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Ad Agencies Types

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8/14/2019 Ad Agencies Types http://slidepdf.com/reader/full/ad-agencies-types 1/30  TYPES of AD TYPES of AD AGENCIES AGENCIES
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TYPES of ADTYPES of ADAGENCIESAGENCIES

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Artists

Ad Agencies Have Skilled Specialists

Writers Researchers

Photographers Media Analysts Other Skills

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Creatingadvertising

Planning

advertising

Producingadvertising

Performingresearch

Selecting media

Salespromotions

Strategic marketplanning

Directmarketing

Interactivecapabilities

Planning

advertising

Creatingadvertising

Producingadvertising

Performingresearch

Selecting media

Strategic marketplanning

Salespromotions

Directmarketing

Package design

Package design

Full-Services Agencies

Full range of marketing

communicationand promotion

services

Nonadvertisingservices

Public relationsand publicity

Interactivecapabilities

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Typical Full-Service Agency Organization

WritersArt directors

TVproduction

Traffic

Print

production

VP creativeservices

Account

executive

Accountsupervision

VP accountservices

Media Research Salespromotion

VP marketingservices

Personnel

Accounting

FinanceOffice

management

VP management

and finance

President

Board of directors

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4 functions of full-serviceagencies

• account management

• creative• media planning and placement

• research

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Services Provided by Agencies

Agency Services

The link betweenagency and client

Managed by theaccount executive

Researchdepartment

May includeaccount planners

Media departmentto obtain mediaspace and time

Creation andexecution of ads

Copywriters,artists, other specialists

MarketingServices

AccountService

CreativeServices

MarketingServices

AccountService

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• liaison between agency and client

• responsible for understanding...– the client’s business– the client’s marketing needs

– strategy development• representing client point of view

within the agency

account management 

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The Role of Creative Boutiques

CreativeBoutiques

Provide only creative services

Full-service agencies maysubcontract with creative

boutiques

Provide only creative services

Full-service agencies maysubcontract with creative

boutiques

Ability to turn out inventivecreative work quickly

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•  responsibility– the creativ

• strategy is k– good creativ

Creative Department

the creative departmentthe creative department is responsibleis responsible

for creating and producing the print andfor creating and producing the print and

broadcast advertisingbroadcast advertising

•strategy is keystrategy is key

good creative workgood creative work is always guidedis always guidedby aby a creative strategycreative strategy that sets forththat sets forth 

goals to be accomplishedgoals to be accomplished andand keykey

message pointsmessage points to be relayedto be relayed

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Specialize in buying media,especially broadcast time

Agencies and clients developmedia strategy

Agencies and clients developmedia strategy

Specialize in buying media,especially broadcast time

Media Buying Can Be Specialized

 MediaSpecialist

Companies

Media buying organizationsimplement the strategy and

buy time and space

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media department

• The media department has two mainfunctions - planning and buying. 

TheThe planning group planning group handles more strategic marketing and handles more strategic marketing and 

media issues.media issues.

TheThe buying groupbuying group handles media negotiations and handles media negotiations and 

implementation.implementation.

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• media director

• associate media directors• media supervisors

• media planners• media buyers

• media analysts

Analysts

Media

Planner

Media

Buyer

Media

Supervisor

Associate

MediaDirector

Media

Director

MediaMediaPlanPlan

media department

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•  mega-agency media departments

have now become profit centers • agencies have set up their mediadepartments as free-standing units 

• many large clients now look atmedia as a separate service 

big changes in the

media department

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Research Department

• interpret market environment –  gather and analyze research data.

– primary and secondary techniques •  determine consumer needs/perceptions

–  understand problems 

•  advise how ads can meetstrategic goals

–  help find solutions

ResearchResearchReportReport

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Research Department

• interpret market environment –  gather and analyze research data.

– primary and secondary techniques •  determine consumer needs/perceptions

–  understand problems 

•  advise how ads can meetstrategic goals

–  help find solutions

ResearchResearchReportReport

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• research director

• research project managers

• research assistants

• outside researchspecialists

Research Department

ResearchSuppliers

Outside

Research

Assistants

ProjectManagers

Research

Director

ResearchResearchReportReport

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auxiliary agency functions

• account planning

• strategy/creative review board• office management– human resources

– legal services– accounting

– recruitment

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Choosing an Advertising

Agency• In selecting an ad agency, the internationalmarketer has several options:1. Work with the agency that handles the

advertising in the firm’s home market.2. Pick a purely local agency in the foreignmarket.

3. Choose the local office of a large

international agency.4. Select an international network of adagencies that spans the globe.

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Choosing an Advertising

Agency (contd.)• When screening ad agencies, the followingset of criteria can be used:– Market coverage

– Quality of coverage– Expertise with developing a central

international campaign

– Creative reputation– Scope and quality of support services

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Choosing an Advertising

Agency (contd.)– Desirable image (“global” versus “local”)

– Size of the agency

– Conflicting accounts

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Choosing an Advertising

Agency• The Agency must be Well Known.

• Agency must have creativity in pursuit.

• Agency must have good antecedents withrich work experience.

• The Accounts Executive in the ad agencymust have the ability to understand the

Client’s problem.

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Choosing an Advertising

Agency• Before soliciting ant agency, theadvertiser should ascertain the

number of clients gained and lost byproper scrutiny.

• There should be a compatibility 

between the sponsor and the adagency.

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Choosing an Advertising

Agency• The most important aspect considered forselection is ability of the ad agency to make asuccessful presentation.

• Lastly, ad agency are selected based on factorssuch as whether they have1.ability to conduct MR2. whether they have a consumer orienteddependable approach

3. whether they have a media understanding.

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Acquiring Clients by

Agency• Referrals

• Solicitations

• Presentation

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Losing the Client by

Agency• The Client is unhappy with the Agency’sperformance.

• Clash between Agency and Client.

• If the demand made by client is notfeasible.

• Lack of communication between the agencyand the client.

• Client’s change in marketing strategy, leadsto change over or abandoning the Agency.

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Coordinating International

Advertising• Global or pan-regional advertisingapproaches require a great deal ofcoordination. The following mechanisms can

help:– Monetary Incentives (cooperative

advertising)– Advertising Manuals (brand book)– Lead-Country Concept– Global or Pan-Regional Meetings: Six

guidelines to implement a global or pan-

regional advertising approach include:

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Coordinating International

Advertising (contd.)• 1). Top management must bededicated to going global.

• (2). Use a third party (e.g., the ad

agency) to help sell key managers thebenefits of a global advertisingapproach.

• (3). A global brief based on cross-border consumer research can helppersuade managers to think in termsof global consumers.

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Coordinating International

Advertising (contd.)• (4). Find product champions and givethem a charter for the success of theglobal marketing program.

• (5). Convince local staff that theyhave an opportunity in developing aglobal campaign.

• (6). Get local managers on the globalmarketing team -- have them do the job themselves.


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