Australia’s digital advertising market hit $15.6 billion last financial year, growing nearly 10%. With 95% of Australians online and 78% active on social media, it’s no surprise that every second business is looking for a digital marketing agency to help them compete.
The problem is that the agency landscape in Australia is flooded. There are thousands of agencies, freelancers, and consultants all claiming to deliver “results.” Some are brilliant. Many are average. And a handful will take your money and leave you worse off than when you started.
This guide is for business owners who are serious about hiring an agency and want to make a smart decision. No fluff, no sales pitch. Just the practical questions, red flags, and criteria that separate agencies worth your money from those that aren’t.
Before You Start Looking: Get Clear on What You Actually Need
The most expensive mistake business owners make isn’t choosing the wrong agency. It’s approaching the search without knowing what they need. If you can’t clearly articulate what success looks like, no agency on earth can deliver it for you.
Before you reach out to a single agency, answer these questions:
- What’s the business objective? Are you trying to generate leads, increase online sales, build brand awareness, or something else entirely? Each of these requires different strategies, different channels, and often different agencies.
- What channels make sense for your audience? If your customers are tradies over 40, TikTok probably isn’t your first priority. If you’re selling fashion to 25-year-olds, a Google-only strategy won’t cut it. Know where your audience spends time before you engage an agency to market to them. We’ve covered channel selection in our awareness vs conversion campaigns guide if you need help thinking this through.
- What’s your budget? Most Australian agencies charge between $1,500 and $10,000+ per month for ongoing services. That’s the management fee alone, before ad spend. If your total budget is $1,000 a month, you’ll need to be realistic about what’s achievable. An honest agency will tell you this upfront rather than take your money and underdeliver.
- What have you already tried? If you’ve worked with agencies before, what went wrong? What went right? This context is gold for your next agency and helps them avoid repeating the same mistakes.
Having clear answers to these questions puts you in a position of strength. You’ll instantly filter out agencies that can’t meet your needs and you’ll be able to evaluate proposals against a concrete benchmark rather than vague promises.
7 Red Flags That Should Make You Walk Away
After working in digital marketing for over a decade and hearing countless horror stories from businesses that have been burned, these are the warning signs that come up again and again.
1. They guarantee specific results
“We’ll get you to #1 on Google in 30 days.” “We guarantee 100 leads per month.” Any agency making promises like these is either lying or planning to use tactics that will hurt your business long-term. No reputable agency can guarantee specific outcomes because too many variables are outside their control: algorithm changes, competitor activity, market conditions, and your own conversion infrastructure. What good agencies will do is set realistic expectations, explain their methodology, and show you results they’ve achieved for similar businesses.
2. They lock you into long contracts
12-month contracts with hefty cancellation fees are one of the most common complaints Australian business owners have about agencies. If an agency needs a long lock-in period to keep your business, that tells you something about their confidence in their own results. The best agencies earn your loyalty month to month through performance. Within 60 to 90 days, you should have enough data to know whether a partnership is working. Any contract beyond that should be your choice, not a requirement.
3. The salesperson disappears after you sign
This one stings. You have an incredible first call with someone who seems to understand your business inside out. You sign up. And then you never speak to that person again. Instead, your account gets handed to a junior coordinator who doesn’t know your industry, your goals, or what was promised. Before signing, ask: “Who will actually be managing my account day to day? Can I speak to them before we start?” If the answer is evasive, that’s your cue to keep looking.
4. They can’t or won’t share case studies with real numbers
Vague testimonials like “great team to work with” or “really improved our online presence” mean nothing without context. Ask for specific outcomes: what was the starting point, what did they do, and what were the measurable results? A confident agency will share revenue growth figures, lead volume increases, or ROAS numbers. If everything they show you is generic or suspiciously polished, dig deeper.
5. They report on vanity metrics
Monthly reports packed with impressions, reach, and click-through rates can look impressive while hiding the fact that nothing meaningful is happening for your business. If your goal is leads, the report should show leads. If your goal is sales, the report should show sales and revenue. A good agency ties every metric back to your actual business objectives and explains what they’re doing about the numbers that aren’t where they should be.
6. They use a cookie-cutter approach
Your plumbing business is not the same as an e-commerce fashion brand. If an agency presents you with a strategy that looks like it could apply to literally any business, it probably will deliver results that could apply to literally any business: mediocre. The best agencies take time to understand your specific market, your competitors, your margins, and your ideal customer before recommending anything. Strategy should always come before tactics.
7. They won’t give you access to your own accounts
This is a dealbreaker. Your Google Ads account, your Facebook Ads Manager, your analytics: these belong to your business. Any agency that insists on running campaigns through their own accounts (rather than yours) is creating a dependency that makes it extremely difficult and expensive to leave. You should always own your ad accounts, your pixel data, and your analytics. If an agency won’t agree to this, walk away immediately.
What a Good Digital Marketing Agency Actually Looks Like
Now that you know what to avoid, here’s what you should be looking for. These are the traits that consistently separate high-performing agencies from the rest.
They ask more questions than they answer (at first)
A great agency spends the first conversation learning about your business, not pitching their services. They want to understand your revenue model, your profit margins, your current marketing setup, what’s worked before, and what hasn’t. If an agency jumps straight into a pitch without understanding your business first, they’re selling you a template, not a strategy.
They specialise in something
Full-service agencies can be excellent, but the best partners tend to have genuine depth in a specific area: whether that’s a particular channel (like paid social or SEO), a business model (like lead generation for service businesses or e-commerce), or an industry vertical. Specialisation means they’ve solved your type of problem before and already know what works. Ask any agency you’re evaluating: “What type of client do you get the best results for?” Their answer will tell you whether you’re in their sweet spot or not.
They’re transparent about what doesn’t work
Honest agencies will tell you when a channel isn’t right for your business, when your budget is too low to be effective, or when your website needs fixing before they can run ads to it. We’ve written about how paid ads amplify what’s already there, both the good and the bad. An agency willing to push back and set honest expectations is an agency that cares more about your results than their own revenue.
Their reporting ties back to business outcomes
The best agencies don’t just report on clicks and impressions. They report on leads, cost per lead, revenue generated, and return on ad spend. They explain what’s working, what isn’t, and what they’re testing next. And they deliver these reports on a predictable schedule with clear commentary you can actually understand, not a 40-page PDF full of charts that require a data science degree to interpret.
They have legitimate, verifiable reviews
Check Google reviews, Clutch, and industry directories. Look for patterns in the feedback. Are clients consistently praising communication, transparency, and results? Or are there recurring complaints about unresponsiveness, missed deadlines, or lack of follow-through? A strong track record of genuine client feedback is one of the most reliable indicators of agency quality. Be cautious of agencies where all reviews are suspiciously perfect and lack specific detail.
10 Questions to Ask Before Signing with Any Agency
Print this list and bring it to every agency meeting. The answers will tell you everything you need to know.
- “Who will be managing my account day to day, and can I meet them before I commit?”
- “Can you show me case studies with specific results for businesses similar to mine?”
- “What does your reporting look like? Can I see a sample report?”
- “Do I own my ad accounts, pixel data, and analytics? Will I retain full access if we part ways?”
- “What’s your minimum contract term, and what are the cancellation terms?”
- “How do you determine which channels and strategies are right for my business?”
- “What happens if results aren’t where we expected after 90 days?”
- “How do you handle ad spend? Is it billed directly to me or through your agency?”
- “What’s not included in your management fee? Are there any additional costs I should know about?”
- “Can you give me references from two or three current clients I can speak with?”
Any agency that answers these questions confidently and transparently is worth your consideration. Any agency that dodges them, gets defensive, or gives vague responses is telling you everything you need to know.
What Should You Expect to Pay?
Digital marketing pricing in Australia varies significantly, but here’s a realistic guide to help you benchmark:
| Service | Monthly Range | What You Get | Watch Out For |
| SEO | $1,500 – $5,000+ | Technical audits, content, link building, reporting | Agencies promising results in under 3 months |
| Google Ads (PPC) | $1,000 – $5,000+ (management fee) | Campaign setup, optimisation, reporting, landing page advice | Management fees as % of spend with no cap |
| Social Media Ads | $1,500 – $5,000+ | Strategy, creative, campaign management, testing | Creative not included in the management fee |
| Full-Service | $3,000 – $10,000+ | Multi-channel strategy, execution, and reporting | Spread too thin across too many channels |
| Web Design | $5,000 – $30,000+ (project) | Strategy, design, development, CMS, launch | No ongoing support or SEO consideration |
These are management fees only. Your ad spend (the budget that actually goes to Google, Meta, TikTok, etc.) sits on top of these figures. A good agency will help you determine the right ad spend based on your goals and market, and that budget should be billed directly to you through your own ad accounts.
As a general rule, if an agency is significantly cheaper than the ranges above, ask yourself what they’re cutting to make that price work. And if they’re significantly more expensive, make sure the premium is justified by specialised expertise, a proven track record, or services that genuinely go above and beyond the standard offering.
Boutique Agency vs Large Agency: Which Is Right for You?
This is one of the most common questions business owners face, and the answer depends on your situation.
Large agencies (50+ staff, multiple offices) tend to offer wider service coverage and bigger teams. They often work with enterprise-level clients and have dedicated departments for SEO, PPC, creative, and strategy. The trade-off is that smaller clients can sometimes feel like a low priority, communication can be slower, and you may deal with account managers rather than the actual specialists doing the work.
Boutique agencies (5-20 staff, often a single location or remote) typically offer more personalised service, faster communication, and direct access to senior people. The trade-off is that they may have narrower service offerings and less capacity for very large-scale campaigns. However, for small to medium businesses, boutique agencies often deliver better results because your account gets more attention and strategic thinking from experienced people.
Neither model is inherently better. The question is: who will give your business the attention and expertise it deserves at your budget level?
What to Expect in the First 90 Days
Setting realistic expectations for the early stages of an agency relationship saves a lot of frustration. Here’s what a healthy first 90 days typically looks like:
Month 1: Foundation
The agency should be deep in discovery: understanding your business, auditing your current setup, researching your competitors, and building the strategic framework. If they’re running ads on day one without any of this groundwork, they’re winging it. Expect account setup, tracking installation, and your first campaign briefs or content plans.
Month 2: Execution and early data
Campaigns launch, content starts publishing, and the first data comes in. This is the testing phase. A good agency will be running experiments, testing different audiences, creatives, and messaging. Results at this stage might be inconsistent, and that’s normal. What matters is that the agency is learning from the data and adjusting.
Month 3: Optimisation and direction
By now, you should have enough data to see what’s working and what isn’t. The agency should be refining their approach based on real performance data, not guesswork. You should be having meaningful conversations about results, trends, and next steps. If at the end of 90 days you’re not seeing a clear direction and evidence of progress, it’s time for a serious conversation.
For channels like SEO, meaningful organic results can take 6-12 months. But for paid advertising (Google Ads, Facebook Ads, etc.), you should be seeing clear signals of what works within this 90-day window.
The Bottom Line
Choosing a digital marketing agency in Australia doesn’t have to feel like a gamble. If you do your homework, ask the right questions, and know the red flags, you can dramatically reduce the risk of getting burned.
Here’s the short version:
- Know your goals and budget before you start looking
- Avoid agencies that guarantee results, require long lock-in contracts, or won’t let you own your own accounts
- Look for specialisation, transparency, and reporting tied to business outcomes
- Ask the 10 questions listed above and pay close attention to how they’re answered
- Give any new partnership 90 days to prove itself, but expect clear strategic direction from month one
If you’re an Australian business looking for an agency that focuses on generating leads and revenue rather than vanity metrics, operates on transparent month-to-month terms, and puts strategy before tactics, book a free strategy call with us. We’ll take 30 minutes to understand your business, audit your current setup, and tell you exactly where the biggest growth opportunities are. No lock-in, no pressure, just straight answers.
Related Reading:
Paid Ads Don’t Fix, They Amplify
Brand Awareness vs Conversion: Which Strategy Works Best?
What Kind of ROI Can I Expect from Facebook/Instagram Ads?
Landing Page Optimisation: How to Double Your Conversion Rate Fast
Google Ads vs Facebook Ads: Which Is Better for Your Business
Tradie Marketing 101: How to Get More Jobs Without Word of Mouth
