How Brands Choose Their Agencies

Have you ever wanted to get into the minds of the audience you’re targeting for your agency?

Now you can. I surveyed 300 brands that chose to work with an agency in 2023 to get the inside scoop on how and why they chose the agencies they did.

The report is packed full of a lot of data-driven insights from brands and their experience discovering and choosing their agencies, and you can download the free report here.

I recommend reading the full report, but I’ll review the data that fascinated me the most in this article. So, let’s dive into some juicy data with actionable takeaways.

Agency Discoverability

You may be very talented and have a fantastic agency, but are you getting your agency in front of the right brands?

Interestingly, 36% of agencies land new business through a referral program, followed closely by 32% of brands reporting that they land most of their business through Google searches.

Another thing to keep in mind is that 72% of brands want to work with a local agency and first search for agency partners in their area.

Key takeaways: Implement a referral program, this guide will help as referral programs are the number one way to land new business. Also, SEO is crucial in brands finding agencies on Google. Make sure you also emphasize localized SEO. 

How Agencies Are Resonating With Brands

Knowing what brands look for when vetting agencies to partner with will easily land you more clients so in the report, there is a lot of data about what brands look for from agencies, and here are the highlights. 

73% of brands who hired an agency for 2023 report that the agency’s social media preference played a role in their decision. LinkedIn is reported that LinkedIn is the social channel that brings in the best results.

Social proof, in the forms of testimonials, social shoutouts, reviews, and case studies plays a huge role when brands seek their perfect agency. In fact, 76% of brands rely on social proof when choosing an agency. It makes sense if you think about it as we as consumers are always looking for third-party recommendations when considering buying something.

It would be wise not just to earn social proof, but leverage it. Brands prefer agencies with strong examples of their past work in the form of social proof more than the cost of hiring the agency. 

Wondering if email marketing is an important component for growing your agency? Well, it is very important. 75% of brands report that emails from the agency that they chose factored into their decision to choose the agency that they chose. 

Key takeaway: Reaching your target audience on multiple channels, especially on social and through emails, will land you more clients, so make it a point to be more active on your channels.

Preferences Brands Have When It Comes to Choosing an Agency

Many of us have the misconception that brands want to work with large agencies with a robust track record. However, more brands than not reported a preference for boutique and niche agencies.

If you understand your target audience’s preferences, you can implement strategies to adhere to their preferences. One such preference to note is that 54% of brands hire agencies to land them new clients. 20% of brands hire agencies because they don’t have the internal resources to run marketing and PR in-house.

Since many brands don’t want to run PR and marketing in-house, it’s important to note that 88% of brands think it’s more impactful AND more cost-efficient to work with an agency instead of hiring someone in-house.

Key takeaway: Since brand growth is crucial, during your initial call with a potential client, do your research and present them with a comprehensive growth plan. Also, reference this report when pitching a brand, as many of them don’t realize hiring an agency costs less than hiring someone in-house. 

Conclusion: I Want More Brands to Choose My Agency!

Now that you have inside information about brands and how they partner with agencies, you’re on your way to success! If you want to take these strategies a step further, read this article on how agencies can find brands that don’t already have an agency.

Often, agency owners know HOW to grow their agency and land more clients, but the problem is they do awesome client work and don’t have much time to focus on agency growth. That’s where my agency for agencies comes into play, and you can contact me here to discuss how I can land you more business in the year ahead.

Why do you think your current clients chose your agency? I’d love to read your insights in the comments below!