Brand Agency Rates (And Why They Mean Absolutely Nothing to You)
Pricing in creative services is tricky. Hourly or daily rates often tell clients very little about the true value of a brand agency’s work. Clients aren’t buying hours — they’re buying results.
Here’s why traditional rates often miss the mark, and how value-based pricing makes more sense.
1. Hourly Rates Don’t Communicate Value
I once asked plumbers how much it would cost to fix a dripping tap. Their answers were vague: £90 call-out, £90/hour, plus parts — but no certainty on time or total cost.
Hourly rates are like this in branding too: they reflect agency self-worth, not the client’s gain. What clients care about is the result, not how long it takes to achieve it.
“Clients aren’t buying hours — they’re buying results.”
2. Creativity Can’t Be Measured in Hours
Branding isn’t linear. It involves:
- Exploration
- Dead ends
- Iteration
- Refinement
Some “thinking hours” produce huge breakthroughs, others less so. Billing purely by time ignores the value of insight, strategy, and creative thinking.
Related Q&A: How much does branding cost?
3. “Doing” vs “Thinking” Hours
- Doing hours: Tasks like preparing files or implementing designs. Easy to quantify.
- Thinking hours: Strategic planning, concept development, and creative exploration. Hard to quantify but often more valuable.
Clients benefit most from the thinking hours, yet agencies are usually constrained by time-based billing.
“Some thinking hours produce huge breakthroughs, others less so.”
4. Agree on Value, Not Hours
Instead of quoting hourly rates, I focus on the value of the result:
- What outcome is the client buying?
- What problem is being solved?
- How much do they value a strong, effective brand?
“The client can relax and trust the agency to deliver a worthy result without worrying about the clock.”
5. The Modern Approach
Many creatives, illustrators, and photographers now price based on usage and value rather than time spent. Brand agencies are slowly adopting this model. The shift:
- No fixed hourly rates
- Transparent value agreements
- Focus on delivering measurable results
The client can relax and trust the agency to deliver a worthy result without worrying about the clock.
6. Key Takeaways
- Hourly rates validate the agency, not the client’s benefit.
- Creative work is largely intangible; thinking time drives value.
- Agreeing on the value of results, not hours, creates a win-win.
- Pricing should reflect impact, not time spent.
Related Q&A: Can branding make a difference for a small business?