Vendasta announced the release of its inaugural Agency Insights Report, which analyzes responses from over 400 agencies across North America to provide a comprehensive view of marketing companies operating in the digital space.
The report reveals an agency landscape in its ‘middle age,’ with a majority being operational between two to 10 years, outpacing both startups (<2 years) and established firms (11+ years). Despite this, nearly half of agencies reported an annual income below $1 million, suggesting ample opportunities for revenue growth and expansion.
Agencies making over $1 million annually invest more heavily in AI
Scaling beyond the million-dollar revenue mark seems linked, in part, to AI investment. A mere 6% of agencies earning between $1 to $3 million annually have yet to incorporate AI. The remaining 94% have embraced AI or already consider it a central part of their business strategy. Vendasta has recently incorporated artificial intelligence (AI) solutions into its platform to help agencies operate more efficiently and scale profitability.
“It’s been exciting to see so many companies using Vendasta’s AI enabled systems to streamline and hit new targets in 2023,” said Jeff Tomlin, Vendasta’s Chief Marketing Officer. “As companies like ours improve the depth and range of the technology solutions that are available to marketers and agencies of all sizes, I think you’ll see AI adoption continue to increase. Businesses want an all-in-one solution that integrates these tools together.”
The report also finds that agency sales leaders plan to invest heavily in sales enablement tools and CRM software and integrations in 2023 and beyond. Ready to meet this demand, Vendasta acquired Yesware last year, a Boston-based company offering a robust toolset for sales teams. This acquisition merges sales enablement technology with Vendasta’s comprehensive platform, enabling agencies to drive faster, more effective results.