How to Build a Profitable Digital Marketing Agency in 2023
May 09, 2023Are you looking to build a profitable digital marketing agency? If so, you're in luck! In this blog post, we'll break down the four core principles that you need to make your goal a reality.
We've got some valuable insights from Lauren Oakes, CEO of Megaphone, who won 12 Stevie Awards at the 2022 International Business awards, including six Gold Awards. With over 120 staff and 300+ clients, Lauren's team at Megaphone are true market leaders.
So let's dive into the four core principles that you need to follow to build your own profitable digital agency.
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Innovation
The digital marketing environment is a fast-changing industry, and what works right now may not work in 6-12 months from now. To survive and thrive in this landscape, you need to always be ahead of the game and bring new ideas and strategies to the table for your clients. This means testing your strategies and trying out new ideas in your own campaigns. So the first principle you need to master is always innovating and being ahead of the game.
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Build your team in a way that it becomes the best place to work
To be truly successful, you're not going to be able to do everything by yourself. Even as a freelancer, you'll need support staff. So it's important to build your team in a way that it becomes the best place to work. According to Lauren, one of the core principles that they use at Megaphone is hiring "efficiently excellent" people. This means looking for attitude over skill. While a base level of skills is necessary, a person who is always willing to learn will become more successful than someone who is currently highly skilled. Remember that in this industry, attitude is more important than skills because a person with the right attitude is always happy to learn and take on new market trends. Hire people who want a career in digital marketing, not just a job! -
Personal growth
To build success, you need to invest in yourself and find mentors who are further down the track than you. The principle here is that you're making sure that the company does not outgrow you, and that you do not become the limiting factor in your business. This means being open to change and embracing discomfort. Change is hard, but it's also worthwhile. As this channel and my Google Ads coaching business has grown, I've had to put in place a different mindset, systems, and daily schedule than what it looked like even six months ago. Personal growth is key to staying ahead of the game. -
Sales and getting new clients
For small digital agencies competing with larger agencies, signing new clients can be challenging. Lauren's advice is that the initial touchpoint or conversion with a potential client will always be the most important. To sign new clients, you need to have meaningful conversations with potential clients and find out what their real needs are, remembering that they have a life and family. The goal of needing 100 sales a month will have a deeper, more meaningful impact. So for success with sales, it often comes down to those meaningful conversions, not just the size of your agency.
In conclusion, building a profitable digital marketing agency is challenging, but by following these four core principles, you can make your goal a reality. To see the full interview with Lauren, where we discuss these points in further detail, follow the link below. Good luck on your journey to building a profitable digital marketing agency!
