Core Positioning for AgenciesAgencies generally fall into one of three categories:
- Cost-effective — Leveraging advantages like currency differences or offshore/nearshore talent.
- Specialist/niche — Deep expertise in areas such as WordPress, cybersecurity, fintech, healthcare, or regulated industries (this knowledge saves clients time and becomes a strong unique selling point).
- Strong marketer — Where the work and reputation speak for themselves (rare and demanding to maintain).
Be honest about your motivations and strengths: technical skill (design, SEO, etc.) does not automatically make someone a strong business operator. Decide whether you prefer hands-on delivery or scaling through management/delegation.Building Pipeline and PortfolioDemand does not arrive automatically. Larger agencies invest heavily in lead generation, sales, marketing, and overhead, which justifies higher fees. Freelancers or smaller operators need multiple pipeline streams rather than relying on one source.Effective approaches include:
- Partnering with other agencies by offering specialized skills they need only occasionally (e.g., regulatory expertise or advanced SEO) at preferred rates to build relationships and demand.
- Showcasing expertise via podcasts, content, and networking rather than heavy cold outreach (increasingly spammy) or low-value platforms like Upwork/Fiverr (which attract price-sensitive clients and currency-arbitrage competitors).
- Solving real problems for contacts (sometimes at a discount or strategically) to generate referrals and results-based case studies. Results with one client often lead to introductions elsewhere.
- Building reputation by being the most helpful (or thoughtfully contrarian) person in relevant rooms.
Early on, working under another agency’s brand or taking strategic lower-margin work can help establish credibility before prioritizing your own brand.Client Strategy and QualityStructure clients in a pyramid:
- A-clients: High-value retainers that approach a full-time salary equivalent. Aim for a small number of strong leads annually for long-term stability. These often deliver better margins and less friction.
- B- and C-clients: Lower-value work. C-level clients are easier to win but create high administrative load, meetings, metrics tracking, and lower margins. An unbalanced mix (too many C’s) harms reputation, capacity, and sustainability.
Prefer retainer models for ongoing SEO/marketing work (with room for “bursts” of higher effort) over pure hourly billing, which can create friction with finance teams and limit flexibility. Use fixed-scope projects for discrete deliverables (e.g., website builds) and retainers for maintenance/support.Practical Business Realities
- Account for full costs (insurance, tools, admin, etc.) and build financial runway—retainers help provide predictability while chasing larger deals with longer sales cycles.
- Watch for scope creep and cost inflation in contracts.
- When scaling or hiring (e.g., SEO specialists), network with other agency owners. Evaluate talent holistically rather than via simple checklists: SEO involves understanding authority, brand differences (established companies vs. startups), reverse-engineering search behavior, and avoiding rigid ideological approaches. “Just write good content” is insufficient against competitive results pages.
- Balance personal preference for hands-on work against the need to manage pipeline and people if growth is the goal. Subcontracting can offer flexibility without full payroll commitment.
The conversation emphasizes realistic, multi-channel pipeline building, client quality over volume, self-awareness about business model and personal strengths, and results-driven reputation over pure technical output or low-value marketplaces. It includes real-world examples from the participants’ experiences running agencies.
