The return from awards activity falls into three categories: new business (award wins cited in pitches and credentials), talent attraction (top creatives choosing agencies with strong awards records), and PR value (coverage generated by shortlisting and winning). Each can be estimated with reasonable precision if you track the right signals.
For new business, track which pitches include awards in credentials slides and what conversion rates look like for those pitches versus others. For talent, survey candidates about whether the agency's awards record influenced their decision to apply. For PR, log media coverage linked to award wins.
Once you have estimates for each category, compare against total awards investment (entry fees plus production costs plus staff time). A ratio of 3:1 or better is a strong case for continuing or increasing the budget. Present this as a proper ROI calculation rather than a narrative.
The Awardy budget planner helps by making the investment side of the equation concrete and plannable before deadlines hit.