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Lack of Trust in Advertising Industry Drives Business Leaders Irrational

Lack of trust in the advertising industry is driving small to medium size companies to build in-house marketing and advertising teams, while le

aving good offers on the table.

How much does it cost to hire a team of ad specialists to do your advertising? And is it worth it for small to medium size companies to hire an in-house specialized advertising team? These are questions that small to medium size business leaders often struggle with.

What’s wrong with the digital agency business model?

The current model encourages digital agencies to determine pricing according to the client’s ability to spend. In some cases, the variation in quotes is subtle, relaying on various hourly rates and/or time required for project completion.

In other cases, agencies still charge a percentage of the media budget, sometimes in addition to the hourly management rate. And what makes it possible is an entire industry that is benefiting from refusing to move to fixed pricing models.

How is this hurting companies looking to hire advertising agencies?

While small and medium size companies are craving consistency and a fair game for all, companies with large ad spends are forced to bid goodbye to huge sums of money equal to as much as 9-13% of their media buying budgets. No surprise companies rush to build their own marketing and advertising teams in house.

However, these advertising teams are often under-qualified and the overall cost of holding such teams in-house ends up costing these companies more in training, mistakes, or in waste resulting from improper campaign management.

There is a Solution.

The inevitable solution is creating a fair game by standardizing the advertising industry with fixed prices across transparent processes and clear deliverables. Is it possible to change an entire industry? Some are skeptics, but others believe that if change has reached other business services such as accounting and IT, advertising is next.

At DigitalPM, we are starting to drive this change by being the change we want to see in the industry. We call other advertising agencies to follow, and advertisers to vote with your wallets.

About DigitalPM

DigitalPM is a fast growing digital advertising agency offering result-focused, data-driven, highly targeted digital advertising services. DigitalPM is known for advocating for industry standardization though fixed prices across ad spends, transparent processes, and clear, predetermined deliverables.

Our mission is to simplify the digital advertising process by offering polished and transparent project management and campaign development experience that exceed expectations and deliver results through a tested approach and proven results. We began with one goal in mind – to help businesses grow utilizing industry best practices and resources available to industry giants.

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2018 © DigitalPM All Rights Reserved  •  Privacy Policy

contact@digpm.com    (415) 952-3642

contact@digpm.com    (415) 952-3642