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	<title>Comments on: Managing profitability &amp; choose the right billing method</title>
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		<title>By: Coca-Cola rewards agencies for truly innovative work - Digital Nation</title>
		<link>http://digital-nation.com.au/business-strategy/managing-profitability-choose-the-right-billing-method/#comment-431</link>
		<dc:creator>Coca-Cola rewards agencies for truly innovative work - Digital Nation</dc:creator>
		<pubDate>Tue, 13 May 2014 22:13:53 +0000</pubDate>
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		<description><![CDATA[[...] I wrote about similar programs with local digital agencies in this post on choosing the right billing method. [...]]]></description>
		<content:encoded><![CDATA[<p>[...] I wrote about similar programs with local digital agencies in this post on choosing the right billing method. [...]</p>
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		<title>By: Matt Arthur</title>
		<link>http://digital-nation.com.au/business-strategy/managing-profitability-choose-the-right-billing-method/#comment-223</link>
		<dc:creator>Matt Arthur</dc:creator>
		<pubDate>Thu, 29 Nov 2012 23:21:12 +0000</pubDate>
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		<description><![CDATA[Thanks for this well rounded look at billing options Claudia. Its an ongoing challenge getting the right match between agency fees and the value of the services being delivered for each client&#039;s business. I prefer using value as the lever for working out fees than performance. I love the idea of a value based arrangement where you sit down with your client and work out what the potential value of a project is for their business and then agree on a percentage. Both parties then assume equal risk and if the value for the client turns out to be greater than expected its happy days for them. The difficulty is that unless the relationship is a very strong one and a high level of trust is established, most clients want the agency to assume all the risk and to do so for a fixed price.]]></description>
		<content:encoded><![CDATA[<p>Thanks for this well rounded look at billing options Claudia. Its an ongoing challenge getting the right match between agency fees and the value of the services being delivered for each client&#8217;s business. I prefer using value as the lever for working out fees than performance. I love the idea of a value based arrangement where you sit down with your client and work out what the potential value of a project is for their business and then agree on a percentage. Both parties then assume equal risk and if the value for the client turns out to be greater than expected its happy days for them. The difficulty is that unless the relationship is a very strong one and a high level of trust is established, most clients want the agency to assume all the risk and to do so for a fixed price.</p>
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