Episode 041. This Is Your Expansion Era

 

Playing it safe got you here. But thinking small won't get you there. While most agency owners are planning incremental 20% growth, darling, we're challenging you to think exponentially bigger. Because your biggest year isn't going to come from optimizing what you're already doing. It's going to come from completely reimagining what's possible.

In this solo episode, Melissa and Meredith break down four research-backed strategies that outperforming companies use to achieve breakthrough growth. Not the "work harder" advice you'll find everywhere else. Not the "double down on what's working" conventional wisdom. This is about expanding your identity, taking bigger bets, and building the confidence flywheel that makes massive growth feel inevitable instead of impossible.

Why Incremental Thinking Keeps Agency Owners Stuck

Most agency advice tells you to set realistic goals. To aim for sustainable 15-20% year-over-year growth. To optimize what's already working. And darling, that's exactly why so many agencies plateau at the same revenue range year after year. When you're thinking incrementally, you're optimizing your way to mediocrity.

The research is clear: outperforming companies don't think in increments. They think in multiples. Not 20% growth. 10x growth. Not "what can I improve" but "what would have to completely change." This episode challenges everything you've been told about goal-setting and introduces you to four strategies that create breakthrough growth instead of incremental gains.

We walk through the 10x thinking model from the book "10x Is Easier Than 2x" by Dan Sullivan and Dr. Benjamin Hardy. The premise sounds counterintuitive: aiming for 10x growth is actually easier than aiming for 2x. Why? Because when you're trying to double your revenue, you're thinking about optimization. How can I get more efficient? How can I work a little harder? How can I improve my conversion rates by a few percentage points?

But when you're thinking 10x, you can't optimize your way there. You have to innovate. You have to completely reimagine your business model, your service offerings, your positioning, your team structure. You're forced into exponential thinking instead of incremental thinking. You're forced to ask better questions: What would I have to stop doing entirely? What bold moves would be required? What would this business need to look like structurally?

This shift from optimizing to innovating, from playing safe to playing big, is backed by behavioral economics research. Bigger goals activate divergent thinking, which leads to creative problem-solving. When you ask yourself "what would it take for us to 10x revenue," you come up with ideas you would never consider if you were just trying to incrementally improve.

Expanding Your Identity Before Expanding Your Business

Here's what most agency owners miss: your identity is often rooted in an outdated version of yourself. You're still making decisions based on who you were at $500K, even though you're running a million-dollar business. You're still operating with the mindset of the scrappy startup founder, even though you need to become a strategic CEO.

Dr. Carol Dweck's growth mindset research forms the foundation of the identity expansion model. Before you can expand your business, you have to expand who you believe you are and what you're capable of. This isn't just motivational fluff. This is about fundamentally reimagining yourself as the person who runs the business you want to build.

We share powerful prompts for this identity work: Who is the version of me who runs a $2 million business? What does that person look like, feel like, sound like? How do they make decisions? What do they say no to? What's not worth their time? What risks do they take? What habits are non-negotiable?

When you start asking these questions, you realize the version of you who's running that bigger business is making completely different decisions than you're making right now. They're not wasting time on tasks that should be delegated. They're not hesitating on investments that will pay off. They're not playing small to avoid judgment or failure.

Community plays a crucial role in this identity expansion. Surrounding yourself with people who are already thinking bigger, already operating at that level, makes the expansion feel more accessible. We reference our episode with Amanda Goetz and how exposure to someone thinking differently about time, priorities, and business decisions sparked new possibilities. When you're in rooms with people who've already made the leap you're considering, it becomes contagious.

The Agency Darlings Slack community was created specifically to provide this environment. A space where agency founders can connect with others who have that expansion mindset, who challenge each other to think bigger, who normalize the risks and decisions that feel scary when you're isolated.

Making Fewer Moves, But Bigger Ones

McKinsey's 10-year analysis of outperforming companies revealed a surprising pattern: they don't make more strategic moves than their competitors. They make fewer moves, but those moves are bigger. This is the big bet principle, and it's transformative for agency owners who are constantly scattered across too many initiatives.

For agencies, those big bets might look like choosing a bold niche instead of slowly narrowing your focus over years. It might be repositioning entirely around outcomes instead of incrementally tweaking your messaging. It could be launching a signature framework that differentiates you completely. Or hiring a senior leader who takes you out of client delivery so you can focus on growth, even though it feels financially risky.

Most agency founders shy away from these big bets because they feel like they're not ready yet. They think they need to be further along before they can afford that hire, before they can commit to that niche, before they can take that positioning risk. But the research shows the opposite: the big bets are what get you there. Playing small doesn't prepare you for playing big. It just keeps you small.

We emphasize that taking the risk is crucial because what's the worst that happens? If you choose a bold niche and it doesn't work, you can change it. No one cares as much as you think they do about your positioning evolution. If you hire that senior person and it doesn't work out, you can make changes. The bigger risk is never taking the bet at all.

Creating a culture of risk-taking within your team amplifies this principle. When your designers, writers, and strategists feel permission to take creative risks in their work, it benefits your entire business. Agencies used to be known for bold creative suggestions. Somewhere along the way, the industry shifted toward playing it safe. That's a disservice to clients and to your agency's growth potential.

Building the Confidence Flywheel That Creates Momentum

The final strategy is the confidence flywheel, backed by Cornell and Stanford decision science research: confidence equals action, which leads to results, which leads to more confidence. This isn't about waiting until you feel ready. It's about taking action, getting results, and letting those wins compound into more courage for the next move.

We walk through how to build this momentum in your agency. Start with fast wins—the things you know you should do but have been putting off. Get those wins to build confidence. One example from our community: a founder had a renewal conversation that covered her entire year's expenses. That win gave her completely different confidence about raising rates with future clients. That's the flywheel in action.

Set 90-day growth sprints. Ninety days feels doable. You can see the end of the tunnel and actually commit. After each sprint, reflect on what worked and what didn't. Track your numbers weekly so you can see progress in real-time. Reduce decision fatigue by taking action instead of endlessly deliberating. And celebrate progress over perfection—even when you're not hitting goals exactly, reflect on what you gained from the experience.

This approach creates sustainable expansion without burnout. It makes bold moves feel natural instead of terrifying. And it compounds over time, so each risk you take makes the next one feel more accessible.

(00:00:00) Welcome to Your Expansion Era

  • Why 2026 needs to be different from incremental optimization years

  • The problem with the "safe option" mentality that's actually holding agencies back

  • What "expansion era" actually means for your agency

  • Setting the stage for four research-backed strategies

(00:05:12) The 10x Thinking Model: Why Bigger Goals Force Innovation

  • Breaking down the research from "10x Is Easier Than 2x" by Dan Sullivan and Dr. Benjamin Hardy

  • Why aiming for 10x is actually easier than aiming for 2x

  • How behavioral economics shows bigger goals activate divergent thinking

  • The specific exercise to identify what would need to change for 10x growth

  • Why this shifts you from optimizing to innovating, from incremental to exponential

(00:09:45) Identity Expansion: Becoming the Person Who Runs That Business

  • Dr. Carol Dweck's growth mindset research applied to agency ownership

  • The powerful questions to ask about your future self at your goal revenue

  • What the $2 million version of you stops doing and starts doing

  • Why your identity is rooted in an outdated version of yourself

  • How community accelerates identity expansion and makes it feel contagious

  • The role of the Agency Darlings Slack community in creating this environment

(00:14:32) The Big Bet Principle: Fewer Moves, Bigger Impact

  • McKinsey's 10-year research on what outperforming companies do differently

  • Why they make fewer moves but bigger ones than their competitors

  • Examples of big bets for agency owners: bold niche, outcome positioning, signature frameworks, senior hires

  • Why playing small doesn't prepare you for playing big—it just keeps you small

  • Permission to take risks and change course if needed

  • Creating a culture of risk-taking within your team

(00:19:28) The Confidence Flywheel: How Small Wins Build Momentum

  • Cornell and Stanford research on confidence equals action equals results equals more confidence

  • How to identify fast wins that build momentum

  • The power of 90-day growth sprints for sustainable expansion

  • Real example from the community: renewal conversation leading to rate increase confidence

  • Tracking numbers weekly to see progress in real-time

  • Celebrating progress over perfection and reflecting on what you've gained

(00:25:06) Taking Bold Risks and Creating an Expansion Culture

  • How to give your team permission to take creative risks in their work

  • Why agencies need to return to their bold creative roots

  • The relationship between risk-taking and industry leadership

  • Why this needs to be a team effort, not just a founder mindset

  • How bold moves benefit both your agency and your clients

(00:31:42) Your 10x Goal Challenge and Accountability

  • The specific challenge: share your 10x goal, why it matters, and one 90-day commitment

  • How to DM Melissa and Meredith with your goal on LinkedIn or Instagram

  • The quarterly accountability email chain and how it works

  • Why saying your goal out loud matters for commitment

  • The final rallying cry: your biggest year won't come from playing it safe

This episode is brought to you by:

Copilot | Get two months free with code DARLINGS at copilot.money/darlings

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Meet Your Hosts

Meredith Fennessy Witts is the Founder of Le Chéile, the go-to finance and strategy consultancy for creative agencies.

Connect with her on LinkedIn and Instagram.

Melissa Lohrer is the Founder of Waverly Ave Consulting, a growth consultancy for indie agencies.

Connect with her on LinkedIn and Instagram.

 
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Episode 042. You Didn't Start an Agency to Be the Lowest-Paid Employee

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Episode 040. The Anti-Pitch Strategy: How to Close Deals Before the Pitch