--- title: 'Asymmetric Service Model: 90-Day Guarantees & Hybrid Pricing' type: article created: '2026-04-05' updated: '2026-04-05' source_docs: - raw/2025-10-20-q4-planning-discuss-2026-business-plan-95305341.md tags: - service-model - pricing - retainers - performance-based - guarantees - agency-operations - asymmetric layer: 2 client_source: null industry_context: null transferable: true --- # Asymmetric Service Model: 90-Day Guarantees & Hybrid Pricing ## Overview As part of Asymmetric Applications Group's 2026–2029 growth strategy, Mark Hope outlined a significant evolution in how the firm structures client engagements. The core shift moves away from flat-rate execution retainers toward a model that explicitly reduces client risk, aligns incentives, and justifies higher monthly fees through demonstrated value. Two primary mechanisms drive this: **90-day performance guarantees** and **hybrid retainer + performance fee structures**. These changes are designed to support a target average retainer of **$10,000–$15,000/month**, up from a current average of approximately $3,700/month. --- ## The Value Justification Problem A key insight driving the new model is that $10,000–$15,000/month is not inherently expensive — it is *less than half the fully-loaded cost of hiring a single experienced marketing employee*. A mid-senior marketing hire costs $10,000–$15,000/month in salary alone, plus ~8% in employer taxes plus benefits, bringing the true cost to $15,000–$20,000/month for one person with no team. Asymmetric's pitch: for that same $10,000–$15,000, a client gets a full team — account manager, ad specialist, e-commerce specialist, creative staff, web developers — plus strategic leadership. The challenge is not the price; it is making the client *believe* the value will materialize. The new service model is designed to address that credibility gap directly. --- ## 90-Day Performance Guarantees ### How It Works At engagement start, Asymmetric and the client agree on a **benchmark** (current revenue or lead volume) and a **90-day target** (typically a meaningful step toward the annual goal — e.g., 20% growth in 90 days if the annual target is 50% growth). If the target is not met — or if the trend line does not point toward it — **Asymmetric works for free until the target is achieved**. ### Purpose - Removes the primary objection to higher retainers: "What if it doesn't work?" - Signals genuine confidence in the firm's ability to deliver - Creates internal accountability — the team is financially motivated to hit targets - Differentiates Asymmetric from execution-only agencies that make no performance commitments ### Practical Example (from meeting) > "We're going to tell you that if we're not at 12,000 at the end of 90 days, or the trend is not toward 12,000 at the end of 90 days, then we'll work for free until we get there." --- ## Hybrid Retainer + Performance Fee Structure ### How It Works Instead of a flat retainer, the client pays a **reduced base retainer** plus a **percentage of revenue generated** by Asymmetric's efforts. **Illustrative structure:** - Base retainer: $7,500/month - Performance fee: 5% of attributable revenue **Live example — Doodla Farms:** - Base: $4,000/month - Performance fee: 4% of sales - Effective billing in October: ~$8,000/month (up from an original $1,000/month engagement) ### Purpose - Lowers the perceived risk for clients uncomfortable with a large flat fee - Aligns Asymmetric's incentives directly with client revenue outcomes - Allows total compensation to scale with client success - Provides a natural answer to "if you're so good, why not do it all on performance?" — Asymmetric controls lead generation, not lead conversion ### The Shared-Risk Framing Mark Hope's articulation of why the hybrid model is not 100% performance-based is important for client conversations: > "I have a great deal of confidence in my ability to generate the leads and to generate the momentum, but I don't know what you're going to do with those leads. What if I get you good leads and you don't answer the phone? What if I get you good leads and you blow the pitch? I can't control everything here." The base retainer covers Asymmetric's controllable contribution (strategy, lead generation, media execution). The performance fee rewards shared success. This framing also creates a natural filter: clients who convert well (e.g., Advanced Health & Safety, Scallon) become ideal long-term partners; clients who don't convert despite good leads (e.g., Hooper) are candidates for offboarding. --- ## Productized Services & Knowledge Products Beyond the core retainer models, the plan includes developing **productized services** — defined, repeatable offerings with clear deliverables and pricing — and **knowledge products** (frameworks, tools, assessments). These serve multiple purposes: - Create lower-commitment entry points for prospective clients - Generate revenue outside the retainer model - Codify Asymmetric's proprietary methodologies (wargaming, competitive analysis frameworks, innovator's dilemma application) into scalable assets - Reduce dependency on bespoke scoping for every engagement --- ## Pricing Architecture Summary | Model | Base Fee | Variable Component | Best For | |---|---|---|---| | Fixed Retainer | $10,000–$15,000/month | None | Clients comfortable with value proposition | | Hybrid | $7,500/month (illustrative) | 5% of attributable revenue | Risk-averse clients; high-revenue-potential accounts | | Productized Services | TBD per product | None | Entry-level / project-based clients | --- ## Client Fit Requirements The new service model only works with clients who meet certain operational criteria. Asymmetric takes on risk through guarantees and performance fees — which means client execution quality directly affects Asymmetric's economics. **Ideal client profile:** - Responds to leads quickly (same-day follow-up) - Has a functional sales process - Is willing to act on strategic recommendations - Operates in a competitive environment where asymmetric strategy can create leverage **Disqualifying behaviors:** - Ignoring or slow-walking inbound leads - Overriding strategic recommendations without basis - Unwillingness to invest in execution alongside strategy > "If we're sending them good leads and they're too stupid to execute against them, we're better off being done with them." Tranquini was cited as an example of a client Asymmetric proactively fired. Advanced Health & Safety and Scallon were cited as examples of the ideal client archetype. --- ## Connection to Growth Targets The service model evolution is the primary mechanism for achieving Asymmetric's revenue targets: - Current average retainer: ~$3,700/month - Target average retainer: $9,500–$10,000/month (en route to $10,000–$15,000) - Target client count: 45–50 retained clients - Target ARR: $6M by 2029 (up from ~$1M) - Target profit margin: 60% (up from 21%) See [[wiki/knowledge/agency-operations/asymmetric-growth-plan-2026-2029]] for the full financial model and growth trajectory. --- ## Related - [[wiki/knowledge/agency-operations/asymmetric-competitive-strategy-positioning]] - [[wiki/knowledge/agency-operations/asymmetric-growth-plan-2026-2029]] - [[wiki/knowledge/agency-operations/wargaming-methodology]] - [[wiki/meetings/2025-10-20-q4-planning-2026-business-plan]]