Hi Jon,
I think the studios are not the problem, or the real problem. Now we are using better software with better hardware (and easier to use) and we have a lot of stuff on the internet (tutorials, helps, etc.). So the new paradigm is that a lot of people with a pc in his/her bedroom with software (legit or not) are working with much less cost than proper studios or artist, and sadly most of the clients are not worried about this. Every year we have hundreds of new artists or small studios with really good quality. So if you don't have a name already or trusted customers, will be really hard to get new ones because the architect firms are getting tons of emails. But like always you have to change, renew or trust your style and effort to continue.
