What do marketing agencies do
Over the past 10 years a multitude of marketing agencies have sprung up offering a range of services including website creation, seo, social marketing, and in more recent times running and managing online paid advertising campaigns on behalf of clients.
Due to the nature of supply and demand, prices for these services have always come at a premium- in the early days only web specialists knew how to get websites ranking higher in Google - seo in particular was always seen as a bit of a dark art.
However, times have now changed and thanks to the sharing of rich content there is now an abundance of information out there which has shown that anyone can do seo. Not only just seo, but there are also great frameworks to help you build websites, tools to help manage social media accounts, and tutorials to help you run paid advertising campaigns.
What was once seen as a specialist skill has now become more common place and as a result many companies are now looking to market their business themselves, bringing the marketing function back in-house rather than continuing to use expensive digital marketing companies.
Taking back control of your marketing
In 2015 a marketing survey by Media Sense, ISBA, and IPSOS Connect revealed that only 8% of brands were ’very satisfied’ with their digital marketing agency. This report also revealed a growing desire by brands to bring a number of these outsourced marketing functions in house by 2020, while 58% of respondents agree that by 2020 they will be reducing the number of agencies they work with.
Since then a follow-up market report called Media2020, has been released by the same group following up on the original findings. In this report 250+ senior marketers took part in interviews and an online survey to answer questions on key topic areas to better understand how attitudes have changed since the first baseline study.
Interestingly, this desire of companies to turn away from using marketing agencies has grown over the 2 years since the original market survey. The latest report reveals that of those surveyed, 62% of marketers are now looking to use fewer second-parties, up 4% from the previous survey.
This latest report finds that marketers are feeling more empowered in their own ability to contribute to the business success directly, realising they can do much of the work themselves without the need of using external services.
The report also reveals that although media and marketing agencies are continuing to acquire more technical tasks, they are threatened by management consultants capable of solving not just marketing challenges, but also business challenges too.
Brand safety and trust also rank highly as factors for moving away from using external agencies. It is revealed that many marketers no longer trust their agency partner with content creation, or with the amount of data they are amassing on their behalf. In fact, marketers are now 15% less likely to use an agency to develop their online content, and only 15% of marketers feel their agency is delivering on levels of trust.
The final key factor in this growing desire for marketers and businesses to move away from using external agencies is a lack of cost effectiveness, with just 29% of respondents feeling their agency partner is delivering on cost efficiency.