Why agency culture is the most critical factor in winning new clients (and why the WPP debate is about more than just working from home)

When it comes to choosing the right agency partner, culture isn’t just a “nice to have”. It’s the deal-breaker. At
AAR
, we’ve seen time and again that the agencies standing out in selection processes aren’t just the ones with the best case studies or the cleverest ideas. They’re the ones that know exactly what they stand for, have a clearly differentiated proposition, and know how to communicate this as a competitive edge. It’s not just what they do but how they do it – and how their culture feeds into the creativity and energy clients can feel.

And that’s why the ongoing debate about how and where agencies work isn’t just about logistics or personal preference. It’s about something much deeper: how agencies differentiate and how they maintain their edge, their creativity, and their ability to forge meaningful connections – not only with their clients but within their own teams.

From our experience running hundreds of agency reviews, we know that cultural fit is often the single most important factor in a client’s decision-making process. It’s not just about aligning values. It’s about finding that spark, that intangible connection, which makes both sides feel they’ve found the perfect partner. And when an agency’s culture is strong and clearly defined, it’s much easier to recognise and match to the right client.

The reality is there’s an oversupply of agencies, which means the competition is fierce. To cut through the noise, agencies need more than good work. They need a culture that’s magnetic, energised, and impossible to ignore.

Clients aren’t looking for agencies that can just deliver the work – they want partners who go beyond the brief, spark ideas that shift markets, and challenge them to think differently. That kind of magic comes from agency culture. It’s built in brainstorms, in chance conversations by the coffee machine, and in the subtle ways teams energise and inspire one another when they’re in the same space.

It’s why, in selection processes, chemistry matters just as much as credentials. Clients want to feel the synergy in the room, to see the team dynamic, and to trust that the people they’re hiring genuinely enjoy working together. They want to see how that differentiation plays out, not just in the work but in the people presenting it. That energy, the unmistakable sense that “this agency gets it” , often comes down to the culture they’ve built.

But let’s not fall into the trap of thinking that culture can only exist in the office. Dragging teams back five days a week, regardless of their role or needs, risks alienating staff, attracting the best talent and losing the benefits that more flexible ways of working can bring. The best agencies I’ve seen aren’t choosing between the office or remote – they’re embracing a hybrid model that combines the best of both worlds.

Hybrid working isn’t just a logistical fix; it’s a strategic opportunity. It lets agencies create the conditions for creativity and productivity to thrive. Teams can come together for the kind of collaboration that sparks ideas and builds connections, while also having the time and space to focus, recharge, and work in ways that suit them best.

It’s not about rigid policies or arbitrary office quotas. It’s about designing a working model that nurtures talent, inspires creativity, and ultimately delivers for clients.

That’s where the recent
WPP
debate comes into play. The decision to bring employees back to the office four days a week has sparked no shortage of headlines and opinions. But if we look beyond the noise, it’s clear the move speaks to a broader truth: agency culture matters. WPP’s decision reflects a recognition that creativity, collaboration, and team development flourish when people are together. Those spontaneous, serendipitous moments – the ones that drive fresh thinking and spark innovation – are harder to replicate when teams are staring at each other through screens.

That said, the agencies I admire most are those going beyond traditional office policies. They’re finding ways to make in-person time count, creating spaces and schedules that draw people in because they want to be there, not because they’re required to be. And they’re leveraging hybrid working to ensure their culture remains dynamic and differentiated – a true competitive advantage.

In a world where client expectations are only getting higher, culture isn’t just a factor in success. It’s the factor. It’s the difference between agencies that win pitches and those that don’t. It’s the energy clients notice when they walk into a room or join a call.

This is especially true when there are so many agencies vying for attention. The ones that stand out have a culture that feels alive and distinctive, a proposition that’s crystal-clear, and a team dynamic that’s instantly appealing. That’s where AAR comes in, helping clients find those agencies where the culture aligns seamlessly with their goals and ambitions.

As the industry navigates the challenges of this new era, it’s clear there’s no one-size-fits-all answer. But the agencies that will thrive are those that understand the value of connection, both within their teams and with their clients. The debate about desks vs. kitchen tables is, ultimately, a distraction. The real conversation is about creating an environment where people and ideas can truly thrive.


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