How to Choose a Digital Agency

Full-Service Digital
How to Choose a Digital Agency
Article by Jelena Relić
Last Updated: November 20, 2023

Choosing the right digital agency can be a daunting task. With many options available, each promising a unique set of skills and expertise, the challenge is finding the one that aligns with your business goals. The stakes are high, as outsourcing digital services to the right partner can propel your brand to new heights, while a mismatch could considerably set you back.

To navigate this complex field, we've put together a step-by-step guide that explains how to choose a digital agency for your business needs. Let’s waste no more time and jump right to step number one!

1. Determine Your Goals

Before you start looking for a digital agency, you must clearly understand what you want to achieve with their help. Are you looking to improve your online presence through a revamped website? Do you need to drive more traffic and generate leads? Or you're aiming for a comprehensive digital marketing strategy that includes SEO, social media, and email marketing.

Knowing your goals will help you narrow the list of potential agencies and enable you to have more focused and productive conversations with them. There are many types of digital marketing agencies. For example, boutique agencies are experts in one area, while full-service digital agencies provide all you need to succeed online.

By identifying your objectives upfront, you can match your needs with an agency's strengths and ensure a more successful partnership.

Agency description goes here
Agency description goes here
Agency description goes here

2. Set a Budget

Determining your budget is a critical step when outsourcing digital services. Without a clear budget, you risk wasting time negotiating with agencies that are either too costly or unsatisfying regarding quality. A well-defined budget sets the boundaries for what is achievable and ensures that you and the agencies you're considering are on the same page financially.

To set your budget for digital services, first assess your financial capacity and expected ROI. Research market rates for a realistic cost estimate, account for hidden fees like setup and maintenance, and negotiate customized packages with shortlisted agencies to fit your budget.

Based on guidelines from the U.S. Small Business Administration, it's recommended that businesses allocate between 7% and 8% of their gross revenue for digital activities. This figure can go up to 15% for larger corporations.

3. Conduct Research and Shortlist Potential Matches

Conduct extensive research to find agencies that may be a good fit for your requirements. Look at various sources, from Google search results to specialized directories like DesignRush, to compile a list of potential matches. DesignRush is a valuable resource that offers a curated list of top digital agencies, making it easier to find reputable options.

4. Check Their Portfolio to Assess Expertise and Services

Delve into the portfolios of agencies you consider to hire. A portfolio is a tangible demonstration of an agency's skills, creativity, and problem-solving abilities. Examining portfolios will give you a clearer picture of what each agency is capable of and whether their expertise aligns with your goals.

Here's how to effectively assess an agency's portfolio:

  • Focus on projects similar to what you want to achieve to get an idea of the agency's capabilities in your area of interest.
  • Prioritize quality over quantity. An agency might have numerous projects in its portfolio, but pay attention to detail, creativity, and effective execution.
  • Some agencies provide case studies along with their portfolio. These offer valuable insights into the agency's approach to problem-solving, strategies, and results achieved.
  • Check if the agency is proficient in the technologies and tools crucial for your project. For example, if you need website development, ensure they are skilled in the platforms or programming languages you require.
  • Often, portfolios include testimonials from previous clients; they can provide additional context and validation.
  • Feel free to reach out to the agency for more information on any projects that catch your eye. Their answer will be a reflection of their customer service and responsiveness.
We’ll find qualified digital agencies for your project, for free.
GET STARTED

5. Evaluate Experience and Reputation

Experience and reputation show the agency's reliability and expertise. An agency with a solid track record is more likely to deliver consistent, high-quality work.

Here's how to evaluate an agency's experience and reputation:

  • Check their years in business. While being new doesn't necessarily mean an agency is unreliable, those with several years in the industry are generally more experienced and have a proven track record.
  • Look at the types of clients the agency has worked with. Have they handled businesses similar to yours in size, industry, or target audience? This can give you an idea of their expertise in your specific niche.
  • Approximately 81% of clients consider online reviews significant when engaging with a specific company. You should be part of this statistic; read online reviews on Google, Design Rush, and other industry-specific sites.
  • Check the agency’s accreditations and awards, as they serve as third-party validations of their skills and expertise.
  • Don't hesitate to ask the agency for client references. Speaking directly with past or current clients can give you firsthand information on what it's like to work with the agency.

6. Meet and Interview

Once you've narrowed down your list, the next step is to meet with the agencies in person or through virtual meetings. Interaction is crucial as it allows you to assess the agency's team, work culture, and communication skills, which are vital for a successful partnership.

Here's how to make the most of these meetings and interviews:

  • Before the meeting, prepare a list of questions that cover all aspects you're curious about, from their approach to project management to how they handle setbacks.
  • Evaluate how well the agency communicates. Are they clear, concise, and open to questions?
  • Delve deep into the agency's technical capabilities. Ask about specific tools, technologies, and methodologies they use.
  • Cultural fit is essential when outsourcing digital services. Every agency has its culture and working style — assess whether it aligns with your values.
  • Discuss the timelines and ask how long the agency typically takes to complete projects similar to yours. Make sure their proposed timelines align with your deadlines.
  • After the meeting, take some time to think about how it went. Was the agency attentive to your needs? Did they seem capable and reliable? Your gut feeling after the meeting often indicates whether the agency is a proper fit.

7. Request Detailed Proposals from the Agencies You're Interested In

After meeting and interviewing your shortlisted agencies, the next step is to request detailed proposals. A well-structured proposal will provide a comprehensive overview of what the agency can offer, including their approach to your project, the timeline, and the costs involved. Having everything on paper is crucial in making an informed decision and comparing your options.

Here's how to request and evaluate proposals:

  • Clearly outline what you expect to see in the proposal: project objectives, deliverables, timelines, and any other specific information you need to decide.
  • Set a deadline for when you expect to receive the proposals.
  • Ask for a detailed breakdown of costs, including any potential additional fees or charges.
  • The proposal should outline the agency's approach to achieving your objectives, including the strategies they plan to implement and the tools they will use.
  • Look for information on who will be working on your project, their roles, and how much time they will dedicate to your project.
  • The proposal should specify the project milestones and deliverables and their corresponding deadlines.

Once you've received all the proposals, take the time to review and compare them. Look for any red flags, such as vague descriptions, lack of detail, or unrealistic promises. Don't hesitate to contact the agencies to clarify anything you need more information about. Their answers and promptness will give you excellent insights into how your future collaboration might look or feel.

8. Check References

Before finalizing your decision, it's wise to check references from the agencies you're considering. Speaking with past or current clients can offer invaluable insights into the agency's reliability, performance, and customer service. This step is an additional layer of due diligence and can either confirm your choice or raise red flags.

9. Review Contract Terms

The contract outlines the scope of work, payment schedules, timelines, and other key aspects of the project. Make sure to understand each clause to avoid future misunderstandings or disputes. Pay special attention to termination conditions, how revisions are handled, and any limitations on the agency's liability. If any terms are unclear, seek clarification from the agency or consult a legal advisor.

10. Trust Your Gut

Sometimes, all the data and analysis in the world can't replace the intuitive sense you get from interacting with an agency's team. Trusting your gut doesn't mean ignoring the facts; consider it an additional layer of judgment.

If something doesn’t feel right during your interactions, or conversely, if you feel a strong sense of compatibility, don't underestimate the value of those feelings. Your intuition can often provide insights that are not immediately obvious but are crucial for a successful long-term partnership.

How to Choose a Digital Agency: Final Thoughts

As you can see, choosing the right digital agency requires careful planning, research, and evaluation. From clearly defining your goals and setting a budget to conducting in-depth research and trusting your instincts, each step is crucial for making an informed decision.

Following the steps suggested in this guide will facilitate outsourcing digital services to the right provider. Bookmark this article to remind yourself of all the steps we went through. You'll arm yourself with the knowledge and tools needed to select an agency that can meet your requirements and become a long-term partner in your digital success.

How to Choose a Digital Agency  FAQs

1. What makes a good digital agency?

A good digital agency combines expertise, experience, and a proven track record of delivering results. It should provide professional services, transparent pricing, a strong portfolio, and clear communication.

Additionally, a good digital agency will have positive client reviews, industry accreditations, and a team of skilled professionals committed to achieving your objectives.

2. How do you evaluate a digital agency?

To evaluate a digital agency, follow these steps:

  • Review the agency's portfolio to assess the quality and relevance of their work.
  • Check online reviews and client testimonials to gauge the agency's reputation.
  • Examine the agency's industry accreditations, awards, or certifications.
  • Assess the agency's expertise in the services you require.
  • Consider the agency's years in business as an indicator of experience and stability.
  • Evaluate the agency's communication skills and responsiveness.
  • Meet and interview the agency's team to get a sense of their work culture and expertise.

3. What questions should you ask a digital marketing agency?

You should ask a digital marketing agency:

  • What services do you specialize in?
  • Can you show me examples of successful projects similar to mine?
  • What is your approach to digital marketing strategy?
  • How do you determine project success, and what key performance indicators (KPIs) do you prioritize?
  • Who will be engaged in my project, and what are their qualifications?
  • How do you handle communication and reporting with clients?
  • What is your pricing structure, and are there any additional costs I should know?
  • How do you stay current with industry trends and technologies?
  • Can you provide client references or case studies to validate your expertise?
  • Why should we choose you over other digital marketing agencies?

Answers to these questions should provide valuable insights into the agency’s capabilities and suitability for your project.

Get connected with the right digital agencies for your project.
GET STARTED
Subscribe to Spotlight Newsletter
Subscribe to our newsletter to get the latest industry news