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Issue 123, 25/8/10
In this Issue
In Other News Visit TrinityP3's download page for a copy of our brochure and our new Introducing TrinityP3 PPT presentation. Pass it on Know anyone who might be interested in our newsletter? Click here to forward this newsletter. |
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Welcome to the August edition of TrinityP3's e-newsletter. Here we bring you updates on the people, purpose and processes that are important to the marketing industry. Have a question? Just ask us, we'd be happy to help. 
In the past year we have noticed agencies putting forward remuneration proposals that provide senior agency resources at significantly discounted prices - FREE! It is seen as a discount. But experience shows that often the resources you don't pay for, you don't get. Very recently an agency proposed 15% of a Managing Director (yes, the MD should be in the retainer) and 30% of the Head of Strategy at no cost. Now, getting something for nothing is a powerful offer. But how is the marketer going to make sure they get the benefit of this offer? Let's looks at the agency offering in more detail: Continue reading Nothing gets you nothing with agency compensation Agency Title Promotion - a New Trend? 
Ever thought about how 'title promotion' impacts your retainers and fees? Imagine this: a graduate lands his first job in an ad agency. He starts on $32,000 with the title of Account Manager. Within 12 months he gets promoted to Senior Account Manager and an $8,000 extra per annum. Ten months later, another promotion to Account Director and $8,000 rise, and then 9 months later another promotion to Senior Account Director with another $12,000 a year pay rise. Total salary now is $60,000 per annum. He is either the most talented Account Management practitioner in the industry or the luckiest. Believe me, we have seen this happen, and it's called "Title Promotion". The fact is that with agencies often using industry salary rates, a few agencies have found a way to increase their revenue without increasing their costs. But this is not wide spread - yet. You see, while our Senior Account Director is getting paid $60,000 per annum, the agency is billing them out at $120,000 per annum. Then add a 2.2 overhead and profit multiple and the Senior Account Director is a $264,000 revenue source at a cost of $60,000 per annum in direct salary costs. Continue reading Agency title promotion and the impact on retainers and fees Woolley Workshop at Spikes Asia 
Darren Woolley is presenting a Workshop at Spikes Asia: 2pm, Tues 21 September 2010 Is Creativity Valued? Much is discussed about the importance of "creativity" by both advertisers and their agencies. Many creative awards focus on recognising and rewarding creativity in various categories, disciplines, media and channels. But with so much attention and focus on the importance of creativity, how does the industry value this precious commodity? Spikes Asia 
In the past month at TrinityP3 we have: If you would like assistance or advice on any aspect of your marketing spend, contact us today for a confidential discussion. |
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