This article originally appeared in the July 2003 edition of diversityinbusiness.com

Copyright 2003 by GENLIGHT Por EL, Inc.  All rights reserved.
Unless otherwise noted, all photos and graphic images are copyrighted property of GENLIGHT Por EL, Inc. and may not be used without written consent.  All rights reserved.

 

by Matthew Jones

Ed Rutland just may be the man you want to call in a crisis.  At the very least, you will want to call Matlock Advertising and Public Relations (Matlock) where Rutland serves as Executive Vice President and Managing Partner.  Matlock is a New York-based African American owned communications agency with a long history of building, broadening and, yes, repairing clients’ brands.

For more than 10 years, Matlock has served its clients with a broad array of initiatives including crisis communications, targeting multicultural audiences, and even some general market work.  The agency's client list reads like a who’s who in the industry, including Georgia-Pacific, BellSouth Corporation, Dell Computer Corporation, ESPN Zone, Publix Super Markets, BMW and many more.

Arguably, what really puts Matlock on the communications map, and communications A-list, is the work they did with Denny’s Corporation – stepping in during one of the most publicly scathing discrimination scandals of the 90’s.  Working with Matlock, Denny’s was able to weather the storm, and actually come out ahead over time, by establishing relationships with some of the most influential and important diversity groups around – including the NAACP and National Urban League.  Denny's also publicly revamped the structure of its diversity procurement program, and the composition of its suppliers and even their owner/operator base.

The Matlock Approach

Matlock’s success in helping to reposition Denny’s is indicative of the agency’s considerable and extensive expertise.  “Crisis communications is at the heart of what we do, but we do a lot in other areas as well,” said Rutland.  “Regardless of the scenario, we really pursue total solutions to multi-ethnic audiences for our clients – whether it’s brand building, crisis communications or reputation management.”

Public relations experts generally regard crisis communications as the most explosive, difficult and stressful area of PR practice.  Tangible, positive results are demanded in hours and days, not weeks and months. Instinct, intelligence and speed are essential – sometimes to help keep the client in business, but managing crisis is not Matlock’s only specialty.

Some clients come to Matlock to get “inoculated,” that is, to get an overall view of how they are perceived by diverse communities.  Other clients just want to know whether their marketing approach is working.  In each case, Rutland says the agency uses a three-tier approach to develop and achieve brand objectives.  The approach involves building awareness, establishing productive relationships and promoting sustainable transactions.

Here’s how Rutland explained each focus. 

  • Building Awareness is at the heart of advertising and public relations.  Matlock works closely with clients to help them better understand what their organization, product and service stand for and also what their audiences think they stand for. 

  • Establishing productive relationships means getting clients integrated with their target communities.  For Matlock, determining how closely a client works with various community leaders such as the National Association for the Advancement of Colored People, National Council of La Raza, and the National Urban League is an obvious starting point in building effective relationships.  From there, the agency looks at other points of contact that support targeted opportunities and demographics.      

  • Promoting sustainable transactions involves the actual business dealings between the client and the community. “This is where you’re asking for money,” said Rutland .  “This is where your strategic insights really come into play.  You build on what you know (about the client and the community).

Matlock employs its three-tier approach across the board, whether the agency is working directly with a client, or is part of a multi-agency team assisting a shared client.

Sharing Clients: Synergy and Strategy

When minority-owned agencies share large corporate clients with larger, general market agencies, the relationship can be complicated.  Some agencies feel strangled by their general market counterparts, while others say they feel they have complete autonomy.  Rutland indicated that Matlock has not encountered too many obstacles – but he admits to seeing different approaches.

"For some clients, it really requires work (to share with general market agencies),” said Rutland.  “But if the client really believes that multicultural marketing is the way to go, then it doesn’t have to be an uphill battle."

In general, Matlock’s clients take a full teamwork approach with their roster agencies - where the strategic planning, the media planning and client presentations happen jointly.  While the general market agency may take the lead in many cases, the work is done and presented as a complete team.

BMW (Bavarian Motor Works) added Matlock to their client roster in March; and while things are still in the beginning stages, it’s likely to work in a team fashion – with each agency being brought to the table throughout the planning and execution process.  “I like to call it ‘One Brand, Multiple Voices,” said Rutland.  “Sometimes you’ll have a new general market agency step in, so you have to line it all up again.”

But Rutland admits that the one brand, multiple voices approach is not always the framework for the relationship.  For example, Matlock supports computer manufacturing giant Dell, but the relationship is managed through DDB Chicago.  On that account, the DDB office sets all of the brand standards, and the other agencies follow suit.  Strategic and media planning sessions are not done jointly, but the support agencies have significant autonomy in doing what they need to do – within the set guidelines.

“It’s not a hindrance, just a different process,” says Rutland“In the end, it’s about the work, and when we put our work up next to the other agencies, ours gets a better response from African-American consumers.  That’s what we’re here to do.  But again, the client, and their leadership team are key.”

According to Rutland, the clients are changing just as fast as their competitive environments.  As minorities slowly move up the corporate ranks, an increasing number of them is becoming accountable for the company bottom line – and many are in charge of diversity marketing.

Now, minorities are telling minority owned agencies what should be done and how.  “It’s a great position to be in.  We’re not stuck explaining why (things) should be done.  They already know that.  In addition, you also have a client that’s more emotionally tied to the work,” said Rutland.

“It used to be the marketing head would find some Black secretary or janitor and say ‘Hey, you’re Black – what do you think of this work?’” joked Rutland.  “That just isn’t the case anymore.  Working with a client that is a minority helps foster a climate of success and growth.”

Rising Demand, and America ’s Changing Face

Many factors have contributed to Matlock’s success and growth – not the least of which is a growing client demand for the services the agency provides.  Few marketers can argue against the importance of building a relationship with multiple ethnic audiences.  In today’s market, it’s the only way to keep your bottom line in the black – so to speak.

“I call it the 2000 Census Wake-Up Call,” said Rutland.  “General market clients really saw the numbers changing – income, population are growing.  (These are) numbers you can no longer ignore.  That’s been a real push.”

Clients who are really in tune with the changing face of our society take notice of some of the even more profound implications of the current market landscape.

“These aren’t just numbers,” said Rutland.  “This (growth of minority markets) has led to the rise in urban marketing and it’s presence in the general market.  The general market is, and has been, taking cues from the urban market – African-American and Hispanic markets; and that often feeds into your most powerful trends.”

As a result, some marketers are infusing more of an ethnic, urban feel into their general market initiatives, which is difficult to do without some genuine insight and knowledge of the minority markets.  “And that’s where we come in,” said Rutland.

Publix Super Markets is one of Matlock’s biggest and longest standing accounts.  When the city of Atlanta began to experience drastic ethnic changes, Matlock was there to help Publix build inroads into these emerging communities in enduring, profitable ways.

Experts estimate that over the past 10 years, the City of Atlanta (metropolitan area) added more than 500,000 Blacks to its residents – more African American growth than New York City.  As a region, several areas across the South have experienced similar (but not nearly as profound) changes in the ethnic mix.  For example, Rutland cites Orlando and South Florida as locations that have seen significant increases in their West-Indian and Afro-Caribbean populations.

“Clients had to take notice – particularly the ones for whom Atlanta is their back yard – like Publix,” explained Rutland.  “That kind of change impacts all kinds of local services – Internet, telephone service, and yes, grocery stores.”

Matlock sat down with Publix to help take a closer look at their changing demographic.  Ten years ago, Publix had 50 stores where African Americans made up 20-percent or more of their clientele.  Today, that number stands at more than 150 – with some of the stores indexing with more than 90-percent African American clientele.  With this change, Publix has begun to open more and more stores within traditionally Black neighborhoods.

“You wouldn’t be able to do that if you weren’t significantly tied into the community,” said Rutland.  “Because Publix understands the Black community, they’re able to open stores right there in the neighborhood.  But that comes from years of working with a group that understands – and is part of – that community.”

The Future of Minority Firms

Growth and profits aren’t coming easy for Matlock, or for most agencies, for that matter.

“The biggest threat right now is, obviously, the economy,” observed Rutland.  “When things get tight like this, the first thing to get cut is generally the PR and advertising.  And within that, it’s usually the diversity initiatives.  If a client is worried about holding on to 70-percent of their business, they tend to lose focus on the 30-percent that might comprise the multicultural audience.”

On the flip side of the threat coin is the positive sign that newer, younger minority-owned agencies are throwing their hats into the ring.  As minorities have slowly gained a foothold in the industry over the years, a growing number are branching out to create our own agencies.  While this is a good thing for minority communities, it leads to greater competition among agencies.

“As fast as we’re growing, we’re also seeing client demand grow as well,” said Rutland.  “The work is out there – clients are getting smart as to what they need to do.  Also, exclusive agreements help keep opportunities open.  For example, if you have a large automotive account, chances are your contract stipulates that you can’t work on another car account – exclusive agreements limit your lateral movement; and for all the other car accounts out there, that opens a door for the other agencies.”

Like a growing number of principals at minority-owned agencies, Rutland does not see a huge threat in the apparent trend of general market agencies buying out smaller, minority owned firms.

“If an owner is approached by a larger agency that can help them grow, with greater resource investment, then that’s a good thing,” said Rutland.  “Look at some of the other leaders.  They’ve been able to maintain their autonomy.  Burrell (Communications) is still doing excellent work.  Don Coleman’s Global Hues (Advertising), Uniworld (Group, Inc.) … great Black work.”

Rutland takes his powerfully optimistic view one step further.  “In 50-plus years, we may not be needed anymore – I can’t wait until the day where we’re no longer needed at all,” he said.  “When race and culture aren’t such a factor.  Where, in the words of Dr. Martin Luther King Jr., ‘we are judged not by the color of our skin, but the content of our character.’”

He took a moment before he continued.

“I hope that day comes,” said Rutland.  “A true Rainbow world.”

The End


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