In a recent LinkedIn post, Prathap Suthan, Managing Partner and Chief Creative Officer of BangInTheMiddle has urged the Indian advertising industry to create a dedicated body to represent smaller, independent agencies. Highlighting widespread exploitation and systemic issues, Suthan’s message brings attention to the challenges faced by these agencies, which often operate without institutional support and are vulnerable to unfair practices by larger corporate clients.
Suthan shared a recent distressing incident that underscores the crisis. An agency head reached out to him, desperate and out of options, after a client withheld payments for six months and pulled back the final payment on an already delivered and aired advertisement. Left with no alternative, the agency head sold his car to pay the production house, which was threatening legal action. “No place to go. No one to turn to. This is where we are,” Suthan wrote, exposing the absence of a support system for independent agencies.
The challenges faced by smaller agencies are manifold. Suthan pointed out abusive practices by clients, including forcing agencies to sign lopsided contracts, demanding additional work beyond agreed-upon terms, and treating pitches as casual contests to extract free ideas. Verbal abuse, threats, and disrespect are also rampant, creating a toxic and unsustainable working environment.
Despite the existence of the Advertising Agencies Association of India (AAAI), Suthan highlighted that its high membership fees–running into lakhs–render it inaccessible for smaller agencies. Meanwhile, other creative professionals like music composers, photographers, and cinematographers have unions to protect their rights and negotiate fair terms. Advertising agencies, by contrast, are left unrepresented and unprotected.
The fallout from this exploitation is severe. Talented professionals are leaving the industry, disillusioned by its realities and low financial returns. Suthan lamented that advertising is no longer seen as a viable career choice for newcomers, with many opting for alternate paths. “We’re watching the good ones leave,” he said, warning that without immediate reform, the industry could face an existential crisis.
To address these issues, Suthan called on smaller and independent agencies to unite and demand minimum fees, fair standards, and accountability mechanisms. He emphasised the urgency of forming a representative body to protect the interests of these agencies and to challenge the exploitative practices that have become pervasive.
“This is not just about survival; it’s about preserving the integrity and future of the industry,” Suthan stressed. Quoting John Lennon’s message of unity, he concluded with a rallying cry: “Let’s come together. It’s time to get organised.”
The appeal has sparked conversations within the A&M community, with many echoing Suthan’s concerns. Whether this momentum leads to tangible change remains to be seen.