Tip #14 ∞ Scope Creep: Expect Your Fees to Creep Too ∞

Scope creep is one of the scariest things about running an ad agency. On the one hand, an agency wants your projects to be fluid, creative, and free to evolve. On the other hand, your agency wants to be paid when scope changes, usually because more of the agency's personnel time is involved.

Scope creep can sour relationships, if it is not completely out on the table, and the relationship between agency AE and client is not very comfortable.

What is scope creep? As an example, let's say you asked your ad agency to develop an ad for a magazine. You've written a creative brief and given the agency a budget and they get to work. Then you decide that you want the agency to evaluate other possible magazines in which to run the ad. This can be done, but of course requires time and personnel to research the magazines, evaluate the costs, write a report, the media people must educate the AE and then time must be set aside for the AE to present and discuss it with you, the client. That's scope creep: It's not a problem, as long as you're willing to pay for it.

Personally, I hate discussing money issues with clients. I much more enjoy discussing the possibilities of an amazing marketing project or communications idea. It's much more fun to dream about the phenomenal response a project will win, rather than dread confronting the client with a bill larger than they expected, even if it is due to the change and scope creep that the client has requested.

In the case of the above example, the AE should advise the client right from the get-go that it will take time and resources for the agency to conduct the requested research into other possible magazines in which to run the ad. Then, the client can decide if they want the scope to creep along with the budget.

My solution is put problem of scope creep right out on the table from the get-go. If the creative brief for each project is clearly defined and the budget is firmly approved, then scope creep shouldn't be a problem. If a project goes over budget due to scope creep and the agency is controlling the budget, then another project can be sacrificed to allow for scope creep and the amount of money being spent by the client should be the same.