Dos and Don’ts in Agency vs. Client relationship

Agencies

Clients

Avoid the following mistakes:

Don´t be too pushy when getting a new client. Don´t send redundant emails.

Stop constantly asking “when”.

Don´t let procurement managers be in charge of choosing an agency. They often make the decision based on what´s cheapest, instead of what is best for your business.

Invest time and money into educating client to get to know your way of working, as well as take the time to understand client´s internal processes and business. This will help you to build the relationship based on a mutual trust.

Be prepared to pay for the time the agency spends with you to educate you and to know your company´s internal processes and the way your business operates. It´s a money well spent as it will allow you to build an open relationship.

Be aware that clients prefer to speak to senior managers. Junior managers don´t have all the answers to client´s questions, as they usually have to ask senior managers either way. Don´t waste yours and client´s time.

Are you still letting your assistants handle the tasks which should be assigned to the agency? Are your brochures of a low quality? Wouldn´t your save costs and energy by hiring experts?

In-house vs. external agencies.

Advantages of in- house agencies:

• hired employees are experts in their fields, they have the knowledge of the business, they don’t have to ask why
• people are much more involved in delivering the result, it´s their passion to finish campaigns and projects
• no timesheets needed, every part of the work is project based, internal measurement within the company´s system
• in- house agency has all in one place (copywriters, social media experts, e-commerce, advertising) makes communication easier

Weak points of in-house agencies:

• in-house employees often have such a knowledge of the business that they might write so professional articles that ordinary people will not understand
• briefs are often not prepared properly and in detail, because developers expect that in-house agency employees “already know” what have been meant by certain information – this causes that the campaign preparation might last longer than with an external agency
• in-house agencies lack outside market experience and overview
• failures might get very personal

What´s the agency good for?

Clients want you to provide them with true experts with abilities to listen, ask right questions and give advices.

The right agency´s representatives will only ask questions during your first meeting. Be ready to have correct answers for them.

You´ll be trustful and respectful partner for the client if you build the relationship by listening, being honest and transparent. You also must have patience with your clients as they don´t have your expertise and they rely on you. If you build the trust, you have them for years.

To build an open relationship with your agency you must have a willing attitude to do it. When you open up little bit more, the agency could make your life much simpler and deliver the results you want. You can trust them, rely on them and write emails they won´t get upset by.

Be a Consultant to your client, not just someone who´s there to send press releases, just because that´s what you´ve been told. Be the one who helps the client with things which are critical for the business.

Have clear business objectives. Outline what you expect to receive from the agency. Don’t spend money on things which aren’t critical for your company, nobody has resources to do that.

Key to a long-term relationship is to get your client to the point when she/he realizes that he cannot do without you.

Be aware that you might become reliable to your agency more than you initially wanted.

You have to know something that the most senior person on the client´s side doesn´t – work on this finding before meeting the client. After telling him this information, you will become valuable for your client.

Before you agree to pay for agency´s services, ask yourself this question: What additional value is the actual agency offering to you? What is it that they know the other agency doesn´t?

Agencies vs. Freelancers.

Your clients will wonder: Why won´t we choose a cheaper freelancer than an expensive agency? Unlike the freelancer, the agency works as a translator between client´s managers´ business brains and artistic brains of the agency´s graphic designers. Agency´s added value is also that it can show a client “the bigger picture”. Keep this in mind and perform accordingly.

When working directly with a freelancer, not an agency, you risk that your job is not delivered on time and low quality. This doesn´t apply for all freelancers, of course. For some clients and projects such a cooperation will work. However, clients who tend to fear what could possibly happen when hiring a freelancer, prefer services of the agency. Remember that agencies provide much bigger value than just preparing marketing material for you.

Have you managed to persuade your client that the agency´s services present a better option than the freelancer? Good! But don´t promise miracles, only what you can actually deliver.
Also, don´t  just wait for customers to come to you. Participate in calls for tenders.

With freelancers, problem occurs once the first proposal is not approved. As you rely on one person only, this situation will cost you more money. On the other hand, the agency is usually able to fulfil your request without you paying extra money in case something goes wrong (e.g. your boss doesn´t like visuals etc.).

Money, remuneration

Educate your client on what´s reasonable to get for such a price and what´s not. Are you paid per hour or per project? Is 10 hours spent on drafting a poster a fair deal or not? Your client doesn´t know. Show him how the agency works.

Spend enough time setting up the right budget for your marketing spend. Ask for transparency on budget proposal presented by your agency, including additional services. Provide a clear brief and set-up follow up meetings where you can review progress made by your agency. Don’t wait until the last moment to say: ‘we can’t accept this job and have to do it again’

Does a result based compensation proposed by your client sound unacceptable? Consider his offer before showing him the door. If you have a feeling this could be a long-term client, you can do some work for ‘free’ at the beginning of your cooperation. The key is to realize the earliest time as possible if this client is going to be profitable. Not after you spend weeks and weeks on the project.

Compensation on performance based may be problematic if you lack the right metrics to assess your agency work. Remember that your agency also want to be profitable business. Try to suggest a mix of a monthly fee and a success fee which serves as an incentive for an agency. Clients usually like the success fee in the area of public affairs & regulatory problems, which is what the agency can help them with by solving problems and saving client´s money.

If the client is not satisfied with the result, things are not delivered in sufficient quality, the agency should be open to discuss price again if it wants to be hired again in the future.

Discuss with your agency about objective/subjective metrics under which you will assess your agency performance. Do this before briefing your agency, so they know/engage to them with time. Unclear metrics as well as lack of communication/alignment with your agency are often known problems of the agency/client relationship.

Agency of 21^st Century

Our generation is going fast through a profound change. World of advertising is changing. New technologies will facilitate awareness of clients´ internal processes and the business. Having said that, agencies need to establish what aspects are changing and what aspects are fundamental.

Sticking to old-world thinking is the wrong way. But when choosing your future agency in a world of new language and trendy new terms, be aware that basic advertising concepts, tools, and techniques are tried and tested over years by wise, experienced people.

Agencies´ in-house teams get smaller and budgets get more squeezed. This will continue. Therefore, there might be a higher demand for external agencies in the future. In the light of this, building the trust and open relationship will gain bigger importance. Grow with your client and understand him.

Many external agencies of questionable quality are still on the market. They exist because of clients who don´t understand their business and make decisions based on price. Again, choose carefully your agency and let yourself be educated.