For over 60 years, advertising agencies have been helping large and small businesses alike build brand awareness and generate sales; and, while the agency-client relationship remains in good standing recent research has discovered that a number of those relationships is falling. Which begs the question, as a business owner do you really need to hire an expert in marketing?
In January 2015, eConsultancy released research conducted for SoDA that claimed client-side marketers worldwide were cutting back on the number of digital agencies they utilized for their marketing. Over one-quarter of the respondents had moved digital efforts entirely in-house – this is over double compared to 2014 data. Additionally, the number using only a single agency rose from 23% to 32% between 2014 and 2015. Only 4 in 10 businesses in the survey were using two or more digital agencies which is down drastically from 64% the prior year.
For most clients, they valued the agencies for their experience in emerging trends and additional results suggested that despite marketers’ attempts to bring digital strategies in-house, pain points still existed. These pain points are the areas that could benefit from outside help such as hiring an expert in digital marketing.
In only 2 areas did marketers report that they were “ahead of the curve” – data usage to drive digital marketing effectiveness and in user experience. Survey respondents lagged in emergent digital interaction, return on investment analysis, place-based digital experiences and innovative engagement models.
Based on the survey, below is percentage of clients who believed they were “Ahead of the Curve” for the following areas:
- 30% – place-based experiences
- 29.4% – data use
- 28.8% – user experience
- 21.9% – emergent digital interaction
- 21.9% – innovative engagement models
- 21.3% – ROI analysis
Even though more marketers are pulling back from outsourcing their digital efforts, the survey notated that there are still plenty of opportunities for agencies to help marketers innovate and outpace their competition. However, for agencies that can’t help their clients get ahead of the curve they face getting canned. In most cases, client-side marketers terminate their agency relationship due to the agency not being able to keep up with emerging trends and demands.
While most of this data applies to larger companies that can afford an experienced and savvy in-house digital marketing team, local businesses can learn from what the larger companies are doing. Instead of investing in multiple agencies for your digital marketing, hire an expert who can deliver all of the products and services you need plus keep you up to date on the latest emerging digital trends.
About Alan Moore: Alan started his career in 1999 as an Marketing Consultant and is the owner of www.ExtraPatients.com. Over the years, he has migrated his focus of expertise to everything digital. His mission is to help you increase your revenues and decrease unproductive advertising expenses through proven, online marketing strategies. He manages over $3,600,000 in yearly marketing budgets and has worked with local businesses, agencies and the US government. Give him a call to schedule a Free Online Marketing Consultation for your practice.
To read more of the article that inspired this blog, please visit:http://www.emarketer.com/Article/Do-Marketers-Need-Agencies-Ahead-of-Curve/1012517