What is the best route to get the most out of your design budget? It’s a familiar situation many small- and mid-sized businesses find themselves in as they execute their sales and marketing initiatives.

And the answer to the question is: It depends.

Many design agencies, including ours, offer project-based and retainer payment structures. With project-based work, you benefit from creative expertise without a long-term commitment. Meanwhile, retainers provide a dedicated, prioritized service and a strategic partnership.

As your company’s design and marketing needs increase, the question becomes: Is a design retainer worth it for your business? Or should you stick with project-based pricing?

What’s the difference between retainers vs. one-off projects

In a nutshell, having a retainer with a design agency means there is a set number of hours or services you receive each month. It’s a formal agreement to pay a fee for continuous support ranging from a few months to a year or longer.

With a one-off project, there’s a definitive start and end date. Your designer has a deliverable they’re creating, and once it’s completed, the project is over.

So, let’s look at a couple of examples to see which type of structure makes the most sense for each.

Example #1: You have a mid-sized financial services company, and it’s time for a rebrand. It would involve redesigning the logo, creating a new color palette, producing custom graphics, and a brand style guide. The project should last three to six months with input from several stakeholders.

Example #2: Your company also sends emails/newsletters to four audiences each month, totaling 20. Even though there are minimal design changes between each email, it’s becoming increasingly difficult for your lone marketing manager to keep up with creating these emails and manage their regular workload.

Which example should be a single project or a retainer?

The first example would be a one-off project since company rebrands don’t happen often. Many companies often go years, sometimes decades, before changing their brand.

In the second example, you might find that having an agency design every single email as a separate project is cost-prohibitive and slows down production. Since the emails are based on a templated design, they wouldn’t need to be completely redesigned every month. Utilizing a retainer would make more sense in this case because the 20 emails are batched into one fee.

Now, let’s go a bit further into the pros and cons of retainers.

The Pros of Retainers

Dedicated creative team
You have a creative team that has a guaranteed number of hours every month that are solely dedicated to your business, which is perfect for recurring or time-sensitive needs.

Predictable costs
When you have a predictable amount budgeted each month for design and marketing in your ledger, it’s easier to plan.

Streamlining your workflow
Having a design service retainer ensures you have a resource who can step in to execute your creative needs because they have a systematized method that takes the load off of your team.

Flexible for your needs
Design retainers provide businesses with the stability of continuous support and allow you to knock out tasks without constantly requesting estimates for recurring projects.
But every “pro” has a “con,” and these are a few that come with graphic design retainers.

The Cons of Retainers

Larger financial commitment
There is a recurring cost that comes with retainers, meaning you have to plan for this expense in your budget.

May not utilize services
For various reasons, your company may not have enough regular design tasks to get the full value from a retainer.

Not ideal for occasional requests
Speaking of one-off requests, having a retainer wouldn’t be cost-effective if you have infrequent design needs.

While retainers are useful, we admit they may not be the best solution for all businesses. When you sit down with us to discuss your design needs, we’ll give you recommendations based on what makes sense for your budget and business.

Is a retainer right for your business?

In deciding whether a retainer makes sense for you, there are a few questions to ask that might make the decision easier.

• Does your business need constant or occasional graphic design support?
• Do you need the same or similar assets every month?
• Is your business experiencing rapid growth?
• Are there marketing campaigns on the horizon that need more assets?

If your company is in an industry where your marketing revolves around tight timelines and large output, it could benefit your team to consider a retainer deal, especially if you have these types of projects:

• Printed and digital newsletters
• Social media graphics
• Seasonal marketing campaigns
• Website graphics
• Digital ad graphics
• Direct mail campaigns

It’s important to run the numbers and assess your needs to see if your company could save more money utilizing a retainer versus commissioning individual projects.

Making the right decision for your business

Retainers offer stability for organizations with ongoing design needs that require a creative team to be on call. They help take the pressure off your team and build more efficiencies into your business.

However, not everyone is ready for a retainer. In some cases, it makes more sense to continue with one-off projects.

When partnering with a design agency like ours, we provide solutions that work best for your budget, strategy, and brand, so when you need backup, we’re right there whether it’s for one project or many.