Case Study
Leveraging Scope’s Deliverable-Based Data: A Case Study with Oliver Agency
The Client
Oliver is a pioneer in in-housing agencies and a global company that has been operating for 16 years. With a presence in 30 markets and over 2,000 employees, Oliver is privately owned.
Jason, the COO for global markets, has been with Oliver for over a year.
The Challenges: Understanding Pricing
Oliver faced the challenge of understanding their pricing. While they believed they offered good value for money and competitive pricing compared to their competitors, they needed concrete data and analysis to support their claims and negotiate from a position of strength.
The Outcome:
Leveraging Scopes Data
Utilizing Scope’s deliverable-based data proved to be extremely valuable for Oliver. The comprehensive data set allowed them to engage in negotiations based on solid evidence rather than relying on subjective claims. On a scale of 1-10, Jason rated the value of Scope’s information as a 9-10. The data provided a foundation for discussions with clients, helping Oliver establish credibility and demonstrate the value they delivered.
Oliver’s large global FMCG client was already aware of the SCOPE tool and recognized its credibility as a basis for discussion. Oliver’s team, including product and project managers, as well as the commercial team, collaborated with Scope and its consultants to analyze and match data, focusing on areas where they were under or over in terms of hours, rates, and roles. The collaborative effort resulted in a set of trusted data that accelerated the negotiation process.
The negotiations went smoothly, with Scope’s data facilitating productive conversations based on mutual trust.
Oliver was able to highlight the value they provided and quickly resolve the negotiation phase, enabling them to focus on future rates and strategies.
The data-driven approach helped align Oliver with the client’s expectations and resulted in increased rates for certain roles that were undervalued in the market.
The revenue opportunity for Oliver’s global FMCG client extended beyond monetary gains. The data demonstrated Oliver’s efficiency and cost-effectiveness compared to industry standards. By proving their methodologies, strategies, and competitive pricing, Oliver could secure more billable hours for their assets and negotiate higher rates. While the exact financial impact is unknown, the data-driven alignment with the client improved the overall relationship and ensured fair compensation for the work delivered.
The Value of Scope for Industry Peers
Jason recommends Scope and its valuable data to his industry peers. He believes that leveraging Scope’s data, whether through their tool or consulting services, empowers companies to compete based on efficiency, talent acquisition at favorable rates, methodologies, and technology.
The transparency provided by Scope’s data improves trust relationships with clients and enhances companies’ ability to differentiate themselves in the market.
The Future: Asset-Based vs. Role-Based Pricing
Regarding the future of pricing models, Jason believes that both asset-based and role-based pricing will continue to coexist.
Certain aspects of the industry can be easily assetized, simplifying the buying, pricing, completion, and delivery processes. Asset-based pricing holds value for a significant portion of the industry, particularly for large-scale operations.
Current Adoption of Asset-Based Pricing Approximately 15% of Oliver’s clients currently use asset-based pricing models. Although the revenue generated from these clients is substantial, the number of clients utilizing asset-based pricing remains smaller. However, there is growing interest in this model, indicating potential for increased adoption in the future.
