Agency Fees – Insights

Agency fees can vary based on factors such as scope of work, resource allocation, project complexity, and agency expertise. By establishing fair and transparent fee structures, businesses can ensure a mutually beneficial partnership with their agencies while maximizing the value and impact of their marketing investments.

Explore our collection of articles to gain valuable guidance on fee negotiation strategies, fee benchmarking, performance-based remuneration models, and fee evaluation methodologies.

You can find more information on agency search and selection management here or explore more details and insights below.

Overcoming Obstacles to Agency Value-Based Pricing Fees

Overcoming Obstacles to Agency Value-Based Pricing Fees

The past 18 months or so have seen more advertisers and agencies looking to move away from “traditional” FTE/resource/cost-recovery-based pricing ...
Managing Marketing: Value Based Pricing For Agency Fees

Managing Marketing: Value Based Pricing For Agency Fees

Nick Hand is a commercially savvy, hands-on Finance Director and a CPA with over two decades of experience managing the ...
Why Value Trumps Cost in Agency Remuneration Fees

Why Value Trumps Cost in Agency Remuneration Fees

My grandfather was a frugal man, borne no doubt from living through the Great Depression, then going to war and ...
When it comes to paying your agencies, you need to follow the money.

When it comes to paying your agencies, you need to follow the money.

Marketing teams can be broadly divided into two groups. There are some who think their agency is paid too much ...
Your next agency pitch will cost you financially, but not as much as you think.

Your next agency pitch will cost you financially, but not as much as you think.

The practice of going to tender at the end of the agency contract period has become a habit for many ...
Advertising ideas are a dime a dozen according to this advertiser

Advertising ideas are a dime a dozen according to this advertiser

Ultimately, the value of the advertising agency process is in the intellectual properties created and in the commercial outcomes, those ...
Do you remunerate or compensate your agency?

Do you remunerate or compensate your agency?

This is the second in a series of one-minute videos that address the many complex challenges facing marketing, media and ...
advertising agency pitches

Who should really be paying for advertising agency pitches?

The first point I have to make is “Why are you pitching any way?” But the fact is that pitching ...
How Value Based Compensation can support Zero Based Budgeting

How Value Based Compensation can support Zero Based Budgeting

We are increasingly enjoying discussions with a range of advertisers and marketers on the implementation of Zero Based Budgeting (ZBB) ...
Remuneration stalemate

How smart marketers are moving beyond the agency remuneration stalemate

Suspend disbelief for a moment. Imagine a world where agencies are paid solely on the basis of commercial results. An ...
Why are you still paying production mark-ups to your agency?

Why are you still paying production mark-ups to your agency?

When I first started my career in agency finance departments, adding a service fee markup to 3rd party production costs ...
Tony Hale and Mumbrella

5 reasons why advertisers paying for pitches will not work

Recently the new CEO of the Communications Council, Tony Hale, announced in a Mumbrella Google Hangout that he believed advertisers ...
Big red hand guitar-Coles TV ad

Can an agency win a media pitch without discounting rates?

In a market place obsessed with prices and rates, it appears that unless you can win the race to zero ...
Compensating or remunerating agencies

Are you compensating your agencies or remunerating them?

Now you may think that Compensation is Remuneration, there is really no difference between the two. But it is not ...
The danger of making token pitch payments to agencies

The danger of making token pitch payments to agencies

This week I was talking with Stephan Argent, President of Argedia Group and a colleague in the Marketing FIRST Forum ...
Top 5 client accounting demands that make agencies feel unvalued

Top 5 client accounting demands that make agencies feel unvalued

A couple of weeks ago I wrote about agency accounting practices that leave clients frustrated and annoyed. You won’t be ...
A step by step approach to calculating ad agency resource rates and head hour costs

A step by step approach to calculating ad agency resource rates and head hour costs

With the increased application of AI in generativing content and automating workflows, and the corresponding call for the application of ...