If you’ve ever questioned (or indeed been questioned about) the number and type of media resources working on your business, we’ve got some good news for you: Now you can get the answers you’re looking for with absolutely certainty.
Media agency remuneration has historically been based on an estimated – or guessed at – number of resources against defined scopes of services, along with projected media expenditures by channel. And the resulting costs of proposed resources can often raise eyebrows relative to your media investment.
Because expectations and requirements for services aren’t always clear, advertisers can often over or underpay, while agencies either over or underdeliver, creating gaps in quality and questionable client satisfaction.
Well, here’s some good news: Help is at hand.
Our partners at TrinityP3 in Asia have developed a proprietary solution that takes the uncertainty out of media scoping, resourcing and costs.
Introducing Media Metric Unit (MMU)
MediaMetric Unit (MMU) calculations begin by identifying media channel variants (TV, print, radio, mobile and so on) together with the levels of service complexity within each channel. Additional complexity adjustments are input based on relationship circumstances such as significantly de-centralized client-side operations or large numbers of stakeholders, or where there are unique channel circumstances.
Through this calculation, media scopes of service, workloads and FTE drivers can then be rigorously quantified, offering transparency for both clients and agencies on what’s really required for each scope and what fees should be for those services.
The MediaMetric Unit was developed based on two decades of experience in media agency operations across international markets and advertiser industries. Darren Woolley, Global CEO of TrinityP3, adds:
“In a price sensitive media world agencies are often discounting their fees to win business only to have their clients complain about poor servicing and performance. Using the significant data we have we were able to develop an algorithm that calculates media agency resources required taking into consideration the complex and individual needs of each media agency relationship.”
Media agencies are provided with structured templates to help facilitate the development of information to determine MMU values and provide a collaborative format for clients and agencies in scoping their business. Consequently, media agencies participate meaningfully in each diagnosis of media scopes of services and the calculation of relationship workloads.
Marketers or agencies looking to establish the true number of resources and appropriate fees required to support their media requirements, will find the MMU process invaluable when:
- Searching for a new agency during a pitch process
- Your scope of work or media mix changes
- You want to verify existing FTE / fee levels
- There are disputes between you and your agency over staffing / costs
Media Metric Unit analyses can be completed within about a week once scopes of work have been completed and confirmed by both clients and their agencies.
Today’s media has enough uncertainty without scopes of work, FTE calculations or fees being added into the mix. So, if you’d like to take one piece of uncertainty out of the mix – ask us how the MediaMetric Unit can be applied to your business
Stephan Argent is Founder and Principal at Listenmore Inc offering confidential advisory to marketers looking for truly independent insight and advice they can’t find anywhere else. Read more like this on our blog Marketing Unscrewed / follow me @StephanArgent