3 reasons why the agency-client relationship fails

Agencies often feel that the client is too demanding; clients believe the agency takes too long to implement a tactic.

When the client-agency relationship breaks down, everyone loses money.

Most marketers have a client that they just cannot stand to work with and many clients dislike someone in the agency. However, according to a study by the Association of National Advertisers (AHA), 87 percent of clients and 86 percent of agencies believe this is a valuable business partnership, so working cohesively together is essential for long-term success.

Here are three reasons why this relationship falls apart— and how it can be put back together.

1. A lack of agency accountability

There is a lack of data-driven reporting on the agency side, and clients are beginning to take notice. For example, only 23 percent of B2C marketers can successfully track an ROI on content marketing efforts, and that number drops to 21 percent when looking at B2B companies. 80 percent of marketers are using vanity metrics like engagement, and 56 percent still bother reporting on website traffic.

Clients want better reporting, using better metrics such as leads generated, leads converted and sales opportunities created. Clients become increasingly frustrated with agencies who cannot provide data-driven analysis of campaigns. For agencies who want to make clients happy, discuss which metrics matter most and learn to report on them.

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2. Poor communication

Poor communication can either mean over-communication or under-communication, and it can happen on both sides. If the client is over communicating, which happens often, it can mean they do not trust the agency and are therefore micromanaging. If the agency is under-communicating, it can mean there is a problem they do not want to report or that certain tasks aren’t being performed.

If either over- or under-communication becomes commonplace between an agency or client, then a complete revision of the communication plan must take place. Each side must explain their needs and capabilities, and a written plan should be agreed upon by both teams. Without a sound communication plan in place, both the agency or client will become frustrated by the flawed communication that occurs.

3. Agency ability to meet future needs

According to the AHA study, only 56 percent of clients believe that agencies have the right talent to meet their needs over the next two years. 64 percent of agencies, on the other hand, think they will have the talent to meet client needs.

As data becomes a more prevalent player in all marketing activities, clients may be worried that agencies cannot find the right talent to meet upcoming needs. This may lead them to leave and seek another agency with more advanced offerings. Agencies must keep clients updated on all internal advancements to showcase that they are staying ahead of market trends and remaining competitive in the marketplace.

From new hires to new technology, agencies should always seek to showcase talent to clients, and avoid letting existing campaigns go stale. Just because a client has been with an agency for years does not necessarily mean they aren’t shopping around for a new, innovative approach.

The agency/client relationship can at times become heated, especially during a timely campaign, but there are solutions. Implementing a clear reporting schedule, organizing a communication plan, and maintaining talent that meets clients’ needs are just three ways to improve the relationship.

Of course, changing from a poor to a working relationship doesn’t happen overnight, but with patience on both sides—and strategic tools in place—it can happen sooner rather than not at all.

Albizu Garcia, the CEO and Co-Founder of GAIN, a marketing technology company that automates the social media and content publishing workflow for agencies and social media managers, their clients, and anyone working in teams.

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