Creative agencies are threatened by the emergence of new technology that necessitates a re-think in the means of producing video ads, and a new kind of software will need to arrive to help them through it.

That’s the view according to veteran ad man David J. Moore, the chairman of WPP’s Xaxis programmatic outfit.

Speaking at a Beet.TV leadership summit, Moore discussed the rise of what is variously called “dynamic creative optimisation” or “dynamic creative” – “the ability to design an ad on the fly for a particular user or user group”.

Unlike conventional ad production, which tends to be for a single unit, ad production for dynamic optimisation often involves creating raw materials for a multitude of different scenes and permutations. In short, the ad may be different every time, depending on the viewer.

Moore says agencies would rather hold on to the traditional way they bill for their work.

“The legacy agency business still tends tone a time-and-materials business,” he says.

“If one of these (dynamic ad-tech) companies helps them save time and money, (they) actually lose money. We have to deal with that economic dilemma.”

A new wave of company – with one foot in technology and the other in creative – is emerging to help brands and their agencies produce ads that are the creative equivalent of a choose-your-own-adventure book, in which the story is dictated by targeting algorithms.

“My belief is the creative agencies will develop what I would call ‘creative DMPs’ and use their own DMP (data management platform) to not only direct the production of future digital but also be able to work with clients and data in a way that preserves the amount of time they’re spending on the account and perhaps even increases it.”

What form a “creative DMP” may take is not yet clear. But its role is important because, as Moore puts it, the creative process, in the last couple of years, has lagged behind the new toolset that is now applied to ad targeting.

This video is part of a Beet.TV leadership summit on video outcomes presented by Eyeview. For more videos from event, please visit this page.