Advertising Agency Remuneration Practices: An International Viewpoint

Changing remuneration practices and methods are issues that advertising agencies are facing. Fixed commission of around 15 per cent was the traditional practice but fee or cost‐based methods are becoming more common. The article investigates the prevalent advertising agency remuneration patterns in various countries; the frequency of their use, the initiators of policy change (wherever it has occurred) including the role of governments, and finally, trends in agency compensation.