ad agency time sheets

Posted on April 20, 2016 by Adrian

Trust and transparency in client-agency relationships

From the perspective of any marketing contract compliance auditor, the results of the ID Comms 2016 Transparency Survey are music to their ears.  For Financial Progression, the results mirror exactly the ethos on which the business was established: namely that the more brands understand the financial realities and business models of agencies, the more readily Read More

Posted on December 23, 2013 by Adrian

Is the top agency talent working on your business? Or on someone else’s?

When you change the agency’s fee structure, how do you know you’re still getting the same quality of staff on your account? In conversation with the Marketing Procurement Manager at one of our long-standing clients, it became apparent that the Head of Media had recently left the business. This meant that, for the first time, Read More

Posted on December 2, 2013 by Adrian

‘Audit my agency? Dare I even look?’

With agency relationships, a golden rule is: If you’re not checking, you can’t know what’s actually going on. A large FMCG approached us after having a number of conversations about costs with one of its agencies, which simply did not seem to make sense. As a result it started to wonder whether it was being Read More

Posted on November 25, 2013 by Adrian

‘Sorry, our contract says you can’t see that.’

If there are more words governing audit rights than in the rest of the commercial agreement, it’s worth asking why. We were approached by a global retailer who wanted reassurance that its multi-million pound annual contract with its lead creative agency in the UK had been implemented as written. Following our initial review of the Read More

Posted on November 11, 2013 by Adrian

How accurate are your agency’s time sheets? Do you really know?

We all know that most agencies use time sheets to support the fees charged to their clients. How accurate are they, though? I recently had a very interesting conversation with a Marketing Director who had worked at an agency earlier in his career. The Marketing Director told me that he never trusted the time sheets Read More

Posted on October 9, 2012 by Adrian

How exactly do marketing agencies make money?

Like many businesses providing services, marketing agencies make money by selling the time of their people. Take a fully-loaded salary cost and mark it up by an amount sufficient to cover overheads and make an economic profit. The more of an individual’s time that can be billed to clients, the more money the agency makes and Read More

Posted on September 2, 2012 by Adrian

Hide and seek: The game of audit clauses in agency contracts

When you’ve audited as many commercial marketing contracts as we have, it would be fair to say that we’ve seen a very wide range of audit clauses — from nothing through to documents which are separate to the main commercial contract, and are even longer and more detailed! A good audit clause should allow a Read More