Payment By Results
Reynolds & Fyshe is proud to have authored the industry ‘best practice’ on incentive compensation Payment by Result 2, a report published by the ICA.
Payment By Results (PBR) is an incentive-based agency evaluation and remuneration system that links agency compensation to mutually agreed performance standards.
PBR Incentive compensation models are increasingly popular and an effective way to engage both client and agency in keeping their efforts focused on results.
Reynolds & Fyshe has a defined agency performance measurement system that can tie to agency compensation in a number of ways, adding increased accountability in key areas of performance.
- PBR is means of aligning objectives and forging closer partnerships by increasing the agency’s role as a partner by becoming more conscious of the Client’s commercial realities.
- Clients are initiating PBR more than agencies: PBR is a natural extension of the drive to become more effective in determining cost-value relationships in all areas of operations.
- PBR creates a Win-Win scenario- both parties benefit when the agency achieves full PBR potential.
- PBR has been associated with facilitating better advertising, increased sales, better service and improved relationships.
- Currently about 25% of Client/Agency relationships use a form of Payment by Results in their compensations structures.