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Many agencies struggle with getting their pricing right. Often this isnât a confidence issue, but rather theyâre missing some key steps when valuing their services.
âMost people are familiar with value-based pricing,â says Alastair Dryburgh, founder of Intelligent Pricing Architecture.Â
âTheyâve probably given it a try, but it hasnât gone entirely as described. 99% of what you read tells you to believe in your value, but that alone wonât convince your clients to pay you more money.â
So, what are agencies getting wrong?
For Alastair, value-based pricing is a three step process, but most agencies stop after step one. What are the steps to follow?
- Understanding your own value. This is the obvious first step, but itâs not enough on its own.
- Making sure clients compare you to the right alternatives – not just the cheapest option.
- Standing out so much that clients see why they canât get what you offer anywhere else.
âIf youâre stopping after the first step, and think that understanding your value is enough, itâs like being on trial for a serious crime and asking your defence lawyer for the plan, and they reply, âOh, I know youâre innocent, you know youâre innocent, weâll be fineâ.â
âYouâd have hoped theyâd have a strategy and arguments in place to convince a jury. And itâs the same with pricing your services correctly.â
In this session, weâll be covering how agencies can properly nail their pricing, how to start standing out in a sea of competitors, and also delving into AI to understand how itâs forcing agencies to rethink their pricing strategies too.
But above all, making sure youâre getting paid for the value you offer clients is paramount.
âI remember talking to some headhunters who had developed a piece of software that helped them put together a longlist of candidates much more quickly than before. They said, âOh, that means we can charge lessâ.â
âBut they were wrong. I told them not to charge less, but to actually charge more – theyâre not selling speed, but exclusivity. Clients can only get it from them. And thatâs worth paying more.â
If youâre looking to revalue your services, put your prices up effectively, or not sure where to even start, this is the session for you.