Working at a digital agency is a constant hustle—you’re always trying to bring in more revenue. What many don’t realize though, is that things like up-selling additional services, marketing to a new client base, or raising your rates aren’t the only avenues you can take to improve your profits. On that note, here are three ways to boost revenue at your agency without taking on more clients.
This should always be the first thing you look to do when trying to increase your revenue. Your team’s time is an expensive resource, so making sure you’re optimizing billable hours is crucial to turn a larger profit and increase your company’s efficiency. This couldn’t be more true for digital agencies that earn their bread and butter from project-based work.
To do that, you need to be able to see how risk factors and budgets are affecting your projects in real time—and in time to do something about it. If you had something like a profitability dashboard that could tell you how profitable your projects were as they progressed (by showing you the cost of your staff to your business and how much the work they’re doing was bringing in), you’d be able to maximize your return.
It’s great to take on more projects, but it’s not so great when you realize you don’t have enough people on your team to meet the projects’ demands. That could force you to outsource work when you’re already halfway through a project (which can quickly chip away at your profits). To avoid this, you’ll want to forecast the amount of work you plan to take on every quarter and compare that to your current utilization report or team schedule. If you see you’ll need more hands on deck, you’ll be able to align your hiring goals with those projections ahead of time.
If you’re curious about boosting revenue at your company, check out how this marketing agency did just that.
