Solving the Agency Pipeline Paradox
A brilliant portfolio, backed by creative excellence, is only one part of a firm’s success. What quietly knocks even great consultancies off balance is a stop–start new-business pipeline.
We all know that a peaks and troughs cycle creates unpredictable cash flow, it makes resource planning a nightmare, and puts immense pressure on profitability and culture.
The UK design sector, while growing faster than the wider economy, is dominated by agencies where revenue streams can be volatile and forecasting is often guesswork.
The demand for radical clarity in an agency’s pipeline is all too common. A truly effective business development strategy needs to focus on a broader revenue mix and the high-margin projects where you shine.
As the DBA’s annual survey reports demonstrate, firms that take a proactive approach to their financial health are more likely to have a positive business sentiment and higher gross income per head.
However, The DBA Annual Survey Report also found that UK agencies’ biggest concern is the immediate, near and long-term pipeline view.
So how does an agency go about solving this?
A business development partner is a strategic investment and should not be treated like a generic lead-gen agency.
A great business development partner is hungry to understand the nuances of target industries, they can turn growth plans and strategies into smart campaigns using minimal brand assets.
These partners deliver consistent action paired with thoughtful nurturing, they foster the right connections over time to get the inside line, they tease out real opportunities and build a picture of the ‘brief behind the brief’ but most of all they create interactions that form the backbone for future relationships.
As Lucy Mann, Founder of Gunpowder consulting puts it, ‘it’s about a “marginal gains’ approach. The approach focuses on the forensic application of processes to improve performance. Every action, every outreach, and every conversation must have a clear purpose and a direct link to a firm’s form and function’.
Lucy eloquently suggests “There’s no silver bullet in agency new business, just small, measurable improvements applied consistently that move the numbers.”
Link to Lucy’s podcast – Small Spark Theory (Here)
By treating business development as a core financial function, a firm can transform its revenue stream from a volatile rollercoaster into a predictable, financially sound asset.
Nicky Rinks, Daylight Bureau’s CEO suggests “The investment in a strategic, a thoughtful, human-led strategy gives you clarity and shared accountability, so you can make confident choices and match your creative excellence with a steady, (financially) healthy business.”
