Budgeting & pacing
Net vs gross media cost
Gross media cost includes agency commission and fees; net media cost is what the platform or publisher actually receives. Pacing and reconciliation break when the plan uses one definition and the actuals another - a gross plan compared with net API spend looks permanently behind pace.
In practice
Every plan should state whether budgets are gross or net, and which components - platform fees, data costs, taxes - are inside the number. Activation and finance must use the same definition.
Separate the components in reporting so the team can see media delivery and total financial commitment without mixing them.