The agency model is at a crossroads. In retail media and the broader commerce industry, client turnover has been high for years. As agencies struggle to keep pace with rapid retail growth, navigate the post-pandemic landscape, and compete in an increasingly saturated service market, many have failed to meet client expectations. The result? Declining client satisfaction and a growing distrust of agency partnerships.

Many brands, frustrated by underwhelming service and inflated costs, have opted to bring operations in-house. While this approach comes with its own challenges, it helps brands avoid the pitfalls of partnering with an ineffective agency. At this point, most brands have at least one agency horror story. The industry consensus is clear: agencies are often overpriced, especially considering the inconsistent quality of service they deliver.

Despite these challenges, we firmly believe that the right agency partner remains the best choice for most brands. The core issue isn’t the agency model itself- it’s the difficulty of finding an agency that genuinely prioritizes its clients’ success. Brands are inundated with marketing jargon, flashy tech tools, and so-called best practices, making it harder than ever to identify a trustworthy partner. Our recommendation? Focus on people first. A truly valuable agency partner is built on unshakeable principles and a client-first mentality.

To help brands navigate the selection process, we’ve identified three critical red flags to watch out for when choosing an agency partner.

1) Beware of One-Size-Fits-All Strategies

A cookie-cutter approach to retail media is a recipe for wasted ad spend and missed opportunities. If an agency applies the same strategy and campaign structure across all clients, they’re prioritizing efficiency over effectiveness- and their own success over yours. Success on Amazon, Walmart, and other retail media platforms depends on crafting a tailored strategy based on category dynamics, budget constraints, and specific business goals.

Telltale signs of a rigid, templated approach include:

• Claims like “We always put each ASIN in its own campaign because it increases precision.”
• Statements such as “Our tool requires us to separate every keyword, but this improves efficiency.”
• Defaulting to industry-average KPI goals without assessing your brand’s unique objectives.
• Suggesting a TACoS goal simply because a vendor partner recommends it- without first evaluating your account.

If an agency is making strategic recommendations before they’ve even analyzed your account or discussed your annual goals, that’s a major red flag. An experienced and client-focused media team should be able to build a tailored approach that aligns with your brand’s needs- not just their operational preferences.

2) Avoid Agencies Tied to a Single Tech Tool

A growing number of agencies are entering exclusivity agreements with tech vendors in exchange for perks like increased visibility, priority brand leads, and referral bonuses. We’ve been approached with these offers ourselves, and we’ve chosen not to participate- because we believe our clients deserve better.

This trend presents a serious conflict of interest. Brands rely on agencies to make unbiased, strategic decisions in their best interest. But when an agency is locked into a single tech solution, their recommendations are inherently compromised. This could result in:

• The agency choosing an inferior tool because it benefits them financially.
• Brands being pushed onto a new platform, despite years of valuable historical data on their existing tool.
• Agencies prioritizing their tech partnerships over their clients’ actual needs.

To identify potential conflicts of interest, look for:

• Agencies that consistently co-present webinars or share trade show booths with the same tech provider.
• Heavy LinkedIn amplification of content featuring a single vendor.
• Reluctance to discuss alternative technology solutions or integrate with your existing tools.

The best agency partners are tech-agnostic and will recommend the right tools for your specific needs-not the ones that maximize their own revenue streams.

3) Watch for High Employee Turnover

This red flag is easier to spot but just as critical. Agencies with high employee turnover often suffer from excessive client loads, a toxic workplace culture, or unsustainable growth expectations- sometimes all three.

When media managers are stretched too thin or lack adequate support, their ability to deliver high-quality service suffers. Many agencies cut costs by hiring less-experienced staff or rely on senior team members for sales pitches, only to delegate actual account management to junior employees. The result? Inconsistent execution and declining client performance.

To evaluate an agency’s stability:

• Check Glassdoor for reviews from current and former employees.
• Ask trusted industry contacts about the agency’s reputation.
• Request at least two client references and specifically inquire about account attention and service quality.

The way an agency treats its employees is often a reflection of how they’ll treat your brand. A high-churn workforce can lead to frequent account handoffs, misalignment on strategy, and a frustrating lack of consistency.

Final Thoughts: Prioritize a People-First Approach

Navigating the noise in the agency space isn’t easy, but keeping these red flags in mind will help you make a more informed decision. The worst agencies often exhibit all three of these warning signs- a clear indication that they’re more focused on scaling their own business than driving results for yours.

At the core of every strong agency-client partnership is trust. By prioritizing a people-first approach, you’ll not only find a partner who aligns with your brand’s values, but you’ll also protect your media investment from the pitfalls of an agency that puts profits over performance.