Recent research by the WFA and The Observatory International reveals that major advertisers continue to perceive value in their agency partnerships as of 2022. The Global Agency Remuneration Trends shows a 5% uptick since 2018 in those strongly affirming they receive value for money from their agencies. However, there's increased scepticism surrounding media agencies, with some clients questioning their innovative capability.
The survey, drawing from 200 senior executives overseeing a combined annual ad spend exceeding $136 billion, highlights an evolving payment landscape. Payment models now lean more towards labour and performance metrics, while full-time equivalent (FTE) approaches see a decline.
Interestingly, agencies that hit targets in areas like diversity, sustainability, and talent might enjoy more generous remuneration. Advertisers exhibit willingness to pay premiums for standout agencies: 64% for diversity, 71% for sustainability, and an impressive 85% for top talent.