Agency fees and commercial arrangements are essential to get right. But what is the right agency fee model? How much should be paid? And how do you manage and negotiate these fees effectively? While there is common practice in agency fee models, there is no best practice, with each fee model dependent on the discipline, services, volume, and more.
The objective of our agency fee advisory is to create fair, sustainable and mutually equitable models that are easy to manage, and which drive the desired outcomes.
We approach this challenging area from a number of angles, tailored in each project to fit specific need. You can explore them here:
Find more information on agency commercials arrangements here or explore more details and insights below.

The limitations of input cost over output and outcome value for advertising agencies
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Your next agency pitch will cost you financially, but not as much as you think.
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Advertising Agency Fees – The Move from Static Inputs to Valuable Outputs
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With agency costs on the rise, how should advertisers respond?
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Advertising ideas are a dime a dozen according to this advertiser
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Common mistakes made when preparing a scope of work for the agency
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The traps and pitfalls of developing an output-based agency fee model
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Value-based, cost-based, pricing-based, and performance-based agency fees – bring it on
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Past, present or future – which tells you more about your agency fees?
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Will agencies absorb their advertiser budget reductions again?
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Are advertising agencies the next big subscription-based model?
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The problem with setting agency fees is most are making it up
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What is more important in assessing agency fees, productivity or price?
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Five ways to use the Verificom toolkit to more effectively manage agency fees
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Why hourly rates are no measure of value when negotiating agency fees
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Why a scope of work is essential for managing agency value
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Deciding on the right agency fee model is now easier
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Is the problem with agency fee benchmarking simply a matter of statistics?
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Why Scope of Work (SoW) is not Scope of Services (SoS) and why that matters
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Retained AOR or project fees? Which one is best?
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The challenges in measuring the value your agencies contribute to your marketing
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Why performance based payments need to be an incentive not a disincentive
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How long payment terms impact client / agency relationships
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Do you remunerate or compensate your agency?
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Is there nothing fair or reasonable about agency remuneration?
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Cost benchmarking and value benchmarking your agency, which one gives the best results?
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Why it is so important to have an agency scope of work
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How to build flexibility into an agency scope of work
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The impact of economies of scale on scope of work cost
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How to define an agency scope of work to deliver increased value
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