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  • Digg it UP - DIY Marketing Budget -Part III: Why to Pay Agencies a Fee

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    difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from
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    By now, you’ve read about estimating media costs in Part I and setting accurate expectations for production costs in Part II. Now it’s time to tackle the notion of paying an advertising agency for its time.

    Agency fees can be a confusing concept for clients who are new at building budgets. Many agencies charge their time separately from hard costs. It used to be that agencies worked on media commissions. They would charge companies the “rate card” rate for media, and then keep as their fee the difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from

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    Now it’s time to tackle the notion of paying an advertising agency for its time.

    Agency fees can be a confusing concept for clients who are new at building budgets. Many agencies charge their time separately from hard costs. It used to be that agencies worked on media commissions. They would charge companies the “rate card” rate for media, and then keep as their fee the difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from

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    for clients who are new at building budgets. Many agencies charge their time separately from hard costs. It used to be that agencies worked on media commissions. They would charge companies the “rate card” rate for media, and then keep as their fee the difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from
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    encies worked on media commissions. They would charge companies the “rate card” rate for media, and then keep as their fee the difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from
    10 Reasons Why You Need A Marketing Plan
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    difference between that rate and what they can truly negotiate with media partners. As marketers became more independent from agencies, they wanted to track the real cost of media, and hence separate agency fee contracts were born.

    Some clients scoff at paying an agency a fee above and beyond the work they create. The reality is that a good agency can be your business’ best strategic partner. You can get the thinking of a Big 5 consulting firm for a fraction of the cost. Today’s agencies are more than souped-up design; good agencies will be interested in building your business, and have ideas for you that extend way

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