Innovating in Agency Services: Rethinking Traditional Business Models
As agency founders, it’s crucial to periodically reflect on our core offerings and business strategies. Recently, I had an epiphany: after five years of consistently selling a similar service—permanent placement at 20-25%, with a three-month sliding scale rebate and 30-day payment terms—I realized that this model has become somewhat of a standard in our industry.
This approach is something I learned early in my career, and many of us pass down similar frameworks to junior team members. It’s familiar, reliable, and has served as the backbone for countless agencies. However, standing still with this model may not be sustainable, especially considering the increasingly competitive landscape.
The industry appears to be slipping into a race to the bottom on pricing, fueled by a surge of new agencies entering the market—many of which I admit to having contributed to through our own competitive practices. While confidentiality around our unique strategies is understandable, it prompts an important question: Are we all essentially offering the same services within similar niches and locations?
If so, what can truly set us apart? Are there agencies out there doing something genuinely disruptive or innovative in our space? Or are we all still operating within the confines of outdated models from the 1990s?
The need for innovation is clear. To remain competitive and relevant, agency founders must explore new avenues—whether that means redefining service offerings, targeting underserved niches, leveraging technology differently, or adopting novel business models.
In conclusion, it’s time to ask ourselves: Are we content with the status quo, or are we ready to challenge industry norms and lead with disruptive, forward-thinking approaches? The future of agency work depends on it.