6 Tips for Series B Startups Hiring an Ad Agency

**Every Series B Startup needs a marketing plan and a great ad agency to implement it.**

Finding the right ad agency partner can be a daunting task for startups, particularly for those in their series B phase. A good creative agency, like the team at Division of Labor, can help a startup reach its target audience and increase brand awareness. But, let’s be real, a crappy ad agency can result in a waste of resources ineffective campaigns, and a short tenure for the chief marketing officer. To keep heads from rolling, here are six tips to help you find the right ad agency for your needs:

Define your goals: Before you start looking for an ad agency, it's important to clearly define your marketing goals and what you want to achieve. This will help you find an agency that specializes in your industry and has the right credentials to meet your needs. You’ll also need to have some ballpark figures on your media, strategy, and creative budget.
Look for a strategic partner: An ad agency should not only create effective ads but also provide valuable insights and strategy to help your business grow. Look for an agency that will work with you as a partner, not just a vendor.
Consider the agency's portfolio: Look at the agency's portfolio and case studies to see if they have experience working with companies in your industry and if they have a track record of success. This will give you an idea of their capabilities and what kind of results you can expect. Analytics that show success with one client’s business are not a guarantee of success for your business. But it’s the strongest indicator that the agency knows its stuff.
Check references: Ask the agency for references from current or past clients. This will give you a better idea of their work and how they interact with clients. Make sure to speak with several references to get a balanced view.
Evaluate the company culture: The relationship between a startup and its ad agency can be a long-term one, so it's important to make sure the agency's culture aligns with your company's values. Look for an agency that shares your passion and understands your vision.
Be realistic about budgets: It's always a good idea to get quotes from several agencies to compare prices and services. This will help you find the right balance between cost and quality, and ensure that you get the best value for your investment. No one wants to overpay for goods and services. But, hey, would you go to the cheapest dentist? Or would you prefer that the person drilling into your tooth charges what they charge because they know what they’re doing? Just a thought.

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The Small Agency Blog is produced by Division of Labor; a top San Francisco ad agency and digital marketing firm that’s been named Small Agency of the Year twice by Ad Age. The award-winning creative shop services clients on a retainer or project basis. They also offer brand consulting services and hourly engagements for startups and smaller brands. Click here for a free consultation.

Client Asks For “Out-of-the-Box” Thinking. Subsequently Demands Return to Box.

The Marketing team at Atom Analytics panicked today after their advertising agency delivered on the company’s request for “out-of-the-box” thinking. Pandemonium erupted following the initial creative presentations. Senior executives immediately scrambled to shove all the “out of the box” thinking back into the box.

“When I said “out of the box,” I didn’t mean way outside,” said chief marketing officer Dwayne Clutterbuck. “Like, if the box were a house I wanted the ideas to be, maybe, like in the tool shed.”

Top brass who sat in on the meeting were even more blunt. “This is not the type of out of the box thinking we’re used to,” said Connie Jennings, director of Status Quo. “We see out of the box thinking every day, and it never looks like this.”

Middle managers, however, hoping to quickly restore order initially gushed over the marketing plan and then mercilessly picked apart the presentation, blaming the agency for delivering precisely what they’d asked for.

The team from Atom Analytics reacts to their new agency’s presentation.

The plan included a number of thought provoking ideas along with a robust digital marketing plan and some stunts that would most certainly garner publicity. “There was something with Dennis Rodman walking on a tightrope over Times Square. It was just way too attention grabbing for us. You don’t need ideas to get attention when you have a great product,” said Clutterbuck completely contradicting the entire purpose of brand marketing and advertising.

Executives across the board feared that these new ideas might actually make the company appear different from the competition. Following the meeting, a feedback email from Atom Analytics to the agency read: “We were talking about next steps, and decided a safer approach would be to make TV commercials that point out our features and benefits like you know, those Ped Egg commercials. Would you be able to get us a script by Tuesday?”

Days later, Atom Analytics again asked the agency for “out-of-the-box” thinking, as if they completely forgot everything that just happened.

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Cheap, Animated Cartoon used to Launch Billion Dollar Startup

Woo-Woo’s soon-to-launch explainer video looks nearly identical to every other explainer video out there. But the company notes their trademark “Boyyoyyong!” Sound effect is 37% more effective than traditional “Boyyoyyong!” sound effects.

After inviting four top San Francisco ad agencies to pitch for its business, Silicon Valley tech giant Woo-Woo changed course and instead contracted with 19-year-old Ben Clutterbuck, a Chico State sophomore who creates low-quality explainer videos with rudimentary cartoons and operates out of his dorm room.

Woo-Woo recently obtained nearly 100 million dollars in series B funding from four different venture capital firms and earmarked five million dollars for marketing and advertising. But after sitting in on the pitches, Woo-Woo’s most seasoned intern, Valerie Peabody, offered up an alternative approach. “The agencies were quoting costs of $300,000 to $5000,000 in creative fees alone,” notes Peabody. “And I thought, ‘that’s insane’ when my brother’s buddy, Dwayne could do the creative and production for, like, $500 bucks.”

Peabody arranged a SnapChat group so Clutterbuck could get to know the marketing team. After exchanging multiple dank memes, it became clear Clutterbuck understood Woo-Woo’s corporate culture exponentially better than any of the pitching agencies. “It wasn’t hard to see that crude animations and the occasional “Boyyoyyong!” sound effect would be just as effective as anything a full-service agency could produce,” says Woo-woo company spokesperson Victoria Pheferman.

Clutterbuck’s business model, which focuses on creating antiquated, two-dimensional style animations on the laptop his parents bought him, definitely appears to resonate with millennial tech executives who neither understand, nor value the complexity of an advertising and marketing strategy.

Clutterbuck, who runs his company out of the Royal Arms dorm-style apartment complex, says he’s stoked to be tapped. “This is lit,” Clutterbuck hooted. “Hundo P we will crush this.”

Woo-Woo, a Silicon Valley darling since late 2018, has developed an innovative, new, cloud-based, SaaS procurement optimization portal module. “The product has a universal appeal,” says Phefferman. “This kind of innovation practically sells itself.”

The bold decision to 86 the company’s marketing budget was ultimately approved by Woo-Woo’s senior management team, which, incidentally, consists of five 26-year-old virgins with zero business experience. “Every one of the guys in our c-suite is an Ivy League grad,” says Phefferman. What’s more, she notes: “Three of the five earned admission without bribes, fake athletic credentials, or cheating on their ACTs.”

And while the decision was a cost-cutting measure, it was also a change more in keeping with strategies at other large tech companies. “Our board said it was time to grow up a little,” says Phefferman. “And nothing says captain of industry like an animated explainer video with ukulele music.”

The explainer video will have a soft launch on the company website and will be tweeted out extensively on Clutterbuck’s social media feed. “I post all my client’s videos on my Instagram page. For an extra $20 bucks, I’ll even talk you up on my finsta page,’” says Clutterbuck.

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