How to evaluate agency proposals

By Steve Boehler

Very few marketers are taught how to evaluate an agency proposal, whether it is a formal written response to an RFP, a presentation or some other format.

We’ve reviewed thousands of agency proposals and are often with clients in “the room where it happens”. We’ve learned a lot and had deep conversations with many of the best marketers in the business about what they found compelling (and not compelling).

Here is a simple process marketers can use to evaluate agency proposals.
Try the following approach and your assessment – and feedback – will be more strategic and helpful:

1. Did the agency understand the core Business Issue?

Marketers have Business Issues that they need to address. They don’t really want to hire agencies or spend money on marketing or advertising but will if it is purposeful.

Business Issues are “the key challenge(s) or opportunity(s) a company is facing.” These can be CSuite issues like profit or revenue, marketing issues like acquisition or loyalty, or a number of other challenges or opportunities. Does the agency understand the key Business Issue that is driving the need for the proposal?

2. Did the agency understand the context or implications of the Business Issue?

What is the business context that impacts how we think about the issue? Did the agency show knowledge in areas like:

• your customers?
• channel highlights, points of distribution and/or number of stores?
• the annual business calendar?
• your competition and how your brand stacks up?
• digital presence?
• social presence?
• product/service quality?
• media & marketing investment?
• new products recently launched or planned?
• revenue and/or market share trends?

Did the agency understand the context of the Business Issue and use that knowledge to best tailor the specifics of their proposal?

3. Was the strategic analysis thorough and actionable?

Did the agency do the disciplined strategic analysis necessary to identify an insight that can drive a compelling solution?

A compelling strategic insight is the magic that can elevate and increase the likelihood the agency’s proposed solution can deliver the needed impact. Did they analyze the competition, target audience and Brand? Did they use that discipline to develop an insight that can help drive a compelling solution?

4. Did the recommendation flow naturally from the strategic analysis and address the Business Issue?

Did the agency tell an easy to follow story about how their proposal will deliver the impact and results your business needs?

5. Did the agency propose a learning plan?

How will the proposal be measured and optimized? How will we know if it worked and when changes may be necessary?

About Author

Steve Boehler, founder, and partner at Mercer Island Group has led consulting teams on behalf of clients as diverse as Ulta Beauty, Microsoft, UScellular, Nintendo, Kaiser Permanente, Holland America Line, Stop & Shop, Qualcomm, Brooks Running, and numerous others. He founded MIG after serving as a division president in a Fortune 100 when he was only 32. Earlier in his career, Steve Boehler cut his teeth with a decade in Brand Management at Procter & Gamble, leading brands like Tide, Pringles, and Jif.