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How agencies charge: common fee models
Fee modelHow it worksBest forRisk to manage
RetainerFixed monthly fee for an agreed scopeOngoing work: social media, brand supportScope drifts unless defined in hours or outputs
Project feeFixed price for a defined projectCampaigns, websites, one-off launchesChanges outside scope cost extra
Hourly or day rateYou pay for time actually spentUnpredictable or advisory workHarder to budget in advance
Media commissionPercentage of the media budget placedLarge paid media budgetsCan reward spending more, not better
Performance-based feePart of the fee depends on agreed resultsMeasurable goals such as leads or salesAgency must control enough of the drivers
Fee modelHow it worksBest forRisk to manage
RetainerFixed monthly fee for an agreed scopeOngoing work: social media, brand supportScope drifts unless defined in hours or outputs
Project feeFixed price for a defined projectCampaigns, websites, one-off launchesChanges outside scope cost extra
Hourly or day rateYou pay for time actually spentUnpredictable or advisory workHarder to budget in advance
Media commissionPercentage of the media budget placedLarge paid media budgetsCan reward spending more, not better
Performance-based feePart of the fee depends on agreed resultsMeasurable goals such as leads or salesAgency must control enough of the drivers

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