Why the agency model is in decline and how independents can win, with Michael Farmer
Welcome to episode 158. I’m joined again by Michael Farmer to unpack what’s really going on in the agency world right now - and what it means for you if you’re running an agency, leading clients, or working in account management.
Michael Farmer is Chairman and Chief Executive Officer of Farmer & Company LLC, a New York based strategy consulting firm for major advertisers and their creative and media agencies. He also serves as Professor of Branding and Integrated Communications at The City College of New York (CCNY). He's the author of Madison Avenue Manslaughter, an inside view of fee-cutting clients, profit-hungry owners and declining ad agencies (3rd Edition 2019), and Madison Avenue Makeover: the transformation of Huge and the redefinition of the ad agency business (2023). He has completed a new book, Madison Avenue Revisited, to be published in June 2026.
Here’s what we get into:
Why Michael’s new book Madison Avenue Revisited is a sharper, more hard-hitting update on what’s driving agency decline — especially the impact of holding company decisions.
What the current wave of M&A and cost-cutting signals for agency capability, talent, and client outcomes - including the knock-on effects for senior experience in an AI era.
Why independent agencies could be entering a genuine opportunity window — and how “productising” services and focusing on measurable growth can change the game.
And a brilliant reframing for account managers: why you should stop thinking like a logistics coordinator and start operating like a management consultant to your clients.
It’s one of those episodes that really challenges how we think about the agency business model.
Here are a few key takeaways :
Agency success can’t just be about delivering output cheaply — the real opportunity is in linking your work to client growth and outcomes.
The industry’s talent shape is getting distorted: AI may remove more junior execution work, but it raises the need for experienced people who can direct, judge, and advise.
Independent agencies have a chance to differentiate by being explicit about what they stand for — not “low cost,” but “we help you grow, and we’ll prove it.”
And for account managers: you’ll be far more valuable when you bring data, insight, and a point of view — not just project updates and deadlines.
You can keep up with Michael Farmer here:
http://linkedin.com/in/michaelfarmer
Madison Avenue Revisited: https://amzn.eu/d/07SX5rrI
Madison Avenue Makeover: https://amzn.eu/d/0je8R4FA
Madison Avenue Manslaughter: https://amzn.eu/d/09U5HbiN
If you’d like to be kept updated with shifts in the agency world as it relates to the account management role - or you’d like to talk to me about client retention and growth training options - visit the Home Page.
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