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What agencies get wrong with pricing

Marcel Petitpas of Parakeeto joins Chip Griffin of SAGA to talk about how agencies price their services — and what they’re doing wrong.

The pair take aim at some of the bad advice being offered to agency leaders and offer alternative ways of looking at pricing.

Marcel and Chip argue that you need to focus on minimum profitability for the work that you do and set your baseline price accordingly. From there, you have the ability to factor in risk and value to arrive at the correct price for your services.

As you calculate the metrics you use to set your pricing, Marcel and Chip also warn about the misuse of common industry benchmarks and how you can avoid the pitfalls that they have seen in their consulting work with agency leaders.

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