• by Cindy Stockwell , Op-Ed Contributor, June 6, 2016

As marketers and agencies, we’re under more pressure than ever to deliver results. And whether it’s a cost-per-acquisition target, an increase in brand lift, or a volume of social shares, we all feel good when we hit our goals.

But shouldn’t we aim for surpassing our goals instead of just hitting the mark? 

In the programmatic space, clients all too often let their agencies off the hook a bit when it comes to fees and transparency simply because they’re “hitting the numbers.” If marketers ask the right questions of their agencies, they could most likely drive more volume, gain higher efficiencies, and surpass current goals. 

Below are five critical conversations that brands should insist on having with their agencies, which will help them do just that:

Are my goals aggressive enough?

It is incredibly valuable to be a brand that has determined the cost you’re willing to pay for a certain action. As your partner, your agency should be doing everything in their power not just to meet this goal, but beat it.  However, brands often lean on agencies to help them determine what they should be willing to pay.

In this case, agencies could sway the numbers in their favor to ensure they’re making a profit, while still appearing to deliver results. Brands need to understand the math behind the proposed numbers and push their agencies to be as aggressive as possible in terms of goal setting.

What % of my budget goes toward working media? 

A recent study conducted by Technology Business Research (TBR) showed that on average, only 40% of a client’s dollar actually goes toward working media. About 31% goes to technology fees and 29% to the agency partner.

These numbers should be more than flipped —it’s possible to keep at least 80% of clients’ dollars in working media (including tech and management fees). Brands shouldn’t be OK with accepting less just because their stated goals are achieved.

A lower fee means more working media (an actual opportunity to get your message in front of a prospective customer) vs. being spent on operational costs. No matter what math you’re using, this is beneficial to a business.

What is the quality of users who are converting?

It’s important to go beyond the conversion action — are these people who bounce immediately after hitting your site? Do they place an order with enough value that the ROI works for your business? When focused strictly on volume or a particular cost-per-goal, it can be easy for the agency to focus solely on that action and not what happens beyond it.

If you drive 1,000 users to your site but only 10% of them stay past five seconds, were those visits truly valuable? It’s important to go beyond the media measurement and think about the entire experience — from the audience reached to onsite actions — to ensure your dollars are being spent effectively.

Where are my ads running?

This goes beyond just “brand safe” sites. Brand safety and quality sites are often overlooked for the sake of the goal at hand or a desired demographic target. For example, is your agency hitting your on-demo guarantee goals by focusing impressions on just a handful of nonpremium sites?

Are more than 3% of your impressions considered nonbrand safe or fraudulent? If your dollars are being spent against nonideal inventory, those are dollars that could have reached a more qualified consumer and driven additional conversion volume.

Do you have incentivized partnerships?

Is your agency recommending a partner because they feel they are the most strategic in the space or because they receive a kickback? Any incentivized relationships should be disclosed in advance, and any volume discount savings should be applied directly back to the client in the form of working media. To ensure the full picture is being represented, always ask: “What is media, and what is fee?”

By understanding exactly where your dollars go (both in terms of fee and quality), you’ll be able to identify funds to put back into working media — ultimately driving a higher volume of effective conversions.

So by all means, sit down with your agency and set goals, then strive beyond them. It’s not always a comfortable conversation to have, but when brands ask the tough questions and demand accountability, a trust is built.

 And the payoff of trust benefits client and agency alike. As we love to say, it’s a win-win.