Re: Instituting rush charge for ad agency

"Mike Turco" <[EMAIL PROTECTED]> wrote:
> "Scott T. Jensen" <[EMAIL PROTECTED]> wrote:
> > "Jeremy Brett" <[EMAIL PROTECTED]> wrote:
> > > Any advice would be greatly appreciated.
> >
> > Different regions have different fee standards.  What I suggest
> > is that you have a friend go around to all your competitors and
> > get their rate cards.  On these cards, there should be their rush
> > rate.  Then see what might be a reasonable and competitive
> > rush rate for your region.
>
> Interesting. Price based compaction? I really don't think it is
> necessary in this case, regardless of the argument one might
> make in regards to being competitive, in general, with one's
> overall pricing scheme. It is likely that rush jobs like this will
> be brought in by existing customers and if they are in that
> much of a hurry, they aren't going to run around and price
> shop.

Not the first time, but if the sticker shock is too much, they will ask
around.  Many advertisers feel that advertising firms have them by the short
hairs at these times.  If they find out that you're charging way above your
region's average, you'll lose clients.  If you charge less, they'll feel
like they're getting the better end of the deal.  If they find out you're
charging the average, they won't at least feel taken advantage of.

Also, there should be NO area of your business that you don't do competition
analysis on.

Scott Jensen
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