Contact Us

August 31, 2026 - Agency Retainer vs. Outcome Scope: a 12-Month Cost Breakdown

What does the same conversion project cost with a retainer agency versus an outcome model? The full 12-month calculation — including the line items that never appear on an invoice.

Ferhat Ziba

Ferhat Ziba

Founder, Melexsoft

Agency Retainer vs. Outcome Scope: a 12-Month Cost Breakdown

Few agencies publish this calculation, because it questions their own business model. We are making it anyway — with realistic numbers for a mid-sized conversion project, calculated over twelve months. Not because retainers are inherently bad, but because most companies never put side by side what they should actually be comparing: not monthly prices, but total cost per outcome.

How a retainer actually bills

A typical agency retainer for an ongoing conversion or development engagement in the DACH market runs between €3,500 and €8,000 per month. For that you get an hourly budget — say 40 to 60 hours — spread across project management, design and development.

The mechanism behind it: the agency plans its utilization, not your outcome. Unused hours often expire, extra demand is billed on top. The budget reliably gets filled — the only question is with what. Status calls, alignment rounds and internal handoffs count as delivered hours just as much as actual development does.

The line items that never appear on an invoice

On top of the retainer sum come costs that accrue inside your own organization: the weekly sync with two people on your side, writing and sharpening briefs, prioritizing the backlog, explaining your business to rotating contacts.

Conservatively, that is two to four internal hours per week — 100 to 200 hours of leadership and specialist time over a year. At €80 fully loaded internal cost per hour, that is another €8,000 to €16,000 that never shows up in any agency comparison. And the biggest item is invisible: the months in which the result is not yet live and produces no revenue.

Outcome scope: the counter-calculation

In the outcome model you are not buying time but a defined result: an analysis before the project starts, then a proposal with a fixed scope, a fixed price and a defined delivery date. For the example project — a conversion overhaul for an online store including checkout optimization and measurement infrastructure — that would be €18,000 as a fixed price with us, delivered in roughly eight weeks.

After that, the system is live and working. If you want ongoing support, you book it optionally — €500 per month in this example. If you don't need it, you pay nothing further. In both cases the code fully belongs to the client.

Twelve months, two models: the full calculation

Retainer model: €4,500 × 12 months = €54,000. Plus 100–200 hours of internal coordination (€8,000–16,000). Result: dependent on prioritization and budget, typically first visible improvements after three to five months. Total first-year cost: €62,000 to €70,000.

Outcome model: €18,000 fixed price, delivered after eight weeks. Optional support from month four: €500 × 9 months = €4,500. Internal coordination concentrates on kickoff, two reviews and acceptance — realistically 20 to 30 hours. Total first-year cost: roughly €24,500.

The difference is more than €35,000 — and the outcome system starts producing revenue in week nine, while the retainer project is still being prioritized in the backlog.

When a retainer is still the right model

Honesty is part of this calculation: there are setups in which a retainer makes sense. If you need capacity permanently and predictably — say a continuously evolving product with weekly releases — a well-rehearsed retainer team can be more economical than repeated one-off projects. The same goes for never-finished ongoing work like performance marketing.

The retainer becomes a problem when it finances project-shaped work: a relaunch, a funnel, a system build. Anything with a definable end state can be bought as an outcome — and should be.

What this means for your project

Before you renew or sign the next retainer, run this article's calculation for your specific initiative: what is the definable end state, and what does it cost in both models over twelve months?

Our price bands and further worked examples are published openly on the pricing page; how an outcome project runs with us from kickoff to acceptance is documented in our process.

Also available in Deutsch, Türkçe

More posts

When You Don't Need an Agency

Five situations in which an agency is the wrong expense — from tool-shaped tasks to undefinable scope. An honest guide, written by an agency.

Read more

The 9 Places Where Shopify Stores Leak Revenue

From page speed to the post-purchase flow: the nine most common revenue leaks in Shopify stores — how to spot each one and what to check first.

Read more

Tell us your growth challenge

Our Office

  • ZIBA GLOBAL CONSULTING LTD
    65 London Wall
    London, EC2M 5TU