A couple or so weeks ago, there was a bit of discussion about how to charge clients for social media and other services. Media Guerrilla had some good points. And, even our ol’ buddy, Ms. Strumpette had an opinion.
While those are worthy discussions — and Mike Manuel offered some possibilities, rather than only criticism — I think we should look at client billing another way: How do we communicate the results we achieve for what we charge clients?
David Tebbutt made a comment in this direction on the Strumpette blog.
What our clients are paying us for are results, not hourly work and supplier costs.
They are paying us to get them positive media coverage.
They are paying us to pursuade customers, prospects and other key influencers.
They are paying us to lay the foundation for their sales personnel.
They are paying us to counsel them and implement sound strategy in times of crisis.
They are paying us to keep their employees informed, educated and aware of their news and information.
The process to accomplish the above and other services doesn’t really matter . . . as long as it’s done ethically, honestly and cost effectively.
Ethically and honestly are pretty much cut and dry, with only a few gray areas.
Cost effectively depends on the results achieved. If we achieve or exceed the client-desired results and those results out-benefit the costs, the project was done cost effectively.
So, communicating those results to clients — at least the results we can control — is our responsibility. That is done by on-going and regular project and campaign reports. Not billing reports, but actions taken and the results: 10 stories in targeted media with a circulation totaling 1 million people. Improvement in the perception of the company by its market. More employees involved in the company. Increase in traffic generated to Web sites. Increase in sales leads (such as the “bingo cards.” And, yes, I know those are dinosaurs, but still often used.).
Actual sales from our work is definitely another area to measure. However, from my experience, that’s an area that requires a good deal of open communication between client and agency.
At the end of the day, it’s about giving our clients value — as they perceive and require it — for the money they pay us. Otherwise, clients will take our services in house or to another agency.
– Mike
Technorati tags: public relations, PR
