Stop Selling Implementation Services (& Do This Instead) w/ Max Traylor
Jun 13, 2024
auto_awesome
Max Traylor, known as The Consultant’s Consultant, shares his transformative journey from providing standard marketing services to offering productized consulting. He explores why agencies often fall into the 'Tactician’s Trap' and how to escape it. Max reveals a game-changing tweak that resulted in a 10x price increase for a consulting package. He discusses three essential steps for agencies to start selling strategic insights instead of implementation services, emphasizing the importance of trust and strong client relationships in a rapidly evolving market.
Agencies should transition from selling commoditized implementation services to offering strategic consulting, which enhances client relationships and profitability.
Max Traylor emphasizes the importance of charging for strategic insights during proposals to strengthen negotiating power and reinforce agency authority.
Deep dives
Transitioning from Implementation to Strategy
Many agency owners often find themselves trapped in the cycle of selling implementation services instead of focusing on strategic consulting. This dynamic leads to exhaustion, as achieving growth targets in terms of revenue and headcount often comes at the expense of personal well-being. The emphasis on commoditized services, like content creation, has diminished in value due to advancements in AI technologies that can produce similar work at lower costs. Therefore, transitioning to a consulting-focused approach allows agencies to truly leverage their insights and establish profitable long-term relationships with clients, where they can guide executive teams on decision-making and strategic investments.
Productizing Consulting Services
Max Traylor advocates for agencies to productize their consulting services as a means to increase profitability and scalability. A pivotal moment in his journey came when he identified that a strategic consulting process he created could be valued and sold at a much higher price point than traditional implementation projects. By packaging this consulting service specifically for certain industries, such as higher education, he successfully increased the price from $2,500 to $30,000. This approach highlights the potential value of strategy, especially when positioned as an insurance policy that protects agency clients' significant investments in implementation.
Importance of Selling Strategy
Many agencies struggle with effectively selling strategy due to their longstanding focus on providing implementation services. A common pitfall is that agencies often give away valuable strategic insights during the proposal process, weakening their negotiating power. Establishing the practice of charging clients for strategic consultations not only validates the pricing but also reinforces the agency's authority in advising on significant business decisions. By transitioning to a retainer model for ongoing strategic support and focusing less on implementation, agencies can build stronger partnerships and maintain higher profit margins.
Navigating Market Disruptions
With the rise of AI and increasing client expectations, agencies face a disruption that compels them to rethink their service offerings. The shift from a reliance on data to fostering trust through genuine relationships is becoming increasingly significant in the competitive landscape. Clients are becoming more discerning, placing their faith in referrals and testimonials from trusted sources rather than traditional marketing content. By understanding and adapting to these market trends, agencies can position themselves as essential partners that guide clients through decision-making, making it imperative for them to invest in and develop their strategic capabilities.
Agency clients often want more strategic consulting from the agencies they hire. At the same time, many agencies feel like the services they’re delivering are often undervalued by the clients they serve.
If both of these are true, then why are so many agencies caught in what Pete Caputa calls the “Tactician’s Trap” where it feels like you’re on an endless hamster wheel selling implementation services without being valued for the strategic insights you can provide to your clients.
Today’s guest, Max Traylor, known as The Consultant’s Consultant, unpacks a (maybe slightly controversial) chapter from his book The Agency Survival Guide, entitled Burn Your Implementation Business to the Ground.
Now, whether or not you’re whether to do that quite yet, in today’s conversation you’ll hear Max explain:
His own journey from selling marketing services to productized consulting
The 1 simple tweak that lead to a 10x price increase for one consulting package
The 3 steps to start selling strategy that you’re already capable of delivering