The best businesses to buy & automate with AI (Part 2)

This email is Part 2 of a short series covering the best businesses you can buy and scale by automating with AI.

You can read the previous part here:

• Part 1

On Tuesday, we covered why accounting firms are a great choice for a business you can buy and help automate with AI.

Today, we’re looking at a second excellent business to do this with:

Digital Marketing Agencies

There is so much opportunity to disrupt this field with AI.

Many smaller agencies are still doing everything way harder (and slower) than it needs to be.

They're manually creating content, babysitting ad campaigns around the clock, and taking way too long to analyze data.

It's insane!

AI is already good enough to handle a large chunk of this work automatically, and free up tons of time for you to focus on strategy, client relationships, and scaling.

The agencies that figure this out first are going to dominate their markets.

Why I like this business model

Strong margins: Many agencies run 30-50% profit margins, which leaves plenty left over to invest in automation tools.

Recurring revenue: Retainer clients provide predictable monthly income (my favorite kind).

High scalability: Unlike brick-and-mortar businesses, agencies can grow without proportional overhead increases.

Growing demand: Every business needs digital marketing, and that's only accelerating.

So, what’s the problem?

Most agency owners are drowning in busy work instead of scaling their operations.

This is where you can come in and disrupt things with AI.

The digital marketing AI playbook for agencies

1. Automate content creation

AI can now generate blog posts, social media content, email campaigns, and even video scripts in seconds.

This means you can produce 10X more content with the same team size.

You'll maintain consistent publishing schedules across all clients and customize everything for different audience segments.

Without being any smarter than other agencies, AI can help you become a 10X agency overnight.

2. Optimize ads automatically

Instead of manually tweaking campaigns, you can use AI to analyze performance data and automatically adjust targeting, budgets, and creative elements in real-time.

With 24/7 optimization on the ads you run, you can respond to market changes instantly, whereas “old-school” agencies might take days to notice and make changes.

All this extra optimization will inevitably lead to you giving your clients a higher ROI, helping you reduce churn and get more referrals.

3. Streamline reporting

Automated tools can pull data from multiple platforms and generate client-ready presentations with minimal human intervention.

This can save 5-10 hours every week that your team would normally spend on reporting.

Plus, you get more detailed insights because you're analyzing way more data than humanly possible, while delivering them faster.

The craziest part is…

You don't need to be a marketing genius to make this work.

You just need to understand which AI tools to implement and focus on maintaining strong client relationships.

Agencies that embrace automation will be able to serve more clients, deliver better results, and operate with higher margins.

More AI opportunities ahead…

Next Tuesday, I’ll cover a third business type that's primed for AI automation.

Don’t miss it!

In the meantime…

I occasionally share valuable deals and investment opportunities with subscribers on this email list.

If you’d like to receive those broadcasts, just fill out the 2-minute survey below.

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Onward,

— Ben Kelly