The 4 P’s of Sustained AgencyGrowth & ProfitabilityPROCESS, PRICING, PROPOSAL & PLANNING

HUBSPOT

VAR TRACK

The 4 P’s of Sustained AgencyGrowth & ProfitabilityPROCESS, PRICING, PROPOSAL & PLANNING

HUBSPOT

VAR TRACK

JOHNMcTIGUE

EVP and Co-Owner

@jmctigue

YOU WORK HARDFOR YOUR MONEY

• Nuts & Bolts for New VARs• The Power of Process• The Art of Pricing• The Science of Proposals• The Purpose of Planning• The 5th P• That’s a wrap

…But they never treat you right

NUTS & BOLTS For New VARs

THE POWER OF PROCESS

• Knowing what you offer

• Knowing what it costs you

• Knowing how long it takes

• Knowing how to price

• Knowing how to sell

SALES

WHAT DO YOU OFFER?

INBOUND

WHAT DO YOU OFFER?

• Strategy/Consulting• PR/Press Releases• Collateral Copy/Design• Direct Mail• Telemarketing• TV/Radio• Online Ads• Print/Outdoor Ads• Mobile Marketing

OUTBOUND• Strategy/Consulting• Content Creation & Design• SEO/SEM• Social Media Marketing• Lead Generation• Lead Nurturing• Email Marketing• Web Design/Development• CRM Integration/App Dev• Analytics/Reporting

Ad Agency Evaluation Criteria (January 2012)

HOW DO YOU GET THE DEAL?

10987654321

20%

20%

14%20%

10%

7%1%1%

3%3%

How important is it that an agency be focused on a specific sector?10 = Very Important 1 = Not at all Important

Source: MARKETINGCHARTS.COM

80%Of marketers are

more likely to choose an agency focused on a specific sector.

OVER

Source: RSW/US

When deciding on a new agency, which factors most influenced your choice?

HOW DO YOU GET THE DEAL?

27%Other, please specify

Agency specialty

Awards won

Quality and quantity of website

Search engine results

Searches on marketing websites

General, unspecified awareness

Recommendation from another agency

Industry trade body

Recommendation from colleague

Timely response by agency

Introductory service

43%10%

29%6%

13%21%

12%10%

38%36%

41%10%

Source: RSW/US

43%Of marketers are

more likely to choose an agency based on specialty.Source: RSW/US

41%

Of marketers are more likely to choose based on timely response from agency.Source: RSW/US

CONTENT MARKETING SALES FUNNEL & THE SALES TEAM

SALES PROCESS PART 1

SALES PROCESS PART 2CLIENT QUALIFICATION

PURPOSE• Why are we talking?

• Should we continue?

• Goals/Needs/Pain Points

• History/Knowledge

• Budget/Plans

AGENCY SOLUTION

SALES CLOSE

DOCUMENT & FOLLOW-UP

• How we will solve client problem

• Why we are the best solution

• Cost, deliverables, timeframe

• Review solution

• Review costs

• Ask for the sale, if yes -> PROPOSAL

• Log calls & emails

• Status updates (scoring)• Close or return to funnel

• Knowing where to start• Knowing where to end• Knowing each step• Verifying/measuring progress• Assessing results• Maintaining consistency• Training new people

EXECUTION

THE POWER OF PROCESS

EXECUTION PROCESSStrategy (Senior Consultant) Content (Sr. Cons., Content Mgr, Blogger,

Designer)Promotion (Sr. Cons., Consultant) Conversion (Sr. Cons., EDC)

Analysis (Team)

• Goals

• Persona

• Branding

• Message

• Collaboration

• Web

• Blog

• Advanced

• Social

• Social

• PPC

• Email

• Outbound

• CTAs

• Landing Pages

• Lead Nurturing

• AMA

• Weekly

• Quarterly

• Trends

• Advice

• Collaboration

STRATEGIC PLAN

CONTENT CALENDAR

HUBSPOT, HOOTSUITE, ETC HUBSPOT

ENTERPRISE HUBSPOT, GOOGLE AN. ETC.B A S E C A M

P

LEARNING PROCESS

THE

THE ART OF PRICING• What are your deliverables?• What is your cost per deliverable?

• What is your planned profit?• Competitive factors• Other pricing models

Manpower

Direct costs

Overhead

THE PITFALLS OF PRICING• Turnkey pricing

• Deliverables pricing

• Low cost “consulting” packages• Hourly pricing – transparency, accuracy, value?

When is it “done”

How many revisions? Cost for more…

Need clear language for additions/exceptions

PRICING PACKAGING

THE SCIENCE OF PRICING• The deal is already discussed

and agreed to• The Proposal reflects the deal• The Proposal is a contract (?)

• The Proposal has a term• The Proposal has terms• Discuss the Proposal in the 1st meeting

THE PITFALLS OF PROPOSALS• Too Soon

Lack of understanding of goals, metrics, history

Lack of qualification information

Lack of discussion and deal points

What if the proposal gets accepted?

• Too Risky Kicking Tires

Beauty Contest

Criteria for acceptance unknown

THE PROBLEM WITH RFPs• Backwards Process

Client thinks they know what they need

Client doesn’t have any idea what they need• Client Investment in

RFP Time/Resources already spent

Crowd sourcing, siloed interests

• Agency Investment in RFP Time/Resources to prepare

Beauty contest based on unknown criteria

PROPOSAL MUST-HAVES• Air-tight Scope

Deliverables

Clear process for beyond-scope services

3rd party costs and payment responsibility• Resources Who’s assigned (?) Roles (?) Commitment (?)

• Term & Termination• Pricing & Payment Terms• Confidentiality etc.

Proper Planning and PreparationPrevents Piss Poor Performance

PROJECT LEVEL PLANNING

RESOURCE PLANNING

CORPORATEPLANNING

The 5th P… PARTNERSHIP

SUMMARY• Decide what you offer

• Figure out the Perfect Process

• Price accordingly to Process + Profit

• Proposals only when ready & qualified

• Planning is the key to Profitability

• The 5th P keeps you Sane