Choosing between Independent Media Agencies and Large Holding Groups can greatly impact a company’s marketing strategies and financial outcomes. This article outlines six key factors to consider when your brand is deciding between an Independent Media Agency vs Large Holding Groups.
1. Agency Expertise and Experience
One of the most important considerations is the media agency’s expertise and experience. Large holding groups have the resources to boast a client portfolio with big brand names, and independent agencies often focus on sectors and specific client profiles that align with values.
Independent media agencies have fewer resources, so the team is strategically made up of more experienced marketers with specialized expertise. This extensive expertise enables independent media agencies to craft deeper strategies to help brands effectively engage the target audience and increase market reach. While large holding groups may have expertise at the senior levels, there is an even larger team of generalists that are working on day-to-day with clients. With independent media agencies you will work directly with the team without any middlemen or generalists.
Make sure to ask for case studies, client references, and details about how they approach campaigns to gauge their expertise and process. Independent media agencies usually have a healthy mix of being scrappy yet organized — and that’s something to embrace when you’re working with a team of marketers who have decades of experience combined.
2. Communication and Transparency
Transparency is nothing revolutionary. In fact, transparency must be the basis of agency partnerships. From performance metrics and advertising spend to operations and reporting, open communication between your agency and team is pivotal. Some larger holding groups have complex operational requirements that lead to lack of clarity in campaign reporting and ad account ownership.
With an independent media agency, communication is often more transparent because you a more direct relationship. This leads to better understanding of advertising spend, clearer evaluation of campaign performance, and alignment in strategy. Independent media agencies that are open in their communication are often true partners for many years with brands through growth.
3. Data Ownership
Big holding groups have a tendency to keep things close their their chest. Clients who work with large holding groups face challenges to gain complete access to their advertising accounts and especially challenged with access when clients leave for independent media agencies.
When you work with independent media agencies, you own all your ad accounts, your data, and reports. No matter the size of your business, an independent media agency will work with you to ensure that any data from your campaigns is secure and 100% owned by your team from day one.
Note: Account ownership transfer is possible. When a large holding group say otherwise, it is simply untrue.
4. Responsiveness
For any sized business, the agency team’s responsiveness must be reasonable and timely. The media agency you partner with should be able to provide responses within 24-hours of your inquiry, and within a few hours when the issue is urgent and threatens operations.
Large holding groups may have extensive resources but because of the large portfolio or demanding client projects, they are often stretched with the larger clients’ projects. That means leaving many clients with delays and unmet business needs. Independent media agencies have more focused portfolio of clients and they can provide more flexibility, higher response rate, and attention to their clients as they grow.
5. Cost Structure
The old adage “you get what you pay for,” does not directly apply when it comes to agency costs. While large holding group costs are much higher than independent media agencies, the quality does not always justify the higher fees that large holding groups charge. In addition to high agency fees that large holding groups charge, clients are also locked into annual or multi-year contracts.
While some independent media agencies have 6- or 12-month contracts, they tend to be more flexible and agreeable with clients. The pricing that independent media agencies can afford is due to more efficient employee structures, no expensive office space leases, no extravagant expenses, and better operating margins. Unlike larger holding groups, the independents do not have these additional costs to be concerned with.
6. Digital Proficiency
You want your agency to be proficient in all disciplines of digital advertising. At the minimum, your agency must have their finger on the pulse of the industry. From the latest beta features available in social media and search to digital platforms and software. An independent media agency stays up-to-date with digital trends so they are aware of cutting-edge strategies to help clients navigate their digital journey.
The reality is that in most independent media agencies, the team has shared responsibilities and commitment to make things successful. In larger holding groups, most employees are there to do good work and collect paychecks. There is more skin in the game for independent media agencies with more risks than the larger holding groups with an almost infinite amount of resources to keep the lights on.
Summary
Although large holding groups can provide a wide range of services and resources, an independent media agency might deliver more personalized, transparent, and adaptable offerings. This approach allows for a customized strategy in media advertising investments, which can be especially advantageous for medium-sized companies.
It is crucial to carefully assess each agency’s expertise, transparency, digital capabilities, and scalability to make the most informed choice. Doing so will ensure that your media advertising investments are effectively managed and yield the highest possible returns.
