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Better margins and higher profitability

Chapter 2
Better margins and higher profitability

The unhappy truth of marketing agencies is this: Many spend years teetering between profitability and decline. They might enter any given quarter not knowing exactly how they’ll bring in a good chunk of their revenue.

A steady churn of clients leads to greater uncertainty and instability, with the threat of layoffs or restructuring always on the horizon.

Agencies deal with this uncertainty in a number of ways, including outsourcing work to freelancers and letting attrition contract their workforce.

Coaching offers a more stable, profitable business model. It’s much more efficient and profitable to train your clients than to do implementation work for them.

How coaching services change the way you work with clients

At IMPACT, we stopped offering nearly all implementation services for clients. No longer do we write content, schedule emails, build HubSpot dashboards, or plan outreach sequences.

Instead, we’ve replaced most implementation services with coaching and training programs, teaching clients to take on this creative work themselves in order to achieve the best possible results.

Our clients pay us an average of $8,500 per month, for which they get:

  • Two leadership coaching sessions per month, 60 minutes each
  • Eight training sessions per month, 30 minutes each

As well as

  • A 90-minute planning session once per quarter
  • A two-hour planning session once per year.

These clients work with us for an average of 18 months. Although we offer them the option to cancel at any time, very few do.

Longer engagements mean that we start each month knowing where twice as much of our revenue will be coming from.

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