How to Take Full Advantage of Two Major Opportunities for Your Agency to Leap Forward Next Year

The marketing and communications industry is undergoing upheaval.

The past two years have been pretty lean for many independent agencies. Profits have been more difficult to achieve. Quiet layoffs have been occurring frequently. 

The lightning-fast spread of AI presents another tough challenge. While most agencies have begun to implement AI for its efficiencies, they’re also experiencing more pressure on revenue and staffing.

Publicly-held holding companies have also struggled as they continue to cut costs.

Most recently, Omnicom’s acquisition of IPG will eliminate a reported 4,600 jobs from the combined operations. This is in addition to the 7,500 jobs believed to have been already eliminated by these two giants before the merger was finalized.

Long-established agency brands DDB, FCB and MullenLowe are to be retired and absorbed by Omnicom networks TBWA and BBDO. This trend is likely to spread to other holding companies as they all continue to reduce costs and become more tech-enabled.

We believe there are two major opportunities emerging for independent agencies which are ready to take full advantage of them.

Opportunity #1 – Client dissatisfaction with holding company-owned agencies

We believe that many clients will soon become concerned about how effectively their accounts are being managed at these firms in light of agency consolidations, staff turnover and the threat of conflicts.  

Clients will be closely examining continuity of staffing, maintaining focus, contributions to the client’s business, compensation and more.

This presents a significant opportunity for independent firms which stress strategy and deliver meaningful senior-level involvement (and leadership) in their clients’ accounts. 

Opportunity #2 -- Independent agencies will now have more access to top talent.

A wave of talented senior professionals at a variety of levels will soon be looking for new positions. They will be interested in joining growing and stable independent firms smart enough to identify, attract and retain them.

Even staff members who survive these events are likely to be uncertain about their futures, restless and on the lookout for new opportunities.

It will be a buyer’s market for talent which will allow independent, proactive and agile PR, marketing and communications agencies to:

• Add the senior talent required for significant and sustained growth,

• Also add other talent for those roles required to service account growth at a high level.

• Offer the senior brainpower, experience and involvement which clients are looking for without the turmoil and lack of focus which agencies within publicly-traded holding companies will soon be undergoing,

Four ways to make your agency stronger and take full advantage of these opportunities.

1. Attract, motivate and retain senior talent:

• 1It has never been more important to attract and retain senior talent than right now.

• Depth of leadership is key to your long-term success (and also agency valuation/attractiveness to potential buyers).

• You may need to add top talent in order to grow (rather than vice versa).

• Competitive salaries, benefits and agency culture are important but often not enough for the best people.

• You also need to understand and be ready to offer long-term invectives to attract and keep them. 

Prosper Group has the executive search experience to identify and then help you recruit these people. You can learn much more about this highly important topic HERE

2. Sharpen your agency’s positioning/brand proposition:

• Be meaningfully different… or you’ll disappear amidst all of the competition.

• Differentiate based on what you know and not what you do (which is generic).

• Develop processes and IP which support your positioning (and present opportunities for premium pricing to clients).

• Place your brand proposition front and center in all you do.

3. Ramp up your marketing program:

• Aggressively pursue new clients.

• Target specific prospects based on what you know best and have compelling reasons to win.

• Maintain an insight-rich and relentless e-mail effort to all prospects and influencers.

• Ensure all elements of your business development efforts are efficient and effective  (including dedicated team, prospecting, presentation development and delivery, follow-up with lessons learned).

You can read more of our detailed thinking on how to build a more powerful marketing function for your agency HERE.

4. Embrace strategic planning:

• Agencies which develop and then faithfully execute a strategic plan grow faster than those which do not.

• A goal without a plan is just a wish.

You can learn more about the importance of strategic planning and how we can help you develop yours HERE. 

We’re here to help you prosper.

Prosper Group exists to help the owners of independent marketing and communications agencies achieve their ambitions and maximize the value of their life's work.  

Our team of former agency leaders and owners focus their deep experience on implementing proven proprietary methodologies across our three practices of agency performance, owner exit planning and M&A transactions in order to drive owner and agency success.

To learn more about us, please visit our Services page.