Another Agency Closes its Doors

[Ed Endicott]

It's very sad when agencies (and livelihoods) go.  I heard this afternoon that Bildagentur Waldhaeusl (Woodystock) is ceasing operations.

 

 

[dov makabaw]

IMO the smaller agencies will not be able to survive with prices at current lows unless they are in a niche specialist sector with a secure income stream. My own average selling price has reduced to about a third of what it was 5 years ago. How can agencies pay their overheads and staff in these sort of market conditions. I find it difficult enough with no staff or overheads!

 

dov

[Martin P Wilson]

I made a $2000 sale recently to a big media company from my own site. Not the first time either.

...

 

 

L

 

Hi Linda

 

Do you sell directly off your own web site (usage, pricing and fulfillment) or is it through personal contact via  email/telephone enquiry and negotiation?

 

I am planning a major revamp of my site and I don't know whether to go the full ecommerce route (major development and high maintenance) especially as I could be spending many weeks away from home at a time.

 

Martin

[Martin P Wilson]

Thanks Linda, that is sort of where my thinking is going although I don't have the people issue to the same extent; I do with my pro sport stuff of course. My few direct sales (not enough marketing) are as a result of email or phone contact even though I have ecommerce provided by PhotoShelter (which I plan to give up).

[Robert Brook]

Small agencies close - that's what they do.  They open and then they close.  I have been with several that have closed over the years, all very good in their day.  And just two that have survived for more than a decade, each one offering something unique - and that is the key.  A lot fail because they only want to make money, and when the money dries up, or a major investment is needed, there is no real incentive to carry on.  The survivors are run by people with a lot of commitment to some idea of of what photography is, and a lot of grit.  They can be more than just managers, and, lacking over-inflated egos, make a genuine contribution to the culture of photography.

 

Currently the most successful agencies, both in terms of their business structure, and the returns for photographers, tend to be middling to quite large - ones with turnovers in the low millions, and are fairly stable.  They aren't trying to compete with Getty/Corbis, but realise that they are, as resellers, a valuable resource.  They maintain their position by requiring exclusivity of content and making sure that the photographers they want to keep are happy.

 

The problem with the majors is that they aren't able to be successful businesses (make a year-on-year profit) without creating a great pile of resentment and misery amongst contribs, leaving just a few with a big smile on their faces.  Or else, as is in one case, they don't make a profit.

 

There is no particular reason why we are likely to see a lot of failures in the near future.  We are at the end of a massive recession, and any businesses that have survived that are now in a good place. I found that 2012-13 was particularly poor for returns, but I am now experiencing a bounce - everywhere except just one agency, which is ... ahem...

[John Mitchell]

Thanks Linda, that is sort of where my thinking is going although I don't have the people issue to the same extent; I do with my pro sport stuff of course. My few direct sales (not enough marketing) are as a result of email or phone contact even though I have ecommerce provided by PhotoShelter (which I plan to give up).

I have e-commerce with PhotoShelter as well. I manage to sell the odd print through their automated system, but editorial clients (such as they are) tend to contact me to negotiate. I have had a few gratifying direct downloads, though, including one for $650 a couple of years ago. So you never know what might come out of the blue...