What form of compensation is used to pay the advertising agency when the client's advertising program does not involve a large amount of media billings?

Question

Quizplus · Accepted Answer

When a client's advertising program does not involve a large amount of media billings, the compensation used to pay the advertising agency is usually a negotiated commission. This is because a markup on costs or a share of the profits may not be feasible in such a scenario, and a rebate from the media is unlikely as the media spend is low. Therefore, a negotiated commission is the most suitable compensation method in this case.

What Form of Compensation Is Used to Pay the Advertising