4 Strategies For Agency Growth In The Coming Trump Administration
This is not a political post. Let me get that straight right now. I don’t care who you voted for or if you’re happy or sad about it. What I do care about is how advertising agencies react to the coming Trump Administration. Are you going to dig your heels in or are you going to hold your nose and look for opportunities to grow your agency? If the latter, read on for four growth strategies in reaction to five very specific Trump policies.
1. Prospect health clients, not pharma.
Trump Policy or Potential Policy: Support for health-focused initiatives like RFK Jr.’s campaign to “Make America Healthy Again.”
Effect on Advertising: Growth in ad spending from health and wellness industries, fitness sectors, and related markets like nutrition, activewear, and outdoor activities. A focus on healthier lifestyles will prompt product and service manufacturers to advertise offerings tailored to a health-conscious audience. As consumers become aware and then more active and healthier, they’ll create new demand in these sectors, which will load up ad budgets.
Advice to Advertising Agencies: Identify prospective clients most likely to benefit from this policy shift—such as startups launching health-focused products or established brands pivoting to wellness—and position your agency as their go-to marketing partner. Go back to your client archives and dust off every case history that even approaches health and wellness. Emphasize readiness for your agency to scale their advertising efforts as they grow. Stay away from Cocoa Puffs.
2. Lower Corporate Taxes and energy costs means bigger ad budgets.
Trump Policy or Potential Policies: 1. Reduction of corporate tax rates, allowing businesses to retain more earnings; 2. Increased domestic energy production with promises to significantly reduce energy costs within a year.
Effect on Advertising: Expanded marketing budgets for all companies, but the largest percentage increase will be small and medium-sized businesses, enabling them to invest in advertising and marketing efforts, perhaps for the first time. With reduced tax burdens and lower energy costs, businesses have more capital to allocate toward growth activities, including marketing. This also encourages startups and smaller firms to scale up, increasing their need for advertising services.
Advice to Advertising Agencies: First, mine organic client growth by proactively bringing new ideas to existing clients. Proactively suggest campaigns or initiatives they haven’t asked for to help them get ready for potential future increases. Also, for larger account opportunities, get closer to big pitch consultants (SRI, Pile & Company, Ark Advisors, etc., as larger pitches are likely on the horizon with companies increasing their spending.
3. Boosting American Manufacturing through Tariffs means more American clients.
Trump Policy or Potential Policy: Imposition of tariffs on foreign imports to favor domestic manufacturing.
Effect on Advertising: This boon to American manufacturers means increased advertising spending with existing businesses, but also an increase in new entrepreneurial start ups (new clients) designed to take advantage. These efforts would also shift advertising dollars from international markets to domestic campaigns.
Advice to Advertising Agencies: Focus prospecting efforts on emerging and existing American manufacturers poised to grow under these policies. Build relationships with venture capitalists, who are likely already supporting fledgling new American companies. Gather all of your case studies for American brands targeting Americans. Then tailor outreach to highlight your agency’s ability to help them differentiate and build their American brands.
4. Safer Communities Enhancing Consumer Confidence means more experiential branding.
Trump Policy or Potential Policy: A crackdown on illegal immigration, crime, and improved public safety measures.
Effect on Advertising: Boosted retail and experiential advertising as consumers feel safer engaging in public spaces and spending more. Fear suppresses consumer behavior, particularly in physical retail and experiential sectors. Policies that enhance public safety encourage consumers to shop, dine, and travel more, leading to increased ad spending in these sectors.
Advice to Advertising Agencies: Prospect retail, live entertainment, hospitality, and experiential sectors, emphasizing campaigns that invite consumers back into public spaces. Show your expertise in crafting messages that build trust and excitement around in-person experiences. Emphasize your brand promotions experience.
Trump will be the president in January. He seems pretty hell-bent on these policies (and potential policies) above. Many of these intended initiatives will take time to implement and then time to see the fruits. So we may as well get prepared now.
And who knows (holding nose optional), maybe we’ll all make advertising great again.
Will Burns is the Founder & CEO of the revolutionary virtual-idea-generating company, Ideasicle X. He’s an advertising veteran from such agencies as Wieden & Kennedy, Goodby Silverstein, Arnold Worldwide, and Mullen. He was a Forbes Contributor for nine years writing about creativity in modern branding. Sign up for a video consultation through my Intro Page.