Karl Kangur -Scaling an Agency

The Difference Between $2,000 and $12,000 Marketing Agencies – Karl Kangur

Karl Kangur started out working with $500 per month SEO contracts. Since then, he has worked with Fortune 500 companies and founded several venture-backed marketing agencies. I wanted to know what the difference in services, presentation, and communication looks like between a $500 contract and a $12,000 contract. More importantly, how do you bridge the gap and transition to high dollar contracts? Karl was kind enough to answer this and so much more. Enjoy!

 

What’s the difference between a $3,000 per month client versus a $12,000 per month client and how do the services differ?

  • Started out just offering  tiny monthly fee SEO services ($500 per month)
  • Later charged $2,000-3,000 per month
  • At the start of MRR media, we had to investors that wanted to build the company value with higher monthly prices
  • How do we transition to Fortune 500 clients?
    • Positioning is really key
    • You can’t charge $10,000 per month for just SEO so he repositioned as a content marketing agency as that is what was ranking for more keywords
    • Look at what words are trending in your industry and take advantage of them

 

How did you transition into Fortune 500 companies?

  • Fake it till you make it “we” “our team”
  • It’s all about perception – marketing reports were customized with the client’s logo and color schemes
  • When you act like “we work with companies like you” they sign up!

 

What do you do when you start and you don’t have case studies?

  • SEO is a confidential industry so you can use that as a scapegoat

 

How did the value change as you began working with bigger clients?

  • The key difference was the presentation and management with the clients
  • The difference is mainly the ROI you are providing the company. For example, a hair dresser won’t have as big of an ROI simply because their product isn’t worth as much as say a SaaS company might be

 

Content marketing results don’t happen overnight. How do you set expectations so that the client realizes that they may not see anything for the next year?

  • Just tell the client, based on our experience this is what we think, but we don’t own Google and can’t control Google
  • Reinvest all of the money until we rank the company

 

Where do you reinvest the money?

  • Almost all of the money goes back into content marketing efforts (paying writers)

 

Does blogging work as well as it used to? And how do you present it to your clients?

  • The average supplement or health business doesn’t have as much of a chance anymore
  • If you notice that there aren’t any specific industry giants, you should be good to go

 

How do you respond to clients in a competitive industry, like the medical space, that want to rank for competitive keywords?

  • We usually make them understand first that ranking for super competitive keywords probably isn’t realistic.
  • From there, we focus on long tail phrases

 

Speaking of which, are the new Google backlinking guidelines going to impact guest posting?

  • Not really. As long as you are already adhering to Google’s guidelines, you should be fine
  • Google said guest posting was dead 3 years ago, but even a no followed link can still pass a lot of link juice

 

If you were to start over again today, what would you change?

  • Be more professional to show that everything you do is done with great thought

Get in Touch

karl@smashdigital.com

@growthkarl

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