| |

Not dealing in principal media costs us millions, but keeps us impartial – the7stars

Not dealing in principal media costs us millions, but keeps us impartial – the7stars
A 2024 the7stars campaign for the Migration Museum.
Opinion

Principal media benefits media agencies’ bottom lines at the cost of operating impartially.


Nick Manning says a conspiracy of silence around principal media is “like listening to the world’s worst football phone-in. Spectators call in to find that there’s only other spectators in the studio.”

It’s the only part of his analysis we disagree with, because we’ve always been clear on our position as an agency, but perhaps we need to be a little louder.

The7stars is the 7th biggest media agency in the UK by billings, it employs over 300 people and has over 60 clients. And it’s all been built on a business model that is the complete antithesis to the practices Nick is referring to. We have never, and will never, be a reseller of media.

We would encourage all agencies that share this position to make it very clearly known. Advertisers, if your agency is unable to make such a stand, then we have further advice for you below.

Whose best interest?

It’s a position which costs us money. If we were to open the principal media tap the amount, we could add to our bottom line would be in the millions.

But that money would destroy us as a media agency, because we would no longer be operating as one. We wouldn’t be selling impartial advice. We wouldn’t be aiding clients in navigating a complex marketplace. We would simply be selling media we can make the most profit on.

If your agency asks you to waive your rights to audit their media buying, then they have decided to do exactly this; changing their business model from an impartial advisor to a reseller.

Which is fine so long as everyone is up front about this, but resellers don’t get exclusivity clauses and don’t charge fees for strategic advice or analysing effectiveness. So, advertisers shouldn’t be paying for those so-called services and demand all exclusivity clauses in their client contracts are removed.

The media agency is a comparatively small part of the media ecosystem. Sitting between advertiser budgets and a myriad of opportunities with media owners, we exist to provide advice as to how that money is best spent.

If that advice isn’t in the best interest of the client, it not only undermines the role of the agency, it creates an imperfect market. Client budgets have to work for their business; when they don’t the client may rightly walk away.

Nick highlights principal media is of “virtually no benefit for advertisers”. At the same time, if those budgets aren’t allocated towards media spaces where a target audience is best engaged it distorts the media ecosystem, rewarding the wrong thing. Often incentivising quantity rather than quality; big delivery numbers on a spreadsheet rather than actual business growth.

Not good for the advertiser, and not good for anyone looking to watch, read or listen to ad-supported media.

Media agencies that still believe their true role is trustworthy advisor to the advertisers who pay them must stand up and be vocal on this. Because as Nick highlights in the quote taken from the Financial Times, “there is a world of pain coming… that is only just starting”.


Chris Herbert-LoChris Herbert-Lo, is strategy partner at the7stars.

Andrew Cole, Exec Director, XYZ, on 03 Jul 2025
“Well done. Its good to see an Ad Agency that is not conflicted and party to an utterly broken model”

Media Jobs