Marketing, Advertising, and PR Firms with Established Brands Receive Higher Hourly Fees by Up to 35%, According to RainToday.com
RainToday.com Releases New Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008.
Framingham, MA, May 04, 2008 --(PR.com)-- The newly released research study from RainToday.com (http://www.raintoday.com) and the Wellesley Hills Group (http://www.whillsgroup.com) titled Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 (http://www.raintoday.com/feesandpricingmarketing.cfm), finds that while brand leaders (25% of responding marketing, advertising, and PR firms) and “not very well-known” firms (75% of responding marketing, advertising, and PR firms) have similar standard / book rates, the hourly rates brand leaders actually get were always higher than their counterparts. The increase by level of professional is as follows:
• Highest-level professionals (CEO, Principal): 33% higher
• Upper-level professionals (VP, New Partner): 13% higher
• Advanced-level professionals (Directors): 4% higher
• Mid-level professionals (Managers, Post-MBA): 20% higher
• Entry-level professionals (Associates): 27% higher
"It's clear the firms that are well-known in their target markets receive higher fees, see their revenue grow, and are more likely to be profitable than firms that are not as well-known in their target markets. This applies not only to getting higher fees, but also getting more opportunities,” said Mike Schultz, Co-President of Wellesley Hills Group Publisher of RainToday.com (http://www.raintoday.com). “We've seen marketing firms struggle to get themselves known in the market. A big reason is this: what you do for clients is often not what you need to do for a professional services firm to become a well-branded market leader."
With 343 respondents in the marketing, advertising, and PR industry, Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 provides the actual hourly dollar fees brand leaders, premium-price firms, and profit leaders receive versus lesser-known firms. Other major findings include:
• 59% of marketing, advertising, and PR firms admit to discounting their fees
• "Anticipated time needed to deliver the work" and "types and levels of professionals" are the most important factors firms consider when pricing marketing, advertising, and PR services
• Fixed fee and value-based pricing are the most common strategies used by premium-price firms (43% report using each of these strategies "most of the time")
• 56% of marketing, advertising, and PR firms use some sort of service guarantee
• "Company improvement" and "experience/reputation (brand)" are the most common factors referenced when asked about the top factors that have influenced a firms' ability to increase their fees
“People want to know about how they compare to others regarding fee structures, pricing approaches and strategies, discounting, and overall pricing challenges,” said John Doerr, Co-President of Wellesley Hills Group. “Knowing how competitors in the industry are pricing their services will help firms be more competitive and more confident in their pricing."
Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 is the second of five industry reports to be released. Forthcoming Fees and Pricing Benchmark Reports will be released for the following industries: Accounting and Financial Services; Law; and Architecture, Engineering, and Construction. The first industry report, Fees and Pricing Benchmark Report: Consulting Industry 2008 is available now.
For additional details about the Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 report, please visit the RainToday website at http://www.raintoday.com/feesandpricingmarketing.cfm.
About RainToday
RainToday.com is the premier online source for insight, advice, and tools for service business rainmakers, marketers and leaders. RainToday.com features the most up-to-date resources including articles by industry experts, how-to-guides and tools, sales and marketing research reports, webinars and events, and a weekly newsletter. For more information, visit http://www.raintoday.com.
About Wellesley Hills Group
The Wellesley Hills Group (http://www.whillsgroup.com) is a management consulting, marketing, and lead generation firm focused on helping professional services firms grow. Wellesley Hills Group publishes RainToday.com (http://www.raintoday.com) to provide a premium source of information for professional services firms and service practitioners to help them market and sell their services.
Contact Information:
Erica Stritch
General Manager
RainToday.com
estritch@raintoday.com.
p. 508-405-0438 ext. 310
f. 508-848-3082
###
• Highest-level professionals (CEO, Principal): 33% higher
• Upper-level professionals (VP, New Partner): 13% higher
• Advanced-level professionals (Directors): 4% higher
• Mid-level professionals (Managers, Post-MBA): 20% higher
• Entry-level professionals (Associates): 27% higher
"It's clear the firms that are well-known in their target markets receive higher fees, see their revenue grow, and are more likely to be profitable than firms that are not as well-known in their target markets. This applies not only to getting higher fees, but also getting more opportunities,” said Mike Schultz, Co-President of Wellesley Hills Group Publisher of RainToday.com (http://www.raintoday.com). “We've seen marketing firms struggle to get themselves known in the market. A big reason is this: what you do for clients is often not what you need to do for a professional services firm to become a well-branded market leader."
With 343 respondents in the marketing, advertising, and PR industry, Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 provides the actual hourly dollar fees brand leaders, premium-price firms, and profit leaders receive versus lesser-known firms. Other major findings include:
• 59% of marketing, advertising, and PR firms admit to discounting their fees
• "Anticipated time needed to deliver the work" and "types and levels of professionals" are the most important factors firms consider when pricing marketing, advertising, and PR services
• Fixed fee and value-based pricing are the most common strategies used by premium-price firms (43% report using each of these strategies "most of the time")
• 56% of marketing, advertising, and PR firms use some sort of service guarantee
• "Company improvement" and "experience/reputation (brand)" are the most common factors referenced when asked about the top factors that have influenced a firms' ability to increase their fees
“People want to know about how they compare to others regarding fee structures, pricing approaches and strategies, discounting, and overall pricing challenges,” said John Doerr, Co-President of Wellesley Hills Group. “Knowing how competitors in the industry are pricing their services will help firms be more competitive and more confident in their pricing."
Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 is the second of five industry reports to be released. Forthcoming Fees and Pricing Benchmark Reports will be released for the following industries: Accounting and Financial Services; Law; and Architecture, Engineering, and Construction. The first industry report, Fees and Pricing Benchmark Report: Consulting Industry 2008 is available now.
For additional details about the Fees and Pricing Benchmark Report: Marketing, Advertising, and PR Industry 2008 report, please visit the RainToday website at http://www.raintoday.com/feesandpricingmarketing.cfm.
About RainToday
RainToday.com is the premier online source for insight, advice, and tools for service business rainmakers, marketers and leaders. RainToday.com features the most up-to-date resources including articles by industry experts, how-to-guides and tools, sales and marketing research reports, webinars and events, and a weekly newsletter. For more information, visit http://www.raintoday.com.
About Wellesley Hills Group
The Wellesley Hills Group (http://www.whillsgroup.com) is a management consulting, marketing, and lead generation firm focused on helping professional services firms grow. Wellesley Hills Group publishes RainToday.com (http://www.raintoday.com) to provide a premium source of information for professional services firms and service practitioners to help them market and sell their services.
Contact Information:
Erica Stritch
General Manager
RainToday.com
estritch@raintoday.com.
p. 508-405-0438 ext. 310
f. 508-848-3082
###
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RainToday.com/Wellesley Hills Group
Laurie Stafinski
508-405-0438
http://www.raintoday.com
Laurie Stafinski
508-405-0438
http://www.raintoday.com
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