Advertising Media Planning

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48 TYPES OF ADVERTISING AGENCIES

CHAPTER

8

TYPES OF ADVERTISING AGENCIES
CHAPTER OUTLINE
Advertising agents were initially established to sell space on behalf of newspapers in the early 1800’s in England. As product owners started to realize that they need to draw the market attention to their products, advertising became a very important part of their business process. As print media’s technology evolved, illustrators and designers were employed to make print advertising more interesting. As the marketing science matured, the whole process of advertising was getting very complicated,therewasmoresignificantneedtogetimpact,attractconsumersandconvince them the merits of the products or services. In response to this, advertising agencies took on more people with specialized skills, and today advertising is a highly specialized industry, helping marketers all over the world creating winning brands. This chapter will discuss the basic services of an advertising agency and then described the different types of advertising agencies, established to cater to the different and complex needs of the increasingly competitive business environment.

OBJECTIVES:
1. To understand the basic elements of an advertising agency in providing service to their clients 2. To understand the different services offered by advertising agencies. 3. To understand the function of associated agencies and consultancies

The advertising agency
“An advertising agency is an independent organization of creative and business people who specialized in developing and preparing advertising plans, advertisements and other promotional tools. It purchases advertising space and time in the media on behalf of their client.” (AAAA- American Advertising Agencies Association) The basic elements of an agency business

Introduction to Advertising | Advertising and Media Planning

STIKOM LSPR - Jakarta

49 TYPES OF ADVERTISING AGENCIES

AccountHandling Competitive business environment demanded more complex marketing communication process. As a result of this the agency’s clients became more demanding and therefore there was a need for some kind of coordination and liaison between the client and the departments of the advertising agency- a need met by the account handler. Advertising Agencies

Account handling

Creative department

Media department

Production department

This the role of the account handling: • Advisetheclientcompanyonhowtheirproductscanbebrandedandpositionedinthe market place to counter act competitors • Responsibleforallclientscontacttoestablishthebroadrequirementsoftheclients. • Brief the various departments of the advertising agency with regards to client requirements • Ensureadvertisingcampaignhelptosolvetheclient’smarketingproblem • Managetheadvertisingbudgetandensurescostsarejustified. • Ensureclientsarehappywithagency’soverallservice. Creative Department Creativity is what really builds an agency reputation. Advertising is about visual and copy elements that attract attention and convince the market to use the brands advertised. Thus advertising creativity is about creating messages that will effectively establish positive brand image and positioning. The creative department is led by a creative director, backed by an art director and copywriter. Media Department Electronic, telecommunications and computer technology resulted in extensive choice of media. Therefore, the media department must undertake extensive research to design an Introduction to Advertising | Advertising and Media Planning STIKOM LSPR - Jakarta

50 TYPES OF ADVERTISING AGENCIES

effective media plan and schedule to deliver advertising messages to the target audience. Then to ensure the best deal budget wise, the media buyers in the media department must gothroughnegotiationprocesswiththemediahouses,asthereisnofixedpriceformedia space and airtime...
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