Hiring a paid social agency is meant to make life easier. But if you're starting to feel unsure about what’s actually happening behind the scenes, you're not alone.
Plenty of businesses trust an agency with thousands in monthly ad spend, only to realise too late that no real strategy is in place. In fact, according to HubSpot, 42% of businesses say they’ve worked with an agency that didn’t understand their goals. That’s a costly problem, especially when it's your Meta or TikTok budget on the line.
So how do you know if your agency is genuinely on the ball or simply winging it?
Here are five telltale warning signs to look out for.
1. You’re getting 'fluffy' reports with no clear ROI
If your monthly reports are just screenshots from Ads Manager or vague PDFs full of 'impressions' and 'clicks', it’s time to ask for more.
A professional agency should be reporting on what actually matters:
- Cost per acquisition (CPA)
- Return on ad spend (ROAS)
- Customer lifetime value (CLV)
- Revenue and profit impact
- Funnel-stage breakdowns (top, middle, bottom)
And crucially, they should be tracking conversions properly using UTMs, GA4 and offline conversion tracking where appropriate.
According to a 2023 Marketing Week survey, 61% of UK marketers say attribution remains their top challenge, especially after iOS 14. If your agency isn’t helping you solve this, they’re not doing their job.
2. There’s no clear testing strategy. Just guesswork
Great paid social isn’t 'set and forget'. It should be test. Analyse. Optimise. Repeat.
If your agency hasn’t mentioned a structured testing framework, such as creative variations, audience segmentation, placements, headlines or offers, that’s a red flag.
A recent Meta case study showed that businesses using structured A/B testing saw up to a 30% improvement in CPA compared to those that didn’t. Without proper testing, there’s no path to consistent growth – only random results.
3. You’re still using the same creatives six weeks later
Ad fatigue is real. If your creative hasn’t changed in weeks, your results are probably on the decline.
According to Meta, ad fatigue can impact performance in as little as 7 days, especially with higher budgets or smaller audiences. TikTok is even faster. Its creative best practices suggest refreshing content every 3–5 days for top-performing campaigns.
Your agency should:
- Rotate fresh creatives regularly (not just minor edits)
- Test different formats like static, video, carousel and story
- Align the creative with each stage of the customer journey
If they don’t, you’re likely wasting money on stale ads that no longer convert.
4. They don’t ask about your business goals or margins
If your agency only talks about traffic, clicks or CPMs – and not your actual business goals – it’s time to question their approach. Paid social should support growth. Not just inflate vanity metrics.
A good agency will ask questions like:
- What’s your ideal CPA or marketing efficiency ratio?
- What are your product margins?
- Are you focused on short-term cashflow or long-term growth?
- What does retention look like in your business?
A 2022 LinkedIn survey found that 59% of CMOs value strategic alignment with their agency more than anything else. If your agency isn’t interested in the wider business picture, they’re just pushing buttons – not building a proper plan.
5. There’s no talk of funnel strategy or retargeting layers
Paid social works best when it reflects the buying journey. That means:
- Top of funnel (TOF): broad, awareness-driven campaigns
- Middle of funnel (MOF): nurturing, education, testimonials
- Bottom of funnel (BOF): offers, urgency and conversion-focused ads
If you’re running the same ad to every audience, your funnel is broken.
A strong agency will:
- Build campaigns around each funnel stage
- Use different creative and messaging for each layer
- Create effective retargeting segments from site visitors, video views, add-to-carts and email lists
If they aren’t doing that, you’ll find it difficult to scale sustainably.
Final thoughts: Don’t settle for 'average'
There are plenty of paid social agencies out there. But not all of them are truly strategic.
The difference between one that performs and one that wings it? A clear process. A proactive mindset. And a real understanding of your business.
If you're starting to second-guess your agency or feel unsure about their approach, trust your instincts. The right agency should:
- Be transparent and consistent
- Proactively test and optimise your campaigns
- Talk to you in terms of outcomes – not just reach or impressions
You’re not hiring someone to 'run ads'. You’re hiring a growth partner. And that deserves more than guesswork.
Need a second opinion?
If you’d like an honest, no-obligation audit of your paid social performance, get in touch. We’ll tell you what’s working, what’s wasting budget, and how to get better results – without the fluff.
