Virtual Agencies and Free Agents – What You Should Know
Recently, The Des Moines Register published a story in its "Business & Career" section regarding Virtual Agencies (VA) and how they're run with a simple e-mail account, an Internet connection, a phone line and a business credit card. The article profiled five individuals and how their operations began.
Virtual Agencies are now the new buzzword used to describe a growing trend in the marketing and advertising industry where the VA is owned by graphic designer, writer, public relations consultant or Web developer who assembles a team of freelancers, all specializing in different disciplines for each client they serve. It's an attractive way to start a business and to an extent, our own firm began as a VA, so we're in a particularly qualified position to comment on what they can and can't offer a prospective client. Here are some items to be on the lookout for:
1. Education and Industry Knowledge - The phrase "caveat emptor" (buyer beware) is key when choosing to work with a VA. A freelance graphic artist is not the same as a marketing professional. As our account manager says, "there's a reason why bachelor's, master's and doctoral degrees in marketing exist." Asking for credentials doesn't make a client nosey, it makes them smart. Is the VA led by someone with a legitimate educational background and experience in the industry? Is it someone with a two- or four-year degree? Or an Internet/mail-order certificate recipient? Credibility, experience and the right credentials are key to finding true professionals.
2. Business Structure - Many VAs are setup as sole proprietorships with their owners running the equivalent of a design cooperative. This means that the collaborating agents in a project are not the VA owner's employees and unless the VA owner is diligent and redacts contracts to "employ" its collaborating agents as independent contractors, accountability from these individuals can be hard to come by. We've heard many stories from clients who can't obtain a copy of their artwork because the "freelancer left town" or "can't be contacted."
3. Consistency - There's simply no substitute for an integrated work team that collaborates from a centralized location. One of the individuals profiled in the Register's article was quoted saying, "I've never met the director on my account at the agency in California – never even seen a picture – and we've worked together for a year." What kind of consistency can come from such impersonal and abbreviated communication? Face-to-face human interaction is key to obtaining a sense of trust and is the cornerstone of a true business relationship. The disconnect among VA agents can potentially lead to lackluster quality control.
4. Service and Workload Limitations - Many VA owners cite that the main reason they chose this setup for their business was the ability to work from home and spend more time with their families. While their values are commendable, many of them will lack the capacity to grow with a client's changing needs or demands. Although one could argue that the VA formula makes for a great client introduction into working with an agency (starting out with a VA and then graduating to a traditional advertising agency) the transition process may not be worth it, or worse, it may come at an inoportune time for the client.



