Agencies today have two businesses — the traditional media agency and the digital agency. Many agencies have started investing in digital marketing since the beginning of the new millennium, even though the client spending on digital is not significant then.

The employees recruited previously had read all marketing, advertising and brand management textbooks. It is true that there was no digital marketing textbook then. In a sense, the new age agencies are writing the textbooks for the future by creating knowledge and expertise that can be replicated.

A major chunk of business still comes from the traditional media business. Though new age marketing disciplines add a smaller volume to the business, that is the more exciting growth story. The new business did not exist a few years ago. Still, it creates differentiation.

The traditional business is being automated and is being made process-driven.

The agencies today recruit data scientists and content creators. They make investments across e-commerce, data acquisition, enhancement and enrichment and content. A large chunk of digital work originates from clients in e-commerce, data and content. In terms of volume, it may not be huge. But it is still exciting. Brands are also willing to pay more to ensure effective advertising.