Most ad agencies have an unfocused new business strategy. They try to be everything to everybody. Tim Williams, in a recent article titled, “Focus to Grow”, says,
“In turbulent times … The natural response is to “try a little bit of everything”; to expand your services, broaden your capabilities, and try to appeal to more clients. It seems like common sense, but it’s exactly the wrong response. The best growth strategy — in good economies or bad — is to decide what not to do.”
Tim sites these five benefits for the agencies that are willing to expand by narrowing their focus:
- The greatest earning power. It is a no brainer, a specialist will always earn more than the generalist.
- The largest geographical market area. “Focused firms draw clients from all over the globe, not just from their own Zip code.”
- The fewest competitors. ”The easiest way to narrow your competition is to narrow your focus.”
- The greatest degree of respect from clients. ”Knowledge and expertise = respect.”
- The most sophisticated clients. “A quality value proposition attracts a quality client.”
There are a lot of agency principals that agree with this thinking but are afraid to take the initial step-out. I understand their hesitation. But there is a way to take the initial steps without the perceived risks through the use of social media. Social media allows an agency to:
- “Easily” target a specific audience (i.e. Locomotion Creative, Blue Collar Branding)
- Discover its most appealing point of differentiation through an active engagement with its best prospective clients (i.e. Stephanie Holland, She-conomy)
- Be positioned as an expert (i.e. Park Howell, A Brighter Shade of Green Marketing)
- Affordably build a national awareness among your best prospects (ie. Jaci Russo, The Russo Group)
- Allow your prospects to better understand how you think, your philosophy and strong points of view (i.e. Bob Hoffman, The Ad Contrarian, )
These are some helpful articles to get started. I would also encourage you to read Tim Summer’s book Take a Stand for Your Brand
- Social Media “Teaches” Ad Agencies to Promote Themselves the Right Way
- The Best First Steps into Social Media for Ad Agency CEOs
- Socializing Your Ad Agency’s New Business Development
- A Guide for Ad Agencies: The Cost and Servicing of New Media
- 40 Ways to Take Your Ad Agency’s Blog to the Next Level
- SlideShare: Fueling Ad Agency New Business Through Social Media
- Using Social Media for Ad Agency Lead Generation
- Four Ways Social Media is Changing Advertising Agencies New Business
- 50 Ad Agency New Business Tips
Another great post Michael, it’s 100% true-agencies have to define who they’re going after. Many think that strategy can be too confining, but our experience also shows it’s the path to more wins. (BTW,what I really like is the sheer amount of information you provide in the form of follow-up links. Now, will I be able to get through all of them?)
Thanks Lee. You kind words are very much appreciated.
A perfect match to your great “narrow your focus” advice is the companion fact that there are times to amp up your energy level. Most people can’t seriously maintain a peak throughout the year especially with what we all have gone through.
But in a word, now is the time. Nearly half of the 25 TV stations Ambit has placed in over the years have told me that July was pretty good, August was better and September looks great. So the turn around is coming, even if you don’t quite feel it in new business yet. Now is the time to make a big different for your next year.
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Absolutely great insight. Trying to be all things to all companies will result in being nothing to anyone. The shotgun approach to new business in this environment is a very inefficient approach and will not yield the desired results. Thanks for keep us on task Michael.
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