What Is A Content Agency? | Content Agency vs Advertising Agency

hey my name is Adam and I have built a seven figure content and Consulting agency within 3 years of launching my agency we've generated over $1 million in Revenue in this video I'm going to show you the exact difference between a Content agency versus the traditional smma model of running a Facebook ads agency in the 3 years of running my agency we have offered everything from content creation to social media management and Consulting so the way that I structured my agency is fundamentally different than how you would structure an advertising agency which in all honesty

just does not work as well as it used to a couple years ago I'm going to show you the main differences on three levels number one the team number two the retainers and number three the offer before I do here are just a few reasons as to why I decided to start a Content focused agency even though when I started my agency I knew how to run Facebook ads and everybody told me to do Facebook ads and that content wasn't scalable I understood that a Content agency would be easier to pitch to business owners it

would be easier to start there's less pressure on getting a return on investment for your clients and it's less risky number one why is it easier to sell there's not many content agencies there are hundreds if not thousands of advertising agencies out there so when you go to a business owner with something different this doesn't just apply to content but any different offer you're going to stand out and they're probably going to be more interested it's way easier to start a Content agency you literally need to one either know how to create content yourself or

two find a graphic designer or a video editor who can do that finding a media buyer to run Facebook ads for your clients is trust me way way more difficult it's going to cost you way more money to hire them but to find somebody who's actually good is pretty damn tough and there's less pressure on a return on investment because of what you're selling there's a shift and there's an Awakening happening across the entire business space business owners now are understanding the importance of content they know that they can't rely on just putting money into

Facebook ads forever but what's very important is that many businesses understand that content is a long-term play it might not be something that they do for 2 or 3 months and get a return on but over the longterm 6 to 12 months that's where the possibility lies and ultimately it's less risky because you're going to charge a lower retainer which means you're going to focus on spending more clients spreading your monthly recurring Revenue across multiple clients rather than just on a small number of high ticket clients all right you got that it's easier to sell

easier to start less pressure on a return on investment and less risky I can't extend this finger so we're just going to go with this so as promised I'm going to break down the three areas the team the retainers and the offer so let's look at a 10K per month content agency versus a 10K per month traditional smma business for Content agency you're going to have a bigger team meaning you'll need more individual contractors for example you might have four contractors versus a traditional smma having one or two but here's the kicker the money that

you spend on those contractors is probably going to be the same if not less instead instead of paying one guy 3,000 to manage all your clients you might be paying three or four people 500 to 1,000 each for their work so look you do have to manage more people that is something you must be aware of but it also means that if one of your team members leaves or gets a better offer from a different business you're left with two or three other team members so again it does kind of spread your risk which is

something I personally like overall your profit margin is typically going to look the same for a Content agency versus an smma agency however if you structure it the way I structured my agency where you offer content which is a done for you service and then you introduce consulting which is a done with you service AKA teaching your client how to do a certain thing in their business you can really really jack up your margins to 70 or 80% all right category number two retainers so a Content agency to hit 10K per month may have 10

clients at 1,000 each per month or 20 clients at 500 each per month a traditional smma Facebook Ad Agency may only have five clients at 2,000 each per month or maybe like three to four clients at 3 plusk each per month so similar to the team you have less clients so with a traditional smma Facebook Ad Agency you have less team members and less clients for the same money in a Content agency the reason I see that as an advantage is that it's diversifying and spreading your risk I would rather have 20 clients pay 500

a month rather than five clients paying 2,000 a month because if you have five clients paying 2,000 a month when one of them cancels you've just lost 20% of your Revenue when You' have 20 clients paying $5 00 each well when one client drops you don't even break a sweat don't get me wrong you can charge High ticket for Content I have charged up to $33,000 per month for content and I have students that are charging 2,000 and 3,000 per month but I wouldn't advise that I've gotten much much better results sticking with lower retainers

and spreading across multiple clients Point number three the offer if you're run a traditional SM Facebook Ad Agency you go to a business and you're basically saying I'll run your Facebook ads and I'll make you money that's your pitch however as we alluded to with content most business owners are starting to see this now as a long-term play for example if I create one video for you today it may not go viral today but if you post that video on all your social media channels and then you keep reposting that same video every 3 months

there's a possibility that after 12 months you've gotten a million views from one video that's not the case with Facebook ads you pay today and if you don't make the sales today it's kind of where it ends so content is typically looked at on a longer time period okay you're investing in your content for the future of your business because of this content is typically sold as a convenience service but also it can be sold as a return on investment offer or a return on investment service let me give you an example it all depends

on the type of client that you attract if I'm speaking to John John is a fitness coach John has 20,000 followers on Instagram and he makes a lot of money he's doing 30 40K a month with his coaching business John may not be paying me to explode his business he might be paying me to create videos and content for his Instagram so that he no longer has to do that because currently he's spending 2 hours a day just creating content and then posting it to his Instagram well if I can save him 2 hours he'll

probably make way more money with those 2 hours each day so I'm saving him time which will then make him money however based on his intentions John or let's say John's cousin Jack also has a coaching business but he comes to me and he says look I'm only making 2,000 a month I want you to create content that goes viral and that attracts my ideal client so as you can see content is very much dependent on the client and how you position your offer if you position the content you create as will save you time

and effort cool that's the type of client you're going to attract if you're saying hey our content will help you close deals make more money and grow your business that's the type of client you're going to attract this why I love content is that you can decide you know you choose which type of client you want to attract so in short the offer of a Content agency is either going to be I'll save you time and effort or I'll make you more money or the two together with a traditional smma face Facebook Ad Agency you're

typically going to only make them more money yes you'll save them time by you running the ads instead of them but this is my point if you don't get them a return on investment if you spend 2,000 and make them 2,000 back they've profited no money the chances of them paying you again is very very slim but if you pay me 2,000 and I create a ton of content and you love the content and you save the content and you post it on your socials and you know that you want to keep doing that for

months and months and months you might not fire me if I don't make you the the money back right away okay you'll probably say yeah we didn't make the money back right away but the content is looking good and we're getting good engagement and let's keep running it down the line if I was to start an agency again from scratch tomorrow I would 110% start a Content agency soon there will be AI that will run all your Facebook ads for you perfectly there's already softwares out there that do it to a decent degree but we

have a lot of time left for the creative content agency and hey if you want to learn a little bit more about how you could start your own content agency and you want to follow the advice of somebody that's actually built a seven figureure content agency there's a link to my calendar below this video go ahead and book in a call you'll speak to me or a team member where we'll just sit down and see if what we do and if our program could help you if it's not it's not if it is fantastic appreciate

you watching and I'll see you soon