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Want to Start a Digital Marketing Agency? Here’s How to Do It Right

  • Writer: DM Monticello
    DM Monticello
  • Jul 3
  • 7 min read


In today's digital-first world, starting a digital marketing agency is one of the most rewarding and scalable business opportunities. Whether you're a freelancer looking to level up, or an entrepreneur entering the online service space, launching a digital marketing agency can generate high profits with relatively low startup costs.

In this two-part guide, you’ll learn how to start a digital marketing agency from scratch—even if you have no prior experience. We'll walk through everything from choosing your niche to assembling a winning team.



Why Start a Digital Marketing Agency?

Rising Demand for Digital Services

Businesses of all sizes—from startups to Fortune 500s—rely on digital marketing to grow. Services like SEO, paid ads, content marketing, and social media have become essential. According to Statista, digital advertising spending is expected to reach $740 billion by 2025, up from $522 billion in 2021. This surge creates a massive opportunity for agencies that offer specialized, results-driven solutions.


Low Overhead and Startup Costs

Unlike brick-and-mortar businesses, a digital marketing agency doesn’t require a storefront or heavy inventory. With a laptop, internet connection, and the right software tools, you can launch your agency remotely. Many successful agency owners begin as solopreneurs and expand their teams later.


Scalable Business Model

You can start small and grow at your own pace. As your client base expands, you can outsource or hire for specific roles like social media managers, content writers, and VAs to handle the workload. With systems in place, your agency can serve more clients without sacrificing quality.



Planning Your Digital Marketing Business

Define Your Niche and Ideal Client

Avoid the temptation to serve everyone. Specializing in a niche—such as dental practices, e-commerce brands, or tech startups—makes your messaging more targeted and builds authority faster. Ask yourself:

  • What industries do I understand well?

  • What kinds of businesses are actively investing in marketing?

  • Where can I make the biggest impact?

Choosing a profitable niche allows you to craft tailored offers that resonate. Check out good ideas for new business you need to know to brainstorm your niche direction.


Choose Your Core Services

Digital marketing is broad. Focus on a few key services to start—then expand as you grow. Examples include:

  • Search Engine Optimization (SEO)

  • Pay-Per-Click Advertising (PPC)

  • Social Media Management

  • Content Marketing

  • Email Marketing

You can also offer packages tailored to a client's goals. For example, combining SEO with blog content for long-term growth. Use insights from how to run SEO accurately to refine your offerings.


Research Your Competition and Pricing

Study other agencies targeting the same niche. What do they offer? How do they price their services? What pain points do they address in their marketing?

You don’t need to undercut their prices—instead, highlight your unique value proposition. Maybe it’s faster turnaround times, personalized service, or industry-specific expertise. Refer to what are staffing companies to understand how agency models vary and price competitively.



Legal and Administrative Setup

Registering Your Business

Choose a business structure—LLC, sole proprietorship, or S-Corp—based on your long-term goals and liability needs. An LLC is a common choice for agency owners because it offers flexibility and protects personal assets. You can read more about the pros and cons in how to form an LLC.


Get Necessary Licenses and Permits

Check with your local authorities to ensure you meet all business license requirements. Some locations require a general business license even for online services. Keep this in mind if you’re offering marketing services internationally.


Set Up Business Banking and Invoicing Tools

Separate your business and personal finances from day one. Open a business checking account and use platforms like QuickBooks, FreshBooks, or Wave to manage invoicing. Need accounting help? Consider hiring a virtual assistant for bookkeeping.



Building Your Brand and Online Presence

Create a Website That Converts

Your website is your virtual storefront. It should clearly communicate:

  • Who you are

  • What you offer

  • Who you serve

  • How prospects can get in touch

Add lead capture forms, testimonials, and service pages. Use SEO best practices to rank for relevant keywords. If you’re just starting, explore how to build a successful coaching business for tips that also apply to agencies.


Set Up Branded Email and Social Profiles

Use a professional domain email (e.g., you@youragency.com) to look credible. Then create branded profiles on LinkedIn, Instagram, and Facebook. These platforms help build trust and are key to engaging with potential clients.


Build a Portfolio and Case Studies

Even if you’re new, you can create mock campaigns or do a few discounted client projects to show your expertise. Document the results in case study format, including:

  • The client’s goal

  • Your strategy

  • The outcomes (traffic, leads, sales)

Check out marketing outsourcing strategies to learn how others showcase performance in client reports.



Tools You’ll Need to Get Started

Project Management and CRM Tools

Use tools like Trello, Asana, or ClickUp for project tracking. For CRM, platforms like HubSpot or Zoho help you manage leads, deals, and email automation. Efficient systems reduce overwhelm and keep tasks on track.


SEO and Analytics Platforms

To deliver results for clients, you’ll need tools like:

  • Google Analytics and Google Search Console

  • Ahrefs, SEMrush, or Ubersuggest

  • Moz Local for location-based services

Browse top data analytics tools for 2024 to make informed decisions about your tool stack.


Social Media and Content Tools

Automate posting and reporting with Buffer, Hootsuite, or Later. Use Canva for graphic design and Grammarly to polish your copy.

Many agencies also hire a virtual assistant to support CRM data entry and repetitive tasks—saving hours each week.



Assembling the Right Team

Freelancers vs. Full-Time Hires

When you’re just starting, hiring full-time employees can be expensive and unnecessary. Freelancers and virtual assistants offer a flexible, cost-effective solution. You can scale your team up or down based on your client load and budget.

For example, if you need graphic design support, consider platforms like Behance or Dribbble. For administrative tasks, check out how to hire virtual assistants to streamline your operations from day one.


Roles to Hire First

Your initial hires should support revenue-driving activities and free up your time. Consider:

  • Copywriters to handle blog posts and landing pages

  • Graphic Designers for ads, social posts, and branding

  • Social Media Managers to create and schedule content

  • Virtual Assistants for scheduling, invoicing, and follow-ups

Need help defining these roles? Visit effective job descriptions for executive assistants to CEOs for ideas on outlining clear responsibilities.


Use Virtual Assistants for Admin Support

Administrative tasks eat up your time. VAs can manage:

  • Client onboarding

  • Email responses

  • Calendar scheduling

  • Research and CRM updates

If you're building remotely, the power of a virtual talent team can’t be overstated—they help you run lean and scale fast.



Finding and Closing Clients

Outreach Strategies

Clients won’t come unless you actively promote your agency. Here are three proven tactics:

  • Cold email outreach: Send personalized pitches to your niche using tools like Lemlist or Instantly.ai.

  • LinkedIn networking: Optimize your profile and engage in relevant groups or threads.

  • Freelance platforms: Sites like Fiverr or PeoplePerHour help you build early case studies.

Review how to promote your business through digital marketing for deeper outreach strategies.


Build Authority with Content

Create value-packed blog posts, videos, or LinkedIn carousels around your niche. Share tips, audit breakdowns, and how-to guides. This positions you as an expert and warms up your audience before they even book a call.

Need content ideas? Explore discover the best online side business ideas for inspiration and themes relevant to your audience.


Create Proposals and Onboarding Systems

A strong proposal builds trust. It should:

  • Reiterate client goals

  • Present your strategy

  • Include pricing and timelines

  • Explain your onboarding and communication process

Automate your onboarding with tools like Dubsado, HoneyBook, or Notion. Learn how to maximize your team’s productivity as you bring in more clients.



Managing and Scaling Your Agency

Workflow and Automation Tips

Build standard operating procedures (SOPs) to reduce guesswork. Use Zapier or Make.com to automate:

  • Lead capture → CRM entry

  • Client approval → Project board creation

  • Completed task → Slack or email notification

As your agency grows, refer to how to automate back-office operations to keep things running smoothly behind the scenes.


Outsourcing Repetitive Tasks

Don’t waste time on tasks that don’t grow your agency. Delegate:

  • Design revisions

  • Social media scheduling

  • Email list cleanup

  • Competitor research

For a lean approach, see how to hire offshore employees for customer support to reduce costs while maintaining quality.


Track KPIs and Client Success

Measure what matters. Key metrics include:

  • Client ROI and lead volume

  • Website traffic and keyword rankings

  • Ad performance and cost-per-click

  • Client retention rate and NPS

Use platforms like Google Data Studio or DashThis to present results clearly. For deeper insight, understanding revenue operations can elevate your reporting and upsell opportunities.



Common Mistakes to Avoid

Underpricing Services

Many new agencies charge too little, thinking it will attract clients. But low prices often attract high-maintenance clients and unsustainable workloads. Price based on value, not time. Refer to demystifying virtual assistant pay rates to benchmark your services.


Taking on Every Client

Not every client is a good fit. Avoid red flags like unrealistic expectations, scope creep, or poor communication. Set boundaries early and stick to your niche.


Neglecting Your Own Marketing

Your agency is your best portfolio. Keep your own blog, SEO, and social channels active. Show what’s possible when clients partner with you. A stagnant online presence can turn off leads fast. Stay visible with support from tools that assist in making virtual support easier.



Final Thoughts: Building a Sustainable Digital Agency

Starting a digital marketing agency doesn’t happen overnight, but it’s completely achievable. Focus on delivering results, refining your systems, and building long-term client relationships. Don’t worry if you can’t do it all at once—start where you are, and grow as you go.

Stay up to date with the latest trends, and build a team that supports your strengths. When done right, an agency can offer freedom, flexibility, and financial success.

Need help scaling? You don’t have to do it alone.



Why Partner with OpsArmy

OpsArmy helps digital marketing agencies grow faster by providing affordable, skilled remote talent for every stage of your business. Whether you need a virtual assistant, content writer, or CRM specialist, OpsArmy delivers vetted professionals so you can focus on what you do best—growing your client base.

  • Save time on hiring

  • Cut overhead costs

  • Scale quickly with trained remote workers

Explore OpsArmy today and build your dream team without the stress of traditional recruiting.



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