Digital marketing is the top marketing strategy with more and more people seeking these marketing services. It is therefore important to understand what goes on in pricing, what models are involved and what budget would suit your particular business. Digital marketing pricing is a major factor for many businesses, it will determine what services you will ask for and how to include them in your budget. Having the right pricing model will allow you to have a great value for your business.

On the other hand, having the wrong pricing model will be a waste of time and resources. So let us dive into what digital marketing pricing and packaging models would be best for you and how to go about it.

Top 3 Digital Marketing Pricing Models

 There are many other pricing models out there in the digital world but these 3 are the most common and dominant in the industry:

✅ Hourly

✅ Milestone

✅ Value-based

Hourly Digital Marketing Rates


 Hourly digital marketing works like manual work done by most corporate jobs. You get paid for the time and effort you put forth to the job. The longer you work, the more the pay, you can even get paid for additional hours or overtime.

This type of pricing is also known as blended time as you can charge employees differently depending on their seniority or talent. Hourly digital marketing type of pricing is best suited for those agencies that constantly work with clients who may be indecisive or want revisions made all the time.


✅ Every hour work, you get paid – you can create a flexible time rate of work like an estimate and achieve your money goals.

✅ The aim of the project could be solely based on the hour’s factor more than anything else.

✅ Pricing hourly can protect you from overruns in the future.

✅ Simple to work with.

✅ The pricing is easy to sell to clients.

✅ Can be a lucrative way to make money.


❌ There may be resistance from clients who may perceive your hour’s work to not have been the approved estimates. For example, if the hour’s project took about 4 hours to complete and the clients don’t think it should have, you could be undercooked.

❌ You require a time tracking system to allow for correct billing, otherwise, it may not be possible considering you cannot present an invoice to the clients.

❌ Hourly pricing has its money-making limits. Your price is dictated by the market you cannot charge higher as you can lose clients and low means you are losing.

Milestone Digital Marketing Prices

This is a fixed price model that offers payment according to the output or deliverables of a project. The service provider, in this case, the agency will get paid after the scope of work has been delivered over a certain period and the results are satisfactory. The project is then called a milestone.

This type of pricing model is advisable for those agencies that have a good working relationship with the clients to avoid any cases of fraud during work. It also drops the downtime during disagreements.


 ✅ Unlike the hourly pricing, you can get work done more effectively and efficiently.

✅ For milestone pricing, you can give an actual estimate of the total amount to be paid.

✅ This is very economical for those on a strict budget.

✅ You can also predict cash flow within the agency as the estimated time and amount is done under this model.


 ❌ This pricing model needs to to be able to scope properly or otherwise you may give wrong estimates and lower cash flow.

❌ Payments can easily be withheld when the client is not satisfied with the milestone.

❌ Hourly pricing has its money-making limits. Your price is dictated by the market you cannot charge higher as you can lose clients and low means you are losing.

Value Based Marketing Prices

This type of pricing is similar to the milestone but here the charging is on the results and not what the agency is promising to deliver. It has royalties and commissions charged on revenues for work done. This business model is best for experts in the industry.


 ✅ This model tends to align incentives and goals on both parties.

✅ Has a higher probability of increasing the profits within the agency.

✅ They are the easiest to scope as they are not much focused on time, unlike the other two models.

✅ This is yet the most lucrative pricing model among the 3 other types.


 ❌ The after results are the main determinants without good results, you also don’t get paid.

❌ More difficult to sell this model to clients as they will have to see your portfolio to ascertain you do quality work worth paying for.

❌ Demand has to be high to get high sales and the business can then be lucrative.

❌  Trust issues can also come up with this model.

Digital marketing ad spend will continue to increase in the coming years. This statistic compiled by Forrester Research shows a forecast of digital marketing spending in the United States from 2014 to 2019. The source projected that the spending would increase from 57.29 billion U.S. dollars in 2014 to 103.37 billion U.S. dollars in 2019.

How Much Should a Business Spend on Digital Marketing?

This question doesn’t have a concrete answer as there are many parameters attached to it. This include:

💲The marketing strategy of the business

💲 The vision of the business

💲 Revenues

💲 Capital

💲 Total budget

 Despite these parameters, a shift of about 35% has been seen in business who prefer to use online marketing compared to traditional methods meaning more assets, time and money are being utilized on digital marketing.

 Especially for the B2C, business to customers type of business, online and social media marketing play a huge role in hosting sales, traffic and generating revenue. Statistics have shown that 80% of business spend $50,000 a year on digital marketing with others going an extreme often times greater that amount to $500,000.

You probably would like some statistical data on this information, take a look here.

 How Much do Digital Marketing Consultants Charge? 

Being a consulting agency, it requires you to be a leader in the industry for you to drive people to you. And because of that, professionals can charge high costs. These high costs come about due to the level of experience, the exposure they have, their credentials among other factors.

 Consulting agencies can charge on hourly rates at an average of $100 to even $400 an hour and if you are consulting for a full day, it can be as high as $3500 a day. One factor to note is that this price can be for a localized consulting agency. A bigger more established firm can charge even triple that price. This is because they work on a value basis, what you pay for is what you will get.

 On a study done to determine the rates of consultation, the results were seen to be:

⏲ The average hourly rate for digital marketing consultants worldwide is $140.29 per hour.

⏲ The average hourly rate for US-only digital marketing consultants is $161.57.

⏲ 41.25% of worldwide consultants charge less than $100 per hour

⏲ 27.28% of US consultants charge less than $100 per hour;

⏲ 54.54% of US consultants charge between $101-$200 per hour;

⏲ 18.18% of US consultants in our dataset charge over $200 per hour and 2.88% charge more than $500 per hour.

 A digital marketing consultant can charge you hourly at rates between $100 to $400 plus additional compensations like office space, lunch hours, time off, benefits and equipment to use. Some freelance consultants can charge you a fraction of the price but there is risk involved working with a freelance digital marketer as they may not be certified nor proven and bring no results to the table; which would be a waste of time and resources.

In conclusion, the rates may vary hourly, or even according to the value attached. A good example is where if you employed a consultant on an hourly basis at $150 per hour and they work just 6 hours a day earning $900 but in turn, there is possibility of a major return on your investment. Digital marketing consulting can be a viable option regardless of the cost.

How Much Does it Cost to Hire a Digital Marketing Agency?

Taking a step to hire a digital marketing agency can take a dip in your budget but there are also factors that determine the most you will pay for the service. One factor that highly determines the cost is the experience level

The longer the agency has been in operation the more they dominate the industry and the more they are recognized. Other factors include the size of the business, the package you are looking for plus other factors.

On a general scope, digital marketing cost to hire can range from as low as $5,000 a month to $20,000 a month depending on the pricing package and model.

Lorenzo Gutierrez Digital Marketing Agency Pricing Packages

Minimum  Digital Marketing Package

Our “Basic” package starts at $5,000, and it’s all about rooting your presence. The process will create a foundation for your website, do content development, SEO, mobile optimization and create a digital marketing strategy for you. The package includes:

📈 Initial consultation and campaign strategy meeting.

📈 Customized digital marketing plan created for your business

📈 Ongoing SEO for your website

📈 Regular consultations to refine strategy and implement new initiatives.

📈 Access to Campfire Digital experts for ongoing support

📈 Local search optimization

📈 Website security and maintenance updates

📈 Monthly analysis and reporting

Moderate Digital Marketing Package

Our “Moderare” package costs $10,000 a month for tech support and digital marketing efforts. The package includes;

📈 Ongoing SEO for your website

📈 Targeted social media updates on your primary accounts

📈 Professional blogging campaign

📈 An e-newsletter marketing campaign, including newsletter design and system setup

📈 Social media advert creation and management

📈 Landing page design and lead-generation form implementation

📈 Stock imagery for email, optimized and posted per best practices

📈 Custom graphics for social posts and paid promotions

📈 Directory listing and online profile

📈 management, including local search optimization

📈 Website security and maintenance updates

📈 Enhanced analytics and reporting for better assessment of your campaign


Aggressive Digital Marketing Package

Our “Aggressive” package costs $20,000 a month. We provide the combination of inbound marketing strategies and online lead generation techniques. The package includes:

📈 Growth-driven web design process to continually refine your web presence.

📈 Next-level search engine optimization.

📈 Targeted social media updates on your primary accounts.

📈 Social media ad creation and management.

📈 Professional blogging campaign

📈 An e-newsletter marketing campaign, including newsletter design and system setup

📈 Targeted e-mail promotional campaigns with advanced tracking

📈 Google AdWords campaign setup and ongoing management.

📈 E-book and special content offer creation

📈 Landing page design and lead-generation form implementation

📈 Stock imagery for email, blogs and social media, optimized and posted per best practices

📈 Custom graphics for social posts and digital ads

📈 Directory listing and online profile management, including local search optimization

📈 Multi-channel lead nurturing using marketing automation software

📈 CRM integration

📈 Website security and maintenance updates

📈 Enhanced analytics and reporting for better assessment of your campaign

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Lorenzo Gutierrez
Lorenzo Gutierrez MBA is a Digital Marketing Consultant and is a certified Google Partner. He helps small businesses and corporations grow their revenue online. He does this by mixing passion, innovation, & expertise.