Retainer vs Ad Hoc | Institution Marketing

Retainer vs Ad Hoc | Institution Marketing

December 2, 2019 0 By Kody Olson


Okay we have two different types of
customer who tend to come to us. They are either retainer based clients or they
are ad-hoc clients. Now saying that someone is an ad-hoc client doesn’t
entirely mean there’s just someone who comes to us one-off and then disappears
again. Ad-hoc clients tend to be the smaller
companies who have smaller needs. So they may need business cards every once in a
while, they might need flyers, they might need little bits and pieces for events and
stuff like that. Now the retainer clients, they tend to be the bigger clients that
come to us on a regular basis. Now it doesn’t make any sense for them to be on
an ad-hoc rate card because then the cost would be absolutely astronomical
for everything that they need to do. So what we do is if we’re putting someone
on a retainer, it’s a not a project cost anymore it’s an ongoing cost. So it’s a
monthly cost split over years. So the way that we look at that is we say, well how
many people are involved in that project at any given time? How many people are
going to be working on the administration and the account
management side of things? How many people are gonna be going out and
distributing bits and pieces? How many people are going to be out on logistical
stuff like shooting and filming? All that. So we work all that out, over the course
of a year we break that down into a monthly cost. It is lower than what it would
cost if it was on Ad-hoc.