Episode Details

Have you considered the potential for growth through a strategic acquisition? How do you anticipate the agency owner's role evolving during an acquisition process? What steps can be taken to ensure a seamless integration once the deal is finalized? Our featured guest today has undergone a significant transformation, transitioning from white label to a more comprehensive service offering and shifting from project-based to retainer-based services. Now, she embarks on a new journey for her agency as she navigates a strategic acquisition. Tune in to hear about the evolution of her career and what she's learned about setting the course for a smooth agency transition and post-acquisition planning.

Leah Messina is the founder and CEO of Sinuate Media, a full-service digital marketing agency that works as equal parts data analytics, creative genius, and strategic mastermind for its clients. Leah recounts her transition from the entertainment industry to establishing her own agency in New Mexico, highlighting key milestones such as the shift to a retainer model and the expansion of services through a strategic acquisition.

In this episode, we'll discuss:

• The downside of the white label model.

• Shifting to a retainer model.

• Seeking to grow through a strategic acquisition.

• Post-acquisition planning and integration.

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Leah always wanted to have her own business and, after working in digital publishing and working at a small digital agency, she fell in love with this evolving industry and felt drawn to the emerging technology.

Leah's agency opened for business in 2006 and initially operated as a white label agency, providing services to larger media agencies who would then resell them to clients. While this arrangement allowed her team to work on prestigious projects, it also relegated them to the background, handling the day-to-day marketing tasks and creative execution.

The economic downturn revealed the drawbacks of the white label model, with clients delaying payments and seeking to internalize services. This shift led to a substantial loss of business, as white label clients accounted for approximately 70% of their revenue at the time.

Determined to overcome this setback Leah thought about some of the requests they sometimes got from customers, and identified an opportunity to diversify their services.

The shift was not easy, as it meant redefining the agency's business model and finding new ways to generate revenue. By embracing it, she showcased her willingness to embrace change and steer the agency towards a more sustainable and diverse future.

As she reevaluated her service offering, Leah also started thinking about the direction of the business and making strategic changes to adapt to the evolving needs of clients and the industry, which included a shift from project-based work to retainers.

With projects, the focus was on delivering work efficiently and quickly, while retainers required building long-term relationships and serving as advisors to clients. This