I was asked today what makes one digital marketing firm more successful than another one. An interesting question and although at the meeting I shot off a couple of predictable answers; value, technology, team, professionalism etc... however, now sitting at my desk I got a chance to further reflect on this.
If asked the same question tomorrow, how would I respond to this question?
I guess the answer I provided in the morning was not incorrect, just one dimensional.
With more thought, I think what makes one digital marketing more successful than another is their ability to differentiate their company (the core belief system of the firm).
Here in China, almost all Digital Agencies are mostly media buying brokers. They buy media (typically on a cost per day (CPD) basis) and given their buying volumes makes this more economical than the advertisers going direct to the website. Further, Chinese Digital Agencies will offer creative services- this is almost a given as there is a more recent trend for advertisers to get creative 'free' or at a discounted rate. Most digital agencies are 'people' based and offer little in the terms of technology (big generalization here as technology is a very vague term).
So, what's my more concise answer tomorrow? Well, for the agency to become more successful than another one I would say they should find their golden goose, then give away the farm. Something I think Google has done in a masterful way. So Digital Agency leaders, identify where your firm really provides greatest value to your clients. Then support this key capability by providing additional products and services for free... Now I hear you crying what about the margins? This approach is very different to what is happening in China today. Maybe a thought beyond the capabilities of most agencies but should one get this right (and given the core paid services can provide a commercial return) the agency will most certainly establish a market differentiation.
In my opinion, Value, technology, team, professionalism should be there already or the Digital Agency should not deserve to stay in business...
What do you think?



