How to choose an agency

Metrics to look at + how to compare

Read time: 1 min, 58 secs

Hey there - it's Brian đź‘‹

This week, we signed THREE contracts.

âžź Cold email
âžź Twitter lead gen
âžź International payroll

So today I’ll share a few tips I wish I knew when I started comparing contractors.

How do you know who’s good? Who’s bad? Should you even use an agency?

We compared 7 agencies and we believe these email + Twitter lead generation agencies will add-on an extra $40k / month.

So it’s worth it if you get it right.

Today I’ll help you choose the right agency to grow your business.

Let’s make your business an outlier: 👇

Agencies are awesome. If… you choose correctly

There’s one MAJOR problem with agencies…

Anyone can start one.

So most suck.

But the top 5% are incredible.

To filter out the bad ones you’ll need to interview ~5 agencies before you sign.

These agencies will tell you their stats. Write them down in a doc to compare across agencies. I’ll share more on that in a sec.

If you’re starting a new marketing channel, always start with an agency.

You’ll move FAST. You’ll learn what works/what doesn’t.

Then eventually you can take those learnings in-house.

I offshore the marketers. But I’m biased because I have an offshore talent agency so we get good marketing talent.

🧔🏻‍♂️ Brian’s nerdy side rant:
My agency friends are paying $60,000 / year for 1 account manager.

I’m paying $16,800.

This means I can ALSO hire a tech developer and a ghostwriter for the same amount.

The work quality is amazing.

And for LatAm marketers?

Compared to Colombian companies:
One of my closest friends DOUBLED her pay by working for a US company (for $1,400 / month).

It’s a win-win.

I mean, this is our account manager. Our clients love her:

Okay back to evaluating agencies 👇

What metrics should you look for when evaluating agencies?

So for us different agencies tried to impress us with big numbers.

âžź Email sent
âžź Deliverability rates
âžź Show rates from meetings
âžź Expected meetings booked

But all we care about is getting quality customers. That’s it.

So we booked calls with 5 other agencies and kept all these benchmarks in a Google doc.

It made it 1,000x easier to compare who’s good.

So we’d convert the math to CAC (customer acquisition cost).

One agency charged us up to $1,000 per customer. Another down to $350.

How did we estimate CAC?

We estimate a 50% close rate. So how many meetings can they get us per month? Assume half those meetings turn into a sale.

Take your total spend with that agency that month (say it’s $2.5k) / your total number of customers expected for the month (let’s say 3 customers) = $833 CAC.

Write everything down. You’ll quickly forget which agencies have which benchmarks.

So let’s build

If the marketing agency is within your target CAC range, amazing.

But please have 3 - 5 vendor conversations.

It’ll make your life 1,000x easier when you start comparing benchmarks across agencies.

See you next Thursday đź‘‹

P.S. Whenever you’re ready, reply “staffing” if you want offshore talent too.

Or grab time here. Whichever is easier. I’m here to help.

🙋 Vote: How did we do?