Anheuser-Busch Whacks Retainers for Its Agencies

http://adage.com/agencynews/article?article_id=134630

A-B has swapped its long-held retainer-based model of compensating its busiest agencies for a new approach based on an agreed-upon scope of work at the shops. That shift, which has become an increasingly common one for marketers looking to cut agency outlays, puts the agencies on the hook if projects require more hours or greater cost than expected. Other changes include stingier reimbursement rates for production costs and smaller, flat per-concept fees.