Top 10 Tips For Procuring Creative Services

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tips for procuring creative services Get things right from the start with our top tips Match your business needs to the agency’s super strengths With evolving technologies and multi channel communications, most agencies operate in several areas. Still, it’s common for agencies to have a sector or channel specific area of expertise – find out where this lies by checking out the agency’s roots. How did they start out? What’s the background of their senior team? Even if the agency doesn’t shout about one service or sector more than another, check out who their largest customers are to get some clues. 2 Bear in mind the London premium Though London’s a creative hub, it’s not the only place where innovative marketing is done. London-based offices (and thus rates) do come at a premium, so why not look further afield? Check out The Drum / RAR Top 100 list of agencies outside the M25 for guidance 4 ondon Beware of fixed prices Tempting as it is to agree a fixed price for campaigns, this isn’t the best way to drive strong agency relationships. Before you start negotiations, understand all the payment structures agencies use so you can choose the one that works best for your business. Many of the industry associations have remuneration guidelines; you can check out BMC’s here 5 £ Check if the right people are used for the right jobs To complicate things more, it’s normal (and economically prudent) for agencies to use several people on a single project. For example, a simple job like a brochure design may get kicked off by a senior designer or an art director to create a style, while a mid-weight designer will layout all the text and images and a junior designer or artworker may pick up any amendments. This may sound expensive – but actually it’s about making sure the right person is assigned to each task, ultimately saving you from paying high rates for simple jobs. Talk to your agency about which team members will be working on your campaigns. 8 Consider the financial value of good chemistry It’s difficult to put a price on ‘chemistry’, but there’s no doubt the best work comes from solid client-agency relationships. ‘Best’ doesn’t just mean ‘most creative’ – it also means the campaign returned on investment and went smoothly. Multiple amendment phases and changes add up, so teams that work together closely save businesses money – that’s the value of ‘chemistry’. 9 I was thinking the same thing! Remember: not all that glitters is gold Beware of the agency that appears to have awards for everything. Whilst award-winning work is great, a good place to look is the Recommended Agency Register (RAR), which are the only sector awards based entirely on client ratings. There’s not a panel, judge or brown envelope in sight! 10 Encourage transparency from the start Unlike purchases with defined specifications, idea creation has no boundaries. Sometimes, coming up with a genius idea doesn’t take long at all, but at other times it takes a roomful of the most experienced (and highest paid!) people weeks to plan a great campaign. Obviously this unpredictability is a nightmare from a cost control perspective! Don’t worry, all good agencies live and breathe ‘utilisation’ and use timesheet software like Traffic or Synergist for visibility of time spent on every job. Work together to understand the ‘actual’ timings so you can plan budgets together. 7 £35/hr Decide which type of agency works best for you There are two main types of agencies: those owned and operated by ‘network’ groups (large organisations like WPP) and those which are independently run. For a global presence and access to large teams in multiple offices who can deal with huge capacity, the network route is likely to be best for you. However, if you’re looking to be a big fish in a small pond, you might be better off with an independent agency. Check out The Drum’s overview of top independent agencies 3 Prepare for the pitch process If you’ve never coordinated a tender for a creative agency before, there are plenty of white papers that can help you make the most of your pitch process. Most agencies pitch regularly so should be happy to share their insights. Don’t be surprised if some agencies turn down the opportunity to pitch – it could be that your campaign doesn’t fit their skill set or that your budget is below their pitch threshold. If you feel you are turned down quite often, ask agencies for their feedback to see how you can adjust your approach. 1 Aenean eu leo quam. Pellen esque ornare sem lacinia quam venenatis vestib ulum. Integer posu- ere erat a ante venenatis dapibus posuere velit aliquet. Nullam id dolor id nibh ultric Get the correct rate The ‘rate card’ (the agencies hourly rates by person / job role) is often the easiest place to start negotiations, but be cautious. Sometimes a lower hourly rate means there are other hidden costs, or simply more hours will be charged. Research the latest market rates so you have solid comparisons. For B2B marketing, you can find regional rate benchmarks here 6 £25 £75 £120 ? ?

Transcript of Top 10 Tips For Procuring Creative Services

Page 1: Top 10 Tips For Procuring Creative Services

tips forprocuringcreative servicesGet things right from the start with our top tips

Match your business needs to the agency’s super strengthsWith evolving technologies and multi channel communications, most agencies operate in several areas. Still, it’s common for agencies to have a sector or channel specific area of expertise – find out where this lies by checking out the agency’s roots. How did they start out? What’s the background of their senior team? Even if the agency doesn’t shout about one service or sector more than another, check out who their largest customers are to get some clues.

2

Bear in mind the London premiumThough London’s a creative hub, it’s not the only place where innovative marketing is done. London-based offices (and thus rates) do come at a premium, so why not look further afield? Check out The Drum / RAR Top 100 list of agencies outside the M25 for guidance

4 ondon

Beware of fixed pricesTempting as it is to agree a fixed price

for campaigns, this isn’t the best way to drive strong agency relationships. Before

you start negotiations, understand all the payment structures agencies use so you can choose the one that works

best for your business. Many of the industry associations have remuneration

guidelines; you can check out BMC’s here

Check if the right people are used for the right jobsTo complicate things more, it’s normal (and economically prudent) for agencies to use several people on a single project. For example, a simple job like a brochure design may get kicked off by a senior designer or an art director to create a style, while a mid-weight designer will layout all the text and images and a junior designer or artworker may pick up any amendments.

This may sound expensive – but actually it’s about making sure the right person is assigned to each task, ultimately saving you from paying high rates for simple jobs. Talk to your agency about which team members will be working on your campaigns.

8

Consider the financial value of good chemistry It’s difficult to put a price on ‘chemistry’,

but there’s no doubt the best work comes from solid client-agency relationships.

‘Best’ doesn’t just mean ‘most creative’ – it also means the campaign returned on investment and went smoothly. Multiple

amendment phases and changes add up, so teams that work together closely

save businesses money – that’s the value of ‘chemistry’.

9I was

thinking the same thing!

Remember: not all that glitters is gold Beware of the agency that appears to have awards for everything. Whilst award-winning work is great, a good place to look is the Recommended Agency Register (RAR), which are the only sector awards based entirely on client ratings. There’s not a panel, judge or brown envelope in sight!

10

Encourage transparency from the start

Unlike purchases with defined specifications, idea creation has no boundaries. Sometimes,

coming up with a genius idea doesn’t take long at all, but at other times it takes a

roomful of the most experienced (and highest paid!) people weeks to plan a great campaign.

Obviously this unpredictability is a nightmare from a cost control perspective! Don’t worry,

all good agencies live and breathe ‘utilisation’ and use timesheet software like Traffic or

Synergist for visibility of time spent on every job. Work together to understand the ‘actual’

timings so you can plan budgets together.

7£35/hr

Decide which type of agency works best for you

There are two main types of agencies: those owned and operated by ‘network’

groups (large organisations like WPP) and those which are independently run.

For a global presence and access to large teams in multiple offices who can deal with huge capacity, the network route is likely to

be best for you. However, if you’re looking to be a big fish in a small pond, you might be better off with an independent agency.

Check out The Drum’s overview of top independent agencies

3

Prepare for the pitch process If you’ve never coordinated a tender

for a creative agency before, there are plenty of white papers that can help you

make the most of your pitch process. Most agencies pitch regularly so should

be happy to share their insights.

Don’t be surprised if some agencies turn down the opportunity to pitch – it

could be that your campaign doesn’t fit their skill set or that your budget is below their pitch threshold. If you feel

you are turned down quite often, ask agencies for their feedback to see how

you can adjust your approach.

1Aenean eu leo

quam. Pellen

esque ornare sem

lacinia

quam

venenatis vestib

ulum. Integer posu-

ere erat a

ante

venenatis

dapibus

posuere

velit aliquet.

Nullam id dolor id

nibh ultric

Get the correct rateThe ‘rate card’ (the agencies hourly rates by person / job role) is often the easiest place to start negotiations, but be cautious. Sometimes a lower hourly rate means there are other hidden costs, or simply more hours will be charged. Research the latest market rates so you have solid comparisons. For B2B marketing, you can find regional rate benchmarks here

6 £25 £75£120

??