#meta-ads
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What would be a reasonable compensation for a Meta ad agency that primarily manages ads and produces basic, template-like static creatives?
We’re currently paying 10% of ad spend, which feels quite significant. I’m exploring ways to optimize our cost structure and considering bringing ad management in-house, alongside building a creative team focused on producing content (especially video).
Do you have any advice on streamlining the creative production process or insights on fair compensation structures for media buying agencies?

Good question! We don't work with payment based on % ad spend.
We have a standard monthly fee + commission that is based on the ROAS target.
How many people manage your current ad account?

@Julian Jagtenberg (Somnox) this sounds way too high, esp. considering it is only statics. What is the spend lvl?
I would 100% rec. in-house creative production. We have 1 videoeditor / videographer, 1 creative strategist, 2 graphic designers and a couple of freelancers, + a shared studio.

I find the following cadence seems to occur with brands as they grow:
€0-€1m Founders scrap it together in house
€1m-€3/4m Founders go to agency to get it off their desk
€4m+ Founders bring it back in house to regain control
Not a perfect science of course, but def a common trend.

we pend 50-60k per month, they manage Meta and Google Ads and deliver 5 statics per 2 weeks

we are currently at €3m - so on the edge of staying with the agency (picking a new one that is more focused on creative) or getting it all in-house (yet I want to keep my headcount low, to remain profitable for ‘rainy season’)

Okay, got it - I think also that it is geneally hard to get an agency for less than 5k eur a month. However, I would expect many more creatives delivered at that cost. The spend management on Meta should not be difficukt, with google being much more technical.
5 statics every two weeks is very low IMO. Just checked a recent offer we got and that was list price of 6.500 pounds monthly for 6xUGC ads(3 concepts), 6x statics (3 concepts) and 4x short-form video ads (2 concepts, 2 variations).

Hey @Julian Jagtenberg (Somnox), I work with a fantastic outsourced agency. Really feels more in house than an agency. We pay 5K a month (no commissions) and they put out 10-20 statics, 5-10 videos (UGC, AI). They A/B test for us like crazy and drive really good performance. Reporting is very detailed. They take care of the entire funnel (including email). I can make a quick intro if you like!

thanks guys - much appreciated! @Madi Ablyazov would love to learn more about the agency!

@Madi Ablyazov can you share the name of that agency to me as well? 🙏

@Anders Reckendorff
👍 looks like the website is a bit dated, mostly focused on email but they run our meta too. I just mentioned to Julian that the best thing about this agency is that they are small still. They’ve gone above and beyond for my brand. I whatsapp them at midnight and the account manager responds immediately (naturally I don’t do it often 🙂 ). @Anders Reckendorff dm me your email and I can intro if you want!
Thank you! Will forward to our team and see if we need the intro 💪

I've talked to a LOT of agencies in the past couple of weeks because we're thinking of outsourcing for the first time to drive scale. Definitely sounds to me like it's too expensive for the amount of creatives you receive, especially when ads are moving so that creative testing is your main targeting tool. Here's a little summary of the ones I spoke to:
• Paradigm Media: 9% of ad spend at your level gets you 40-50 creatives per month (videos included, they don't shoot them but repurpose content you have available)
• Mongoose Social: similar concept, slightly more expensive (quoted me £3k up to 25k in spend) but they also have packages for UGC at $750 (3 videos from one creator). A bit lower volume of assets.
• Prospa: at your level of spend it would be around £8.5k but it includes 32 statics and 16 UGC videos (filmed and edited for you) per month

this is a great benchmark to have Gaia! super 😄

Depending on your in-house resources I would say that the number of good creatives that they produce is key. I'd much rather have significant creative support than a few creatives per month + account managing.
If you are only get 3-5 creatives a month that is not enough to do rapid testing

We are not at the same spend as you guys - only £30k per month but we pay £1.7k per month for ads management on Meta and Google and then we pay a freelance designer £500 per month to create 10 ads per week