As AI cuts production costs and multiplies the output of small agency teams, a new model is emerging in Singapore: revenue-sharing, where the agency earns only when the client sells.
SINGAPORE – Media OutReach Newswire – 14 September 2026 – For decades, the marketing agency business model has rested on one assumption: producing campaigns is expensive, so clients must pay fixed monthly retainers regardless of results. Artificial intelligence is dismantling that assumption from two directions at once — cutting what it costs an agency to operate, while multiplying what a small team can produce.
The savings start in places clients never see. Administrative work that once consumed billable hours — invoicing and quotations, client reporting, campaign documentation, scheduling and follow-ups — can now run largely on AI systems, stripping overhead out of every account an agency manages.
The bigger shift is in production itself. In video, AI now handles the foundation of the edit — assembling rough cuts, syncing footage, generating captions and preparing ad-ready variations — before a human editor applies the judgment, pacing and finishing that machines can't. What once took an editor days takes hours. The same applies to design and ad creatives. The result: a small team's production capacity multiplies while its cost per campaign falls.
That double effect — lower cost, higher capacity — changes what an agency can afford to offer. When servicing an account no longer carries heavy fixed costs, those economics can be passed on to the customer: instead of a large retainer that pays for activity, the agency can charge a minimal base fee and earn its real income as a share of the sales its campaigns generate.
Singapore agency touchmkt has built its business on this model, charging SME clients a low base retainer that roughly covers production, then earning 5–9% of the revenue attributed to its campaigns — tracked through conversion tools that tie each sale back to the ads that produced it.
"The economics simply didn't work before," said Charlie Tan, founder of touchmkt. "If every account carries thousands of dollars in production and admin costs, you have to charge for it whether the campaigns perform or not. When AI takes out the cost and multiplies the output, you can afford to be paid on outcomes. For the first time, the agency's goals and the client's goals are actually aligned — we only do well when they sell."
The model does demand discipline: rigorous attribution, and the agency absorbing the risk of campaigns that underperform. But for small businesses long wary of paying retainers for activity rather than results, the direction is clear — AI hasn't just changed how marketing is made; it's beginning to change how it's paid for.
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Touchmarket LLP
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Reinsurance panel carries an average A+ financial strength rating from AM Best or S&P; treaty deepens security behind each financial guarantee Verdant Rock issues and unlocks capacity for future growth
HAMILTON, BERMUDA – Media OutReach Newswire – 14 September 2026 – Verdant Rock Limited ("Verdant Rock"), a Bermuda‑based Class 3B insurer and financial guarantor focusing on emerging markets, has closed a 30% quota share reinsurance treaty with a panel of leading global reinsurers. The panel carries an average financial strength rating of A+ from either AM Best or S&P, marking a significant milestone for the company less than a year after receiving its Class 3B insurance license from the Bermuda Monetary Authority.
The treaty supports Verdant Rock's portfolio of irrevocable, unconditional and on-demand financial guarantees on private corporate, structured and project finance exposures across emerging markets. By sharing 30% of risk with highly rated capacity providers, Verdant Rock further strengthens its balance sheet, diversifies its capital base and enhances scalability for future growth.
"Securing a reinsurance panel of this caliber, rated A+ on average, at this stage of our development is a strong validation of our underwriting framework and our approach to governance. Every guarantee Verdant Rock issues now carries an additional layer of security from counterparties that have spent time understanding and believing in what we are building. We are grateful to each panel member for their confidence in us." — Tolga Uzuner, Co-Founder, Chief Executive Officer, Verdant Rock Limited
This announcement is (i) for information only; (ii) not an offer or solicitation to buy or sell any security, insurance product, or financial guarantee; and (iii) not for distribution in any jurisdiction where to do so would be unlawful. Forward-looking statements are not guarantees of future results, and Verdant Rock undertakes no obligation to update them. A credit rating is not a recommendation to buy, sell or hold any security and may be subject to revision, suspension or withdrawal at any time by the assigning rating agency.
Hashtag: #VerdantRock
The issuer is solely responsible for the content of this announcement.
ABOUT VERDANT ROCK
Verdant Rock Limited is a Bermuda‑based insurance company regulated by the Bermuda Monetary Authority as a Class 3B Insurer. The company currently holds a BBB+ Long‑Term Insurer Financial Strength Rating with a Stable Outlook from Fitch Ratings. It provides Basel and ICS-family Solvency regimes compliant, investment‑grade financial guarantees on private credit exposures in emerging markets, designed to qualify as eligible credit protection under Basel and major insurance solvency regimes for banks, insurers and institutional investors globally. The company focuses on private liabilities and does not cover sovereigns, municipalities or provinces. Its remit covers bonds and loans issued by emerging market corporations and banks, structured financings, asset-backed (ABS) and mortgage-backed (MBS) exposures in securities or loan format, and project finance.
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