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An Introduction 

Who Manages Agencies in an SME?

The Hidden Cost of “Agency Sprawl”

 

Many SMEs work with:

  • A digital agency

  • A paid media specialist

  • A PR firm

  • A web partner

Each performing their role — but no one owning the whole.

Fractional CMO leadership

What Happens Without an Agency Owner (SME)

What Happens Without an Agency Owner?

Without a single owner:

  • Agencies operate in silos

  • Messaging becomes inconsistent

  • Spend overlaps or duplicates

  • No one challenges performance

The business manages suppliers — but no one manages outcomes.senior marketing leadership

Agency activity without commercial accountability

What You See in Practice

  • Tactics change frequently (new channels, campaigns, tools)

  • No one owns revenue or pipeline outcomes

  • Decisions pushed back to the SME

  • “Everything everywhere” approach

  • Limited understanding of margins, LTV, sales cycles

  • Reporting focuses on outputs (clicks, impressions)

  • Busy roadmaps, low-impact work lack of senior ownership

  • Spend creeps up without clear justification

  • Marketing and sales operate separately

  • Proven approaches avoided, experimentation unmanaged

  • Symptoms treated, not root causes

  • Founders feel uneasy but unsure why

When Customer Acquisition Cost (CAC) rises and pipeline stalls

Why This Is a Leadership Problem

Founders, sales leaders, or ops teams often “coordinate” agencies — but coordination isn’t leadership.

Without senior marketing ownership:

  • Agencies self-direct

  • Priorities conflict

  • Performance can’t be compared objectively

Rising Cost of Customer Acquisition (CAC) in SMEs

Here are the warning signs;- 

  • Responsibility is shared or unclear

  • Reports focus on clicks, reach, engagement

  • Explanations are vague or channel-specific

  • Strategy resets every few months

  • Everything stays “in scope”

  • Spend continues “as planned”

  • Sales issues blamed on follow-up

  • Personas exist but aren’t used

  • Risks and downsides avoided

  • Each channel optimised separately

  • Margins, LTV, sales cycle rarely mentioned

  • Same actions repeated each month

  • “Something feels off” but hard to name

  • Accountability defaults to the SME

If you have these then think hard.

Diagnose agency accountability gaps

SME Diagnostic Checklist: Spotting the Problem Early

SME Diagnostic Checklist: Spotting the Problem Early

How Marketing Leadership Fixes Agency Chaos

Senior marketing leadership:

  • Sets a single strategy all agencies align to

  • Defines roles, responsibilities, and KPIs

  • Reviews performance across suppliers

  • Removes or replaces underperformers

Multiple agencies can work — but only with one owner.

Marketing leadership vs agency delivery

 

Next Step

If you manage agencies but not outcomes, leadership is missing.

A Free Marketing Health Check will give you simply:

  • Where you are now?

  • Where competitors are? 

  • What the opportunity is? 

  • What the resource options are to tap into the opportunity?

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take ownership of agencies and outcomes

what happens when leadership steps in

Who Manages Agencies in an SME FAQs?

Who typically manages agencies in an SME?

In most SMEs, agencies are managed by the founder, managing director, or a senior marketing manager—often alongside other responsibilities. Rarely is there a dedicated owner solely accountable for agency performance and commercial outcomes.

Why is agency management a problem in many SMEs?

Because agency management is usually added on top of someone’s existing role, not owned outright. This leads to:

  • Tactical oversight instead of strategic leadership

  • Limited time to challenge performance

  • Agencies being managed on activity, not outcomes

Should a founder manage marketing agencies?

Founders often start as the agency manager, but this becomes unsustainable as the business grows. Founders are close to revenue but lack the time to:

  • Translate strategy into execution detail

  • Review performance deeply

  • Coordinate multiple agencies

Can a marketing manager manage agencies effectively?

Yes—but only if they:

  • Have commercial authority

  • Are accountable for pipeline or revenue, not just delivery

  • Can prioritise across channels and say no

Without this, marketing managers often become project coordinators, not commercial owners.

What happens when no one truly manages the agency?

When no one owns agency performance end-to-end:

  • Agencies default to delivering what’s asked

  • Reporting focuses on outputs (clicks, impressions)

  • Poor results are explained away, not fixed

  • CAC rises while pipeline stalls

Isn’t the agency supposed to manage itself?

Agencies manage delivery, not your business outcomes. Without SME-side leadership:

  • Agencies optimise their own channels

  • Strategy fragments across specialists

  • No one is accountable for total commercial impact

How many agencies is too many for an SME to manage?

More than one agency often creates problems if there is no single internal owner coordinating:

  • Strategy

  • Budget allocation

  • Performance priorities

Multiple agencies without leadership increase complexity, cost, and risk.

What does good agency management look like in an SME?

Effective agency management includes:

  • One clear commercial owner

  • Outcomes tied to pipeline and revenue

  • Regular prioritisation and de-prioritisation

  • Budget moved based on performance

  • Sales and marketing alignment

Is agency management the same as marketing leadership?

No. Agency management is about oversight and coordination.
Marketing leadership is about:

  • Setting direction

  • Making trade-offs

  • Owning commercial results

Many SMEs have agencies but no marketing leadership.

When should an SME add dedicated marketing leadership?

Typically when:

  • CAC starts rising

  • Pipeline growth slows

  • Multiple agencies are involved

  • Founders feel unsure despite high activity

This is often the point where agency performance plateaus.

What’s the risk of leaving agency management “as is”?

The biggest risks are:

  • Increasing spend without clarity

  • Blame shifting between sales and marketing

  • Loss of confidence in growth strategy

  • Delayed corrective action

By the time issues are obvious, costs are already sunk.

Communications Edge

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