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Is Performance Based Pricing a Disaster or Game Changer?
The pro of this model is its potential for scalability. If the company has a great product and service, there is almost infinite room to grow plus you can work with fewer clients and still get paid a lot more.
However, the downside is that you might face a high churn rate. Some clients may want to cancel after six months or they might not see the value and decide they don't want to pay anymore in a performance-based model you can work with just one client and build a million-pound Agency if it's the right fit.
Conversely, you heavily rely on that company to close deals and drive business. You are dependent on their sales processes and infrastructure, which means it's vital to choose the right clients.
*AGENCY OWNERS* - Want to scale up, grow your agency and get more leads - Go here 👉 https://onebasemedia.gumroad.com/l/onebasemedia
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*LOCAL SERVICE BUSINESSES* - Struggling to get leads and customers all year round? - Go here 👉 https://onebasemedia.co.uk/get-local-customers/
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#short #pricingmodels #performancemodel #agencytips
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