Win Without Pitching is the business development consulting firm for ad agencies and design firms that believe there is a better way to build a marketing communication agency. |
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Free Thinking is Not Just Free CreativeMany of us weigh the free-pitching problem and feel proud that it does not affect us. “We don’t do speculative (spec) creative.” But our designs are merely the application of our strategy; and our strategy, when arrived at responsibly, is rooted in a thorough diagnosis. Each of the phases that precedes design or any other application work has a value at least as high as the application. Like creative, this thinking that precedes it should not be given away for free.
The line that separates proving our ability to solve the client’s problem from actually solving his problem begins at the diagnosis. We correctly collect preliminary diagnostic information in the buying cycle in order to assess the client’s situation and make a determination of our ability to help. But we should not progress so far as to share our diagnosis with the client before we are hired and appropriately paid. Beyond that, we certainly should not be prescribing strategy without proper diagnosis and compensation. Free pitching is free thinking, period.
Once HiredOur need to not begin work without appropriate compensation does not end once the client commits to working with us. The transition from intent prospect to new client takes place through a series of steps, each an escalation in his commitment. While we do not doubt his word when he speaks it, we must remember that he is not fully committed until he has parted with his money. Every client reserves the right to change his mind until he parts with his money.
The escalation of commitment begins with a private one, when he says to himself, “I’m going to do this.” From there he moves to shared commitment when he says aloud to us, “Let’s do this.” He then further escalates his commitment by signing his name to a legal document, be it a contract, letter of intent or memorandum of understanding. But even now he is not truly committed. It is not until he has parted with his money that he is fully committed to moving forward with us; and even then we will still have to reassure him through the inevitable period of buyer’s remorse.
We must recognize this escalation of commitment as a natural series of steps, and simply ensure that we do not begin to solve the client’s problem until he has completed all of them, the most important being the last: payment. One third to one half of the fee portion of the engagement is appropriate, or even the entire fee for the first phase in a phased engagement.
There is no need for us to be tentative about stating our requirement for a deposit before we begin working for the client. We simply say, “We’ll get started as soon as we receive the deposit, as is our policy for all new clients.” We need not apologize for being responsible business people. Never again should we find ourselves attempting to clarify issues of payment after we have begun working on the engagement. This is the simplest of business tests, one for which there is no longer any excuse to fail: for all new clients, we will be paid in advance.
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