“Advertising agency is a marketing service firm that assists its client in planning, preparing, implementing and evaluating various activities of advertising campaign.” -Philip Kotler DEFINITION
FEATURES Independent organisation Works for advertisers Composed of creative people Develops, prepares and places advertisement in media Service organisation Commercial organisation
SELECTION OF CLIENTS ADVERTISING PLANNING CREATIVE FUNCTION DEVELOPING AND PREPARING AD COPY FUNCTIONS
APPROVAL OF CLIENTS MEDIA SELECTION AD -EXECUTION EVALUATION - FUNCTION FUNCTIONS
MARKETING FUNCTION RESEARCH FUNCTION ACCOUNTING FUNCTION FUNCTIONS
BENEFITS Benefits of Ad Agency can be classified into two parts: Benefits of Ad Agency to its clients Benefits of Ad Agency to media
Benefits of Ad Agency to its Clients Eliminates the need of advertising department 2.Services of experts 3. Reduction in media cost 4. Helps to solve advertising problems
Benefits of Ad Agency to its Clients 5. Helps in allocating advertising budget more effectively 6. Non-advertising activities 7. Effective advertising campaigns 8. Conducting marketing research
BENEFITS OF AD AGENCY TO MEDIA Procures business for media Ad-Agency collects Dues for media Agency delivers the advertisement in appropriate form to media Helps the media in advertising scheduling
TYPES OF AD-AGENCY 1 2 3 4 5
DETERMINING WHEN YOU MAY NEED TO HIRE AN AGENCY When phone calls from media sales representatives are taking up too much of your time When you’re simply overwhelmed by the myriad details When you no longer have the time, or the energy, to write and produce your advertising yourself
DETERMINING WHEN YOU MAY NEED TO HIRE AN AGENCY When your advertising budget has grown too much When you finally admit that media invoices are written in a secret code that you’ll never decipher, and you want to be assured that you’re getting everything you’re paying for When you want to put a team of highly trained specialists to work, with
DETERMINING WHEN YOU MAY NEED TO HIRE AN AGENCY When you’re eager to have creative professionals generate fresh, new ideas for your advertising When you would welcome the professional creative, account service, and media buying expertise that an agency can provide When your own creative efforts aren’t yielding the results you desire
SELECTION OF AN ADVERTISING AGENCIES The following factors should be considered while selecting an advertising agency : 1. Location 2. Size 3. Agency working for Competitors 4. Image of Agency
SELECTION OF AN ADVERTISING AGENCIES Services offered by Ad-Agencies Rates charged Creative Skills and New Ideas Past record of Agency
SELECTION OF AN ADVERTISING AGENCIES 9.Quality and Caliber of Staff 10.Financially Sound 11.Agency Experience
ORGANIZATION OF AD-AGENCY The organization structure of the advertising agency can be classified on the following basis : Organization of Ad Agency on Departmental Basis 2. Organization of Ad Agency on Group Basis
Organization of Ad Agency on Departmental Basis On departmental basis, organization structure of Ad – Agency may consist of following functional departments: Client Liaison Department Research Department Copy Writing Department Art Department
Organization of Ad Agency on Departmental Basis 5. Media Department 6. Audio-Visual Ad Production Department 7. Accounts Department 8. Marketing Service Department 9. Public Relations Department 10. Evaluation Department
Organization of Ad Agency on Group Basis The main groups in an advertising organization are as follows : Planning of advertising group Preparation of advertisement group Placement and Execution of Advertisement group Marketing Services group