A process lacking systematic thoughts represents callousness. We can draw a parallel here when it comes to agencies and marketers.
The ideas that are not thought through may take a toll on agencies. They often end up treating agencies poorly and disposable. Marketers often expect unreasonable discounts, free services, and extended payment terms that serve them more. Additionally, they complain about the lack of professional relationships and how it falls apart in the end.
This unreasonable exchange between the agencies and marketers grows tougher day by day. Yet, both of them tend to hold their ground. For agencies, they need to offer their services and resources in hopes of gaining profits. In cases like these, agencies often struggle to stay afloat and try to squeeze in as many little resources as possible.
Here is what may happen as a result of unreasonable expectations.
Any agency has a set amount of expected profit with the right staff. The staff is hired based on requirements and the services they may provide in multiple ways. If there is significant cost-cutting, the agency may pull resources from the business in the form of internal compensation.
We all know that a senior employee will come at a higher price than someone who lacks experience. Therefore, agencies usually choose to employ younger, less experienced resources to substitute the experienced seniors. These work in their favor as less experienced resources are not as pricey. Unfortunately, this may lead to a lack of experience in work, and a marketer may complain of juniors in resources.
The agency with fewer and junior resources is likely to put pressure to get work done. As a result, the employees will feel extreme burnout too soon. It leads to less creativity, less work, and difficulty in working in harmony. Any team that feels burnout will not be able to deliver as much. An agency may believe putting pressure will result in more work; however, the human resource requires recuperation to function well.
Your agency may be on the verge of quitting or have already called it quits. It may go against their plan; however, staying afloat may not be possible for everyone. It may become more time-consuming and expensive with the lack of profits. Even if an agency decides to fight the tide, it may not see profits any time soon.
Unprepared For the Extra Cost
There will additionally cost estimates in case of change in orders, new budgets, and invoices for a service. This is due to the cost cuts and delays in payments for services that may not have been a part of the plan. The total cost may result in a higher number proving the cost-cutting ineffective.
Unpleasant Year-End Surprise
You may get the accomplishment of initial cost-cutting and reduction in fees along with extended payment at your terms. But, an agency may serve you with higher year-end itemized bills. The people who are already overworked will be keeping track of every single thing they may do. Moreover, they will have information on the exact costs of additional services.
Part of a bigger problem
You may not even consider this an enormous thing initially; however, the global marketers’ community is limited. Eventually, you will see how you play an active role in the problem. You may think like a customer, you have armor, and no one will come for you. But think again! You may soon realize being a cheap client may cost you in more ways than you can comprehend.
While an agency may put up a brave face and make you understand how unacceptable and unethical your business terms are. Cheap marketers will no longer be in a position to ask for favors. Even if you feel your brand is well-settled and has made a name for itself, it will never be enough for any agency to compromise on fair profits.
Agencies simply expect you to be fair for them to work with you. Is it that difficult?
There is a saying that goes “you get the agency you deserve” to make sure to maintain good client relationships we recommend you our ebook “The Ultimate Guide to Finding and Hiring an Agency” which also mentions how to keep a clear vision of the collaboration.