What does a ten-year-old agency look like? Who has come through the last decade with all its challenges and out the other side? The agency sector has changed a lot over the past ten years, from the impact of a global pandemic to the rise of AI, so let’s explore the agencies that have made it this far: The Class of 2015
Through our mapping of the UK agency sector, we are able to take a look at different groups of agencies in different ways. We can explore all agencies in Scotland, for example. Or Direct marketing agencies with an annual growth rate of over 10%. Or women-led agencies with a turnover of over £3m.
With the publication of our first Agency by Agency Industry Report (preview here), it got us thinking about the developments and changes to the sector over the past ten years. And that led us, in turn, to think about those agencies in our sector who are reaching double figures this year. The Class of 2015. We thought we’d delve into the data for this cohort of agencies, the 1350 agencies in our sector mapping who were born exactly a decade ago.
Here’s what we found…
Lower overall growth but higher proportion of fast growing agencies
When looked at as a whole, the Class of 2015 agencies are showing an average annual growth of 6%, which is lower than the agency sector average as published in our Industry Report (Spring 2025) of 7.3%. But as always when looking at growth rates in our mapping, the devil is in the detail.
With our ‘Growth Traffic Light’, we divide the Class of 2015 by their growth rate: Shrinking Fast, Shrinking, Stable, Growing, and Growing Fast. When looking at these percentages, we can see that while the cohort as a whole is growing slower than the sector average, there is a higher proportion of the Class of 2015 that are Growing or Growing Fast (22.45%) than across the agency sector as a whole (20.16%).
Growth rate traffic light for Class of 2015 agencies
Shrinking fast (below -20% annual growth)
Shrinking (-20% to -10% annual growth)
Stable (-10% to 10% annual growth)
Growing (10% to 20% annual growth)
Growing fast (over 20% annual growth)
About the data
Growth rates are provided by our partners at The Data City and are based on the annual headcount and turnover growth of any given agency we have mapped. Employee count data is more common than turnover data, and to account for the lag in reporting, The Data City’s machine-learning platform can make an accurate best estimate. If an agency has less than three years reported data on employee number, no estimate is made and no growth data is reported.
Our ‘Growth Traffic Light’ breaks down the percentage of agencies in any given group that land in one of five growth rate categories: Shrinking fast (below -20% annual growth), Shrinking (-20% to -10% annual growth), Stable (-10% to 10% annual growth), Growing (10% to 20% annual growth) and Growing Fast (over 20% annual growth). If part of the chart is empty, this means that there were no agencies mapped in that particular interval.
Higher proportion of smaller agencies but greater overall productivity
When looking at the size of agencies that have been in business since 2015, we can see that of those turning ten this year, there is a higher proportion of smaller agencies than across the sector as a whole. Of all the agencies that we have mapped, 9.1% have a turnover of over £1m, a number that falls to 6.5% when we look solely at the Class of 2015.
Something similar can be observed when measuring the size of an agency by headcount. Out of all agencies, 8.4% of all agencies have a headcount of 21 or over, but only 6.5% of the Class of 2015.
Class of 2015 by size (turnover)
About the data
We map the number of agencies in the UK agency sector together with our partners at The Data City, whose sophisticated machine-learning tool allows us to find and categorise active agencies after adjustment for dormant companies and those in liquidation or administration.
Data for turnover is provided by our partners at The Data City based on financial reporting to Companies House. As there can be a lag in financial reporting, The Data City uses sophisticated modelling to provide estimated turnover for the current year’s values. Where this is impossible, no data is reported.
Class of 2015 by size (headcount)
About the data
We map the number of agencies in the UK agency sector together with our partners at The Data City, whose sophisticated machine-learning tool allows us to find and categorise active agencies after adjustment for dormant companies and those in liquidation or administration.
Data for employees / headcount is provided by our partners at The Data City based on reporting to Companies House. As there can be a lag in reporting, The Data City’s machine-learning platform can make an accurate best estimate. If an agency has less than three years reported data on employee number, no estimate is made and no data is reported.
One of the really interesting findings around the Class of 2015 is when it comes to the topic of productivity, and in particular the Gross-Value-Added of the agencies in the cohort. The UK agency sector as a whole has a GVA contribution to the wider economy of £20.5bn, which results in a GVA per-employee of £77,438. Within the cohort of agencies founded in 2015, however, the GVA per employee greatly outstrips the sector average at £90,064.
“The stand out result in this report is the GVA contribution per employee, showing the significant contribution being made by the Class of 2015. The findings on agency size and subsector are also interesting, as they pose significant questions about the types of agencies that made it through the past ten years and all the challenges of the decade.”
Chris Bantock, The Agency Adventure
Subsectors mirror all agencies but divergence when it comes to employees
As with our Data Shots for the agency sector as a whole, we can divide the Class of 2015 into subsectors based on services offered:
Class of 2015 agencies by subsector
About the data
We map the number of agencies in the UK agency sector together with our partners at The Data City, whose sophisticated machine-learning tool allows us to find and categorise active agencies after adjustment for dormant companies and those in liquidation or administration. Depending on the individual agency and the services they offer, agencies can appear in more than one of our subsector lists.
When looking at the number of agencies in any given subsector as a percentage of the whole, the Class of 2015 mirror quite closely the overall UK agency sector. However, when we mapped the number of employees working for Class of 2015 agencies within each subsector, we could see quite a divergence between the ten-year-old agencies and the sector as a whole.
The subsectors that have a notably higher proportion of total employees in the Class of 2015 agencies compared to the agency sector as a whole include:
Conversion 0.8% of Class of 2015 employees compared to 0.4% of all employees.
Creative and advertising 17.3% of Class of 2015 employees compared to 12.8% of all employees.
Digital product design 11.6% of Class of 2015 employees compared to 8.5% of all employees
PR and communications 16% of Class of 2015 employees compared to 11.3% of all employees
At the same time, there were a number of subsectors with a notably lower proportion of Class of 2015 employees compared to employees across all agencies:
Amazon/Marketplace 0.1% of Class of 2015 employees compared to 0.6% of all employees
Customer experience 0.3% of Class of 2015 employees compared to 2% of all employees
Direct marketing 0.9% of Class of 2015 employees compared to 2.7% of all employees
Market research 1.4% of Class of 2015 employees compared to 6.8% of all employees
Search and performance 6.4% of Class of 2015 employees compared to 11.6% of all employees
When we delve deeper into the founding dates of the agencies we have mapped in each subsector, we can see that the divergence around the Class of 2015 is split between the subsectors where the majority of agencies were founded BEFORE 2015 (66% of Market research agencies, 60% of Direct marketing agencies, and 60% of Customer experience agencies) and those where the majority of agencies were founded AFTER 2015 (75% of Amazon/Marketplace agencies and 55% of Search and performance agencies).
More women-founded agencies but less variation in leadership roles
In our mapping of the agency sector, we define a women-founded agency as one with at least one woman director within the first two years after incorporation. A women-led agency is one that currently has more women directors than men.
Within the Class of 2015, 29.4% of agencies are regarded as women-founded, as compared to 26.9% across the agency sector as a whole. However, by the time we look at these agencies ten years later, we can see that the numbers more closely resemble sector-wide averages. The percentage of women-led agencies within the Class of 2015 is 19.9%, compared to 19.4% across the entire agency sector, and the overall number of women directors in Class of 2015 agencies is 30.7%, almost identical to the 30.8% across the sector as a whole.
29.4%
Class of 2015 – Women-founded agencies
19.9%
Class of 2015 – Women-led agencies
30.7%
Class of 2015 – Women directors
About the data
Gender data for founders, leaders and directors of agencies is provided for us by our partners at The Data City, based on declared titles of officers at Companies House and the UK Government definition of Persons of Significant Control. The Data City does not use machine-learning to estimate gender.
A ‘women-founded agency’ is a company with officers appointed as a director within two years of it being incorporated. An agency can be only founded by women or men, or it can have mixed founders. A ‘women-led agency’ is a company with more active women directors than men directors.
What questions would you like answered?
As you can see with this dive into the data of agencies founded in 2015, we can map and explore the agency sector in a number of different ways. To access all our reports for the next year and our benchmarking Data Shots into 28 agency subsectors (updated quarterly), you can subscribe here.
If you have specific questions you’d like answering, our commissioned reports and bespoke research can help, tailored to your needs and for your exclusive use. You can find out more about our bespoke research and all our products here.
The numbers are in… Welcome to Agency by Agency
With the launch of Agency by Agency, our first Agency Industry Report and our Data Shots into 28 subsectors, we are helping agencies, advisors, investors, suppliers and policy-makers get the data and insight they need to make informed decisions. We hope you’ll join us on this journey…
After ten months of development, support from Innovate UK and working closely with our friends at The Data City, we’re excited to be launching our first analysis of the UK’s marketing, advertising, creative and media agency sector. It has been an intense and challenging road to get here, and one driven by our ambition to provide clarity and insight into our sector… something that has, until now, been notoriously difficult to map at scale.
Any successful journey begins with a map
With our launch we make public our first findings and make available for our subscribers the full Agency by Agency Industry Report and 28 Data Shots into industry subsectors, from Amazon/Marketplace to Website and UX/UI design. In the coming weeks and months we will be publishing more articles, reports and Data Shots, some of which we will outline in our roadmap below. But how did we get here?
Over the past ten months we have worked closely with The Data City to develop a new way of identifying, categorising and analysing the sector, mapping over 30,000 individual agencies. This is a level of precision and coverage that simply didn’t exist before and it is only the beginning. This mapping of the agency sector is the foundation of what is to come and a platform that will evolve with every insight, every new dataset, every input we get from our community and every challenge we help agencies tackle.
Subscribe for full access
Alongside all the excitement of bringing Agency by Agency to launch, we also know that we are all taking a leap into something new. We have been overwhelmed by the interest and support that we have received over the past few months since Agency by Agency was first announced. Subscriptions are now open; to get full access to our Data Shots and reporting head on over to our subscribe page for different options.
Signing up now not only gives you the first access to our Industry Report and Data Shots, but also the opportunity to shape what comes next. We have worked from the outset on the idea that we are ‘from the sector, for the sector’ and we are determined that our community will directly influence where this journey leads, from the data points we refine to the new features we develop. This is an open invitation to be part of something transformative; to help us shape the future of data-driven decision-making in the agency world.
The long and winding roadmap
Of course, we have our plans, and as early subscribers you are going to want to know what is coming down the road. First up, our Data Shots: on launch we offer benchmarking data and subsector analysis for different types of agencies based on the services offered:
The Data Shots will be refined and updated throughout the year, with a publication schedule of March, June, September and December. Over the course of 2025 we will be adding new data points and talking with subscribers about what trends and insights are most important to them.
Niche is the word
One development that we have been working on intensively alongside the launch of the platform is the mapping of new segmentations, uncovering more agencies in emerging niches and building powerful models that go beyond simple description – models that can reveal the underlying predictors of agency performance. We’ll explore how internal factors like specialisms and team structures intersect with external forces such as consumer confidence and broader economic shifts.
Over time, we’ll introduce even more ways to explore our selector, to forecast using the tools that we now have to hand, and to test ideas through our data. We’ll be putting real power into the hands of those who make the decisions based on information that has not been available until now.
The data is in the detail – our comprehensive reports
With our launch we have published our first Agency by Agency Industry Report, exploring some of the main trends we have observed as we have mapped the sector for the first time and commentary from industry experts to provide additional insight. We approached this first report with the aim of answering some of the big questions: Where is growth and productivity in the UK agency sector? Where is investment flowing? What type of agency services are in demand? Which cities and regions are on the move?
As with everything we do, our first Industry Report is just the beginning. In the coming weeks we will be publishing our Agency by Agency Growth Report, digging deeper into the numbers to explore growth trends across the sector and the services that are most in demand. We will also be publishing a report on agencies and Innovate UK funding, providing an overview of not only where Innovate UK grants have been landing, but how Innovate UK funding can support innovation and creativity across the sector.
The stories of the sector
As we look ahead to 2025 and beyond, some of the stories we are already starting to investigate are the scalability of agencies, agencies as a force for good, the future of agency recruitment, women in the agency sector and what the data tells us about the new generation of agencies founded in the past five years. We are also working together with partners on co-sponsored reports, combining our data and insight with industry expertise and analysis. If this sounds like something you would like to get involved in, please do not hesitate to get in touch.
We hope all of this will have convinced you to sign up and gain full access to the Agency by Agency platform. We are really excited about the stories we will be telling in 2025 about the agency sector and we can’t wait to see where this takes us. We’re looking forward to building the future of agency intelligence with you.
Agency by Agency Industry Report – Spring 2025
The UK’s marketing, advertising, creative and media agency sector, as you’ve never seen it before…
Annual Subscription Required
You must be a Annual subscriber to access this content.
Preview: Agency by Agency Industry Report – Spring 2025
We are delighted to offer this free preview of the Spring 2025 Agency by Agency Industry Report, including commentary from across the sector as we publish the results of our comprehensive agency sector mapping for the first time.
With the launch of Agency by Agency we publish our first ever Industry Report, in which we show the results of our mapping of the UK’s marketing, advertising, creative and media agency sector, presenting it in comprehensive detail for the first time.
“This new analysis provides industry insight that we’ve never had in such detail before. It not only sheds light on the make-up of the agency sector but also offers valuable data for agencies to benchmark their performance and identify areas for growth.”
Jason Neale / Managing Director, Agency Works
How big is the agency sector anyway?
In the Spring 2025 edition of the Agency by Agency Industry Report we reveal that there are:
25,495 agencies, which employ…
265,000 people, who create…
£20.5bn in Gross Value Added (GVA) to the UK economy
Working with our partners at The Data City, we have also mapped the complexity of the sector for the first time, identifying 28 subsectors based on services agencies offer, with more to come.
“This unique data set from Agency by Agency demonstrates just how critical agencies are to the UK creative industries. At last we can shine a detailed light on the industry as a whole and see 25,000 UK agencies generating 35bn of turnover and employing over 250,000 people. The report also highlights some of the challenges around scaling agencies and where opportunities exist to provide investment and support.”
Paul Mead / Chair of We Discover, Beacon lead at the Institute of Practitioners in Advertising
Does agency size matter?
The Spring 2025 Agency by Agency Industry Report shows the importance of agencies to the sector both big and small. Micro and small agencies (defined as those with less than 10 employees or less than £500,000 turnover) make up more than 80% of all agencies across the sector, and the data shows that small agencies and freelancers really matter. For example, agencies with 1-2 employees contribute £1.3bn GVA to the UK economy.
Total number of agencies by size (headcount)
About the data
We map the number of agencies in the UK agency sector together with our partners at The Data City, whose sophisticated machine-learning tool allows us to find and categorise active agencies after adjustment for dormant companies and those in liquidation or administration.
Data for employees / headcount is provided by our partners at The Data City based on reporting to Companies House. As there can be a lag in reporting, The Data City’s machine-learning platform can make an accurate best estimate. If an agency has less than three years reported data on employee number, no estimate is made and no data is reported.
If part of the chart is empty, this means that there were no agencies mapped in that particular interval.
At the same time, the largest of agencies have a big influence. Four in ten employees across the sector work for companies with a headcount of 251 or more, while the 158 agencies we have mapped with a turnover of more than £50m are responsible for 59% of the total turnover of the entire agency sector.
“We always knew instinctively the agency sector was built on small, independent businesses, but seeing the hard data behind this should give founders of these smaller businesses confidence in their legitimacy and place in the industry.”
Claire Hutchings / Founder & MD Chime Agency
Growth is not uniform
The overall number of agencies continues to rise, but the number of new agencies being founded has slowed since a peak in 2019. Across the industry, an overall growth rate of 7.3% (based on headcount and turnover growth) only tells part of the story. The percentage of agencies growing, stable or contracting varies markedly by size of agency or subsector. For example, subsector growth rates vary from 2.8% (Design and branding) to 20.4% (Amazon/Marketplace).
“The high annual growth rate of over 7% which is impressive in the current climate will be in part driven by the independent sector and therefore reinforces the idea that the industry offers a wealth of choice when it comes to agencies, ensuring diversity and competition is buoyant for the foreseeable future.”
Dominic Greary / Founder & Managing Director 1671
In May 2025, Agency by Agency subscribers will have exclusive access to the full Agency by Agency Growth Report, exploring these trends in even more detail.
The trends are in the subsector detail
Our mapping has (so far) identified 28 subsectors based on the services that agencies offer. They range from subsectors with thousands of agencies, such as those offering Website & UX/UI design or Digital services, to niche subsectors including Internal comms and employee engagement, Amazon/Marketplace and Brand strategy.
In the Agency by Agency Industry Report we explore the subsectors showing the highest proportion of growing agencies, including those offering Influencer services, Data and marketing analytics, and Conversion. Subsectors with the highest proportion of shrinking agencies include Translation and localisation, and Brand strategy. Subsectors including agencies offering Design and branding, or Copywriting offer the highest proportion of stable agencies.
Growth rate traffic lights for Design and branding and Amazon / Marketplace agencies
Shrinking fast (below -20% annual growth)
Shrinking (-20% to -10% annual growth)
Stable (-10% to 10% annual growth)
Growing (10% to 20% annual growth)
Growing fast (over 20% annual growth)
“It is interesting to see the sub-sector opportunities outlined in the data. With Influencer and Amazon/Marketplace agencies a scarcity, but growing fast, more established agencies should look to build strong partnerships here to bolster their offerings.”
Claire Hutchings / Founder & MD Chime Agency
Independents, London and women in the agency sector
Elsewhere in the Agency by Agency Industry Report we have used our sector mapping to pull out the data from independent agencies as opposed to those belonging to the ‘Big Seven’ holding companies. Of the 25,495 agencies in the sector, 99% of them are independent and contribute £17.7bn in GVA to the UK economy. Our forthcoming ‘IndieNation: Uncovering the UK independent agency landscape report’ will be published in April 2025 for our subscribers and explore this important part of the agency sector in more detail.
“There has been much reporting that the agency landscape and their business models are in decline – well again we are seeing, particularly for independent agencies, that this community is only increasing.”
Clive Mishon / Co Chair & Founder, Alliance of Independent Agencies
We also look at regional distribution and agency clusters, where our mapping recognises the importance of London to the UK agency sector, but also identifies interesting differences in distribution across the different subsectors. We explore how being inside or outside of London influences key financial metrics such as turnover-per-head and growth rates.
Ahead of our ‘Women in the agency sector’ report, to be published in June, the Agency by Agency Industry Report explores some of the headline data on gender and the agency sector. Our mapping has uncovered that 27% of all agencies are women-founded, while 34% of all agency directors are women.
27%
of agencies are founded by women
19%
of agencies are led by women
34%
of agencies directors are women
About the data
Gender data for founders, leaders and directors of agencies is provided for us by our partners at The Data City, based on declared titles of officers at Companies House and the UK Government definition of Persons of Significant Control. The Data City does not use machine-learning to estimate gender.
A ‘women-founded agency’ is a company with officers appointed as a director within two years of it being incorporated. An agency can be only founded by women or men, or it can have mixed founders. A ‘women-led agency’ is a company with more active women directors than men directors.
The subsectors with the highest proportion of women directors are Copywriting, PR and communications and Social media. In contrast, the subsectors with the lowest proportion of women directors are Conversion, Digital product design and Data and marketing analytics.
“The number of women-led and women-founded agencies, along with the proportion of women directors, isn’t surprising – but now, we’ve got the data to back it up. I’m looking forward to Agency by Agency’s gender report to see the real story across different subsectors, agency sizes, and propositions. This is more than just numbers – it’s a chance to highlight the leaders, challenge the industry, and push for real, lasting change.”
Becca Doram / Agency Transformation Director, Jnr. Studio
The journey into agency data begins
Of course, the launch of our Agency by Agency Industry Report is just the beginning. Subscribers who take advantage of our early adopter launch offer already have access to the full report as well as Data Shots for each of the 28 agency subsectors we have mapped so far.
In the coming months we will be publishing our IndieNation Report, Growth Report and Women in the agency sector Reports, exclusive for our subscribers, as well as launching new Data Shots for subsectors based on, among other things, agency target markets that we are mapping as you read this. We have also started some very exciting work mapping and analysing the languages agencies use on their websites, exploring agency proposition and why language matters.
“A brilliant ‘never been done before’ data set that puts the spotlight firmly onto the key levers of growth for the whole agency industry. The robustness of the data, given the breadth of all types of agencies involved, makes this very powerful. It will be enlightening for agencies to actively track and use the key data points that really matter.“
Emma Hillary / Growth Director, Verity Relationship Intelligence
Find out more…
If you would like to learn more about how we get our data and definitions for all the data points we have mentioned in this preview, please check out our FAQs page.
If you are intrigued but would like to learn more, you’ll find our schedule of free webinars where we introduce our report, Data Shots and future plans here.
“Agency by Agency’s analysis shines a true light on the innovation, opportunity and diversity across the breadth of the UK’s agency sector for the first time. This is exactly why we’ve built sophisticated mapping and data technologies at The Data City. We’re extremely excited about Agency by Agency’s launch and our joint roadmap to deliver real-time insights for the agency sector”
Alex Craven, Co-Founder and CEO, The Data City
Introducing our Data Shots: For a better understanding of the UK agency sector
Over the past year, as we have been mapping the agency sector in all its complexity, it has become ever more clear to us that comprehensive, accurate data is not only vitally important for decision-making, but that we need to offer tools that reflect the breadth and depth of our industry.
With our subscription service we launch our Data Shots, each providing detailed, actionable insights into 28 subsectors based on the type of services agencies offer. This is only the start, as we have more to come… but the first question we need to answer is: What is a Data Shot and how can it be used?
Inside our Data Shots: Your guide to strategic intelligence
Alongside our reports, which delve into agency sector trends and offer commentary from industry experts, our Data Shots are at the core of our offer to subscribers. They provide unprecedented access to benchmarking data and market insights, and each Data Shot provides a comprehensive view of a specific agency subsector, from Amazon/Marketplace specialists to Website and UX/UI design agencies.
Each Data Shot is organised into five key chapters, with each delivering specific metrics and insight to help drive your strategic decision-making, whether you are an agency leader, advisor, investor or service-provider. We will publish our Data Shots four times a year, with our current schedule of March, June, September and December.
Key stats: The overview
This section provides essential context for understanding market position. It reveals the total number of agencies working in a particular subsector, how this number has evolved over time and what percentage of the overall agency sector this accounts for. It also offers a breakdown of the distribution of agencies across different size categories based on headcount and turnover. These metrics can aid understanding of market concentration and identify potential opportunities in unserved segments.
Number of search and performance agencies by size (headcount)
About the data
This shows the number of agencies in the subsector when it is subdivided by agency size based on the number of employees. Where our mapping has no data, it is usually because there has been a lag in reporting an agency’s employee numbers – especially the case for new agencies – or there is insufficient data (less than three years) for The Data City’s machine-learning platform to make an accurate best estimate.
If part of the chart is empty, this means that there were no agencies mapped in that particular interval.
Financials: Performance metrics that matter
The financial chapter provides crucial benchmarking data for agencies that work in a specific subsector, including average headcount and turnover figures, also segmented by agency size and compared to the agency sector as a whole. Perhaps most valuably, this chapter also delivers our first metric to help evaluate operational performance against industry-wide and subsector standards. Turnover-per-head will be supplemented over the coming months with other key ratios and other measures of efficiency. This is an important stage on our roadmap.
Turnover-per-head of digital transformation agencies by size (headcount)
About the data
This shows turnover-per-head for all agencies compared to agencies in the subsector when it is subdivided by agency size based on headcount. The only agencies included here are those for which there is both employee number and turnover available.
Our data on turnover is provided by our partners at The Data City, based on financial reporting to Companies House. As there is a lag in financial reporting, The Data City uses sophisticated modelling to provide estimated turnover for the current year’s values. Where this is impossible, no data is reported.
Naturally, turnover-per-head should be treated carefully. Some types of agency, such as media, are more likely to include media billings and other campaign costs in the turnover figure they submit at Companies House. Our roadmap includes the development of benchmarking metrics to overcome this including revenue per head, gross profit and net asset value.
If part of the chart is empty, this means that there were no agencies mapped in that particular interval.
Growth: Understand market dynamics
Our growth metrics, presented in our ‘Growth Traffic Light’, offer a dynamic view of sector health and evolution. Using growth metrics based on annual headcount and turnover growth by our partners at The Data City, we can categorise agencies by subsector and size into five growth bands. From the percentage of agencies that are Shrinking Fast via Stable to Growing Fast, these metrics help understanding of market momentum and identify where the greatest opportunities lie.
Growth rate across all translation and localisation agencies
Shrinking fast (below -20% annual growth)
Shrinking (-20% to -10% annual growth)
Stable (-10% to 10% annual growth)
Growing (10% to 20% annual growth)
Growing fast (over 20% annual growth)
About the data
Our ‘Growth Traffic Light’ breaks down the percentage of all agencies and agencies in the subsector that land in one of five growth rate categories. These growth rates are based on the annual headcount and turnover growth of any given agency we have mapped.
Employee count data is more common than turnover data, and to account for the lag in reporting, our partners at The Data City use sophisticated modelling to create estimates. Employee count as the basis for estimating growth is used because it is the measure that best accounts for inflation.
If a section of the Growth Traffic Light is empty, it means there are no agencies mapped for this particular category. Of course, if there are only a handful of agencies in a given category, this will have a dramatic impact on how the data is presented.
In focus: Regional and economic impact
This chapter provides an overview of the geographic and economic context for any given subsector, mapping agency distribution and clusters across UK regions and quantifying each subsector’s economic impact through total employment, turnover and GVA metrics. These insights are particularly useful for expansion planning and market positioning.
Where are the conversion agency clusters?
About the data
Here we present the number of agencies in the subsector in each of the United Kingdom’s ITL1 regions. This stands for International Territorial Level, a geocode standard for subdividing the United Kingdom for statistical purposes and is used by the Office for National Statistics (ONS).
Our partners at The Data City provide us with this data for agencies based on registered company address.
Investment: Follow the money
Track investment patterns through data on both private investment and Innovate UK funding, to build understanding of where strategic capital is flowing and identify potential opportunities for investment or funding strategies.
Total Innovate UK funding raised by video and production agencies
Video and production agencies have raised
£2.47m
out of
£36.29m
across the UK agency sector
6.81%
of total Innovate UK funding for UK agencies
About the data
Innovate UK funding is based on the total value of Innovate UK grants won by agencies we have mapped.
Here we present the value of Innovate UK grant funding of all agencies mapped in the subsector as a
percentage of the total grant funding of the agency sector as a whole.
Making our Data Shots work for you
Whether you are running a boutique creative agency, managing a large integrated service provider, or providing advice and support for agencies across the sector, our Data Shots offer crucial benchmarking insights. Compare performance metrics against sector averages, identify efficiency opportunities and make informed decisions about growth strategies and service expansion.
For investors and mergers & acquisitions specialists, our Data Shots provide the detailed market intelligence that is needed for sophisticated investment decisions. Use them to analyse subsector growth patterns, identify high-performing niches and support due diligence processes with comprehensive market data. You can also contact us to request bespoke research and we can also develop a personalised Data Shot with your own specific data requirements.
Our Data Shots also provide insight for business-to-business service providers, as a first step to understanding potential client segments, agency distribution, growth patterns and investment trends, all of which can help target services more effectively and identify emerging market positions.
For industry bodies, journalists and policymakers, our Data Shots offer access to comprehensive data on sector and subsector composition, economic impact and growth trends. Identify some of the stories from the sector, inform policy decisions and use them to support sector development initiatives.
Looking ahead: The future of our Data Shots
While our 28 Data Shots currently provide unprecedented insight into service-based subsectors, we’re already working hard on expanding our coverage for subscribers. Future releases will include new categorisations based on client industries – from automotive to tourism – as well as thematic Data Shots based on regional clusters and emerging agency sector trends.
Find out more…
If you would like to learn more about how we get our data and definitions for all the data points we have mentioned in this article, please check out our FAQs page.
If you are intrigued but would like to learn more, you’ll find our schedule of free webinars where we introduce our report, Data Shots and future plans here.
Why data matters: Understanding the agency sector
In an era of unprecedented technological development and market complexity, accurate data is the most powerful tool for understanding, navigating and strategically positioning organisations. The UK marketing, advertising, creative and media agency sector is ever-changing and diverse; a place where comprehensive data insights can transform how decisions are made.
The problem is that until now it has been impossible to get the full picture of what is going on in the sector. A lack of accurate data and insight means that decisions, from the strategy of individual agencies and investors to policy at regional and national level, have been made without a true and full understanding of what is going on across the industry.
Here at Agency by Agency, we are providing the first comprehensive benchmarking data and insight into the UK agency sector. But why does it matter?
Data as a navigational tool
Decisions made without robust and comprehensive data are fundamentally vulnerable. For the agency sector, this might mean misaligned strategic investments, bad resource allocation, missed market opportunities, inaccurate competition positioning and flawed talent acquisition and retention strategies. This not only has commercial implications, but there is a human cost too, with added stress and anxiety for those making the decisions.
Strategic insights for key stakeholders in the agency sector
Comprehensive data for the agency sector, as published by Agency by Agency, can serve as a sophisticated navigational instrument. Combined with insight, data can enable stakeholders within the sector to:
Understand nuanced market dynamics
Identify emerging trends
Benchmark performance
Make evidence-based strategic decisions
Anticipate sector transformation
It is also important that the sector is mapped, and the data collected and curated, by people who understand the needs of the key stakeholders, and the diversity and complexity of the sector as a whole.
Small agencies
For smaller agencies, benchmarking data can be used to understand their position in the market. By comparing their turnover-per-head against sector averages, these small teams can identify whether they’re on the right track or if they need to refine their service offering. A boutique UX design agency might discover they’re generating significantly higher turnover-per-head compared to similar-sized competitors, indicating a potential premium positioning strategy.
Founder and director demographic data can help smaller agencies understand broader industry trends. For instance, insights into founder gender across different agency types might inform recruitment and partnership strategies, helping small agencies position themselves as progressive and inclusive.
Medium agencies
For medium agencies, the question is often around growth and scalability. Medium-sized agencies face unique challenges in scaling. Data on headcount, turnover, growth and service specialisation can reveal critical insights. A performance marketing agency might use data to identify whether their current growth trajectory aligns with sector benchmarks, or if they need to adjust their service mix or recruitment strategy.
Innovate UK funding data can also be particularly valuable for medium agencies. Understanding which types of agencies are attracting innovation funding can guide strategic investments in technology, talent and service development.
Large agencies
Larger agencies can use comprehensive data to make macro-level strategic decisions. For agencies looking to grow through acquisition, data can help find other agencies in complimentary niches. GVA (Gross Value Added) metrics provide insights into the economic impact and efficiency of different agency types, helping leadership teams understand their broader economic contribution and competitive positioning.
Detailed headcount and turnover-per-head data allow large agencies to benchmark their operational efficiency. An integrated agency might identify opportunities to optimise team structures or invest in specific skill areas based on sector-wide trends.
Investors
For investors or those looking to acquire agencies, comprehensive data provides market intelligence. An investor might conduct a deep-dive analysis into sector dynamics, identifying agencies with exceptional performance potential, unique service propositions and strategic growth trajectories.
Comprehensive data also enables sophisticated due diligence processes, allowing investors to move beyond traditional financial assessments. By examining metrics such as turnover-per-head, Innovate UK funding and growth patterns across different agency types, investors can identify undervalued agencies with significant potential. For instance, a digital transformation agency showing consistently high turnover-per-head and attracting innovation funding might represent a more compelling investment opportunity than traditional headline financial figures would suggest.
B2B service providers
B2B service providers targeting the creative agency sector gain a strategic advantage through comprehensive market insights. This enables more targeted and effective go-to-market strategies. Companies can map their service offerings against specific agency needs, identifying precise market segments and tailoring their approach based on detailed sector intelligence.
When data allows for sophisticated market segmentation beyond traditional categorisations, a technology solutions provider could use headcount, service type, and investment pattern data to develop highly targeted sales strategies. For example, identifying medium-sized agencies in data and analytics that are showing strong growth and investment in innovation could indicate a prime market for advanced technological solutions.
Industry bodies and policy-makers
For industry bodies and policy-makers, comprehensive data represents a critical tool for understanding the agency sector’s economic and innovative landscape, including insights into workforce dynamics, innovation potential and economic contribution across different agency types and sizes. This enables more informed policy development, reaching potential new members, targeted support strategies and evidence-based decision-making.
Policy-makers could examine metrics such as company births and deaths, founder demographics, Innovate UK funding and GVA across different agency categories to understand emerging economic patterns. This might inform strategies for supporting sector growth, identifying skills gaps or developing targeted innovation support programmes. For instance, data showing lower representation of certain demographic groups among agency founders could inform diversity and inclusion initiatives.
Agency intelligence. The power of insight.
Agency by Agency provides unparalleled access to the most advanced benchmarking data in the agency sector. Our subscription offering is designed to transform how agencies and other stakeholders in the sector understand, analyse and plan for the future.
Beyond collecting, curating and providing insight on data for the UK marketing, advertising, creative and media agency sector as a whole, Agency by Agency maps the sector in a number of ways. Our Data Shots offer benchmarking data for agency categories based on services offered:
Amazon/Marketplace
Behavioural research and behaviour change
Brand strategy
Content
Conversion
Copywriting
Creative and advertising
Customer experience (CX)
Data and marketing analytics
Design and branding
Digital
Digital product design
Digital transformation
Direct marketing
E-commerce
Experiential and events
Influencer
Integrated and full service
Internal comms and employee engagement
Market research
Media
PR and communications
Search and performance
SEO
Social media
Translation and localisation
Video and production
Website and UX/UI design
Alongside our Data Shots, subscribers have access to an ever-growing library of reports and articles, including our Agency by Agency Industry Report as well as specialised reports on specific sector dynamics and thematic articles exploring key trends and questions for the sector.
Working together with partners from across the agency sector, we will offer insights to provide for our subscribers a nuanced understanding of the sector’s complex landscape.
Key data points and their strategic significance
Through a combination of our reporting alongside our benchmarking data, key metrics offer stakeholders access to key information to inform their strategy and future decisions.
Turnover and growth metrics provide more than financial snapshots—they reveal:
Sector resilience
Market confidence
Potential investment opportunities
Comparative performance across agency types
Headcount, turnover-per-head and demographic data offer insights into:
Operational efficiency
Talent market trends
Potential skills gaps
Workforce diversity and inclusion
Investment patterns and Innovate UK funding illuminate:
Sector innovation potential
Technological adoption rates
Areas of strategic investment
Emerging competitive advantages
As we move forward through 2025, we will be working with our partners to continually refine the data we already have available to us, create new categories of agency for our Data Shots based on target market (tourism, automotive, fashion etc), and to increase the number of metrics available including jobs advertised, average salaries and more.
Bespoke research to answer specific questions
Alongside our key subscription offering and its comprehensive insight, reporting and benchmarking data into the UK agency sector, we also offer agency owners, investors and those offering services to the industry the opportunity to commission research into even truly niche parts of the sector, tailored to specific needs and for exclusive use, including M&A target identification, competitor analysis, regional and local research and more.
Data as a strategic imperative
In an increasingly complex and rapidly evolving business landscape, data is no longer a supplementary tool but a fundamental strategic asset. For creative agencies, investors, service providers and sector observers, nuanced data insights are the difference between reactive adaptation and strategic leadership.
Find out more…
If you would like to learn more about how we get our data and definitions for all the data points we have mentioned in this preview, please check out our FAQs page.
If you are intrigued but would like to learn more, you’ll find our schedule of free webinars where we introduce our report, Data Shots and future plans here.