Independent media agencies have been gaining ground in recent years, with more brands shifting budgets towards smaller, more agile outfits. To explore this trend, NDA Editor Justin Pearse is talking to independent agency leaders to discuss why independent agencies are thriving, the challenges they face, and what the future holds for the sector. Today it’s the turn of Ed Cox, Founder and Managing Director at Yonder Media.
What led you to found Yonder Media?
Classic story. I was getting disillusioned with life inside a big global network and could see a shift towards independent agencies. Around 2016, 2017, agencies like Goodstuff were winning Agency of the Year multiple times, and my former colleague Henry Daglish had just launched Bountiful Cow.
I also met the founders of Above+Beyond, a creative agency, and we saw an opportunity to merge creative and media under one roof. That’s how Yonder Media was born, as part of The Beyond Collective. Our proposition is to give clients access to senior talent across media and creative disciplines, integrating services in a way that’s more fluid than a traditional agency setup.
Why do you think there’s renewed interest in independent agencies today?
The issues that were driving clients towards indies back then, transparency, access to senior talent, are coming up again. The ANA report in 2017 exposed major transparency scandals in media buying, and those concerns haven’t gone away. Clients are once again asking tough questions about where their money is going. Meanwhile, holding companies like WPP and Omnicom are under pressure, and their mixed financial performance is making brands reconsider their partnerships.
On top of that, the economic climate is favouring indies. Scale-ups and challenger brands with private equity backing are looking for agile agencies that can help them grow fast and challenge market leaders. That’s where independent agencies shine.
Lots of indies talk about their appeal to challenger brands. Are enough challenger brands to sustain so many agencies focused on them?
It’s less about size and more about mindset. You don’t have to be a startup to be a challenger brand. We work with brands like Hardys Wine, which is the UK’s best-selling wine brand, but they have challenger brands in their portfolio, like Jam Shed, which is the fastest-growing wine brand. Challenger brands are those that know they don’t have the biggest budget, so they need to work harder and smarter.
They need to inject more creativity, make strategic choices, and focus on where they can have the biggest impact. That’s where independent agencies, which don’t have the constraints of big networks, can really add value.
Do independent agencies face a natural ceiling on growth?
For media agencies, yes, there’s a natural challenge to scaling. Creative agencies can win massive clients straight out of the gate, look at how agencies like Uncommon and Wonderhood have grown. But media agencies operate differently. If you’re a brand with a £50 million media budget, you’re handing that money over to the agency, trusting them to pay media owners.
Procurement teams at large brands see this as a risk when dealing with smaller agencies that lack a long financial history. That’s why independents typically grow incrementally, winning smaller accounts first and scaling from there. The key to breaking into the big leagues is partnerships, many indies are now forming alliances to compete for larger multi-market accounts.
Has access to technology leveled the playing field for independent agencies?
Absolutely. The old argument from holding companies was that they could buy media cheaper, but in today’s world of biddable media and programmatic, price is determined by auctions, so the playing field is much more level.
The other argument was that holding companies owned the best tech and data, but that’s eroding too. Publicis owns Epsilon, IPG owns Acxiom, but guess what? I can buy Acxiom’s data on the open market just like they can. We use The Trade Desk, Google’s DSPs, same as the big networks. So now, it’s not about access to data, but how well you use it.
That’s why we’re seeing indies thrive.
What are the biggest challenges facing independent agencies today?
One challenge is being able to offer deep expertise in every area. Clients sometimes want an agency that can do everything under one roof, and as an indie, you can’t always provide that. We address this by forming partnerships with specialist agencies.
Another challenge is technology. Larger networks have the resources to invest heavily in automation and AI to improve efficiency and lower costs. Some big consulting firms are already “future discounting,” reducing fees today on the assumption that they’ll deliver work more efficiently through technology in the future.
That could be a challenge for indies who can’t make the same investments. But our approach is to use tech to automate low-value tasks so that we can spend more time on high-value strategy and creativity.
It seems like there’s a strong sense of community among independent agencies. Would you agree?
100%. When I left Havas and started Yonder, I was amazed by the level of camaraderie among indie agency owners. We’re all rooting for each other because we’re up against the same challenges. We share opportunities, pass work to each other when we can’t take it on, and even joke around when we’re competing for the same pitches.
I was up against Henry at Bicycle in a recent pitch, and we were texting each other during the process, taking the piss out of each other. It’s a healthy competition that ultimately benefits the whole indie sector.
What’s your biggest piece of advice for someone thinking about starting their own agency?
Find your niche.
Don’t just be a smaller version of a big agency, stand for something specific. Look at influencer agencies that specialise just in food and drink, or agencies that focus solely on Amazon ads.
The agencies that get acquired are the ones that fill a specific capability gap in the market. But don’t start an agency just to get bought, start one because you’re passionate about solving a real problem.
And then go for it. It’s a brilliant journey.
