WHY DELIVERABLE BASED PRICING ?
Fair pricing and efficient delivery.
Means agencies can attract and retain the best talent.
BUY ROLES & TIME
Static
Annual scope of work.
Retainer-based agreements.
Ad hoc and lengthy.
SOW process and fee
negotiations.
Inflexible and unrelated.
SOW rarely referred to post-
approval. Unrelated to reality.
Hard to measure.
Unclear SLAs and no clear link
to ROI.
REWARDS INEFFICIENCY
BUY DELIVERABLES
Dynamic. Agile
Annual SOW and project work.
Output-based agreements.
Defined process.
Agency resources negotiated
and in place quickly.
Flexible and nimble.
Quick SOW process.
Faster go to market.
Measurable value.
Defined pricing, clear
deliverables, KPIs and timing.
REWARDS EFFICIENCY
Today
BUY ROLES & TIME
Static
Annual scope of work.
Retainer-based agreements.
Ad hoc and lengthy.
SOW process and fee
negotiations.
Inflexible and unrelated.
SOW rarely referred to post-
approval. Unrelated to reality.
Hard to measure.
Unclear SLAs and no clear link to ROI.
REWARDS INEFFICIENCY
Tomorrow
BUY DELIVERABLES
Dynamic. Agil
Annual SOW and project work. Output-based agreements.
Defined process.
Agency resources negotiated
and in place quickly.
Flexible and nimble.
Quick SOW process.
Faster go to market.
Measurable value.
Defined pricing, clear
deliverables, KPIs and timing.
REWARDS EFFICIENCY
For decades, agency talent has been sold byway of time-based fees. That talent delivers tasks – and those tasks are deliverables.
SCOPE creates a link between what’s being delivered by an agency and the fee being charged. It helps advertisers and agencies to swiftly transition to a deliverable-based pricing (DBP) model.
DBP rewards agencies for the value of the work they deliver and the results that work contributes towards.
It keeps both parties focused on the outcome rather than on labour-based negotiations that have no direct connection with what work is being delivered.