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Global reach, local team: Empathy Lab takes digital advertising from Conshy to NY, Paris


There's a powerful global interactive agency right here in your backyard. You've probably never heard of it, but that's by design. Empathy Lab, based in Conshohocken, is set to break $14 million in revenue this year with clients you've definitely heard of, including Sony, Nautica, Kipling, Saucony, Clarins, Lexmark, Comcast and Verizon. The digital agency, founded in 2005, employs around 70 people in its suburban Philadelphia headquarters, and unless you're in the know, you'd pass right by.

"We don't necessarily focus on the region as our target for clients," says Kevin Labick, CEO of Empathy, explaining Empathy's local low profile. "We made a decision to be world class in two areas: eCommerce, and media and entertainment as it pertains to the digital channel."

Empathy's target companies are in New York, Los Angeles, Paris and the Netherlands, with just a few in Philadelphia. Its secret to success is an intimate approach to customer needs and motivations.

"Everything we do revolves around understanding the customer's point of view," says Labick. "Almost every project we work on involves contextual inquiry. We go into people's homes and offices, and sit with them on the way to work in their cars, to understand how they use our clients' brands."

Labick cites research for David's Bridal eCommerce platform that involved peering over the shoulders of brides to be as they perused potential gowns on the web. With the growth of destination weddings, Empathy discovered that brides want to know what the bottom of the dress looks like so they can judge its performance on a sandy beach.

Another growth area for Empathy is digital media and entertainment. While many brick and mortar stores were closing down, Empathy positioned itself at the forefront of digital media delivery. One example is Sony's newly released My Daily Clip for Apple mobile devices. Empathy's strategic placement has paid off. While other agencies have struggled through the economic downturn, Empathy's growth is impressive: in 2009, company revenue was $8 million, in 2010, revenue jumped to $12 million, and this year's projections show more of the same.

Empathy's low profile is going to have to change, says Labick, whose staff spends the great majority of its time on client campaigns, not self-promotion. "We are growing and we need people. We don't want to open offices everywhere. We want people to be based here, and have lives here."

Labick attributes Empathy's success to deep partnerships within the industry, working closely with developers and software companies to deliver innovative channel solutions to clients. Earlier this year, SmartCEO Magazine selected Empathy as a Future 50 Company in recognition of its tremendous employee and revenue growth over the past three years.

Source: Kevin Labick, Empathy Lab
Writer: Sue Spolan
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