Protect Your Agency While Keeping Clients Happy

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678902_contract_3 Is your agency experiencing the so-called "necessary paranoia" that is raging through the industry? A recent Adweek article explores the catch-22 that many advertising professionals are facing: Protect the business but risk angering clients over changing pricing structure or other safeguards. Some agencies are asking for up-front payments, while others are changing the language in contracts to ensure protection if a client goes bankrupt. A CEO of a New York agency is quoted as saying, "Before, if you had a great, long-standing client, and they said, 'You'll get paid in a week, but we need to start the job now,' you would extend the credit as a courtesy. Now, that's not the case. You cannot afford to make any exceptions. It's a necessary paranoia with which we need to manage our business." Necessary or not, industry professionals are urging shops to tread carefully and avoid alienating clients or scaring away prospects. Read the article in its entirety here.

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May 20, 2009 Newsroom Tags: