How best should you approach advertising agency fee negotiations on matters such as remuneration methodologies, resources, and intellectual property rights?

Have you adopted the most appropriate commercial negotiation strategy and does your strategy allow you to focus on the right issues? How best should you approach advertising agency fee negotiations on matters such as remuneration methodologies, resources, and intellectual property rights? Does your negotiation term sheet take all relevant issues into consideration?

Yardstick provides a comprehensive review, analysis and benchmarking of an agency’s scope of work, resource structures, resource information, fee requests and pre-production/studio costs.  It culminates in the development of term sheets for advertising agency negotiations that are used to prepare clients and their procurement departments for negotiations, the facilitation of the actual negotiations, assistance with the drafting of agency remuneration agreements and the relevant remuneration schedules.

What are the benefits?

  • You’ll have access to our resourcing, financial ratios, and advertising cost benchmarks.
  • Your business will be adequately prepared for contract negotiations.
  • All salient points will be addressed in your negotiations.
  • The correct issues will be addressed during negotiations
  • We will assist you to simplify and speed up negotiations, and contract drafting and finalisation.


Case studies

Negotiations and Contract Development

Following on from a pitch facilitated by Yardstick for the appointment of a research company Yardstick was requested to assist with the negotiation and contracting process.  A draft agreement, based on best practice agreements sourced globally and within South Africa, was developed.  A comprehensive term sheet was then developed to enable negotiations to be concluded and a contract to be issued based on the outcomes of the negotiations.  Through a negotiation process facilitated by Yardstick, negotiations were concluded and the agreement was issued within a very short space of time.  Both client and research company were of the view that the complex process would not have been completed as efficiently as it was had it not been for the rigour and structure brought about by the Yardstick process.