I recently watched a fascinating video by Matthew Larsen about scaling agencies to $10 million per year, and it struck me how most agency owners are leaving money on the table. The typical approach of offering only a high-priced recurring service means 99% of potential clients are automatically disqualified. This limited strategy creates a massive gap in revenue potential.
As someone who’s built and scaled multiple online businesses, I’ve seen firsthand how diversifying your offer stack can transform an agency’s growth trajectory. Matt’s “Scale Your Agency Funnel” concept provides a brilliant framework for capturing more of your target market at various stages of readiness.
Why Most Agencies Fail to Scale
The fundamental problem is simple: when you only offer a premium recurring service, you’re ignoring the vast majority of your market. I’ve watched countless agency owners struggle with this exact issue – they build excellent services but can’t understand why growth plateaus.
The reality is that only 1% of your target market is qualified and ready for your premium service at any given time. The other 99% need different entry points based on their budget, needs, and readiness. Without addressing this reality, your marketing funnel will always underperform.
The Seven Essential Agency Offers
According to Larsen, every agency should implement these seven offers to maximize revenue and profit:
- Recurring Service – Your premium offering that builds monthly recurring revenue (MRR)
- One-Time Intro Offer – A lower-priced “foot in the door” service that can lead to upsells
- Referral Partnerships – Arrangements with other agencies for clients who aren’t a good fit
- Courses – Educational products for those who want to learn to do it themselves
- Programs – Similar to courses but with more support and engagement
- Digital Products – Productized offers under $100 (templates, assets, etc.)
- Affiliate Commissions – Revenue from recommending relevant software tools
What makes this approach so powerful is that it allows you to monetize every interaction. I’ve implemented similar strategies in my businesses and seen dramatic improvements in both top-line revenue and profitability.
Creating a Profitable Ecosystem
The beauty of this model is how these offers work together as an ecosystem. Your recurring service might operate at 25-40% margin, but digital products, courses, and affiliate commissions can deliver nearly 100% profit margins.
This diversification not only increases revenue but dramatically improves profitability. In my experience, implementing a full offer stack can potentially:
- Double or triple your overall revenue
- Increase profit by 3-10x compared to a single-offer model
- Create significantly more business stability
- Make your agency more valuable for a potential exit
The key insight here is that each offer serves a specific segment of your market. Not everyone needs or can afford your premium service right now, but they might still benefit from your expertise in other forms.
Implementing Your Multi-Offer Strategy
Turning this concept into reality requires thoughtful implementation. Your content marketing, paid ads, and outreach should direct prospects to an application or qualification process that routes them to the appropriate offer based on their needs and readiness.
For example, prospects with monthly revenue under $10K might be directed to digital products, while those doing $10K-$30K could be offered courses, programs, or intro services. Those above $100K might qualify directly for your premium recurring service.
The goal isn’t to force everyone into your premium service – it’s to provide value at every level while building a relationship that might eventually lead to your premium offering.
I’ve found that asking qualifying questions like “Do you want us to do this for you, with you, or teach you to do it yourself?” can effectively route prospects to the right offer while respecting their preferences.
Building for Long-Term Success
What I appreciate most about Larsen’s approach is its client-centric focus. This isn’t about tricking people into buying services they don’t need – it’s about genuinely matching them with the right solution for their current situation.
In my decades of business experience, I’ve learned that this kind of authentic, value-first approach always wins in the long run. When you truly care about helping your target audience, even if they’re not ready for your premium service, you build trust that eventually translates into sustainable growth.
If you’re running an agency with only one or two offers, I strongly encourage you to consider how implementing a full offer stack could transform your business. The difference between struggling at six figures and scaling to seven or eight figures often comes down to exactly this kind of strategic thinking.
