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How to Choose a Performance Marketing Agency: 10 Questions to Ask

Hiring a performance marketing agency? Ten questions that show whether they'll make you money or just spend your budget, plus red flags to watch for.

Coffee & Candle3 min read
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How to Choose a Performance Marketing Agency: 10 Questions to Ask

Performance marketing agencies all promise results. Fewer can explain how, show their reasoning and be honest when something isn't working. These ten questions help you tell the difference.

In this article

Before you start looking

Know three things:

  • What a customer is worth to you. Without it, no agency can tell you what a sensible cost per lead is.
  • Your goal. More enquiries, more online sales, or cheaper leads? Be specific.
  • Your budget. Both ad spend and the agency's fee. Our guide on how much to spend on Google Ads helps you work it out.

The ten questions

1. How will you measure success?

The answer should be enquiries, customers and return on spend, not impressions or clicks. If they lead with "traffic" or "reach", dig deeper.

2. What will you track, and how?

Good agencies start with tracking: forms, calls, purchases and the source of each. If they plan to run ads before sorting this out, you'll be flying blind. See conversion tracking in GA4.

3. Who will actually work on my account?

Agencies sometimes sell with senior people and hand the work to juniors. Ask who runs the account, how experienced they are and how often you'll hear from them.

4. Can you show relevant results?

Ask for examples in similar businesses, and for the numbers behind them. Be wary of case studies that show only big percentages without the starting point or the cost.

5. How do you set budgets and targets?

You want a reasoned approach: start from what a customer is worth, work back to an acceptable cost per lead and test from there. "Spend more and see" isn't a plan.

6. What will you need from us?

Honest agencies ask for access, brand assets, sales feedback and quick approvals. If they say they need nothing, they probably aren't planning to learn much.

7. How do you handle the landing pages?

Ads only work if the page does. Ask whether they build or advise on pages, and how they test them. See our landing page checklist.

8. How do you report, and how often?

Look for plain reports tied to your goals, a regular call and honest commentary on what didn't work.

9. How is the fee structured?

Common models are a flat monthly fee, a percentage of ad spend or a hybrid. Each has trade-offs. Percentage fees can reward spending more, so ask how they avoid that. Check the minimum term and how to leave.

10. Who owns the accounts and data?

The ad accounts, tracking and data should be in your name, so you keep them if you part ways. If the agency insists on running everything through their account, think twice.

Red flags

  • Guaranteed results or a fixed number of leads
  • Vague answers about tracking
  • No questions about your business and margins
  • Long lock-in contracts with no review points
  • Reports full of impressions and nothing about sales

Brand matters too

Performance agencies can only do so much if your message is unclear. If your positioning, website or proof are weak, ask whether they'll help fix that, or whether they'll just spend your money on traffic. We explain how the two fit together in brand marketing vs performance marketing.

Frequently asked questions

Should I hire an agency or do it in-house?

If your spend is small, you may learn faster doing it yourself at first. Agencies help when results matter more than the learning, or when the budget is large enough that mistakes are costly.

How long before I see results?

Expect early signals within weeks, and a clearer picture after two to three months.

Can we talk through what you need?

Yes, book a consultation and we'll give you an honest view, whether or not we're the right fit. Our performance marketing team is happy to answer questions.

Talk to us about your brand

Tell us where your brand is today and where you want it to go. We'll reply within one working day.

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