As a marketing director for a digital marketing agency, you’re no stranger to analytics and measurement. But when was the last time you turned that critical eye away from your clients and toward your own organization? The demand for search engine marketing expertise is at an all time high, and it’s continuing to grow. How can you make the most of this SEM momentum within your agency?
When it comes to scaling your business, the key to success is finding the sweet spot between keeping up with existing client demand and investing in your team and your services to continue to grow. Here at TangoCode, we recommend using these 3 strategies to capitalize on the increasing demand for SEM and PPC management and to make the most of your company’s resources and time.
Promote Cross-Selling and Upselling
The most practical way to scale your digital marketing agency is to upsell and cross-sell your existing clients. It is far more cost effective to promote additional services to your clients who already understand the benefits of your services than to acquire new customers.`
In order for businesses to see greater success with digital marketing, they need to use a cross-channel approach. Mashable recently reported that 72% of consumers prefer an integrated marketing approach, yet some businesses are resistant to the idea of diving into cross-channel marketing. The key is educating clients on the benefits of a cross channel approach and how to avoid the silo mentality – channel campaigns should be integrated together. Client education should be integrated into your sales process, the better they understand the benefits of your services, the easier it will be to cross-sell or upsell.
Upselling to your existing clients will allow you to provide them with better end results and you will spend less time and money growing your business. Upselling should be approached as a soft sell, incentivised with the promise of discounts, rewards programs, exclusive offers, or special pricing. One example could be a referral discount such as 10% off your next campaign if you refer another company to use our SEM services. When your clients receive more value from your services, they are more likely to continue working with you, decreasing your churn rate. When done correctly and subtly, upselling can actually lead to negative churn, which is what every business strives for.
Cross-selling and upselling may not be an option for all of your clients. Their budget, goals, or timeframe may limit their options. If you can provide your clients with examples of other clients who have seen success with a multi-channel approach vs. those who have used only one or two services, it may inspire your existing clients to use the full breadth of your offerings. Your goal is to create the most value for your clients while also scaling your business. This is the easiest way to accomplish both goals at once.
Configure Your SEM for Team Growth
As businesses grow, it’s common for productivity to decline. These “diseconomies of scale” happen for a few reasons:
- There is often a larger gap between employees and upper management
- Communication inefficiencies are often higher in larger organizations
- Team members often duplicate their efforts
To avoid a decline in productivity as your digital marketing agency takes on more SEM clients, it’s important that you manage your SEM team effectively. Your goal should be to grow your business without reaching a diseconomy of scale. Be sure that the designation of accountability is clear for your team. This clear path can help reduce duplicated efforts, and it can also decrease the inefficiency of inter-departmental communication. It’s also a good idea to minimize the distance between your SEM team members and their point of contact for each account. Rather than have the contact person meet with a senior team member, who then relays the message to an SEM manager, simply have the contact person meet directly with the SEM manager. For each additional person in a communication string, the communication inefficiencies rise.
Make Sure Your Technology Fits Your Agency
Every agency operates differently and has its own unique competitive advantages. The more you grow, the more imperative it is to develop custom solutions and systems to highlight your competitive advantages and maximize efficiency. Your business will be most efficient if all of your SEM tools communicate with each other, and if you can easily extract the data you need, quickly. The more customized your system is, the faster you will be able to scale your business and maximize profits. If you’d like some help choosing the right tools for the job, you can start with this checklist.
The increased demand for SEM services is a big opportunity for your digital marketing agency, if you make the most of your time, team, and tools, you’ll be able to get the most out of the SEM boom. For more information on how to grow your digital marketing agency, subscribe to our blog to get updates on strategies and reports on the latest trends for digital marketing agencies.
We’ll be talking more about when agencies should consider building custom solutions versus buying an off-the-shelf tool in upcoming posts, so stay tuned.