Agency Compensation
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Agency Hours: Tracking and Verification
Members of the Advertising and Financial Management Committee share how they track and verify agency hours, using a compensation formula of Direct Salary + Overhead + Mark-up.
Member Discussion: Digital Agency Compensation
An open discussion on compensation to digital agencies featured macro findings from the ANA Interactive Agency Compensation Survey and challenges and concerns that members have.
Inside Intel's Global Media Agency Review
Arlene Villanueva, Global Media Director, Integrated Marketing/Global Media at Intel, took us behind the scenes of Intel's $300 million global media agency review. The review "decoupled" media (also called "unbundled" in the industry) as Intel moved to what it calls an "open source model," impacting about 25 countries.
Labor-Based Fees for Above-the-Line and Below-the-Line Agency Compensation Agreements
ANA members provide insight on labor-based fees for above-the-line and below-the-line agency compensation agreements.
How to Avoid Scope Creep and Other Agency Compensation Insights—The CEO Perspective
John Adams, Chairman and CEO of The Martin Group, discusses how getting the right scope-of-work agreement can lead to better work and a stronger client/agency partnership, why different types of compensation agreements exist, and whether the movement toward value-based compensation is inevitable.
The Good, the Bad, and the Ugly Ways to Search for Search Consultants
A panel of search consultants shared their expertise on best practices for clients to follow when hiring a search consultant to recruit an agency.
Ask the ANA: Best Practices for Agency Audits
This article outlines factors marketing executives should consider when preparing for an agency audit.
Break Down the Walls
This article explores how client/agency relationships can be used to execute successful integrated marketing campaigns.
Agency Compensation: What's New and What's Next?
While there's been much talk about new types of methods, particularly value-based compensation, there haven't been enough practical applications and shared lessons/best practices. Meanwhile, spending on digital media has exploded and compensation to digital agencies requires a unique understanding.
Ten Media Issues in Fifty Minutes
Panelists broadly explore key media issues and their financial implications including: the role of procurement in media negotiations, the future for "brokering", eMedia buying, online exchanges and the evolution of magazines and TV in the digital world.
Advertising Financial Management Conference Creative Keynote
David Lubars is chairman and chief creative officer of BBDO North America. As he sees it, his job is to help BBDO maintain its brilliance in traditional mediums, but also create extraordinary things for clients in mediums yet to be defined.
The Beekman Report: Comprehensive Review of Agency Compensation Trends and Benchmarks
Beekman's standard definitions, which should prove to be a strong basis for developing a best-in-class client/agency contract.
Compensation Model Discussion
The CEO of TBWA Neal Grossman along with two other panelists explore fair agency compensation from three vantage points: client, agency, and compensation consultant. Topics of the discussion include compensation methodologies, appropriate transparency, definitions, hours, salaries, overhead, profit, and direct client expenses.
Exclusivity Policies with Agencies
Members of the ANA Agency Relations Committee were asked to provide insights on their Exclusivity Policies.
Kraft's New Approach to Agency Compensation
Deb Giampoli, Kraft's cross-functional agency team leader, discusses how Kraft evolved its agency compensation model from one focused on media commission to a unique hybrid of input- and output-based fees and had one primary objective in mind: financial transparency, more closely matching agency compensation to the work.
Conducting a Digital Agency Search
Two veteran agency search consultants - Dick Roth of Roth & Associates and Judy Neer of Pile & Co - provided insight on identifying the core capabilities of a digital agency, ensuring agency collaboration, performing agency evaluations, identifying scope-of-work needs, and assessing accountability.
Ask the ANA: The Devil Is in the Details
This article provides best practices and outlines how to determine an ad agency's scope of work (SOW) and services.
Compensation Model Discussion
Paul Smith, Senior Commercial Manager at Masterfoods, led a discussion about agency compensation models that touched on current and historical industry practices, new methods of compensation being adopted, case histories, and more.
Multi-Service Commercial Allocation Guidelines
These Guidelines have been developed through a variety of resources, including the extensive industry experience of management and labor trustees, and analysis and review by the Trustees, Plan staff and outside consultants.
Wild, Wild West
This article reviews some of the key findings from the 2007 ANA Interactive Agency Compensation Study conducted by Jones Lundin Beals. Among them is the fact that agency-client relations is still at its infancy.
