Agencies Question Old Conflict Policies as Short-Term Projects Rise

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Increasingly, clients are hiring independent agencies on a project basis—with no annual retainer, smaller fees and offers of work that last for as little as a month—almost all with the caveat that they not engage with competing brands, sometimes even long after a project is completed.

These age-old conflict-of-interest policies harken back to a time when marketers would park significant business at a single shop and expect loyalty in return. Given the fleeting nature of campaigns and relationships in the digital age, however, a number of agency leaders say these roadblocks no longer make sense, and advertising groups are starting to take note.

The Association of National Advertisers and the 4A's recently created a joint committee to examine the issues related to project-based work.

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