5 Signs It's Time to Fire Your Ad Agency

When Good Agencies Go Bad

Not every agency relationship is meant to last. Sometimes it's a fit issue. Sometimes the agency is genuinely underperforming. Sometimes you've outgrown what they can offer.

The hard part is knowing when to make the call. Agencies are skilled at explaining away poor performance—it's the algorithm, it's the market, it's your landing pages. And sometimes they're right.

Here are the unambiguous red flags that mean it's time to move on.

Red Flag #1: You Don't Have Account Access

If your agency owns your ad accounts and won't give you admin access, fire them immediately.

This is non-negotiable. Your ad accounts contain:

Your historical data and optimization
Your remarketing audiences
Your conversion tracking setup
Your campaign learnings

Without access, you're hostage. You can't audit what they're doing. You can't take your accounts if you leave. You can't verify anything they claim.

What to demand:

Admin access to all ad accounts
Login credentials you control
Accounts created under your business profiles
Documented handover process if you part ways

If they refuse: Leave. Whatever their excuse, this is a dealbreaker.

Red Flag #2: Reports Focus on Vanity Metrics

Your agency sends a beautiful monthly report. It shows:

Impressions (millions!)
Clicks (thousands!)
CTR (above benchmark!)
CPC (trending down!)

What it doesn't show:

Revenue or ROAS
Cost per actual customer
Profit margins
Return on your investment

This is intentional obscuration. Agencies that produce results talk about results. Agencies that don't produce results talk about activity.

What good reporting looks like:

Revenue attributed to ads
ROAS or profit margin
Cost per customer acquisition
Comparison to targets YOU set
Clear trends over time

Ask yourself: If you had to defend this ad spend to your board, could you? If not, your agency isn't providing the information you need.

Red Flag #3: They Blame Everything But Themselves

Performance dropped? Here's what bad agencies say:

"It's the iOS changes"
"The algorithm updated"
"Seasonality"
"Competition increased"
"Your landing page is the problem"
"Your offer isn't compelling enough"

Sometimes these are legitimate factors. But when the answer is always external, something's wrong.

Good agencies:

Acknowledge when performance dips
Present hypotheses AND plans to test them
Take ownership of what they control
Suggest fixes within their scope before pointing elsewhere

The test: Ask what they've done differently in response to the issue. If it's nothing—if they're just waiting for things to improve—they're not really managing your account.

Red Flag #4: Communication Is Reactive Only

You shouldn't have to chase your agency for updates. If they only talk to you when you initiate, you have a problem.

Signs of poor communication:

Days to respond to emails
Meetings constantly rescheduled
No proactive strategy discussions
You learn about problems only when you spot them yourself
Monthly reports with no explanation or context

What good communication looks like:

Regular scheduled calls (weekly or bi-weekly)
Proactive updates when significant changes happen
Same-day or next-day email responses
Clear escalation path for urgent issues
Strategic recommendations beyond just reporting numbers

The standard: You should feel like you have a partner actively working on your account, not a vendor you're constantly trying to reach.

Red Flag #5: No Strategic Evolution

Your agency's strategy today is the same as it was 6 months ago. Same targeting. Same creative approach. Same campaign structure. Maybe some bid adjustments.

Digital advertising moves fast. What worked last year doesn't work this year. What worked last quarter might be obsolete.

Signs of strategic stagnation:

Same creative running for months
No testing framework or roadmap
Recommendations are all tactical, never strategic
No response to industry changes (platform updates, privacy changes)
You're suggesting ideas they should be bringing to you

What evolution looks like:

Regular creative testing cadence
Platform feature adoption (when appropriate)
Proactive adaptation to industry changes
Strategy reviews quarterly at minimum
New ideas you hadn't considered

The question: Has your agency taught you anything new in the last 6 months? If not, they're not bringing expertise—they're just pushing buttons.

Before You Fire: Due Diligence

Before making the call, verify the problem is actually the agency:

Audit the Numbers Yourself

Pull reports directly from the platforms. Compare to what the agency reports. Look for:

Discrepancies in numbers
Hidden spend (managed services, etc.)
Metrics they report vs. metrics that matter to you

Get a Second Opinion

Have another agency or consultant audit your account. Many offer free audits. Look for:

Account structure issues
Missed optimization opportunities
Comparison to industry benchmarks

Document Everything

Before parting ways:

Screenshot your account access (prove you have admin)
Download all historical reports
Export audience data where possible
Document all conversion tracking setups

Have a Transition Plan

Don't fire your agency until you know who's taking over—internal team, new agency, or consultant. Gaps in management hurt performance.

What to Look for in Your Next Agency

Learn from what went wrong:

Clear Access Terms

Before signing:

Confirm you'll own all accounts
Get written account handover terms
Understand their notice period requirements

Aligned Incentives

Look for agencies that:

Tie some compensation to performance
Don't profit from your ad spend (percentage of spend models)
Have clear success metrics agreed upfront

Transparent Communication

During the sales process, evaluate:

How quickly do they respond?
Do they ask about your business, not just your budget?
Are they honest about what they can and can't do?

Relevant Experience

Look for:

Case studies in your industry
References you can actually call
Understanding of your specific challenges

The Firing Conversation

When you've decided:

Give notice as per your contract. Don't burn bridges unnecessarily.

Document the reason clearly. This helps them improve and protects you.

Request formal handover:

Account access confirmed
Tracking pixels documented
Active campaigns explained
Audience lists exported

Set end date. Make it clean.

The Bottom Line

Bad agency relationships cost more than money—they cost time and opportunity. Every month of underperformance is a month you're not growing.

If you recognize these red flags, don't wait for things to magically improve. Investigate, document, and if confirmed, make the change.

Good agencies exist. Relationships that produce real results exist. But you have to be willing to make hard decisions to find them.

Not sure if your agency is performing? Our diagnostic audit provides an objective third-party assessment of your current setup—what's working, what's not, and whether your agency is doing right by you.