You can use marketing agencies to handle almost every aspect of your company’s marketing. But should you?
This is the second of a two part series on agencies. Yesterday, we tackled the argument for them. Now we’ll examine the case against them.
The Anti-Agency Argument
cost money. You are going to pay more using an agency than handling the
marketing yourself. Most agency work costs you a percentage of whatever you
spend with that agency. For example, you might spend $10,000 in paid search,
and pay the agency an addition 20% (or $2000) to manage it. So if you bring the
work in-house, you save that additional expense.
prevent you from learning. When you rely on agencies to do the work for
you, you don’t acquire the skills and knowledge about marketing your products
that you should. Every company that handles their own marketing is constantly
learning the marketplace and setting themselves up for future success.
Marketing is a core competency that all firms should be after.
- Agencies are not shareholders. I know that agencies will all say “we succeed when you succeed” when seeking your business. If you’re successful, you will spend more money with them, and that means they are more successful. It makes sense. But if you’re not successful, they still get paid. Unless you are able to pay an agency solely on performance, they will never have the same incentives as you.