How Independent Agencies Can Unlock Additional Revenue By Offering Programmatic
Advertising to Clients

As AI reshapes digital marketing and visibility for their clients, specialty agencies face a critical
decision point.

We help publishers reach their website visitors and mobile app users across the Open Web.

By John Davis

Thursday, June 5, 2026 at 5:09 a.m.


Marketing agencies are facing unprecedented disruptions to their business models of helping clients.


  • Google continues to add Artificial Intelligence overviews (AIOs) in more search results, making its preference for zero-click search results a significant threat to businesses and agencies relying on search engine optimized (SEO) websites and pay-per-click (PPC) advertising.


  • Meanwhile, Meta’s AI-driven feed algorithms, targeting, and attribution models are becoming increasingly opaque and unpredictable. Meta ads reporting can claim credit for conversions from Facebook, Instagram, or their audience network that they didn't
    actually drive.


For web developers, graphic designers, social media managers, videographers, and content marketing specialists, this disruption requires agency leaders to revisit their capabilities and investments.



The Project-Based Trap: A Personal Perspective


In the past decade, we have focused our work on partnering with specialty agencies. I've witnessed countless agencies run into the same challenge; project-based work creates feast-or-famine revenue cycles. You build a beautiful website, deliver stunning creative assets, or complete a video-based project—and then you're back to hunting for the next project.


Most specialty agencies might get some recurring work from the same client, typically accounting for 20-30% of their revenue, but the majority of their income comes from constantly finding new projects. This creates a feast or famine cycle where agencies are always hunting for the next client, making it difficult to plan ahead, hire staff confidently, or invest in growth.


But here's what more agencies are seeing: their clients don't stop needing marketing support after the project ends. They need ongoing advertising to drive traffic to that new website, to showcase those creative assets, and to distribute that video content. After building a client's website, the agency can say: "Now let's drive traffic to it with targeted advertising."


When agencies offer programmatic advertising — with ad formats like display, video, and audio showing on popular websites, apps, and platforms — they create ongoing monthly media spending and client engagement opportunities that transform their business model. In this way, programmatic advertising becomes a game-changer, and it’s completely consistent with their mission to help their clients grow their businesses.


Offering programmatic advertising enables you to transform client relationships from project-based to partnership-based. And you’ll be differentiating your agency from everyone else.


Predictable revenue allows agencies to plan better, hire staff confidently, and invest in growth. It eliminates the stress of constantly chasing new projects. Banks and investors prefer businesses with recurring revenue streams, and agencies can focus on delivering great results rather than constantly scoping and bidding on new projects.


Beyond the Walled Gardens of Facebook and Google

Beyond the Walled Gardens of social media, search engines, and other tech giants, programmatic advertising spending is growing. 


Advertisers are actively seeking alternatives to the Facebook-Google duopoly. eMarketer suggests we are seeing the first signs of a shift for smaller advertisers and a growing distrust of major platforms.


“The cost of running ads on major digital platforms like Google and Meta has increased, leading budget-conscious brands to reevaluate their strategies,” says Daniel Konstantinovic, senior editor for eMarketer. “Walled gardens lost share in the programmatic ad spend market last year for the first time since we started tracking it in 2017, and the decline will continue this year.”


Based on their annual survey of local advertisers, Borrell Associates recently forecasted steady growth in digital advertising through 2027. Here is a breakdown of the programmatic formats of interest among these advertisers:

  •     Website Ads: 14% plan to increase ad spending
  •     Streaming Video/Over-The-Top TV: 10% plan to increase ad spending
  •     Streaming Audio: 8% plan to increase spending
  •     Out of Home/Outdoor: 7% plan to increase
  •     Mobile In-App Ads: 5% plan to increase

The Programmatic Revenue Opportunity for Specialty Agencies


Disruptions within the Walled Gardens of Google and Facebook create an opportunity for agencies to leapfrog past their competitors — if they can help clients diversify their marketing across additional platforms like display, native, online video, streaming audio, connected TV, and digital out of home.


Are you wondering exactly how much you might earn by offering programmatic advertising through your agency? See below for estimates for how existing local businesses with $300,000+ in annual revenue might support your agency’s book of business.


Small Agency Revenue Scenarios:


Scenario A: Web Development Agency With 5 Clients

- Project-Based Income: 5 clients × $20,000 per project = $100,000 annual revenue

- With Programmatic Partnership: 5 clients × $5,000 monthly advertising x 12 months = $300,000 annual revenue



Scenario B: Creative Agency (8 clients)

- Traditional: 8 × $25,000 projects = $200,000 annual revenue

- With Programmatic Partnership: 8 × $60,000 ongoing media sales = $480,000 annual revenue


 From a business perspective, the numbers tell a compelling story. Project-based agency work typically operates on lower margins, while programmatic advertising with flat-rate pricing allows agencies to build in more predictable, higher margins


.Consider this scenario: A graphic design agency completes a $15,000 brand identity project. Traditionally, that relationship might end there or continue with occasional project work. But if that same agency can transition the client to ongoing programmatic advertising at $3,000-$5,000 monthly media spend, they've created a recurring revenue stream that could exceed the original project value within six months.


Distinguishing Programmatic Vendors From a Programmatic Partner


There is no shortage of digital advertising companies promising silver bullet software as a service. Many are based on monthly fees for access to their program and monthly spending commitments of $10,000 that can last 12 months or more. Some even charge setup fees for each new client.

These companies don’t educate you or your clients about advertising strategies, won’t attend discovery meetings with prospects, and won’t develop media plans or proposals customized for each of your clients.


The beauty of working with a programmatic partner that eliminates setup fees, monthly platform fees, and minimum spending requirements is that agencies can offer this service to clients of all sizes—not just enterprise accounts.


For specialty agencies, this means they can offer their clients advanced programmatic advertising targeting and tactics without hiring additional staff or investing in expensive training programs.


Keep Your Clients With a White-Label Programmatic Partnership


The most compelling aspect of this opportunity is the white-label partnership model. Agencies maintain complete ownership of client relationships while gaining access to enterprise-level programmatic capabilities. There's no need to rebrand or position yourself as something you're not—you remain the trusted web developer, branding, or content marketer, now with expanded capabilities.


This approach allows agencies to make programmatic advertising a revenue opportunity rather than a competitive threat. Instead of losing clients to digital marketing agencies, specialty agencies can become the comprehensive solution their clients need.


Leverage Your Client Knowledge to Grow Your Agency


From my experience working with agencies across various markets, the most successful transitions happen when agencies start with existing clients who trust their expertise. Focus the conversation on extending the value you already provide.

A web development firm might say: "We've built you a great website, now let's make sure the right people see it through targeted programmatic advertising." A video production company could offer: "We've created compelling content—let's get it distributed across online video and streaming TV where your customers are spending time."


The key is positioning programmatic as the natural extension of your existing services — not a completely new offering.


As AI becomes more disruptive to marketing as a whole, agencies have a unique opportunity to position themselves as the trusted partners who can help clients navigate this complex environment. The agencies that recognize this moment can evolve their businesses to remain strategic marketing partners.


John Davis is the founder of Crowd Louder Media. He has worked for Time Inc. publishing, several newspaper groups, and other media companies. For 8 years, he worked in marketing and audience development roles at WebMD.com in Atlanta. He has served as an adjunct professor at Loyola University New Orleans and has partnered with agencies and their clients to manage hundreds of programmatic ad campaigns. You can connect with the author on LinkedIn or schedule a consultation online.


Sources & Further Reading

1. Borrell Associates. "Local Digital Advertising Revenue Expected to Grow By 13% By 2028." Barrett Media, May 15, 2025.

https://barrettmedia.com/2025/05/15/local-digital-advertising-revenue-expected-to-grow-by-13-by-2028-new-borrell-associates-data-shows/

2. eMarketer. "US programmatic ad spending set to reach nearly $180 billion by 2025." January 11, 2024.

https://www.emarketer.com/content/programmatic-ad-spending-set-reach-nearly-180-billion-by-2025

3. eMarketer. "Worldwide Programmatic Ad Spending 2025." March 14, 2025.

https://www.emarketer.com/content/worldwide-programmatic-ad-spending-2025

4. Resource Guru. "Agency client retention guide (with 8 strategies and expert tips)." January 14, 2025.

https://resourceguruapp.com/blog/agencies/agency-client-retention

5. Sakas and Company. "Agency perspective: How much annual client turnover is OK?" June 20, 2022.

https://sakasandcompany.com/client-turnover-rates/

6. AgencyAnalytics. "8 Client Retention Strategies to Improve Your Agency's Profitability." November 28, 2024.

https://agencyanalytics.com/blog/8-client-retention-strategies

7. Promethean Research. "2024 Digital Agency Industry Report." April 22, 2025.

https://prometheanresearch.com/2023-digital-agency-industry-report/

8. Scoro. "Calculating Agency Margins & Profitability: A Beginner's Guide." November 18, 2024.

https://www.scoro.com/blog/agency-margins/

9. Peter Kang. "Calculating Project Profits at a Creative Services Agency." June 2, 2020.

https://www.peterkang.com/calculating-project-profits-at-a-creative-services-agency/

10. Databox. "How Much Should Your Marketing Agency Charge for its Monthly Retainer Fee?" October 9, 2023.

https://databox.com/marketing-agency-retainer-fee

11. WP Engine. "Drive Agency Growth With Recurring Revenue." April 10, 2024.

https://wpengine.com/resources/drive-agency-growth/

12. Sayenko Design. "How Much Does a Website Cost in 2025? (with Cost Calculator)." May 8, 2025.

https://www.sayenkodesign.com/how-much-does-a-website-cost/

13. SparkToro. "2024 Zero-Click Search Study." January 27, 2025.

https://sparktoro.com/blog/2024-zero-click-search-study-for-every-1000-us-google-searches-only-374-clicks-go-to-the-open-web-in-the-eu-its-360/

14. Digiday. “Advertisers are starting to walk away from platforms’ AI solutions that once promised them everything. By Krystal Scanlon." March 26, 2025.

https://digiday.com/marketing/advertisers-are-starting-to-walk-away-from-platforms-ai-solutions-that-once-promised-them-everything/

15. Marketing Brew. “Ad buyers estimate major losses from Meta ad platform bugs.” September 19, 2024.

https://www.marketingbrew.com/stories/2024/09/19/it-can-crush-our-business-ad-buyers-estimate-major-losses-from-meta-ad-platform-bugs

16. eMarketer. “Why advertisers are turning away from walled gardens.” June 3, 2024


https://content-naf.emarketer.com/why-advertisers-are-leaving-walled-gardens

17. eMarketer. “Meta faces backlash as automated ad system drains budgets with little payoff.” April 30, 2024.

https://content-naf.emarketer.com/meta-faces-backlash-automated-ad-system-drains-budgets-with-little-payoff

18. Borrell Associates. “What Local Advertisers Plan to Increase This Year.” Jan. 2, 2025. 


https://borrell-wp.s3.amazonaws.com/borrellassociates.com/uploads/2024/12/Fall_Chart_4-1.jpg

19. Advertising Age. “Nearly 40% of brands likely to ditch their agency within six months, survey finds.” November 14, 2022.

https://adage.com/article/marketing-news-strategy/nearly-40-brands-plan-fire-their-agency-within-six-months/2451041/

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