Clive Mishon calls for action over result-based payments

Former SPCA president Clive Mishon has called for action instead of words over one of the most controversial subjects to hit the industry – payment by results (PBR).

Mishon, speaking at the Marketing Promotions Summit in Madrid last weekend, says it is time to stop discussions and act on the issue, which has been hanging over the promotions market for the past two years.

He says: “The announcement by P&G two years ago that it was switching all agency dealings to PBR was a wake-up call.

“The advertising industry is ahead of the sales promotion sector because it already has an infrastructure on which to base the PBR concept.”

Last year, the Institute of Practitioners in Advertising and the Incorporated Society of British Advertisers launched guidance notes to define industry standards for the adoption of PBR.

It is believed that in three to five years, half of all contracts between agencies and clients will include PBR.

Mishon is attempting to set up a forum of clients and agencies to create benchmarks on which an effective infrastructure for the promotions industry can be based.

He believes that the varied way that promotional work is measured will cause problems if a move to PBR takes place. Mishon says a decision must be made as to whether the benchmarks should cover an entire campaign or just certain work.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here