Freelancers flood the market
Posted: Sun Dec 15, 2024 5:53 am
The harder it is to find staff, the more likely it is that the number of freelancers will increase. And there is a shortage in the sector: more and more marketers, creatives or developers choose to do their work on a freelance basis. Is that an opportunity or a threat for agencies?
Spoiler alert: most agencies see this as an opportunity. Three quarters of the agencies surveyed in our research work with freelancers, and do so on about 25% of projects.
What do agencies think of the increase in the number of freelancers? More than half are happy with the flexibility it gives them in scaling up and down capacity. They also see it as an opportunity to offer specialist knowledge. 29% can take on more assignments as a result.
As a disadvantage, a third of agencies afghanistan phone number library say they lose margin on projects. A quarter of agencies also experience pressure on prices when using freelancers. They are doing something about that: 63% invest in recruiting and retaining their own staff and 47% are more vigilant about monitoring hours and costs per project.
My tip is to let freelancers register their own time
If you often work with permanent freelancers, ask them – just like your colleagues – to register their own time. This will give you insight into the time spent and costs per project. Do you occasionally hire freelancers? Then book these costs as purchases. Keep in mind that you can only measure afterwards whether your project has remained within budget, because the invoice of freelancers is often processed with a delay.
Strategic steps for agencies
I hope that these insights from our Agency Industry Report 2024 will help you better gauge how your agency is dealing with these market developments. And give you a new perspective on the choices you make in your business operations. Who knows, it might just give you the push to take those exciting strategic steps that are needed to grow your clients and your agency.
Spoiler alert: most agencies see this as an opportunity. Three quarters of the agencies surveyed in our research work with freelancers, and do so on about 25% of projects.
What do agencies think of the increase in the number of freelancers? More than half are happy with the flexibility it gives them in scaling up and down capacity. They also see it as an opportunity to offer specialist knowledge. 29% can take on more assignments as a result.
As a disadvantage, a third of agencies afghanistan phone number library say they lose margin on projects. A quarter of agencies also experience pressure on prices when using freelancers. They are doing something about that: 63% invest in recruiting and retaining their own staff and 47% are more vigilant about monitoring hours and costs per project.
My tip is to let freelancers register their own time
If you often work with permanent freelancers, ask them – just like your colleagues – to register their own time. This will give you insight into the time spent and costs per project. Do you occasionally hire freelancers? Then book these costs as purchases. Keep in mind that you can only measure afterwards whether your project has remained within budget, because the invoice of freelancers is often processed with a delay.
Strategic steps for agencies
I hope that these insights from our Agency Industry Report 2024 will help you better gauge how your agency is dealing with these market developments. And give you a new perspective on the choices you make in your business operations. Who knows, it might just give you the push to take those exciting strategic steps that are needed to grow your clients and your agency.