Seven reasons why you should network with competitors

Surely revealing your challenges, secrets, ideas and clients to other agency owners would be commercial suicide wouldn’t it?

But more and more I see agency owners joining agency communities. Why?

These communities provide an opportunity for people to learn, develop their knowledge and social skills, and provide a safe space to discuss the rollercoaster ride that many find the marketing agency world to be. 

When we founded the Agencynomics community in April 2020, our objective was to create a collaborative space for owners of independent agencies to network and build relationships on a more regular basis and help each other to survive and thrive. We understood the power of networking and being transparent about business challenges with others. In other words, we wanted to create a platform for people to more proactively progress partnership opportunities, as it is an area often overlooked by agencies in their marketing plans.

Over the years I’ve seen numerous agency owners dabble in partnering with others on work, marketing and learning. Often though, agency owners didn’t know where to find a potential collaborative partner or felt wary of doing so. The community was born to help provide that platform for owners to explore building and fostering collaborative partnerships. 

Some key reasons why partnerships are important in my view in the agency landscape:

1. Access to Resources: Partnerships allow agencies to access resources that they may not be able to afford to invest in themselves. This could include financial resources, technology, expertise, distribution channels, or customer bases.

2. Synergy: Partnerships can create synergies where the combined efforts of two or more agencies result in a greater outcome than the sum of their individual efforts. For example, a partnership between a technology company and a marketing agency may result in innovative marketing strategies powered by cutting-edge technology.

3. Risk Sharing: Partnerships enable agencies to share risks associated with new ventures or projects. By spreading risk among multiple partners, each party can minimise their exposure to potential losses while still benefiting from the potential rewards.

4. Market Expansion: Partnerships provide opportunities for agencies to expand into new markets or reach new customer segments. This could involve partnering with agencies that have a strong presence in specific geographic regions or demographic groups, which your agency wants to get in front of.

5. Innovation: Collaborating with partners can foster innovation by bringing together diverse perspectives, expertise, and resources. Through partnerships, agencies can access new ideas, technologies, and approaches that can drive product development, process improvement, and overall innovation within the business. A number of my clients have used the “lunch and learn” format to build relationships and share knowledge with other agency teams for the greater good of both agencies.

6. Competitive Advantage: Strategic partnerships can provide agencies with a competitive advantage by differentiating their offerings, enhancing their value proposition, or strengthening their market position. Partnering with complementary agencies can help businesses create unique solutions that meet the evolving needs of customers more effectively than competitors.

7. Relationship Building: Partnerships can strengthen relationships with customers, suppliers, and other stakeholders by demonstrating a commitment to collaboration and mutual success. Strong partnerships based on trust and mutual respect can lead to long-term, mutually beneficial relationships that contribute to the overall success of the business.

Also in 2020, we launched our Cactus Mastermind training programme, specifically to help owners of independent agencies. The programme (which is now in its 11th group) brings a cohort of 18 agency owners together to learn agency tips and tricks, and also provides access to our exclusive toolkit to develop their skills to run a successful and efficient agency.

In other words, the Agencynomics book laid out in a training programme. 

The other key element of the programme was to foster and help build agency partnerships between owners. The success of the programme has been astonishing. 

Over 200 agency owners have been through our programmes, fruitful partnerships and lifelong friendships have been born, and our Net Promoter Score sits at 92 which is world class. 

We’re so proud of what we’ve achieved with the programme, and getting messages like this on an almost daily basis from agency owners is so rewarding:

The Mastermind programme, like many things in the world and in an agency, can always be improved (despite the superb NPS) and so we have recently evolved the programme and launched two new ones in its place. 

The Cactus Agency Mini MBA is perfect for agencies under £1m in turnover and will be a one year programme delivered remotely by both myself and Danny Turnbull. Another example of a collaborative partnership!

The Cactus Agency MBA is designed for agencies who are already achieving a turnover of £1M and looking to accelerate further growth. This programme will be delivered in person, hosted by Gareth Healey & Alfie Wenegieme and supported by all of the Cactus Managing Partners and our partner specialists.

Both programmes will ensure there is a platform to engage with other agency owners, foster partnerships and build relationships for mutual future benefit. 

In our experience, partnerships are vital for independent agencies looking to grow, innovate, and succeed in today's competitive landscape and we are proud to be able to continue to provide a platform, both with our community and MBA programmes, for agency owners to benefit themselves and others.