Agency

What red flags should you watch out for when choosing an agency?

Written by:
Laura
Reading time:
7
minutes

Before we dive in, let's see what the market situation is.

Before we dive in, it's worth taking a moment to put the market into context. 

In recent years, digital marketing in Hungary has seen spectacular growth: advertising spending is continuously rising, digital channels already account for more than half of total media spending, and digital ad spending alone grew by more than 10% in a single year. 

This also means that companies are increasingly turning to online marketing solutions, and virtually no business today operates without using some kind of digital tool.

In parallel with this, the marketing agency market has also boomed.

#m1-y#Today, more than 1400 marketing companies operate in Hungary, and over half of them are concentrated in Budapest.##

Part of the reason behind this growth is that the barrier to entry has lowered: a laptop, a few tools, and a compelling marketing pitch can be enough to get started. 

And while online marketing is indeed an area where expertise is not (only) determined by qualifications, unfortunately, we also see that there are some companies where a cool website doesn't necessarily mean there's a competent, ethical professional or team behind it. 

Without certain guidelines, it's very difficult to see behind an agency's facade, and because of this, it's easy to confuse a convincing storefront with genuine expertise. Furthermore, online marketing is precisely the field where almost everything depends on a striking online presence – so as a Client, it's easy to assume that anyone who can achieve this for their own company can also help theirs. 

Now that we've put the market and agencies into a bit of context, dear Reader, allow us to take you behind the scenes and give you a few pointers so you can delve deeper into what an agency is truly like behind the scenes.

So here are the red flags and the most important guidelines!

Are there credible professional references?

The first, and perhaps one of the most important, is the agency's portfolio and its credibility.

Most agency references are convincing at first glance, and that's fine.

Nice logos, screenshots of steeply rising graphs, compelling narratives, a few growth-related claims – all the ingredients are there. The problem begins when you try to interpret them in context.

References should always be viewed in context. 

If an agency argues with impressive numbers (for example, "300% growth in one week!"), first ask yourself: compared to what? If it turns out that the website they managed went from 1 visitor per week to 4 per week with the help of Google Ads, that doesn't necessarily sound convincing, even though the statement is mathematically correct. 

Similarly, it's also worth checking what these hundreds and thousands of percent increases actually mean: impressions, page views, clicks, add-to-carts, purchases? It makes a big difference.

A good reference also reveals the initial situation and exactly what the agency contributed to the result – otherwise, you're just reading catchy marketing material.

A real reference shows you the team's approach, their way of thinking, the tools they use, and the results – without these, you don't get the full picture. 

It's best not to settle for the described results: it's worth asking during the first consultation about results achieved and past experiences in the sectors that interest you, and rather observe the agency's approach, not (just) the impressive figures they can list. 

And what about Google reviews?

The same applies to websites and Google reviews. Quantity alone is not directly proportional to quality. 

Short, templated reviews or "too perfect" profiles often present a less credible picture than a few more detailed reviews filled with nuanced feedback. 

Let the investigation begin: what supports the agency's professional credibility?

The most important takeaway: always verify professional credibility! 

The Google Partner certification and various Meta certifications for example, are not just decorations and catchy titles. Such certifications mean that the agency meets strict professional requirements, commits to continuously updating its knowledge, and, importantly, actively and effectively uses the platforms, thus providing a solid starting point.

If these are missing while the agency offers complex ad management, that is definitely a warning sign.

If you don't find everything on the agency's website, the first conversation is a good opportunity to clarify any unclear areas. 

By the way, we've gathered a few more tips for the first consultation on what to ask to get clear answers: What to ask on your first "date" with a marketing agency?

The key to secure operation: the often-forgotten AAA certification

Although we all struggle – both regionally and globally – with various economic changes and downturns, the financial stability of the chosen agency somehow doesn't usually appear as the very first consideration when searching for an agency. 

A marketing collaboration is not just about projects and campaigns, but also about long-term joint work, collective response to economic changes, and synergy. If the agency is not financially stable, that will eventually manifest in its operations.

Therefore, independent financial ratings are particularly important.

An example of such an international rating is the Dun & Bradstreet Certification, which, based on an objective system, examines financial data, payment discipline, and official information, among other things. The A, AA, and AAA ratings show how stable a company is and what level of risk is involved in collaborating with them.

What's truly important: if a business holds this rating not just once, but continuously for years, that indicates stable operations, rather than just a successful period.

This is a trust factor that cannot be replaced by persuasive communication. 

Hosszú távú befektetés a marketingbe és a növekedésbe

What kind of team works behind the scenes?

An agency's performance is ultimately determined not by its brand name, but by the people working behind the scenes. 

If it's not clear who is working on the projects, how the team is structured, or who your contact person will be, that can easily lead to uncertainty.

Similarly, it's also a warning sign if the communication feels rushed, or if it's difficult to follow and unstructured.

In a well-functioning agency, on the other hand, the team structure is clear, the roles are well-defined, and of course, responsibilities are clarified in advance. 

#promobox-newsletter-en###

High turnover and the pitfall of demotivation

Now you might be asking yourself how you're supposed to get insight into an agency's turnover if you don't work for them... Turnover isn't always immediately visible, but there are usually signs!

If you speak with several different contact persons within a short period (and information might even get lost between contacts), or if the agency is visibly trying to handle too many fronts, that usually indicates internal problems.

The impact of internal harmony within the agency on your goals

It also matters how much an agency looks after its own team.

There are also various certifications for smaller and larger companies, which are a good indicator of internal operations. The DreamJobs "Lovable Workplace" certification , for example, indicates that the company consciously builds its employer brand, pays attention to employee development, and thinks long-term. And this can also impact your results. 

This directly impacts the customer experience, because a motivated team works on your campaigns at a completely different level. They're there when you need optimization, a third re-check, or a little extra creativity!

See what professional knowledge, certificationswe gained last year!

Promises that are too good to be true

Who can best sell you marketing services? Why, a marketer themselves, of course!

#m1-y#But don't forget one thing: in the world of marketing, there are no guaranteed results.##

There are good strategies, data-driven decisions and continuous optimization, but just like in any other profession, there's no magic here.

If an agency promises quick, guaranteed success or offers simple solutions for every problem, that's usually not a sign of professional confidence. The reality is far more complex. 

A successful collaboration requires time, attention, and shared thinking to effectively solve emerging problems. 

What should you take away?

You've reached the end of the most important red flags, but take this with you and remember it the next time you need to choose an agency:

When choosing an agency, it's easy to fall for attractive presentations and appealing promises – but don't forget to ask yourself:

#m1-p#Would you entrust your growth to them?##

If you notice several of these red flags, proceed with caution!

However, if you see that the agency possesses genuine professional expertise, stable operations, and a proven financial background, then you're likely not just choosing a service provider, but a true partner with whom marketing will finally become an investment, rather than a money pit?

#promobox-en#Would you like to get to know the Selector team during a no-obligation consultation? Feel free to contact us!##

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