When you're searching for a team to help you create video for your business, you probably see a lot of different options, and it can be overwhelming. One of the first things you might come across is a video or creative agency vs. a production company. What's the difference between the two? We're here to help!
What is the difference between an agency and a production company?
An ad agency provides a wider range of advertising services from brand guidance, through production, through purchasing ads on behalf of a client. An agency may not provide all of the services in house and often relies on a number of partners to provide specialized services. For example, an ad agency may hire an outside video production company to carry out the ideas that they and their client have for a video or series of videos. The agency would approach the video production company with their idea, the script, part of a storyboard, etc., and partner with the company to bring it to life. A creative agency might also handle other aspects of marketing such as advertising, tracking ROI (return on investment), etc., whereas a video production company traditionally would focus solely on the production of the video, not the marketing or other additional aspects. Many production companies may provide additional marketing guidance and overlap with full ad agencies, but the focus will be more on production. You can think of an agency as a general contractor, who oversees an entire project (or brand strategy), vs. a production company as a carpenter, or someone hired to fulfill a smaller, more specialized area of expertise (like creating epic video).
It’s also important to note that ‘Ad agency’ and ‘video production company’ are often used interchangeably, so these differences are just a guide, not definitive rules, and will not apply to all of the video businesses that you research. All agencies provide a different suite of services at varying levels of expertise which is why it is always good to have calls with several to determine best fit.
Want more questions answered about choosing a video production company? Check out our Ultimate Video FAQ!
