Money is always a big deal in the advertising industry. Clients want to know how much advertising agency services will cost them before sealing the deal, which is no surprise. That’s because they aim to boost the popularity of their brand at the lowest possible price. In other words, they’re on a tight budget. So, if you want your agency to get more clients, you need to quote them. Haven’t heard of it yet? Don’t worry. We’ll show you the five easy steps to quote clients.
What Is a Quote?
But first, let’s discuss a bit about a quote. A quote is a document that shows the cost estimate of a particular service, operation, or project. In your case, you can call it an advertising quotation or ad quote because your agency offers advertising services.
Service-based businesses like your ad agency utilize quotes for their client onboarding process. Sending quotes to the clients they want is part of their proposal tactics. An advertising quote isn’t just about naming your price. It’s also about inviting a client to purchase your services.
Quotes that outline a reasonable and cost-effective calculation of the total service fee are what clients strongly prefer. That’s why you must put a lot of thought into quoting a prospective client. It plays a vital role in the client’s decision making, and ultimately, in maintaining your agency’s revenue.
Study the Project’s Scope
When should you start creating a quotation? You start creating one right after you received an inquiry or request from a prospective client. Along with the client’s inquiry or request is an overview of his or her advertising project, which you have to study. By studying the project’s scope, you can visualize what it needs. And if you know what a project’s needs, you can predetermine its possible total cost.
In the first place, you can’t start creating a quotation without knowing a project’s ins and outs. Take note that the quote will be about the expenditures of the client’s advertising project. Make sure to conduct market research concerning the project to have a better outlook of its scope.
Enumerate the Projected Expenses
After studying the project, you’ll be able to identify its possible expenses. So, the next step you must do is to enumerate all of them. List them down on your notepad or checklist sheet. See to it that you didn’t miss anything. If you overlook one aspect of the expenses, you might end up with an inaccurate price quotation.
You can say that this step is the easiest in creating a quote. It shouldn’t be a problem as long as you’ve studied the client’s project well enough. You only have to jot down the expenditures so that you can start outlining the quotation.
After you enumerating the expenses, categorize them based on what kind of cost they are. For example, the service charge of your advertising team should be under labor costs. The reason why you need to categorize them is to make the quotation as concise as possible. Quotes have to be short and simple so that clients can easily interpret them.
Follow the Standard Format of Quotations
As mentioned just a moment ago, quotes have to be short and simple. That said, you don’t need to be creative in making them. There’s a standard format in structuring quotes that are easy to follow. We’ll guide you through it in this step.
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Header
The header is the introductory part of the quotation. It’s where you should state the client’s name, address, phone number, email, and company name. Also, state your name as the creator and sender of the quotation, and as your agency’s representative. And on top of the client’s info and yours, emphasize the title “Advertising Services Quote,” “Advertising Services Quotation,” or simply “Advertising Quote.”
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Body
The body is the most vital section of the quote for an obvious reason. It’s where you must outline the quotation itself. Using a table, write down the expenses of the project and their corresponding prices. Speaking of the prices, you have to base them on your advertising rates. And, of course, total all of the costs to come up with the project’s total price. Don’t forget to put into account your markup rates and the VAT. All you need for this matter is your basic math skills.
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Footer
The footer is the last section of the quote. It’s where you must indicate the quote’s preparation date and your signature as the representative. You can also write additional remarks on the footer regarding the quotation. Or, you can write a formal greeting or an invitation for the client to contact your agency.
Integrate Your Brand Into the Document
We mentioned a second ago that you could write an invitation for the client. Well, we said that because a quote also functions as an invitation. You see, by sending a quotation, you’re already enticing a client to hire your agency. Because of that, you should integrate its brand on it. Other ad agencies might also be sending quotations to the client. If you want yours to be distinct and noticeable, make your agency’s brand stand out on your quotation.
A branded quotation document looks more credible and official compared to others that aren’t. That way, it’ll manifest a positive first impression towards the client. On the quotation, you can simply add your agency’s logo and slogan on the header, and that’s it. The document now bares your agency’s brand and image.
Take Advantage of CPQ Software
All of the steps we discussed are easy to execute. But, they’ll be easier to do if you use Configure Price Quote or CPQ software. All of the tools you might need to measure expenses accurately and quickly is present on it. In general, CPQ software helps B2B interactions become convenient and fast. That includes the requesting and sending of quotations. With its help, there’ll be no need for you to do the math manually. In just a few minutes, you can structure a precise and concise quotation—allowing you to respond to a client’s request promptly.
A report from Gartner says that the CPQ market experienced double-digit growth in recent years, and that’ll continue to do so. To be specific, Gartner expects a 20% yearly growth. Gartner’s finding suggests that many B2B organizations, including agencies, are relying on CPQ software thanks to the convenience it brings. So why not take advantage of it.
Compared to preparing an advertising agency business plan, making quotes is a lot easier. With that in mind, you shouldn’t pressure yourself in preparing them. By following these super easy steps, you can structure a quotation that could earn you an appointment with the client. That appointment could be a contract signing to seal the deal.