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Subject: RE: UKNM: Yell Awards
From: James Tarin
Date: Wed, 15 Jul 1998 15:42:21 +0100

>I didn't see it myself, but allegedly Eddie Cheng (Yellow Pages New Media
>Services Director) suggested that many agencies rip clients off by charging
>over-exorbitant fees for building websites. I understand that the figure of
>�100k was mentioned.

Well, there are undoubtedly instances where agencies have charged fees for
"building web sites" which could be considered as exorbitant. There are also
many instances of agencies underpricing the build of web sites (even when
they are charging more than 100k).

It has obviously been difficult for clients to determine how much they
should be paying for something when the quotes can vary by an order of
magnitude, or in some cases more. In our experience there are just as many
instances of companies undercharging as there are of those overcharging.

>Apparently, the interviewer then asked him what clients could do about it,
>whereapon Eddie recommended that they talk to Yellow Pages about its
>services which offered 'value for money'.

Mmmm... well I don't have any direct experience of the range of services
that they deliver or of their value proposition for this stream of services.
Maybe they do offer a good value service for "building web sites". This is
of course different from offering a credible set of online marketing
consultancy services, or a highly creative communications development
service, or a full service offering.

Value for money probably revolves around what the price is for what you want
to buy (or achieve). In many instances if a client buys a "web site
building" service they will not get great value for money, as they will get
a Web site which may not meet their business objectives or satisfy their ROI
criteria (there are of course exceptions to this statement).

So, I'm not really sure what he means or whether it is valid as I did not
hear *exactly* what he said.

James Tarin
Director of Strategy, Clarity
Tel: +44 171 397 2911
Fax: +44 171 397 2939


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