Genesis DMA
Philosophy · 2025-02-24 · 5 min

Why we do not charge percent of ad spend

Percent-of-spend pricing incentivizes the wrong thing. Here is what we charge instead and why.

A lot of agencies charge a percentage of your monthly ad spend — usually ten to twenty percent. It is the default pricing model, mostly because it is easy to sell and easy to scale from the agency side.

It is also misaligned. If an agency makes more when you spend more, every recommendation comes with a thumb on the scale. More platforms. More campaigns. More budget. Not because the math says so, but because the invoice does.

We charge a flat monthly management fee based on the scope of work. If we recommend you cut spend by 30% because the fourth platform is not pulling its weight, our paycheck does not change. That is the point.

Our clients usually end up spending more over time — not because we push them to, but because the fundamentals are working and the unit economics are clear. When growth happens, it happens because it makes sense.

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