Marketing Agency Setup Advice Please ...

[Reputer459]

Hi All,

My expertise lies within digital/search marketing, with nine years of unadulterated specialist experience. I've managed end-to-end account optimisation for large global brand accounts. I have a track record of delivering excellent results working for leading international digital agencies and well established SaaS and e-Commerce based organisations.
Therefore, it would be a natural fit to transfer my knowledge and skills to a business that offer these services. I've managed individuals but never run a business; I have a deep-seated desire and passion for becoming my own boss while living on a modest but comfortable income.

I have always wanted to run a digital agency, but remotely, free time is a virtue I am hoping to gain more of as a long-term personal goal, to spend with my wife and 1-year-old daughter.

To keep overheads down, due to hardly any initial investment, I would like
to adopt a white label model, i.e. leverage a reputable white label overseas partner I've worked with before that delivered good results, freeing me up to gain new clients and walk through the discovery process (understand requirements), feeding this on to the outsourced team.

I cannot do all the work myself (but I will for premium rates), and I sure as don't have the funds to hire.

There are a myriad of agencies I know, but I have plans to attack the market differently, in addition to offering my time for challenge specific solutions (an analogy I use is special forces for critical specialist tasks) and strategic implementation plans, I will look to sell as a separate revenue stream, which tangibly shows how to get promising ethical results) all while working with a white label partner for 80% of the service offerings. In essence, the breakdown of the services will be;

> 80% White Label Agency Partner (optimisation / possibly management of clients)
> 10% Special task operations work (utilising my time) charged at a premium rate - potentially packaging specialist tasks as a solution to upsell to existing clients
> 10% Upsell of tangible strategic and tactical plans by business model (by industry/niche) charged at a premium rate - harnessing the library of work I have done to date. Sold through the same agency site (Although presented as a different experience as the user navigates the website).

I'm not sure where to start, and I could do with a Mentor. I'm hoping someone can help point me in the right direction in as far as;
a) Does there appear to be any flaws in the initial commercial viability of the plan
b) Are there any mentors or resources of individuals who have taken this route and started their agency? that I can tap into; free or paid
c) What am I missing? or should I take into consideration?
d) Anything you feel would help me ...

I welcome and look forward to your responses, and thank you for your time in reading this post.

 

[Mark T Jones]

To be blunt

You are setting up a marketing agency, but this post is big blocks of text and business-speak.

In plain English

- What are you offering?
- To Whom?
- What is you USP?

 

[Frank the Insurance guy]

Hi @Reputer459

Well done on looking to step out on your own. There will be plenty of advice on this forum, so ask!

harnessing the library of work I have done to date

Assuming this library of work was created whilst with your current employer, I would suggest you check regarding any ownership/intellectual property rights and clauses in your contract - if they own the intellectual property, expect them to come at you!

 

[Reputer459]

Hi @Mark T Jones, Thanks for your response, all advice is well received. Please see my reply below;

• Long Term USP: I would like to set up a one-time purchase on-demand resource led and webinar-based service providing a DIY Solution/Toolkit; which includes tangible examples via webinars as well as provision of self-branded value-rich resources and templates to start-up and small businesses (not excluding mid-large businesses), empowering companies to implement step-by-step strategies and tactical plans to gain significant gains with limited time/involvement.
• Short-term USP: However, I first want to build a client base through a somewhat conventional marketing agency (leveraging 80% white labelled outsourced services).
• Short-term USP - Specialist offering: 10 % of my time spent implementing specialist task-specific actions, which typically agencies shy away from but I'll charge premium rates for. I would then use the client base from the agency to pilot the new business concept, as it will be a higher-risk commercial concept to get off the ground, or do you disagree?

 

[Reputer459]

Hi @Frank the Insurance guy thank's for your kind sentiments.

The collection of work I have is vast and it has been neutralised, progressively updated and enriched, mitigating data sensitivity issues. I have been informed what I have is gold dust from family and friends who run businesses big and small and they would be prepared to pay a premium for the resources, this is a business model that's untested and I would want to use the client base from the agency I set up to test the concept, If it doesn't get the traction I have other avenues of approach which leverage SaaS technology, again, the idea would be to leverage the initial client base from the agency so I keep risk down.

Does this seem like a sensible approach, or have I got this all wrong and should lead with building the 'on-demand' concept and taking that to market independantly, leveraging all of my time and efforts?

 

[BusterBloodvessel]

Honestly...reading this thread is giving me a headache. Why use 2 words when 27 will do?

Two bits of advice from my perspective;

1. Don't rely on the fact that friends and family say you have "gold dust". Never rely on the opinions and feedback of any friends and family when starting any business.

2. If you want to work with start-up and small businesses, then seriously, I would suggest making your language and terminology somewhat more down to earth and realistic. People don't want some head-scratching lingo straight out of a business textbook;

Hi @Mark T Jones,

• Long Term USP: I would like to set up a one-time purchase on-demand resource led and webinar-based service providing a DIY Solution/Toolkit; which includes tangible examples via webinars as well as provision of self-branded value-rich resources and templates to start-up and small businesses (not excluding mid-large businesses), empowering companies to implement step-by-step strategies and tactical plans to gain significant gains with limited time/involvement.

If I was a new business owner, this does absolutely nothing to tell me how you can help me. If I read it over multiple times and simplify it I think I get that:

- You are selling an online based service
- I'll get access to some webinars (about what???)
- I'll get some resources (which are??)
- I'll get access to some templates (for what? marketing plans? budgets? letterheads? growth strategies? business plans?)
- These webinars, resources and templates will then "empower me" (so no input from you??) to magically grow my business without too much effort.


I've no idea what you're offering.

 

[fisicx]

• Long Term USP: I would like to set up a one-time purchase on-demand resource led and webinar-based service providing a DIY Solution/Toolkit; which includes tangible examples via webinars as well as provision of self-branded value-rich resources and templates to start-up and small businesses (not excluding mid-large businesses), empowering companies to implement step-by-step strategies and tactical plans to gain significant gains with limited time/involvement.

That's not a USP. And it's not how people and companies consume resources.

I have been informed what I have is gold dust from family and friends who run businesses big and small ...

Of course they will say this. What they won't do is actually cough up for your toolkit.

You aren't offering anything people can't already get, often for free.

 

[ChrisGoodfellow]

Long Term USP: I would like to set up a one-time purchase on-demand resource led and webinar-based service providing a DIY Solution/Toolkit; which includes tangible examples via webinars as well as provision of self-branded value-rich resources and templates to start-up and small businesses (not excluding mid-large businesses), empowering companies to implement step-by-step strategies and tactical plans to gain significant gains with limited time/involvement.

Try thinking about how you would explain your new business to someone at a BBQ, in a bar or similar social occasion. How can you explain what you do in two (short!) sentences, so that anyone can understand?

Refining your proposition is a critical element of starting up. It's worth the effort to get it right!

 

[Dillon Lawrence Ltd]

I think selling DIY marketing toolkits would put businesses off from your other offerings as it sort of cheapens the whole thing. Why pay you at all if the toolkit does what they need (we know it won’t)? No agency would be taken seriously selling guides on how to market. They usually feel a bit spammy to me.

By also upselling toolkits (which have no recurring revenue) to your agency clients, surely that’s business suicide as clients are the ones bringing in recurring revenue. It’s like Kwik-Fit teaching everyone who comes in how to fit tyres.

I’d focus on just the agency business. How do you intend to get clients?

 

[Paul Norman]

There is one major challenge here, before we even get to answering your specific - and valid - questions.

From what you are writing here it is impossible to work out what you are proposing.

You need to boil down your business offering into clear products, free of jargon, that make utter sense not to business advisors but to ordinary folk like us. Some of whom are, of course, business advisors.

Digital marketing is a very busy space. And people who buy it are often busy people. And busy people, when presented with long sentences that do not immediately seem to say anything, walk on by.

Keep it much, much simpler.

 

[NickGrogan]

Have I got this right?

You've managed people doing SEO for clients, but not actually sold anything, managed clients or done the work.

You want to start your own agency to have lots of free time.

You don't have any money.

You want to send the work to an SEO team in India under a white label.

You plan to work differently by offering a standard service, premium service and training service (this is exactly how every other agency works)

You've stolen a bunch of stuff from your previous employer, changed a few words and now think it's worth a fortune and you can use it and no one will notice.


And you want a mentor to do all the bits that you're missing, ideally for free.

 

[Reputer459]

Sorry for the late reply, everybody.

I take all your advice and suggestions; on reflection, I don't believe the webinar and resources service offering is a viable business concept.

This leaves me with the Whitelabel agency idea, I agree there is no direct USP, other than I will act as a 'special forces' operations lead to deliver solutions to real business problems, and I will sell services in this capacity, e.g. solution one hyper-awareness, solution two hyper-growth package etc...

To clarify, my skill set lies in the technical aspects of delivery, i.e. implementation and client and budget management (the entire life-cycle).
I have been active in the industry for nine years now and wish to be my own boss, slowly but surely moving away from my full-time role as a technical data analyst for Just Eat. I've done some moonlighting and had a positive experience, which is encouraging.

I don't, however, have the time to manage multiple clients and scope of work, which is why I am considering working with two gold standard Whitelabel companies that can work to my specification, I have worked with them before at an agency, and they are proficient and highly-skilled, although I would make fine-tune changes and propose strategic direction.

My question then is a white label concept a viable business model If I bring on board a mentor and set a reasonable markup on services, e.g. 30-50%.

 

[Mark T Jones]

Sorry for the late reply, everybody.

I take all your advice and suggestions; on reflection, I don't believe the webinar and resources service offering is a viable business concept.

This leaves me with the Whitelabel agency idea, I agree there is no direct USP, other than I will act as a 'special forces' operations lead to deliver solutions to real business problems, and I will sell services in this capacity, e.g. solution one hyper-awareness, solution two hyper-growth package etc...

To clarify, my skill set lies in the technical aspects of delivery, i.e. implementation and client and budget management (the entire life-cycle).
I have been active in the industry for nine years now and wish to be my own boss, slowly but surely moving away from my full-time role as a technical data analyst for Just Eat. I've done some moonlighting and had a positive experience, which is encouraging.

I don't, however, have the time to manage multiple clients and scope of work, which is why I am considering working with two gold standard Whitelabel companies that can work to my specification, I have worked with them before at an agency, and they are proficient and highly-skilled, although I would make fine-tune changes and propose strategic direction.

My question then is a white label concept a viable business model If I bring on board a mentor and set a reasonable markup on services, e.g. 30-50%.

You haven't given us any meaningful information to answer your question.

Your idea is far from unique - success or otherwise will depend on your execution and research.

What role do you expect a mentor to play?
What have you budgeted for their services?

 

[Reputer459]

Thanks for your message @Mark T Jones

You haven't given us any meaningful information to answer your question.

Can I clarify please what meaningful information would be useful?

I concur with you, the model is not unique, the idea is to enter tye market and for me to get real exposure and experience. I will then invest into R&D of cloudy based technologies that I can incorporate into the business as a mid-long term approach.

I think a mentor that has proven experience in operating a start up agency and has built or invested in proprietary tools and services would be great to guide my process. I will pay the requested rates, it's invaluable to tap into this kind of insight.

Do you have any suggestions regarding markup of services if dealing with a whitelabel company? And what questions should I be seeking answers too before embarking on this approach? I have meetings booked with these companies and It would be fruitful to obtain knowledge of what to ask and/or which resources to look at.

Thank you for sharing your wisdom.

 

[MBE2017]

OP, you need to stop using your technical speak, and learn how to sell your idea, both to the white label companies but most importantly your end clients.

Develop an elevator pitch, you have 30 seconds to explain, in a simple way, to an average person what you can do for them. Your current posts, as you can see, currently raise more questions than answers. In the real world of business, the hard end, selling your services for money, most prospects will be bored and give up trying to work out what you do. Several have asked already and are no further forward in getting an answer.

You need to dumb down your explanation, it might sound great in a marketing meeting, but will be of no help anywhere else. You need to become a chameleon, become, act and talk like your prospects. Unless you can convey this, no point in starting.

 

[fisicx]

@Reputer459 - have you ever used a whitelabel product before?

If you say you do t have the time to manage multiple clients then you don’t have the time to run a marketing agency. By their very nature they are client focused and very hands on.

 

[BusterBloodvessel]

Honestly - I still have no idea what you want to do, what you want to offer, or how you expect to help people.

Bearing in mind I work in marketing and I'm used to dealing with multiple external agencies then I would say that you need to rethink your pitch and how you communicate what you can or want to offer.

 

[Paul Kelly ICHYB]

@Reputer459 I think from what other people have boiled down I understand what you want to achieve, but, can you explain it in one sentance? OK, two, maximum! And not long ones.