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- This model focuses on the value of the agency outputs or deliverables rather than inputs (resource head hours). Also known as the Pricing Model.
- The value is determined based on market pricing, strategic importance or the activity or brand and the expected ROI on the marketing activity.
- The marketer agrees a pre-determined value on the various outputs. broken down in line with service and creative output expectations for tangible and intangible outputs or deliverables.
- These pre-agreed values can be paid on an output basis, bundled into a project fee or be the basis for calculating an effective retainer.
- This can be part of a hybrid model covering some agency function only. E.g. Retainer resource to approved concept.
- Read more about Value Based Fees here
