Wonder what digital agencies actually do? Let’s break it down.
Dav Nash
12 min read
Digital marketing is omnipresent. Unless you’ve been hiding under a rock for the last decade, you’ve probably come across spectacular digital marketing campaigns. Think irresistible social media posts that have you clicking on links in a second. Or maybe personalised emails that lure you in with their punchy subject lines.
Digital marketing has revolutionised marketing. For businesses, there’s a raft of incredible techniques and channels to exploit. For consumers and B2B clients, every Google search or social scroll offers opportunities to shop, shop, shop.
Part of the reason why digital marketing has taken off is the skill, creativity and expertise of digital marketing agencies. But what is a digital marketing agency, I hear you ask? It may seem obvious, but do you really know what a digital agency does and why it’s vital in 2025?
If you’ve got questions, we’ve got all the answers in this handy guide.
Let’s start with the basics. What is a digital agency and what does a digital marketing agency do?
A digital marketing agency is a company that specialises in digital marketing. This new-fangled area of marketing covers a broad spectrum of methods and platforms. Examples range from email and content marketing to social media campaigns.
A quick Google search will tell you there are thousands of digital marketing agencies. In the UK alone, there are more than 8,000 digital agencies. That’s a lot of businesses crammed onto this tiny yet perfectly formed island.
As the demand for digital marketing services rises, agency numbers increase. The 2024 figure of over 8,400 digital agencies represents a jump of over 50% in the last twelve years.
The primary goal for digital marketing agencies is to help clients improve their business. There are lots of ways to do this. Increasing sales. Creating more leads. Sending online traffic figures wild. Reaching new audiences. Tapping into new trends. Targeting customers to boost conversion rates. Supercharging profits by maximising ROI. Raising brand awareness.
The list goes on.
The role of a digital agency is simple. To help customers achieve their objectives through digital marketing.
At first glance, it looks easy. But digital marketing is a lot more complex. There’s a lot going on beneath the surface. This is why it’s so beneficial to get experts involved. A digital marketing agency specialises in using effective digital marketing methods to hit targets and optimise results.
A good digital marketing agency works closely with clients to deliver outcomes based on key objectives. If you scour the Internet you’ll come across a sales patter that involves phrases like ‘bespoke,’ ‘tailored,’ ‘break the mould,’ and ‘ no one-size-fits-all approach.’
It may sound cliché, but the last thing you want is a strategy that’s irrelevant to your business. Embrace agencies that offer something different, away from one-size-fits-all solutions. Think original, fresh ideas that cater to your needs and goals.
Depending on the services you choose, digital marketing agencies have multiple roles. They conjure up ideas. They turn ideas into customised plans. They strategise and research. They launch campaigns. They pore over data to track KPIs. They compile reports and measure success. All the while, the best ones will stay in touch and provide regular updates.
Some agencies also spice things up with additional services. Examples include web design, development and branding.
If the burning question, ‘What does a digital marketing agency do?’ has been keeping you awake at night, don’t panic. We have the answer. Digital marketing agencies offer an array of services. Core digital marketing services include:
Digital marketing agencies are multi-faceted. They not only deliver campaigns using the techniques mentioned above. They also design, implement and evaluate campaigns. Additional services include:
Of course, not all digital marketing agencies are the same. Some may have a veritable smorgasbord of options. Others may focus on specialist areas. You can pick and choose depending on the agency and the services you want/need.
Digital marketing only became a ‘thing’ in the 90s.
Pre-social media, a constant bombardment of emails and spending our lives tapping terms into Google, marketing agencies delivered what we now know as ‘traditional’ marketing services. Fast forward to the 2000s onwards and digital marketing agencies began sprouting up all over the place.
In 2024, there were over 8,000 in the UK and more than 54,000 in the US.
Digital marketing agencies are companies that specialise in digital marketing strategies. Their focus is to help clients achieve goals using digital channels. When you work with an agency, they take care of your marketing for you. This is great for businesses. Not only can you access expertise and industry experience and nous. But you’re also freeing up valuable hours for your team.
We’ll discuss the wondrous benefits of hiring a digital agency in detail later.
It’s always helpful to have a definition when figuring out what things mean or do. Investopedia offers this digital marketing agency definition:
“A digital marketing agency is a company that deals exclusively in marketing to consumers or businesses through digital channels.”
In a nutshell, a digital marketing agency uses digital marketing methods and platforms to promote, advertise and sell products and services. If you delve a bit deeper, digital agencies also provide more expansive services. They analyse, track and evaluate data and KPIs to make data-informed decisions. This is where digital marketing agencies get fancy.
How can digital agencies help your business? It’s an age-old question for business owners, particularly those on a tight budget. Is it worth hiring an agency and paying out? Or should you just keep your cash in your pocket and muddle through with a DIY approach?
There’s nothing to say that you can’t take care of your own marketing strategy. But, before you do, consider the benefits.
The best digital marketing agencies employ expert marketers. These are no ordinary marketers. They are bona fide wizards of the digital marketing world.
The primary benefit for most entrepreneurs and company owners is gaining access to skills, experience and expertise. These oracles know everything there is to know about using digital marketing to get results.
Another brilliant reason to hire a digital agency is to elevate your campaigns.
Much like love in 1994, tech is now all around us. Not only is it instrumental in helping businesses market products and services effectively. It’s also advancing at speed. This means that marketers have to be agile. If you run a business, you might not be able to keep up.
Working with an agency gives you access to cutting-edge tools and techniques and state-of-the-art tech. Not only can you dazzle customers. You can also leave competitors in your wake.
Businesses grow and shrink. Their needs and demands evolve. Their budgets may change. They may have different goals at the end of the year from the beginning. Scalable solutions offer flexibility.
If you work with an agency that offers scalable services and flexi packages, you’re onto a winner. You can add or take services away. You can modify spending. You can mix and match services in line with different campaign KPIs. The world is your oyster.
Picture the scene. You’re mid-way through treating a patient. You’ve got pastry all over your hands. You’re cutting somebody’s hair. You’re balancing plates up to your elbows. You’ve got your head in a car engine.
Be real. You don’t have time to craft blog posts or think of alluring titles for a promo email. One of the main reasons to hire a digital marketing agency is to free up time.
If you’re not blessed with marketing maestros on your team, chances are people are juggling too many balls. It’s not possible to be in two places at once. It’s also not likely that you can mastermind an ingenious marketing strategy if you don’t know your SEO from your PPC.
Outsourcing digital marketing offers relief for people whose job descriptions don’t feature any mention of the word, ‘marketing.’ It also allows your employees to focus on core tasks.
We all know that money matters in business. You can’t stay afloat if you’re not bringing money in and watching your bottom line.
If working cost-effectively and boosting ROI are priorities, a digital marketing agency can help. It may seem contradictory. I know what you’re thinking. Shelling out for a sparkling package of professional services doesn’t come cheap. The key here is maximising value for money and increasing your ROI.
Yes, you may be paying more for top-class digital services. But think of the rewards. Higher sales. Bigger orders. More customers. More website traffic. More likes and shares on Insta. More enquiries, calls or subscribers. A higher CTR or conversion rate.
At this point, it’s important to mention quality. Digital marketing isn’t a golden bullet for flagging sales or shrinking client bases. You can spend a ton of money and not get results. Tread cautiously and choose wisely is sage advice.
There is so much data available now. Everywhere you look. Facts, figures, graphs, charts, spreadsheets and reports. Now, data is great if you know how to use it. But if you’re staring at a sheet of numbers blankly, all that sumptuous data is going to waste. This is where the pros come in.
Experts who understand analytics and know how to use tools can help you develop better strategies and campaigns. The best thing? You can make data-driven decisions using information and insights gathered and explained by others. Gone is the guesswork without even the tiniest bead of cognitive sweat.
Is there anything harder than trying to be original when you’re all out of flashes of inspiration?
Perhaps you’re not blessed with a creative mind. Or you struggle to come up with snappy tags or hilarious puns for promos. The good news? You can pay people to provide fresh, exciting outlooks and generate original, impactful ideas.
You know what a digital agency is, but what do digital marketing agencies do? In truth, the answer is a lot. The best digital agencies carry out all kinds of functions.
These include:
Depending on the scope of the agency, you may also get even more for your money. A full-service digital marketing agency, for example, may offer you options like web design and branding.
I know what you’re thinking. You’ve read the spiel and you’re all in. Digital marketing agencies are fantastic. But how do you choose one?
As we’ve said, there are thousands. Tap your location into a search engine. You may find tens, even hundreds of agencies desperately trying to catch your eye. Which one deserves that all-important click?
Finding the right match for your agency isn’t always easy. Here are some signs to look for in an agency that stands out from the crowd:
One of the best ways to choose an outstanding digital agency is to check the results. View the figures. Look at case studies. Ask to see portfolios. Read client testimonials. Seek out hard, cold evidence.
You want to make sure you’re hiring people who know how to get the results you want.
Experience is golden in the world of digital marketing.
Look for agencies with a proven track record. It’s always good to focus on companies with relevant industry expertise and experience. If you run a healthcare business, you want to know the marketing team understands how it works. This is a better fit than an agency that usually works with lawyers or retailers but is happy to take you on.
We all want to feel special. It’s an innate human trait.
When it comes to marketing, you don’t want your business to be a small fish in a big pond. You want to be the prize Koi carp.
Focus on agencies that offer tailored services and the best possible customer service and support. Your first interactions are often a giveaway. If nobody’s answering the phone or emails are left unanswered, this is a red flag.
You get what you pay for with digital marketing (to an extent). But that doesn’t mean you have to break the bank to hire a decent agency. Look for companies that offer competitive pricing and a range of bundles.
There’s no point in forking out for all the bells and whistles if you want a simple but effective SEO strategy.
On the money point, try to prioritise value over price. Paying a slightly higher price may mean getting more bang for your buck.
Not all digital marketing agencies are created equal. Quality can be lacking. This is why diligent research is essential. Take your time. Read reviews. View examples of content. Scour figures and reports. Speak to representatives.
Being able to communicate with your marketing agency is crucial. You need to be able to share ideas and opinions and give feedback. You also want quick responses and basic perks like courtesy, a friendly tone and good manners. It’s helpful to schedule calls or consultations before you hire an agency. Getting a feel for the agency can help you decide.
Digital marketing has transformed the marketing landscape, but what is a digital marketing agency?
A digital agency is a company that specialises in using digital marketing channels and methods to help customers achieve their goals. From skyrocketing sales to new leads, digital marketing agencies offer a raft of benefits.
The best digital agencies offer tailored services that align with client objectives, budgets, and preferences. By hiring a digital agency, businesses gain access to experience, skills, expertise and cutting-edge tools. In addition, they can free up time for core functions. Your staff can also head to work safe in the knowledge they won’t have to tackle tasks way beyond their job descriptions.
There are thousands of digital marketing agencies, so how do you choose one? The best advice is to research, research, research. Check results and reports. Ask for recommendations. Read reviews. Get to know marketers. Focus on reputable agencies that have industry experience and are customer-focused. Always take your time and be wary of red flags. A lack of communication, bad reviews and crazily low prices are just some of the warning signs to look out for.
