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Why eCommerce Growth Is Consolidating Around Full-Funnel Hybrid Agencies

7 min read • ,

Businesses are now recognizing that fragmented agency models create friction. Leading brands are shifting to full-funnel teams to scale growth efficiently.

By David Conforti

Apr 1, 2026

Ecommerce technology modern digital shopping icons glowing in neon colors shopping, ecommerce, digital, technology, online, retail, marketplace, internet, cyber, neon, sale, business

For many years, brands have managed growth through different channel-specific partners. Paid media, social, and the conversion experience have typically been managed separately.

Brands often had different partners for Meta, Google, TikTok, and the website, with minimal coordination between ad and conversion.

That model worked for a while. However, in the age of AI, speed becomes a competitive advantage.

Having a full-funnel approach allows agencies and brands to move faster. Teams can ideate, test, and iterate in real time, without waiting for different workstreams to catch up.

The biggest change is how much the brand’s surface area has increased. It’s no longer just about a website. Now brands need to manage how email, SMS, TikTok, Google Shopping, Amazon, and other touchpoints influence the path from discovery to purchase.

In a new era of marketing, the boundaries between creative, acquisition, conversion, and retention are blurred. ROI becomes more difficult to measure as the focus shifts from disconnected wins to scalable growth.

The problem lies in the model itself. When teams operate independently, communication becomes fragmented, and the brand’s internal team is expected to be the connective tissue across multiple agencies. Each handoff slows alignment, and execution stalls.

Growth reaches its full potential when every part of the buyer journey functions as a connected system.

Why eCommerce Brands are Choosing Full Growth Teams

A lot of eCommerce brands still rely on separate partners across the funnel. Paid media is handled by one agency, social with another, and conversion is handled somewhere else.

This is often framed as specialization, and expertise matters. However, in practice, it separates the teams responsible for bringing in new customers, shaping their on-site behavior, and converting that digital experience into revenue.

Paid campaigns need to set clear expectations for the user about what results they’ll get from a click.

Visitors’ expectations are influenced by the creative, messaging, and who the ad is being shown to before they even land on the page.

Someone arriving from Instagram is probably still comparing their options. If a user arrives from a Google search result, they are closer to making a decision based on what they know about your brand.

One user wants to learn more about a product, while the other knows the product but wants to know what results a purchase will have for them. Treating all users the same creates friction.

When messaging in an ad isn’t consistent with messaging on the site, users slow their path to purchase. The same can be said when the copywriting is dialed in, but when a customer begins to check out, pricing is unclear, or the mobile menu is crowded with too many options.

In both cases, momentum slows for the same reason. Different teams are managing the path from click to purchase, each with its own understanding of how customers move through the buyer journey.

This is why more companies are consolidating. When full-funnel hybrid agencies manage growth, decisions are made quickly and with an understanding of how everything from data to design affects performance across the entire journey.

Avenue Z

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“This acquisition makes us a complete growth engine in ecommerce.” — Jeffrey Herzog

Today, we're excited to announce that Avenue Z has acquired Varfaj, a premier Shopify Plus design and technology partner, bringing development, CRO, performance media, and AI optimization into one unified system.

Varfaj - Shopify Premier Partner Founder and CEO David Conforti joins us as Chief Growth Officer, strengthening our ability to help brands scale faster across Shopify, social, search, and AI-powered platforms like ChatGPT.

Commerce is shifting toward agent-led buying. This acquisition ensures brands are built to win in that environment.

Read more here: https://lnkd.in/eJBgtVTM

Three men standing in a wood-paneled office with shelves and books, with a centered overlay displaying the Avenue Z and Varfaj logos, representing Avenue Z’s acquisition of Varfaj.

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How Fragmented Agency Models Stall Growth

What slows growth doesn’t always show up on performance reports. It’s more obvious in how long it takes to move from an idea to making a decision.

As cross-team communication increases and more teams get involved, updates arrive through Slack channels and email threads. Teams collaborate in Google Workspace or Notion, which requires check-ins from numerous departments just to stay on track.

Performance data lives on one system, website traffic on another, and recommendations arrive in documents or on message threads. Teams spend time logging in one platform after another, ultimately making key decisions feel like a guessing game.

Even small changes like refining headlines on a landing page or interpreting search data require review and feedback from multiple teams. Misalignment is almost destined to happen.

When different agencies handle social, paid media, and CRO, they are typically working toward different outcomes. Teams focused on bringing new users to a platform aren’t the same ones responsible for whether the traffic converts to revenue.

Testing cycles drag out, messaging becomes unclear, and insights don’t translate from one team to another.

This doesn’t just slow progress. It translates to missed opportunities to scale growth.

The Future of eCommerce is Consolidation

As the number of paths to purchase continues to increase, the way brands manage growth is changing.

eCommerce is no longer confined to a single website. Platforms like TikTok Shop and YouTube Shopping are changing how customers discover and purchase products, compressing a multi-step journey into a much shorter path.

On these platforms, creative and conversion now operate within a shared environment. The same system influences how products are introduced, understood, and purchased.

As the number of paths to purchase increases dramatically, the systems that operate across acquisition, creative, and conversion need to be treated as one unified system.

There is a direct correlation between spending on TikTok and website homepage conversion rate. Even though the two are seemingly unrelated, TikTok is a key surface for driving top-of-funnel awareness, leading customers to search for the brand on Google or ChatGPT with high intent.

This type of visibility across the full funnel is what allows our teams to connect performance across surfaces.

Successful brands are starting to restructure around a central growth function.

Teams are becoming smaller and more focused, with ownership spanning acquisition, creative, and conversion rather than being split across separate roles.

This shift is reflected in how brands are structured.

In my view, the brand of the future is a core brand team focused on product and operations, while their agency will handle marketing & digital end-to-end, spanning creative, paid media, website, CRO, and retention.

Together, it creates a lean but powerful system for scaling brands.

As this shift continues, growth becomes less about separate functions and more about operating a fully integrated system across the entire path to purchase.

Clearer ROI Is Driving the Transition

The advantage of a full-funnel approach becomes clear for businesses in how performance is measured.

When growth is managed across different teams, it’s unclear what’s actually driving results. Are the largest returns a result of the top of the funnel, or what’s happening closer to conversion?

Adopting a full-funnel approach makes it much easier to track which investments are driving the most returns. Data from the entire path to purchase feeds directly into the strategy, instead of being measured in isolation. Over time, this has a compounding effect, with improvements building on one another, making it easier to identify drop-offs and opportunities to increase revenue.

When a single team owns the full path from acquisition to conversion, the brand knows exactly who is responsible for the incremental growth.

In some cases, that visibility can translate into measurable performance gains, such as a 2.5x ROI directly attributable to a shift to a full-funnel model.

How Growth Is Built to Scale

As brands move away from fragmented agency models toward integrated growth, the difference becomes clear in how performance is actually driven.

At Avenue Z, paid media, creative, and conversion rate optimization (CRO) are built and operated together.

Strategy remains human, shaped by how people actually make decisions, not just what happens at the bottom of the funnel.

Execution is supported by AI, allowing creative campaigns and on-site experiences to be tested and refined at scale.

What makes this effective over time is how data is used to improve performance across strategy and execution. First-party data feeds directly into decision-making across the full path to purchase.

This approach creates clear ownership of performance. When a single partner owns the full funnel, the brand has a clear sense of who’s responsible for growth.

The question becomes “are we growing or not?” There is no longer any ambiguity and no one else to point to.

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By David Conforti

Apr 1, 2026

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