Reducing Friction

by David Chang, Fancy Pants Group

In 2011, Marc Andreesen told us that software is eating the world. As we step into a new decade, we’re able to see this statement manifested across all types of businesses. Amazon has changed the way we shop. Netflix has changed the way we view entertainment. Airbnb has changed the way we vacation. And Uber has changed the way we travel.

Each of these companies was able to reinvent an entire system by developing software and building an ecosystem that enables a new way of doing things. Collectively, these changes have succeeded because they have inverted old models to become more efficient and more convenient; simply put, they reduce friction for the user.

So, what does this mean in the world of agencies, production shops, and businesses that are built around a service model? The nature of this model relies on developing creative ideas, cultivating great relationships, and executing fresh new initiatives. Service-oriented agencies have been challenged by a continually restrictive and commoditized digital landscape: one measured by business churn, profits, awards, and whatever other indicators of success are driving these businesses.

As a digital production shop going on our 14th year, FPG has always leaned on developing efficiency through technology as our main differentiator. We’ve built a service business that looks for patterns and ways in which we can automate in order to create production efficiency. This leads to a win-win scenario where costs can come down for our clients while we achieve lower marginal costs and quicker production processes to operate.

This is what led us, in 2017, to our biggest transformation yet. We saw the industry shifting, and set forth on a path to develop software that takes pre-existing marketing assets (static, layered, video) and allows for the creation of short-form video at scale. We were motivated and captivated by the notion of building software that works in large-scale advertising, and worked to find ways to build this scalable solution in a way that’s faster, cheaper, and scalable. When we took a step back and looked at where the next generation of advertising is going, we saw it continuing to drive towards mobile, centered around capturing attention in a short attention span world, and a need for iterative, data-driven content across whichever mediums people are spending time. 

Of course, this came with many challenges, paramount being the balancing act between running a service business and building a product and technology that works. The service-product marriage requires a completely different mindset at the foundation of the business model. Automation and service naturally fight against each other and create a scenario where the product swallows the profits of the service and requires separate teams with completely different focuses in order to make progress. For us, it’s a marriage we’ve committed to that drives us toward our vision of the future.

Whether or not this is the path forward, one thing is clear: into the next decade, there will be changes in how advertising manifests within peoples’ lives. Mediums, content, and strategies will shift with changing times and technology. The question for all businesses whether product or service based is this: Where are the opportunities to reduce friction and rethink how we operate?

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David Chang, Fancy Pants Group

Since joining Fancy Pants Group in 2011, David has helped the company transform from a production shop into a full-service creative digital studio. He is constantly looking for ways to drive innovation and to improve the craftsmanship of Fancy Pants’ digital executions. David has worked with a diverse range of clients, including Microsoft, Royal Caribbean and Stride Gum.