How to Increase Revenue of Your Marketing Agency: 9 Easy Strategies in 2023
As the owner of a marketing agency, you are probably too familiar with the constant struggle to find new effective ways to increase revenue.
You can experiment with many different strategies – from setting defined goals to expanding into new marketing channels, yet how to be sure that it will work? As frequently the case, trial, and error is your best bet. Today, we’re looking into 9 proven ways to boost your agency’s income, attract new clients, and retain the existing ones. But first, let’s quickly recap why exploring new opportunities to increase revenue may not be easy.
Common challenges marketing agencies face when trying to increase revenue
Increasing revenue is a complex process that comes with a unique set of challenges.
One common hurdle is market saturation. The digital marketing industry is highly competitive, making it hard to stand out and attract more clients. Here, it would be best if you could partner up with some brands that offer holistic marketing experience so that your agency’s clients can manage all their marketing initiatives from a single platform. That will likely give you an upper hand against the competition!
Another challenge is maintaining the balance between acquiring new clients and retaining existing ones. While new customers are essential for growth, nurturing existing relationships is vital to stable, sustainable revenue. You must ensure you don’t leave your long-term clients unattended and regularly improve your service offer to keep them interested and engaged.
Moreover, digital marketing agencies often face budget constraints, limiting their ability to invest in new technologies or platforms that could enhance their service offerings. Try to opt-in for the most optimal cost-vs-quality ratio when selecting tech solutions to partner up with. And, more importantly, always keep your client’s interests in mind – it may seem like a good idea to sign up for an expensive expert enterprise-level software like Salesforce, but what good would it do if most of your clients are small business owners?
Despite these challenges, the 9 strategies presented in this article provide viable routes to navigate the landscape and achieve revenue growth for your agency and your clients.
1. Set defined goals for your agency’s performance
One critical step to increasing your revenue is setting clear, quantifiable goals. This way, you can envision a roadmap for your efforts and set a benchmark for evaluating success.
For example, you might aim to increase your client base by 15% or boost the average value of client contracts by 20% over the next year. To get started, define your revenue targets, break them down into achievable objectives, and communicate these goals across your team. Remember, goals should be SMART – Specific, Measurable, Achievable, Relevant, and Time-bound.
Track the progress towards the goals you’ve set at regular intervals. Some of the relevant KPIs worthy of keeping an eye on at this stage could include the percentage increase in client acquisitions, growth in revenue, or improvement in conversion rates for client campaigns.
2. Focus on lead generation
Lead generation is vital for revenue growth as it directly contributes to the number of new client signups you receive.
There are many lead generation strategies out there that you could try yourself or enable as one of the strategies for your clients. For example, you can generate leads by offering a lead magnet, such as a free eBook on digital marketing trends. Another strategy is hosting webinars on topics relevant to your services and your target audience’s interests.
In order to run an effective lead generation campaign, you need to use reliable marketing automation software that will keep track of your signups, ensure smooth communication with prospects, and convert possible leads into future clients via regular nurturing. With a tool like GetResponse MAX, you can set up automation workflows that will allow you to pay minimum attention to the lead generation process, access a hosting platform for all your webinars, and send follow-up communications via SMS, web pushes, and email. This way, you can build an entire campaign, analyze its performance, and optimize it if needed – all from a single tool!
3. Join Partner Programs
Joining partner programs can open new revenue streams. These programs often offer referral commissions, so you will gain access to the exact software you and your clients may require and earn a fair commission while doing so!
For example, you want to leverage marketing automation, email marketing, and cross-channel communications. Instead of opting out for several different tools, you can access AI-powered content creation, website builder, enhanced email deliverability approach, and custom pricing with the GetResponse MAX partner program. Then, all you have to do is persuade your existing customers to use it, and just like that, you’ve unlocked a new revenue stream for your agency.
How? Here’s how:
- Referral Commissions: The GetResponse MAX Partner Program offers the highest commission in the SaaS market with up to 50% commission customer lifetime. This presents an excellent opportunity for agency owners to earn additional income.
- Comprehensive Marketing Solution: GetResponse MAX offers an all-in-one solution for email marketing, landing pages, marketing automation, webinars, and more.
- White Label Options: GetResponse MAX provides white-label options, allowing agencies to customize the platform with their branding.
- Dedicated Support: GetResponse MAX offers dedicated support for their partners, ensuring you get the help you need it. This level of support can help your agency deliver better services to your clients.
- Integration: The GetResponse platform integrates with numerous other tools and platforms, making it a flexible solution that can easily fit into your clients’ existing workflows.
- Client Management: GetResponse MAX also includes features for managing and monitoring client accounts, making it easier for agencies to keep track of their client’s campaigns and performance.
4. Invest in paid advertising
Paid advertising can significantly boost your agency’s visibility, further enhancing your lead-generation efforts. It is one of the most costly yet effective techniques for increasing your agency’s revenue. PPC advertising drives 50% more conversions than organic link visitors.
Use platforms like Google Ads for search engine marketing or Facebook and LinkedIn Ads for social media advertising to your advantage. For example, a well-optimized Google Ad campaign can propel your agency to the top of search results for relevant queries. At the same time, a targeted LinkedIn Ad can position your services in front of decision-makers in businesses that need digital marketing support.
Mix and match different paid ads across various platforms to maximize your reach and ensure people have heard about your agency’s achievements.
5. Analyze data on customer purchases and product preferences
Analyzing client data can help you tailor your services to meet their needs better, leading to higher customer satisfaction and increased sales.
This might involve using Google Analytics to understand which services attract the most traffic to your website or analyzing client feedback to discern which aspects of your services are most valued. Or you can check tools like Hotjar for the heatmaps of the most in-demand touchpoints your website has to offer to potential clients.
Plenty of helpful analytical solutions can help you make data-driven decisions when it comes to improving your clients’ business effectiveness.
6. Develop targeted promotions
With insights from customer data, you can design targeted promotions to engage specific customer segments.
For instance, if data shows that your e-commerce clients respond well to SEO services, offer them a discount on an SEO package. Or, if your small business clients frequently request social media services, create a bundled package of these services at a special rate.
Here, it’s important to remember tailored personalization. Gathering zero- and first-party data and relying on enhanced analytics will be of high importance at this stage.
7. Use multiple marketing strategies and channels
Diversifying your marketing strategies ensures a wider reach. More importantly, it creates an impression that you are present exactly where a specific segment of your audience expects you to be.
Use content marketing by publishing insightful blogs on your website, attracting organic traffic, and positioning your agency as a thought leader. You could also leverage email marketing, sending subscribers newsletters with valuable content and promotional offers. Don’t forget social media platforms like LinkedIn and Twitter for sharing updates and engaging with your audience. Add a couple of Youtube videos to the mix, and voile – you have a demand-generation marketing campaign that spans at least 4 channels.
8. Increase Client Retention
Retaining existing clients can often be more cost-effective than acquiring new ones.
To do this, ensure excellent customer service, regular communication, and consistently high-quality work. For example, you might offer a loyalty discount to long-term clients or provide regular check-ins to understand their evolving needs and ensure their satisfaction with your services.
9. Upsell and Cross-sell to Existing Clients
Upselling (offering higher-end services) and cross-selling (proposing complementary services) can boost your revenue and remain almost seamless for the client. That’s why it’s such an effective strategy that nearly all industries turn to when needed.
For instance, if a client purchases SEO services, you could upsell by suggesting a comprehensive SEO+SEM package. Or, you could cross-sell by offering social media marketing services to complement their SEO strategy.
Increasing your digital marketing agency’s revenue in 2023 involves a blend of targeted strategies.
Experiment with different combinations of them or try to build a marketing funnel encompassing every strategy presented in this post, and you’ll likely notice an increase in your agency’s revenue soon.