The Math Doesn't Add Up

Outcome-based pricing has become the latest shiny object in agency circles; a catchy concept that sounds modern, but can lack the operational depth to back it up.

Like many shiny objects in marketing, it’s easy to get swept up in the language before asking the harder questions.

What People Say Outcome-Based Pricing Is:

“We get paid based on the results we deliver.”

Sounds great, right? But…

  • What results? Clicks? Leads? Revenue? Market share?

  • Who controls them? Rarely the agency alone.

  • Over what time frame? Short-term spikes or long-term change?

  • Based on what baseline? Most clients don’t have clean data or benchmarks.

This is where the entire thing starts to unravel.

Why It Can be BS in Practice:

  • Misaligned incentives
    Tie compensation to lead volume and you risk tanking quality. You hit the number, but the client doesn’t win.

  • No shared accountability
    Real outcomes are influenced by internal teams: sales, ops, product. How can one partner “own” the result?

  • Strategy gets devalued
    Brand positioning, messaging, customer insight work all matter… but they’re upstream. By the time results appear, the credit often goes elsewhere.

  • Agencies game the model
    Most outcome-based deals quietly revert to performance marketing metrics like clicks, conversions, CPL.
    Old models, new spin.

Why It’s Gaining Steam Anyway:

  • It sounds sexy, especially in pitch decks

  • It plays well to finance teams tired of big retainers

  • It’s easy to frame as a “client-first” revolution

  • And yes, some firms are trying to figure it out with tiered hybrids (e.g., flat base + upside model)

But Here’s the Truth:

Most of these models only work when the client already has:

  • Clear data baselines

  • Unified attribution

  • Internal alignment

  • And a long enough timeline to measure real impact

Which, let’s be honest, is rare.

If you don’t have those things, “outcomes” become a moving target.
And the agency is suddenly on the hook for what the client can’t control either.

At CLINTONSCOTT, We Price for Strategy, Not Theater

We don’t hide behind jargon. We don’t pretend we can control everything. And we don’t pitch shiny models just because they’re trending.

We price based on:

  • The value of deep strategic work

  • Real clarity on scope and ownership

  • The business outcomes you define

And we don’t upcharge or mark up pass-through vendor costs, or disguise overhead as strategic value.

If you want transparency and strategic thinking - not buzzwords - we’re built for that.

 

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Clint Allen