The OutCast Agency: Agency Business Report 2014

The OutCast Agency had a year of expansion, adding 16 new clients in 2013 and early 2014.

Principal: Alex Constantinople, CEO
Ownership: Next Fifteen Communications Group
Offices: San Francisco and New York
Revenue: $21 million
Headcount: 87

The OutCast Agency had a year of expansion, adding 16 new clients in 2013 and early 2014 while growing its existing accounts into new social, digital, and creative spaces. Tempering that growth, it also parted ways with a number of accounts.

The firm saw a revenue increase of 11%, which exceeded expectations. New business, worth about $3 million, slightly outpaced organic growth and included new clients in high-tech fields. Profit margin was 30%

"Technology has been a thread throughout our client portfolio since day one," says CEO Alex Constantinople. For example, 2013 saw the addition of robotics and artificial intelligence (AI) accounts such as Airware, a company specializing in unmanned aircraft systems, and Anki, a consumer robotics and AI startup.

Significant wins
In 2013, the firm added American Express, HBO, Instagram, and Samsung as clients. This year Coinbase; the Defense Advanced Research Projects Agency, the Department of Defense’s agency for military tech development; and Factual, an open-data platform, came on board as clients.

The agency has also seen organic growth from existing clients, such as the expansion of its Amazon account to cover Amazon Studios; American Express for American Express mobile; and Intuit from TurboTax to cover Quicken and Mint.com. A 2013 highlight was the project-based launch of the first makeup product driven by an online community for L’Oréal’s em brand, by YouTube influencer Michelle Phan.

Client losses included Autodesk, Lytro, Stripe, VMware, and Zynga.

Three senior staffers left the firm in 2013: Heather England, EVP; Kathryn Rafter, VP; and Chris Kraeuter, VP of media strategy. The latter left for Intel and was replaced by Meg D’Incecco. Other senior hires included VPs Alex Plant and Caroline Vespi. Staff turnover was 27%.

Constantinople sees growing its New York presence as a priority, noting the office has added accounts including American Express and Starwood Hotels & Resorts while continuing "fantastic partnerships with Spotify and ZocDoc."

The year ahead will also see a strong focus on the sharing economy, adds Constantinople, pointing to new partnerships with Airbnb and Lyft.

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