Do you feel like you're in no man's land? Growing beyond the $1 Million mark and beyond 7 figures can be a very gray area where the agency is making more money but the owner is working more than ever. This is no man’s land and it's a sign you need a strong leadership team to get the agency to the next level. Today’s guest is an accidental agency owner, like most, who found the transition to Agency CEO reignited her interest in the business. She now runs an agency that serves its clients and aims to have an impact on the community.
Ruth Bernstein is CEO and co-founder of Yard NYC, a New York-based creative agency that helps turn brands into cultural beacons. They’ve worked with brands like Amazon, and Walmart with the belief that purposeful brands can both drive cultural relevancy and good business. After growing as an agency and getting past certain milestones, they have also worked to turn themselves into a brand that creates change.
In this interview, we’ll discuss:
How to raise prices and charge what you're worth. Why culture misfits that can cost your agency big opportunities. Navigating no man's land by hiring a leadership team. Subscribe Apple | Spotify | iHeart Radio | Stitcher | Radio FM
Sponsors and Resources E2M Solutions: Today's episode of the Smart Agency Masterclass is sponsored by E2M Solutions, a web design and development agency that has provided white-label services for the past 10 years to agencies all over the world. Check out e2msolutions.com/smartagency and get 10% off for the first three months of service.
Starting a Female-Led Agency During the Industry’s Mad Men Era Ruth and her partner Stephan worked on the client side in London and had never worked at an agency. At one point, while working with media companies, they started looking for agency partners in the fashion, wellness, and beauty space. They were looking for partners who could bring strategy to the table, were female-led, and really understood how to work with in-house teams. It was the '90s and still the “Mad Men” era in the agency space and none of the candidates met these requirements.
This is how they became accidental agency owners. They had never worked for an agency or run one but their search on the client side revealed there was a niche for this type of agency. Coming from the client side, they already had credibility and went for big-brand clients right away.
How Culture Misfits Can Cost Your Agency Big Opportunities Mistakes help us grow. And one of those from Ruth's early agency days was delegating negotiations with a prospect to a consultant. It wasn’t right for the agency and nearly made them lose their first really big project. At the time, Ruth was in charge of strategy and Stephan was heading up the creative side. Neither of them had negotiated an agency deal. Since it was a big client, they figured it would be best to delegate negotiations to a consultant who could help make sure it was solid.
Unfortunately, the consultant’s tone and manner of handling the deal nearly made them lose the client. In hindsight, this person did not align with the agency's culture or vision. The client approached Ruth and Stephan because they knew and trusted them.
As a result, they learned communication is a key piece in showing prospects what it's like working with their agency. There’s nothing wrong with getting help in areas you don’t have experience. However, in this instance, they just needed the confidence to handle it themselves.
How to Raise Prices and Charge What You're Worth Pricing is not easy. You have to do your homework and understand competition and what the client is willing to pay, as well as your own value.
As a smaller agency working with both bigger and smaller clients, Yard NYC geared prices toward smaller clients. However, it got awkward when those clients started growing and it was time to raise prices. For a lot of agency owners, this is a really difficult conversation