Agency of Record vs. Project Work in Pharma Media
Agency of record vs project-based agency work for pharma brands: continuity, cost, flexibility, accountability, and when to use each.
The short answer
An agency of record (AOR) holds an ongoing retainer for a brand's work in a discipline, offering continuity, deep brand knowledge, and dedicated teams. Project work hires agencies for defined deliverables, offering flexibility, specialist access, and clearer cost per output. Pharma brands often combine them: an AOR for core strategy, creative, or media, and project partners for launches, specialist channels, or tests.
How you engage agencies affects cost, speed, and quality as much as which agencies you choose. The two main models are agency of record and project-based work.
Comparison
| Factor | Agency of record | Project work |
|---|---|---|
| Continuity | High | Low to medium |
| Brand knowledge | Deep over time | Built per project |
| Flexibility | Lower | Higher |
| Cost visibility | Retainer; harder to tie to outputs | Clear per deliverable |
| Speed to start | Fast once in place | Requires scoping and contracting |
| Specialist access | Limited to agency skills | Choose best for each job |
| Accountability | Broad | Specific to deliverables |
When AOR fits
- Ongoing brand strategy and creative.
- Continuous media planning and buying.
- Brands with steady, predictable workloads.
When project work fits
- Launch peaks needing extra capacity.
- Specialist channels such as point of care or influencer programs.
- Tests of new partners or approaches.
- Clearly defined deliverables.
Hybrid models
Most pharma brands combine both. Keys to making hybrids work:
- AOR leads coordination and holds the message house.
- Project partners get clear briefs and shared standards.
- Shared data and measurement definitions.
- Clear rules about who owns what outputs.
Managing AOR relationships
- Annual scope of work with measurable expectations.
- Regular performance reviews.
- Transparency on fees and partner income. See agency compensation.
- Periodic market checks without automatic reviews.
Managing project work
- Tight briefs with defined outputs.
- Onboarding to brand standards and review processes.
- Knowledge transfer at the end of projects.
Common mistakes
- AOR retainers with unclear scope.
- Project partners without onboarding to review processes.
- Duplicate work between AOR and project partners.
- No knowledge transfer after projects.
A worked example
Hypothetical example. A mid-size brand spends about $8M a year on agency fees across creative, media, and specialist work. Last year's work looked like this:
| Work | Ongoing or one-off | Current model | Better fit |
|---|---|---|---|
| Brand campaign and core HCP materials | Ongoing | AOR | AOR |
| Media planning and buying | Ongoing | AOR | AOR |
| Point-of-care program | Ongoing, specialist | AOR subcontract | Direct specialist partner |
| New indication launch peak | One-off | AOR, extra fees | Project partner or scoped AOR addendum |
| Influencer pilot | One-off test | AOR | Project, with clear test design |
| Medical congress booth | Annual, defined | AOR | Project bid |
Two patterns usually appear. First, specialist work routed through an AOR as subcontracts often costs more and gives the brand less direct access to the specialist. Second, peaks such as launches are absorbed into retainers with unclear scope, so the brand pays for capacity it does not use the rest of the year.
What to put in an AOR scope
- The disciplines covered and those excluded.
- Expected volume: campaigns, assets, plans per year.
- Named team roles and time allocations.
- Service levels for turnaround and review submissions.
- Performance measures reviewed quarterly.
- Fee basis and how out-of-scope work is priced.
- Transparency terms on partner income and media buying.
What to put in a project brief
- One objective and defined deliverables.
- Brand standards, claims library, and review calendar.
- Data and measurement requirements.
- Handover expectations, including files and learnings.
Practical takeaway
List last year's agency work and mark each piece as ongoing or one-off. Ongoing work belongs in AOR scopes with clear expectations; one-off work can be bid as projects, often with better specialist fit.
Frequently asked questions
What is an agency of record?
An agency formally appointed to handle a brand's work in a discipline on an ongoing basis, usually under a retainer.
When is project work better?
For defined needs: specialist channels, one-off campaigns, tests, or capacity peaks.
Can an AOR and project agencies work together?
Yes, with clear roles. The AOR often leads strategy and coordination, while project partners deliver specific pieces.
Sources
External guidance and platform documentation change. Links were current at publication; check them again before relying on them for a decision.
Editorial note. Analysis and frameworks are the author's own and do not represent Acxiom or any current or former employer, client, or named platform. Examples labeled hypothetical or illustrative are not results from real campaigns. Nothing here is legal, regulatory, or medical advice.
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