Margin and profitability - Morgan Fractional CFO

How Marketing Agencies Should Measure Client Profitability

Agency owner reviewing a P&L statement, time reports, and a spreadsheet late at night beside a whiteboard comparing client revenue and hours

Measure client profitability at your marketing agency: gross margin, contribution margin, and TDABC frameworks, the KPIs to track, and when to reprice or exit.

When Agency Utilization Looks Healthy but Margin Does Not

Agency leader holding a laptop showing 78% utilization while his fully booked team works behind him and a P&L statement sits on the desk

When agency utilization looks healthy but margin does not: the seven mistakes that turn busy teams into thin profits, and how to fix realization, pricing, and WIP.

Category: Margin and profitability

How Marketing Agencies Should Measure Client Profitability

When Agency Utilization Looks Healthy but Margin Does Not