I recently spoke to quite a few digital design shop owners, and the consensus is that the first quarter of 2014 sucked, and for some, criminally so. Shops depleted their cash reserves, struggled to meet payroll, extended their lines of credit, and yes, downsized.
Finally, there’s this thought from another successful agency head: there is a massive amount of untapped work out there that is waiting for you. You don’t have to change a thing with your business, you just have to find it. Again, this speaks to the fact that you need to spend money on marketing. The industry has many more talented players than it used to.
One correction to on this last quote: You DO have to change your business. You can’t just throw money at marketing. You have to know how to market your company.
If you don’t know about marketing, I suggest you start reading Seth Godin’s books now.
As usual, the mutants will survive.