Behind the Scenes of Traditional Marketing
I’ve held back on writing this article for a long time, mostly because I know what happens when you poke the bear. I’m sure there are mainstream media reps who would love to kneecap my business for what I’m sharing in this article. But, enough is enough.
For years, I’ve watched how these old-school media companies operate behind the scenes. They resell, outsource, and bundle digital marketing with traditional advertising, often using it to prop up their core media products, all while making it difficult for small businesses to see what is actually being spent on specific digital platforms.
You might be thinking to yourself, “Lucas, how the heck do you know any of this?” Here’s a quick background on my 20-ish year career and the trajectory that led me to owning my first digital marketing agency in 2015.
Before starting my own company, I worked at two different legacy media companies, where I got a firsthand look at how those media companies really operated. I also worked for one of the largest marketing agencies in the United States and have directly negotiated advertising rates on behalf of my clients. That range of experience has given me a behind-the-scenes perspective on how media deals are usually structured, knowledge that most business owners don’t get. My full biography is a bit more detailed, you’re welcome to read it on our About Us page.
Enough about me – this isn’t about me. The whole purpose of this article is to give business owners the knowledge they deserve so they can finally cut through all the confusing jargon – and make more informed decisions for their business. For example, most business owners have no clue they can negotiate their advertising rates on TV, radio, and in newspapers.
If you’ve bought ads through a newspaper, radio station, or small local TV station, you probably noticed that these companies don’t just try to sell you the standard traditional advertising options anymore. To keep profitability up, they have added digital marketing services, offering to run your Google Ads, Facebook campaigns, streaming ads, and more.
On the surface, this sounds convenient. Why not keep everything under one roof? The hidden problem is that many of these deals are packaged in ways that are hard to understand and sometimes can actually increase costs and potentially reduce performance for the business owner.
The Hidden Layers In Legacy Media Digital Campaigns
Here is what sometimes happens:
Reselling Digital Ad Space
Instead of simply managing your campaign and charging a clear management fee, many legacy media companies buy the ads themselves and then resell them to you. This means you are paying not just for the ad spend but also for a markup on that spend.
Outsourcing To Third-Party Vendors
In many cases, the local media company is not even running your ads directly. They outsource fulfillment to a “digital solutions provider” that manages campaigns in bulk for dozens of companies around the country. You may never know who is actually pushing the buttons on your account, and they may never know all that much about your business.
Bundled Invoices
Because of the structure above, advertisers often get one flat invoice with everything mixed together: platform spend, vendor fees, and the publisher’s markup. That makes it very hard to see where your money is really going.
Why This Matters For Your Business
When media companies act as resellers or outsource fulfillment, their incentives shift, even if it isn’t intentional. They are rewarded for getting you to spend more, not necessarily for making your campaigns more efficient. Combine that with a lack of transparency on costs, and you can end up paying a lot more than if you ran the same campaign yourself.
Red Flags To Watch For
If you are working with an old-school advertising company on digital advertising, look out for these warning signs:
- No direct access to your accounts. You (or someone in your business) should always be the owner or admin of your Google Ads and Meta (Facebook) accounts. If you are not, ask why.
- One bundled invoice. If your bill does not clearly separate ad spend from management fees, there is a good chance there is a markup happening somewhere.
- No clarity on who is running the ads. If fulfillment is outsourced, ask who the vendor is, what role they play, and who is responsible if a mistake is made.
- Vague success metrics. If your reports focus only on impressions or reach, but not on leads, calls, or sales, your campaigns might not be measured in a way that drives meaningful results for your business. Note: there are instances when impressions and reach are the desired metric of success.
What You Can Do Instead
The good news is that you do not have to accept this default structure. Here are a few steps that give you more control:
- Ask for transparency up front. Request a line-item breakdown of ad spend, management fees, and vendor charges. You can even ask for this to be shown for each individual platform.
- Insist on account ownership. Make sure you are the primary owner of your ad accounts so you can see real-time performance.
- Focus on outcomes, not activity. Make sure you can track your campaigns through to business results like leads, sales, or booked appointments.
- Consider independent options. Many small and mid-sized businesses find better ROI by either managing campaigns in-house with guidance or working with a digital-first agency that charges transparent fees.
Final Thoughts
Traditional advertising companies are not inherently bad, but the system many of them have used has been designed to enhance their revenue, not necessarily to maximize yours. Their survival strategy has been to layer digital services on top of traditional offerings, often without the transparency that business owners deserve.
If you are considering running digital ads through your local paper, station, or broadcaster, ask the right questions. Transparency, access, and accountability are not just buzzwords.
If you want your digital ad dollars to work as hard as possible, choose a partner who gives you clarity and accountability. Your marketing budget should be an investment in growth.
If you need help – I have been navigating this world for nearly two decades. I would be happy to have a conversation to learn more about your business, challenges, and goals.
