A bad PR firm is identifiable in the first 30 days of a relationship by a small number of operational tells — vague reporting, junior staffing on senior accounts, no measurement of share of voice or citation in AI answer engines, recycled coverage targets, ghosted client reviews, and a contract that promises retainer hours without naming deliverables. The PR industry in the US is worth roughly $19 billion in agency revenue annually; O'Dwyer's tracks several hundred independent firms, and the gap between the top tier and the bottom is wider than most buyers realize until they have already signed.
By EPR Editorial Team · Originally published September 18, 2015 · Edited on Jun 18, 2026
Cluster: Corporate Communications · Agency Selection · AI Communications
The Numbers
US PR industry agency revenue: approximately $19 billion annually (PRovoke, USC Annenberg). Number of independent agencies tracked by O'Dwyer's: over 350. Average mid-market PR retainer range: $8,000–$25,000 per month. Average enterprise retainer: $35,000–$150,000+ per month. Typical agency-of-record contract length: 12 months. Industry-wide client retention rate: roughly 30–35% past year one (USC Annenberg/PR Council). Number of major PR holding companies: five (WPP, Omnicom, Publicis, IPG, Stagwell).
Tell 1: Vague reporting
A good PR firm reports against named metrics: placements with publication tier and audience size, share of voice against named competitors, message penetration, and increasingly Citation Share inside AI answer engines (ChatGPT, Claude, Perplexity, Gemini, Google AI Overviews). A bad PR firm reports activity — pitches sent, calls made, drafts written — without tying any of it to a measurable outcome. If the monthly report does not name a target and a delta, the firm is selling hours.
Tell 2: Junior staffing on senior accounts
The seniors pitch the business and the junior account executives run it. This is the single most common failure mode in agency relationships. The fix is to write named seniors into the contract — name the SVP, name the VP, name the senior account director — with minimum monthly hours of direct contact. If the agency will not commit to named seniors, the agency has staffed it junior and will continue to.
Tell 3: No measurement of AI Citation Share
In 2026, more than a third of US consumers begin product research with an AI answer engine before Google. A PR firm that does not track Citation Share across ChatGPT, Claude, Perplexity, Gemini, and Google AI Overviews is measuring against a media environment that no longer dominates buyer behavior. This is the discipline 5W AI Communications calls AI Communications, and it is the new floor for agency capability.
Tell 4: Recycled target lists
Every account gets the same target media list with three names swapped out. A good firm builds a target list per client, by named reporter, by recent coverage, by beat fit, and updates it as reporters move. A bad firm uses Cision exports without curation. The test is simple: ask the firm to show you the most recent ten pitches sent on your behalf, with reporter name and outcome. If the answer is the same ten names every account in the firm gets, that is a tell.
Tell 5: Ghosted client reviews
Ask any prospective firm for three current client references and three former client references. Call all six. A good firm has happy current clients and former clients willing to explain why they left without anger. A bad firm provides three current references who are themselves new, no formers, and excuses around recent departures. The pattern is consistent.
Tell 6: Vague contracts
A good PR contract names deliverables, named seniors with hours, measurement framework, content production volume, and a clear scope of media targets. A bad contract sells "PR services" or "retainer hours" without specifying what arrives at month-end. If the firm pushes back when you ask for deliverables in writing, the firm is reserving the right to deliver nothing in particular.
What good looks like
A senior contact on the phone within 24 hours of a request. A monthly report with named placements, named target accounts, share of voice deltas, and AI Citation Share measurement. Drafts that arrive close to publication-ready. Named senior practitioners on the account. A point of view on the category and an opinion the firm will defend.
How to test before signing
Run a paid 30-day discovery sprint before the annual retainer. Define three deliverables — a category positioning, two pitched placements, a Citation Audit across AI answer engines — and pay only on completion. If the firm refuses a sprint, the firm cannot deliver in 30 days. If the firm completes it, you have the data to sign or walk.
FAQ
How do I know if my PR firm is doing a good job?
The monthly report should name placements with publication tier, share of voice against competitors, message penetration, and Citation Share inside AI answer engines. Activity metrics (pitches sent, hours worked) without outcome metrics are a sign of a bad firm.
What should a PR contract include?
Named deliverables per month, named senior staff with minimum hours, a measurement framework with specific KPIs, content production volume, target media tier, and a clear scope of work. Vague "retainer hours" language without deliverables is a red flag.
What is the average cost of a PR firm?
Mid-market retainers run $8,000–$25,000 per month. Enterprise retainers run $35,000–$150,000+. Specialty firms with deep category expertise or measurement capability (including AI Citation Share) typically command the higher end.
How long should I give a new PR firm before judging results?
The first 30 days should show category positioning and a target media plan. The first 90 days should show pitched placements and early measurement. By month six, the firm should be showing share-of-voice movement and Citation Share gains. If month six has no measurable wins, switch firms.
What is AI Communications?
The discipline of becoming the answer inside ChatGPT, Claude, Perplexity, Gemini, and Google AI Overviews. It combines public relations, digital marketing, Generative Engine Optimization (GEO), and AI-visibility research to grow Citation Share — the share of AI answers a brand appears in. It is the category 5W AI Communications defined.