Agency Billing Rates Increase: If you’re a PR agency, the following is good news; for their clients, the jury is out. The nation’s PR agencies increased their hourly rates slightly in 2011 according to the second wave of a June 2012 survey released exclusively to PR News by StevensGouldPincus, the merger and management consulting firm specializing in the PR field (see "Charting the Industry: Agency Revenues Reach Four Year High" for more findings).
Based on responses from 105 PR agencies, billing rates are now averaging $517 per hour for CEOs of agencies with $25 million or more in revenues, and $300 among smaller agencies.
Other findings include:
Among 13 categories identified, rates are the highest among agencies specializing in sports/entertainment, healthcare and public affairs.
Account executives averaged $183 per hour in billings in 2011 versus $178 per hour in 2010.
Productivity—measured by billable time utilization—billable time utilization—was far below optimal levels for senior VPs, who billed out only 66% of their yearly capacity of 1,700 hours. However, account executives averaged in excess of 91% in every one of the 13 agency categories.
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