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Why AI-Enhanced Agencies Are Outpacing AI-First Pretenders with Michael Davern | Ep #858
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AI is changing the agency landscape faster than most owners can keep up with. Tools are popping up daily, clients are asking if rates should drop, and your team is either fired up or freaked out. Today's featured guest talks about what it takes to build an agency that thrives in a world obsessed with shiny new tech, where the edge is not more tools. It is better leadership, human connection, and an incubator mindset that keeps them ahead without drowning in the noise.
Michael Davern is the CEO of Incept, an AI-enhanced, digital-first agency that has been around for a decade. Today, his agency blends automation, machine learning, and human-centered strategy to help enterprise clients grow with clarity and smart execution.
He is an early adopter who still believes the real edge is human connection and wants to encourage agency owners to really think about who should lead.
In this episode, we'll discuss:
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AI-enhanced vs. AI-first: what actually creates agency value.
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Leading an agency through rapid AI change.
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Why human-first agencies win in the long run.
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Evolving from a Specific Niche to a Full Service AgencyBefore agency life, Michael spent years in corporate America and even longer in the music industry as an artist development rep. That career went up in flames when the label collapsed and no one got paid. After a brief return to corporate, he approached his now business partner with an idea to sell text message marketing, and suddenly he was an entrepreneur learning the agency game the hard way. Early on he chased small business clients with $49 starter packages and cheesy platinum tiers. Nobody wanted it. The market did not understand text marketing yet and the value was unclear.
Everything changed when an enterprise vendor in the Medicare insurance space let them into their workflow. Overnight texting became a revenue driver. That win opened the door to more enterprise relationships and pushed them to expand far beyond their original niche. What started as a simple vendor relationship ballooned into a full service digital agency. With time, growth came from necessity and opportunity, not a master plan. Michael admits they were often too early to the game, but that curiosity and experimentation kept them alive long enough to get good.
AI-Enhanced vs. AI-First: What Actually Creates Agency ValuePlenty of agencies slap "AI-first" on their website. Michael prefers to say "AI-enhanced" since "AI-first" implies handing the keys to robots or machines. That is not w