Advertising’s pricing model has become ever more complicated as the industry evolves with clients and agencies seeking the best value for their investment of time, money and people. But
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Advertising’s pricing model has become ever more complicated as the industry evolves with clients and agencies seeking the best value for their investment of time, money and people. But
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Posted by: Creativepool Editorial
Finger Industries Ltd January 10th, 2019, around noon
We've always priced based on the process/work, not people or time. Deliverable's take time and talent but the agency pays for the process we go through to produce that animation for their client/campaign. On top we cost usage to use that end product. I've never understood why agencies charge per head per hour but its been insightful to watch.The scoping process takes time and that process in itself is collaborative. Understanding the value/budget and time it takes to create- which should be identified through scoping- is what sets you out on the right path to successful delivery. Be it us scoping to agency or agency scoping to client.
Account teams and creatives need to be given time to figure these elements out- I talk a lot about cost vs creatives and what's fit for purpose in the scheme of campaign/end user/channel etc.
Scoping a project is often grossly underestimated in terms of the back and forth, identifying the costs and creative. Agencies should be able to bill for that. As it happens, scoping is the one thing we don't charge for but then going through a scoping process is also about forming the partnership and ensuring everyone aligns; if we do a good job, we win the work. For us scoping also consists of defining the brief, setting a style, proof of concept, quotes and schedules and eventually an SOW. It's a partnership, collaborative, iterative- all good, relevant words to this chunk of the process.
Thanks for sharing Creativepool!
Carrie @ Finger Industries.