New York—Fees are the dominant form of agency compensation, with 57% of marketers using that payment method, according to the Association of National Advertisers' “Global Agency Compensation Survey.”
The study was based on an online survey of 71 b-to-b and b-to-c marketers in about 40 countries conducted in February and March.
According to the survey, 37% of marketers said they use commissions in combination with fees in compensating their agencies, although no respondents said they use commissions only.
The survey also found that 49% of marketers use performance-based incentives as a form of compensation.
Three-quarters of agencies said corporate procurement departments are significantly involved in managing and negotiating agency compensation.