How to Build a Social Media Marketing Agency in 2025

By Latasha James

BusinessStartupMarketing
Share:

Key Concepts

  • Done-for-you (DFY) services: Social media management services where the agency handles all aspects of content creation and posting.
  • Social Media Management Agency (SMMA): A business that manages social media accounts for other businesses.
  • Video Content Packages: Bundled services offering a set number of videos, captions, and thumbnails for social media.
  • Organic Reach: The number of unique individuals who view your content without paid promotion.
  • Algorithm Gods: A playful term referring to the unpredictable nature of social media algorithms.
  • B-roll: Supplemental footage intercut with the main shot in a video.
  • DMV: DC, Maryland, Virginia area.
  • ROI: Return on Investment.
  • Go High Level: An all-in-one marketing platform.
  • Monday.com: A work management platform.
  • Notion: A workspace and productivity application.
  • Read AI: An AI assistant that provides summaries and insights from meetings and communications.

Diego's Social Media Management Journey

Diego started his social media management journey in 2017, coinciding with the rise of video content. He took a course that taught him how to sell his creative skills. In 2018, he acquired his first restaurant client in the DC area, a six-month engagement while he was in college. He then transitioned into the corporate world for four years, holding positions such as marketing manager, social media manager, and marketing director. His experience running a team as a marketing director motivated him to start his own agency in 2023.

The Turning Point: From Corporate to Entrepreneurship

The defining moment that pushed Diego into full-time entrepreneurship was his experience as a marketing director. He and his future business partner built a successful social media presence for the company, leading to external inquiries about the "agency" they had hired. Recognizing the demand for their skills, they both left their corporate jobs and launched their agency in the summer of 2023. Diego emphasizes that his corporate experience allowed him to understand executive expectations and how to set up brands for success.

Team Structure and Growth

Diego's agency started with him and his business partner. Initially, three clients followed them from their previous corporate job. By February 2024, they added a video editor and a virtual assistant. Currently, the team consists of seven people: Diego, his business partner, another videographer, three editors, and two virtual assistants.

Service Offerings and Pricing

The agency primarily serves clients in the real estate space, offering video content packages. Their initial package includes four reels with supporting captions and thumbnails, priced at $400 per reel, totaling $1600. They also offer packages with 8, 12, and 15 videos, as well as custom packages for high-tier clients, with one client currently receiving 25 videos per month. The pricing has increased three times in the last eight months due to high demand.

Accidental Specialization in Real Estate

Diego's entry into the real estate niche was accidental. After working with a restaurant client, he reached out to ten potential clients, one of whom was a real estate team. While they didn't hire him as a freelancer, they offered him a job as their marketing manager, leading him into the corporate world and eventually specializing in real estate.

Client Acquisition and Word-of-Mouth Marketing

The agency has scaled significantly through word-of-mouth referrals. Diego states, "To this day, we've scaled tremendously. I've never made a single sale in my life so far." They receive one to three leads from their website and average four to five inquiries per week from referrals. They also have a decent amount of Google reviews, which helps with local search visibility.

Biggest Month and Project Management Challenges

June was the agency's biggest month ever, managing approximately 170 reels for 21 active clients (12 recurring). This high volume exposed project management inefficiencies. Diego explains, "It was like that, me and my business partner every day, and that kind of made us face ourselves in a lot of way and be like, okay, we cannot sustain this type of growth." They are now focusing on internal improvements and have promoted a team member to head of content distribution to streamline the delivery process.

Video Production and Content Strategy

Diego and his business partner both shoot videos, along with another videographer. Diego has been creating video content since middle school, and his experience with TikTok during COVID helped him learn short-form video. For real estate content, they focus on providing value to the consumer rather than creating generic property tours. They emphasize B-roll footage and encourage realtors to talk through the house, creating engaging and informative content.

Pricing Strategy and Value Assessment

The agency's pricing strategy evolved based on demand and perceived value. Initially, they priced reels at $180-$200, but increased the price as they received more inquiries and saw that clients were readily accepting their rates. They also consider the cost analysis of their team's time and effort when determining pricing.

Communicating Results and ROI

The agency provides quarterly analytical reports to clients. They emphasize the importance of organic strategy and consistent content creation. Clients typically see results within four months, including increased reach, engagement, and followers. One of their top clients has generated over $100,000 in income directly from their organic Instagram content.

Patience and Algorithm Understanding

Diego stresses the importance of patience and trusting the process when it comes to organic strategy. He advises clients that the first three to five months are crucial for establishing the brand. He also highlights the importance of collaborative content and building relationships with other influencers in the industry.

Content Strategy Across Platforms

For premium clients, the agency posts content on Facebook Reels, Instagram Reels, TikTok, and YouTube Shorts. They repurpose content across platforms, recognizing the value of Facebook Reels.

Team Dynamics and Project Management Tools

The agency uses monday.com for project management but is transitioning to Notion and Go High Level for improved organization and client management. They are also exploring the use of AI tools like Read AI to streamline communication and access information. Read AI acts as an AI assistant, providing summaries and insights from emails, calendars, and calls.

Future Goals and Team Development

The agency's key focus for the second half of the year is clarity and vision. They aim to develop leaders within their team and create a stronger company culture. They are also prioritizing team meetings and focusing on partnerships with existing clients.

Final Words of Wisdom

Diego advises aspiring social media managers to treat client acquisition as a numbers game and to persist until they secure their first client. He emphasizes the importance of putting your foot in the door, even if it means offering a discounted rate initially.

Chat with this Video

AI-Powered

Hi! I can answer questions about this video "How to Build a Social Media Marketing Agency in 2025". What would you like to know?

Chat is based on the transcript of this video and may not be 100% accurate.

Related Videos

Ready to summarize another video?

Summarize YouTube Video