmooze. Make friends. Have them rooting for you.” The second agency executive told Ad Age there are certain new business roles, mostly at holding companies, that are dedicated solely to prospecting new business. Some executives simply have a knack for wooing clients, Davis said. “They’re all over them. They know their kids’ birthdays and send them birthday cards.” More agency reviews from Ad Age Sign up for Ad Age newsletters

Closed reviews—everything agencies and brands need to know about the pitch process

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