The Gunter Agency is only accepting new clients working with a pay-for-performance (P4P) structure. (To our knowledge, we’re the only agency in the world that only accepts P4P. At the same time there are certainly a lot of ad agencies out there, so it is possible there may be another agency that is working this way and we’re just not aware of it.)
So what is pay-for-performance?
Typical ad agencies charge their clients by set fees for services or hourly rates. This means that the client pays for the work done, regardless of whether the work is any good or whether the work performs as expected.
Pay-for-performance means the agency gets paid when certain criteria is met, typically based on sales or lead generation.
We realize that this isn’t for everyone. In fact, very few companies will be able to work this way. It is really designed for small manufacturers that don’t have their own in-house teams, where we become their de facto sales and marketing department. (See also Sugar River Marketing below on how we can also provide warehousing and shipping for these types of companies.)
Still, it isn’t limited to just manufacturing businesses. For instance we are working with a financial services company generating leads for them.
Every company will be different, so there is no set model on how this is set up. We would customize a P4P scenario for companies that are interested. Plus, and this is important, we are going to be very picky on the companies we work with. Unlike a lot of agencies that give lip-service about partnering with their clients, this approach really means there is a true partnering approach. (And in some cases we are literally creating a partnership where there is equity in the business.) The overused cliché of “we’re not successful unless you are successful” takes on a whole new meaning because we don’t get paid unless we perform. So we are looking for companies where we can make a big impact and both of our companies benefit.
Sugar River Marketing
Sugar River Marketing is a joint venture between the Gunter Agency and Sugar River Trading Company. This takes the pay-per-performance model one step further in that we can offer warehousing, shipping, retail and wholesale sales. Sugar River Trading Company is the exclusive licensee/manufacturer of McNess* home products and has 400 resellers across the United States. (The Gunter Agency is physically located above the Sugar River Trading Company offices and the warehouse is in the back of the building.)
*“Furst-McNess Company” and the “McNess” logos are registered trademarks of the Furst-McNess Company, Freeport, IL, used under license and manufactured and/or distributed by the Sugar River Trading Company, LLC, Belleville, WI. All rights reserved.