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Benefits of agency consolidation

Jan 15, 2024 - Megan Dituri
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Many brands distribute their marketing efforts across multiple agencies. This often results in a disconnected marketing strategy and leaves the agencies working in silos. Per Statista, the majority of U.S. businesses hired two to three marketing agencies and some with up to six different agencies. The old school mindset is that finding specialized agencies by tactic will result in better results. In reality, it takes significant internal resources and time to manage this number of agency partners.   

More and more organizations are looking to partner with one agency that can support most (or all) of their marketing needs—anything from creative and CRO to digital tactics like email, social media, paid ads, CTV and more. According to AdAge, 92% of major brands say media-buying integration is a future key priority, with one in four planning to consolidate their agency needs in the next three years.  

Cart_Jan24_AgencyConsolidationCS_Stat1

Interested in consolidating? Here are a few benefits you can expect. 
Cart_CaseStudySocial_CheckGraphicBenefits of working with an integrated agency: 
  • Streamlined workflows: Reduce bottlenecks and delays, allowing for smoother and more profitable media execution. By collaborating with a single integrated partner, organizations can eliminate redundancies in workflows. With a unified communication channel, the creative team, project managers and clientele maintain consistent understanding, ensuring alignment with client needs, priorities and goals. 
  • Better consistency in messaging: If multiple agencies are all creating content by channel, this can result in inconsistent messaging which can be confusing for your customers. Having one agency create content for all channels will allow for a more streamlined customer journey resulting in higher conversion rates.  
  • Time and money savings: Using separate agencies for each function may result in significant overlap if these agencies offer similar services. By consolidating, you will reduce number of meetings and likely save on agency fees.  
  • Better results: When you work with an integrated agency you foster a stronger relationship, enabling them to acquire the history and expertise necessary for driving increased efficiencies, managing more effective cross channel efforts and driving stronger conversion rates. This also gives the agency a bigger picture, allowing for quicker pivots in strategy to increase profitability.

 

Choosing to exclusively work with a key agency partner equips CMO's, ecommerce directors and all marketing leaders with greater capabilities to address business objectives. This approach fosters agility, positioning organizations to pivot and grow in response to evolving demands. Without the constraint of redundant agencies, marketing leaders can deliver faster results. If you are contemplating agency consolidation for your brand, Cart.com can help you explore the benefits and efficiencies it can bring.  

 

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