Agencies are failing to collect an average of 7% of billable time, with smaller agencies even more likely to write off time than their larger competitors in order to keep clients happy. How can you make sure you're underselling your time by over-servicing?
Agencies are failing to collect an average of 7% of billable time, with smaller agencies even more likely to write off time than their larger competitors in order to keep clients happy, according to research by Deltek.
Whichever way you look at it, over-servicing is a very real issue for agencies: 26% of those surveyed are resigned to accepting over-servicing as ‘part of what you have to do to manage profit and loss,’ while 31% agreed that over-servicing suggests their business model is not working correctly.
As businesses whose value is judged on the quality of the service delivered, agencies obviously want to make sure clients are as satisfied as possible. The danger is that you end up over-servicing in order to achieve this, ultimately damaging your own efficiency and profitability.
So how can you make sure you’re getting the balance right, keeping clients happy without undermining your agency’s own success?
Following up on the findings of its research, Deltek has drawn on its expertise in project management and workflow planning to create a comprehensive guide to help agencies avoid the pitfalls of over-servicing.
With four simple, actionable steps, the guide explains how to deploy the right systems, processes and metrics that will increase your agency’s profit margins through accurate scoping, resourcing and job delivery, without sacrificing client satisfaction.
Download the full guide below to find out more:
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