The following presentation on the structure of an advertising agency was made by Advertising and Public Relations students of Indian Institute of Mass Communic… Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. matter of prime importance. What Are the Functions of an Advertising Agency?. For a successful advertising campaign, the choice of a right advertising agency is . An advertising agency is in the business of providing services and must be managed that way. The five functions of advertising are all essential to the success of an organization. Paid Form: Advertising requires the advertiser (also called sponsor) to pay to create an advertising message, to buy advertising media slot, and to monitor advertising efforts. These agencies are only involved in the evaluation of ad. They are large size agencies which offer their clients a full range of services in the area of marketing, communication and promotion. Such functions are to be performed under the control of a director or vice president or manager. Each has a different outlook and advertising activities. The types of advertising agency include four(4) major types such as:-. These are responsible for all stages of the development of the advertisement. Broadcast Advertising: Television and radio advertisements. However with time, they became more and more complex to give the customers all possible communication. Advertising Agency – Functional Departments and their Responsibilities. For a successful advertising campaign, the choice of a right advertising agency is . (ii) Negotiated Fee – The agency and client negotiate some type of fee system or cost plus arrangement. Ogilvy has rebranded the agency and its new mission to serve as an integrated creative network that Makes Brands Matter. At the time of advertisement, the nature of a product plays a very effective role because it helps to define the target audience related to their product which is sold in the world. Get compensated through media commission, fees, bonus etc. Functions of advertising agency. it must also attempt to generate new business. As outlined in the Quick Win – Create a Multi-Channel Marketing Plan, the purpose of a marketing plan is to define strategies to engage audiences in order to achieve business objectives. An advertising agency is in the business of providing services and must be managed that way. The third function of advertising, increasing salience, happens when consumers see a product or service in everyday life, remember the product or service, and purchase it. These research activities relate to consumers, market and the product. Advertising Industry Structure Preapred by @heleenmills 2. … These types of advertisements are: Print Advertising: Newspaper, magazines, & brochure advertisements, etc. Large advertising agencies, employ specialists who are responsible for the operating of various agency functions. In this advertising agency topic, I will tell you the proper explanation about the meaning, importance, types, structure, and functions of advertising agency. It tackles the issue of managing numerous employees by centralizing authority, making it clear whom everyone reports to:The organization is broken into different divisions — creative, production, client services, or finance. Their structure varies from one another. Advertising Agency Fee Structures. An advertising agency is a service organisation, commonly referred to as a creative agency that is dedicated to planning, designing, and executing advertisements to its clients. Advertising agency helps an advertiser to select a proper media (ad platform) to promote his advertisement effectively. Account Executive: Organizes the resources of the agency to solve the problems of the client. Activities carried out within a typical advertising function, or agency, include audience research, competitor research, ad design and production, content development, media buying and ad performance analysis and reporting. Enhancing the brand image of the company-, Classification of Advertising or Advertisement, Advantages and Disadvantages of Advertising- Subjectquery.com, Financial Activities That Can Push You on the Verge of Bankruptcy, 5 Modes of Transportation with their Advantages and Disadvantages. However, recently with the economic crisis, fees paid to agencies have decreased drastically. 3. These types of agencies decide the frequency and slot of advertisement. … Characteristics Of Advertising. Rather than having an organization within the company, I just start working with other companies. Importance of advertising agency includes 6 various points like:-. Corporate advertising agencies promote organizations, rather than products or services. The effects and outcome of each of the function might be different but the ultimate goal of taking the company to success and the means of implementation are same. Research department – To gather, interpret and analyse data for a situation. Each function, the advertising boasts of, has its own limitations and is responsible for its own effects whether positive or negative. The main departments in an advertisement agency are— 1. Contact Department. The main departments in an advertisement agency are— This is the second important and it means that the choice of advertising agency rest on advertising budget since a large organization can only bear the expenses of an advertising agency. Structure of Advertising Agency. Although, these agencies are totally focused on the development of a particular advertisement. The work related to advertising script, art, and a copy is being decided by this department. The structure of advertising agency includes various things or points to determine the management, planning, account, and IT department of the agency. Private and public sector businesses use advertising agencies when they need help spreading the word about their products and services. Reputation establishes working opportunities. When an advertising agency decides to establish its organizational structure, it … It provides employees the opportunity to develop expertise in servicing difference types of clients. An advertising agency is a self-governed organisation of creative people who study intensively and prepare marketing and advertising plans. They may work for advertising agencies or individual companies.Media buying, a sub function of advertising management, is the procurement of media real estate at an optimal placement and price. In smaller businesses, the scope of a marketing plan is typically annual and for the whole business. Typically, an AE is assigned to just a few (or sometimes only one) of the many accounts on the agency's client roster. Advertising agencies work with client companies who pay them to design, develop and deliver ad campaigns through mass media. These are: – Talent & Creative productions: The basic function of an Ad Agency is providing talent. 4. 65% goes as salary and benefits to the employees. He is responsible for strategy development, He is responsible for understanding client’s business and needs, He represent clients point of view to the agency and vice versa. It delivers various services and performs many functions for its clients, who are advertisers. 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