When looking for PR help, it's natural to want to know how we charge.
In this post, we're going to explain how do PR agencies charge and explain about our pricing model too.
[Take a look at our video explainer, or check out the infographic posted on our Pinterest (www.pinterest.com/EightPublicRelations or skip to the end of this post]
First off, there's no hard and fast answer because there are various factors to consider, like project scope, complexity and resource needs and what's best for you, the client.
There are, however, common pricing models:
- Hourly: Fees are charged based on the price of one hour of work.
- Blended: Fees charged based on averaging the value of one hour of work completed by each team member.
- Project Based: This model charges the client a flat fee for a specific project or set of deliverables.
- Value Based: This is when clients are charged based on the value of the services provided.
For example, if the agency helps the client generate revenue, they may charge a percentage of that revenue. - Agile Billing: This enables clients to make payments for services as they are provided, rather than paying a lump sum at the start of the project. It can be a useful addition to value based billing, where the project is priced, and agile billing is employed for each service delivery or milestone accomplished.
- Performance Based: This model charges the client based on the results achieved. For example, the agency may charge a fee for each media mention.
- Ad hoc: Used for one-off jobs like a press release or an interview.
- Retainer: This is an agreed sum paid monthly and usually for a one year fixed term. Services delivered outside the agreement are then charged on an ad hoc or project basis with the agreement of the client.
Expenses
Apart from fees, we also charge for expenses consumed in the execution of that work.
Here are some common methods:
1. Direct Costs: Clients are charged for items such as taxi fares, photocopying, and other incidentals.
2. Service Charge: A percentage markup is added to expenses incurred on behalf of the client, such as third-party purchases or contracted services.
3. Agency Handling Fee: An agency handling fee is a percentage markup that are added to expenses incurred on behalf of the client.
This is rooted in how ad agencies calculate advertising commissions.
4. Flat Fee: This is charged for expenses regardless of how much is spent.
How Does Eight PR Charge?
We use a fee+ model, ensuring transparency and flexibility in our pricing structure for public relations.
Under this approach, we offer clients the option to be charged based on a retainer, project, or on an ad hoc basis. We can charge by the hour if preferred or in special circumstances.
The '+' comes from expenses being added on top with supporting receipts.
We also have an agency handling fee for third party services like venue rental, event expenses and others.
This flexible model allows us to tailor our services to the specific needs and budgets of clients.
We always provide a detailed quote outlining the scope of work, which requires confirmation in writing before any work begins.
In this way, we are fully transparent.
Ask us anything.
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Eight PR specializes in Law PR, Technology PR and Wealth Management PR helping clients to stand out from the competition.
From media relations to content development, corporate reputation management to thought leadership programmes, and digital communications, we’ve got you covered. Our goal is simple: to empower your business with all things PR and help you achieve your goals.
Find us at eight@eightpr.com or call Tel: +852 9186 2984