Major network agencies often struggle with regional expansion because they attempt to replicate their London-centric services and pricing. This approach fails to adapt to the unique local culture, smaller budgets, and different business ecosystems found outside the capital.
Agencies often pitch exciting, ambitious "North Star" campaigns that get one department excited. However, these ideas frequently fail because the client's internal teams (e.g., digital, PR, comms) are siloed and not aligned. The agency sells a vision that other departments ultimately block, leading to an inability to deliver.
Outside's acquisition of 20+ publications failed because it used a "broad brushed" approach. It ignored the unique cultures, business models, and reader relationships of each title, leading to internal chaos and the founder's departure from his own company, Cycling Tips.
Large tech firms often struggle with global ABM because strategies are dictated by a central, US-centric corporate team. This leads to a disconnect with regional field marketing teams who understand local nuances, cultural differences, and specific account needs, crippling campaign effectiveness.
The allure of expanding into a major market like New York City can be a trap. Fully exploit the potential of your existing, more manageable markets first. Chasing expansion for the sake of prestige before you've maximized local potential is a common business mistake.
Instead of opening franchises in distant locations, a new franchisor should first build 5-10 locations within a few hours' drive. This strategy, used by successful franchises like Orangetheory, allows for better oversight, support, and testing of the model before a national rollout.
Major metropolitan areas like NYC or LA are oversaturated. Growing 'Tier-2' cities have an influx of wealthy residents creating high demand for services, but often lack a sufficient supply of sophisticated providers. This creates a significant arbitrage opportunity for entrepreneurs leveraging modern marketing and AI.
The PR industry risks stagnation if it remains focused on commoditizable services like media relations. The path to future-proofing the profession and increasing fees lies in elevating practitioners to strategic advisory roles that directly influence management decisions.
Initially, 6AM City hired two editors per market. Over time, they discovered a more efficient model: empowering a single, autonomous local editor and centralizing all other operations (marketing, sales support, design). This streamlined the process, reduced overhead, and allowed the local editor to focus purely on creating a high-quality, localized product.
A common agency failure is leading with their specialty (e.g., "we run Meta campaigns") rather than diagnosing the business's core needs. A strategy-first approach ties marketing directly to business objectives, ensuring the chosen tactics are appropriate and measurable, preventing wasted effort on channels that don't fit the goal.
The speaker was shocked to learn an existing client's 'small boutique agency' in the US dedicated a 35-person team to their account. This highlights the massive, often unanticipated, difference in resource requirements needed to service clients in the American market compared to the UK.