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Billable Hours Are Dead, AI Killed Them, Here's How To Survive

A new VoxComm report shows agency profit margins have collapsed from a historic 30% to roughly 10% as AI accelerates production and erodes the value of billable‑hour models. The authors argue that agencies must abandon effort‑based pricing and adopt solution‑based monetization anchored to outcomes, subscriptions or performance fees. Four strategic shifts—defining, designing, delivering, and capturing value—are outlined to create a "distinctly scalable" business. Early adopters such as FIG, 72andSunny and Monks already demonstrate the financial upside of this transition.