The Top Agency Pain Points—and How to Stop Them From Ruining Your Life
Running an agency is like playing Whack-A-Mole at a carnival, except the moles are massive problems and the mallet is a soggy pool noodle. Leads, retention, hiring, cash flow—you name it, agencies struggle with it. Let’s break it down (and yes, let’s laugh a little, because otherwise we’d cry).
1. Leads: Where Are They? Who Are They? Why Are They?
Most agencies don’t get enough leads because they don’t know who they’re trying to serve. You can’t just say “businesses who need help” and expect the universe to drop perfect clients in your lap.
Here’s the thing…when you truly figure out who you’re built to serve—and I mean REALLY figure it out—leads get easier. Ideal clients will start saying things like, “Wow, it’s like you get me.” (Spoiler: That’s because you actually do.)
If you’re not spending time here, congrats! You’ve found your growth bottleneck. Fix this, and suddenly prospecting doesn’t feel like yelling into the void.
Storytime – when I started my SEO agency way back in the last century, we started our life by trying to win on price – we didn’t care who the client was at all. That was stupid. It wasn’t until we REALLY thought about what we knew best and where we had the most advantage – which was ecommerce – we moved from working with a really cheap, mean satellite TV reseller in Indiana to working with companies like Bloomingdale’s in less than 6 months. (See also, my theory about Return on Understanding)
2. Retention: Stop Trying to Keep Clients by Boring Them to Death
Retention isn’t about showing clients your to-do list during meetings. Nobody wants to hear, “We optimized your campaigns this week!” Cool story, bro. But what does that actually mean?
Retention is about:
- Knowing what the client actually needs (hint: ask them during the sales process).
- Showing them you’re delivering exactly that.
- Guiding them forward, like the marketing Gandalf they hired you to be.
Oh, and if you keep signing terrible clients who are a bad fit?
That’s not a retention problem. That’s you failing the vibe check during sales.
3. Talent Recruitment & Management: It’s Not a UFC Fight
Hiring great talent is tough, but it’s even tougher if you treat salary negotiations like a deathmatch. (Pro tip: Pay people what they’re worth, and you’ll stop losing hires to LinkedIn job posts with “remote work + unlimited PTO” in the title.)
Managing people isn’t rocket science—it’s empathy, clarity, and trust. Or, as Gray MacKenzie of ZenPilot wisely puts it: “Clarity is kindness.”
Want to get better at this? Read Extreme Ownership by Jocko Willink to embrace responsibility, and Dare to Lead by Brené Brown to learn how to not be a robot.
4. Operational Efficiency & SOPs: Stop Trying to Be a Dictator
“Let’s standardize processes!” sounds great until your team hears it as, “I’m micromanaging you into oblivion!”
Here’s the secret that separates team leaders from task masters:
Don’t force SOPs down your team’s throat. Instead, define the outcomes you want, then involve your team in creating the processes. They’re the ones doing the work, so they know what’s efficient and what’s just extra fluff.
Bonus: When your team helps build the systems and has ownership over them, they actually stick to them.
5. Financial Management & Cash Flow: Why Is This So Hard?
Cash flow is the scary monster under the agency bed.
The big problem? You can’t tame it unless you know your numbers cold.
Forecasting, budgeting, and actually sticking to those budgets (gasp!) is the way forward.
BTW, “guessing wildly” is not forecasting. Make your budgets flexible enough to adjust for actual numbers, but rigid enough to stop you from blowing cash on the latest shiny object.
Still struggling? Call Marcel Petitpas from Parakeeto or Jon Morris at Fiscal Advocate—they’re cash flow ninjas.
6. Technology & Innovation: You’re Not a Developer— Stop Trying to Be One
Technology can feel overwhelming.
New platforms! AI tools! ChatGPT stealing your job!
But here’s the thing…you don’t need to become a developer to use technology effectively.
Instead, find experts who know both tech and agencies. People like Dale Bertrand of Fire & Spark and Rachel Woods at DiviUp Agency can help you choose the right tools without sinking your time into the endless black hole of “figuring it out yourself.”
Pro tip: Focus on making the right tech choices—not on doing everything yourself.
Don’t Let The Moles Win - You've Got This
These agency pain points aren’t going away anytime soon.
The key is laser focus on the essentials:
- Knowing who you serve
- Knowing what your clients need
- Knowing how to lead your team
- Knowing when to call in the cavalry
Get your head around these issues, and suddenly the agency world feels a little less chaotic. Maybe even… fun? (Okay, let’s not push it.)
Now go forth and conquer—or at least whack the next mole before it whacks you.
PS: In case you were wondering, I am the cavalry…need to book a call?