Why Your Marketing Agency is Your Biggest Competitor (and how to fix it)

Author: Daniel Thomas, Advantage Digital NZ

"You cannot win a war if your general is also leading the enemy army."

Imagine hiring a lawyer to defend you in court, only to find out they are also representing the person suing you. You would fire them immediately.

Yet, in the digital marketing world, trade businesses do this every day without realising it.

If you are a plumber, roofer, or builder, there is a high chance your marketing agency also represents three of your closest competitors in the same city. This is called the "Volume Model," and it is the single biggest risk to your growth in 2026.

The "Stacked Deck" Problem

Most agencies operate on volume. To make money, they need to sign up every business in a specific niche. They might have 10 house washing companies or 5 roofers all in Auckland, often using the same website templates and keywords.

This creates an impossible conflict of interest:

• Who gets the best leads? (Hint: It’s usually the squeaky wheel, not the loyal client).

• Who ranks #1 on Google? Google only has one top spot. Your agency cannot put all five of you there.

• Are you funding your own competition? The retainer you pay helps the agency build generic systems (like quote forms) that are then rented out to your rivals.

The Solution: The Exclusivity Model

High-performance marketing requires a "Conflict of Interest" policy. The only way to guarantee your agency is fighting for you is to ensure they aren't fighting for anyone else in your lane.

At Advantage Digital, I operate on a strict One Client / One Niche / One Location basis.

• If I work with a roofer in Auckland, I do not work with their competitors.

• I go to war for you, not against you.

• We build Owned Assets (Your own funnel, your own data, your own brand), not rental traps that vanish if you stop paying.

3 Questions To Ask Your Agency Today

You don't need to fire your agency tomorrow, but you do need to know where you stand. Ask your account manager these three questions immediately:

1. "How many other businesses in my niche do you represent in this city?" If the answer is more than zero, you are sharing your growth strategy with your competitors.

2. "Do I own the landing pages and lead forms you built, or do I lose them if I leave?" Bad Answer: "You are on our proprietary platform." (This means you are renting). Good Answer: "You own everything. It's your asset."

3. "If a prime lead comes in that fits both me and your other client, who gets it?" Watch them struggle to answer this. If there is no clear system, the lead usually goes to whoever complained last.

The Bottom Line

If your agency isn't exclusive to you, they aren't your partner. They are a directory.

Stop paying to compete against yourself.

Not sure if your agency is playing both sides?

Send me an email via [email protected] or visit my contact page https://advantagedigital.co.nz/contact. I would be happy to run a quick audit on your current setup and let you know if you own your assets or if you are just renting them.