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ADVERTISING A G E N C Y

Advertistng
Agency: the distance
nce
ofan role of closing
Meaning
agencies play a major the size and thal
on
Advertising
the media: Depending
advertiser and services to the advertisers.
between the
it offers various and marketing
nature of the agency,
is not like
production
seasonal job. It throughout the
Advertising is
a
the assignments available
business has for one or more
work where the nmay
continue
one ad campaign is found
year. In advertising, ad department
a full-fledged
Therefore, maintaining done by ad agencies
years. advertisers get the ad work
uneconomical. Mostly mäkes the creative and media
ad agency th¡t
is it
A unique aspect of market research and is even
decisions. It also often supplies
supportive
Advertising is a service
agency
involved in the total marketing plan.
companies prefer to use the services of such
organisation. Large
agencies for extensive and effective advertising,
skilled, professional listen are
Similarly, large majorityof advertisements that we see or
advertising
channelised through advertising agencies. In fact,
represent the core of the advertising profession. A füll
agencies
service agency has many similarities to a large medical
clinic. Each has
expertS,
a variety of specialists. The agency has writers, artists, media
researchers, television producers, account executives and other experts.
and
Agency specialists work together to analyse the clients business
prescribe a course of action to keep the business healthy.
Definitton of an Advertistng Agency:
(1) The Armerican Association of Advertising Agencies, (AAAA
defines advertising agency as "An independent business organisatton%
composed of creative and business people, who develop, prepare and plat
advertising in advertising media for sellers seeking to find customers jor
their goods and services."
(2) The American Association of Advertising Agencies, (AAA
(AAAA)
defines an ad agency as "Service consists of interpreting, tothethe public
pubne or
to that pat of it which is desired to reach the ct or
ddvantages of a prount
service.
ganisation or
(3) H.
(3) H. W. Hepner defines ad agency as "a professional organisation
undertaking that on a commission or fee basis, assist clients in planning
Advertising Agency 263
preparing. placing and checking advertisements. It provides the speciaised
knowledge, skills and experience needed to generate efective advertising
plans and complains."
Epolution of AdAgency:
) Space Broker Stage: The advertising agency originated in the
USA. The first advertising agency was started as a space broker,
by Volney B. Palmer in Philadelphia in 1841. He was acting as an
agent, providing space to advertisers in the newspapers on
commission basis. In the course of evolution, advertising agencies
have grown in size and services. Gradually creative services were
offered by such agencies and at present ad. Agencies offer an
integrated package of advertising services to their clients. This
includes planninig of ad campaign, preparation of copy, contact
with media, guidance to clients relating to price, promotion,
brand, packaging etc. and finally conduct of research activities for
the benefit of clients. The evolution of advertising agencies is an
interesting story of more than 150 years. The popularity of such
agericies is fast increasing throughout the world due to high
quality services offered by mega advertising agencies
) Standard Service Stage: In 1876, N.W. Ayer & Sons an
American Agency devised a plan which eventually minimised the
dubious practice of brokering advertising spacè. Ayer entered into
agreements with advertisers whereby they promised to place all
their advertising through the agerncy. In turn, the agency bought
space for its cliens only at established rates as publjshed by
newspapers and magazines. Thus the agent became a buyer
instead of seller
represeriting the best interest of the advertiser a

of space for the publisher.


As this artangement became common, there began competition
between agencies for attracting clients. In view of growing
services
Competition the agencies started undertaking standard
ike campaign planning, copywriting, artwork, layout,
media
clients for reasonable
selection and research on behalf of their
remuneration. Qver the next few decades, advertising agencies
and added many
nproved the quality of their services to clients
more services.
some agencies
gency Recognition Stage: As competition grew,of commission.
rted allowing rebates to their clietits by way with reduced
t o this, agency bu_iness became unprofitable or
Advertising (Goa) Ad
264 Co. promulgated
the Curtis Publishing its 9
returns. In 1901, rebate practice
recognition policy to compat
the
All
agency advertisers the rates prescribed by the
had to charge
agencies ditect placement of ads by the
advertice
publications. Further,
was stopped. Therefore, the onlysensible course of action for an
advertiser was to use an ad agency

Marketing
(4) was Service Stage: Heréafter the growth of advertising
rapid. Industrialisation all over the world was an important
factor in this process of growth. By 1950s the agencies began 4
offering more varied and highly skilled services to their clients
4)
taking consumer psychology into account when creating ads, as
well as furthering the role of advertising in the marketing-mix by
coordinating it with other marketing practices and producers. Ad
agencies thus entered the marketing service stage from which (5)
evoked the présent day full service agency which is the
representative of several large ad agencies throughout the world
today.
(5) Multi-faced Services: The 21st Century witnessed the rise
global business and àd agencies were expected to offer a range of 6)
services apart from media of
buying and ad planning. Internet
marketing. social marketing, direct
marketing, sponsoring sports
events and so on put
additional burden on ad agencies to prepare
social-oriented messages.
need of the hour. Over Thought-provoking
and
copy has become the7)
required to undertake researchabove
ad campaign, the
agency 15
activities.
collaborations have also become quite Mergers, takeavers and
regular.
NEED/PREFERENCE FOR ADVERTISING AGENCY
(1) Expert Services throughSkilled Personnel: An
agency appoints expert staff such as copy advertisin8 (1
art designers and film makers. It writers, media planners
provides
advertiser and offers the benefits of the servicesexpert services to the
fAleld of advertising. This rajses of experts in the
are introduced for
creativity in advertising, New ideas
making advertising 2
target-oriented. consumer-oriented ana
(2) Economical Services: An advertiser finds it economical to
employ an adyertiSing ageniCy rather than maintain a fulI fledged
advertising department. Moreover, the internal advertising
advertising
department may not be abie to provide diversified services.
Advertising Aency 265
wide Range of Services and Study of Marketing Problems:
Ad agency provides wide range of services to its clients. Such
services
services include
include marketing research, product renovatjon,
of suitable brand, and so on. These services
are in
introduction
such as preparing copy and booking
addition to usual services
Even the marketing problems of clients are
Space in media.
are suggested by the
analvsed objectively and remedial measures
ad agencies.
maintain close and cordial contacts
4 Media Contacts: Ad agencies time and
advertising media. An agency can book suitable
with the effectiveness of
in the media for its clients. This raises
space
advertising campaign.
An ad agency offers the benefit of its
5) Creativity in Advertising: introduce new
experience to its clients. It can
and past
expert staff of its clients for better appeal
ideas while introducing the products
professional touch and creativity in
to consumers. It brings

the entire advertising activity.


exactly what makes
an
know
Innovative approach: Ad agencies
contributes to failure. They
are
6) and what
adver isement click and help the
take advantage of rich experience
better placed to
advertisers with innovative campaigns. another if
can shift from one agency to
) Flexibility: An advertiser advertiser maihtains
the services. When the
he is dissatisfied with all to close it down
it is not at easy
advertising department
of employees.
because it involves dismissal

AGENCY
ROLES QF ADVERTISING
is
time: One vital roles of ad agency
of the
)Booking Space and time in various media on behalf of
to buy advertising space
and
their goods
helps to find custonmers for
different advertiser which
and services. the
is not owned by
4) Objective viewpoint: As maintain the agerncy meet
objective viewpoint to
to
agvertiser, it is possible business. If an
advertiser has
the advertiser's
E requirements of department it can never attain this
level of

Own advertising Qbjective


assessment of his media needs.
Djective and impartial in helpin8
will go a long way
business the
fair evaluation of the certainly
a s h o r t - t e r m loss,
case there is
d v e r t i s e r . In
Dusiness will profit in the long-term.
Advertising (Goa)
266
business people as well as
Ad agencies employ
(3) Pool of talents: Business people will consist of administrators,
creative people.
etc. Creative people will consist
accountants, marketing executives viusalisers etc. The
researchers,
of media and market analysts,
maintains cordial relations with professionals and
agency
freelancers who accept challenging assignments.
Such
visuals, shoot photos, and retouch art, record
professionals create
is ensured that the work
sound and print brochures. It
future flow of advertising
accomplished is of class to guarantee
responsibilities.
(4) Media connection: As ad agencies receive diversified ad
relations with
Campaigns, they are expected to maintain sound
print, electronics and digital media. They reseafch, negotiate,
arrange and finalise contract for
commercial space and time. It is
acceptable to the media owners also because they get regular
business from the agency, They need not worry about space and
time remaining utilised. Moreover the clients are also assured that
their ads will appear at the time and in the media of their choice.
(5) Extends expertise: Ad agencies are committed to the welfare of
the advertisers, Their moral, ethical, financial and legal obligation
is to their clients. The agencies can create more effective
advertising and select more effective media that the advertisers
feel safe to utilise the services of ad agency for expert and
objective counsel and creative skills.
(6) Custom-made offer: Ad agencies are exposed to different
marketing practices and are comfortable in executing individual
order e.g, when the advertiser wants his print media ad to appear
in (combination of English and Hindi languages),
Hinglish
agency is competent to execute the order. Likewise, if the
the
advertiser desires to advertise in rural areas, custom-made ads are
made available. Hence, ad agencies are highly geared to offer
individual services.

UTILITY OF AN ADVERTISING AGENCY


An advertising agency is a team of experts appointed by clients
to plan, produce and place advertising campaign in the media. It is
called an agency because literally it is an
agent of the media who pays
it the commission and the media thus becomes the
principal. The
Advertlsing Agency
267
o doubt, warks for the
nno
Agency, client but draws its sustenance from
h e media.

A modem advertising agency offers specialised services that are


ecessary to produce an effective advertising campalgn. It has writers,
e media planners, researchers,
prtists, media radlo and television
es
ccount executives and so on. All such specialists work producers,
derstand fuly
together to
fully the advertiser's requirements of an advertisement
pnderstand
ampaign and develop suitable advertising plans and strategies, By
reating suitable advertisements and delivering them through
ereating
ppropriate media, the agencies implement advertising plans and

trategles.
An advertising agency is so much useful in modem marketing
ctlvities that it has almost become indispensable for modem trade and
próminent position in the structure of
industry. Agenciés occupy a
aid
yarious aids to trade. Since adyertisirig itself serves as important
an
as the
to trade and comierce, advertising agencies can be termed to business
medium thtough which such aid can be made available
enterprises.
Association of
Agency service as defined by the American
the public benefits of
Advertising Agencies consists of interpreting to Association is based
the product. This interpretation according the
to
upon the following.
the
of the client's product or service in order to determine
la) Astudy in the
inherent itself and in
product
advantages and disadvantages
its relation to competition,
and potential market for which the
0 An analysis of the present
product or servicé is adapted
(1) as ta location,
(1) as to extent of possible sales,
(lil) as to season,
v)As to trade and economic condition,
competition.
AS to nature and amournt of and sales and
their
() Owledge
Aknowledge of the factors of distribution

methods of operation. whlch can

(d) Aknowledge of all the available


media and
means

of the product
or

interpretation
profitably be used to carry the
wholesaler, dealer or
other factor.
any
service to Consumer,
To cO
268
Advertlsing (Goa)
(e) Formulation ofa definite plan and presentation ofthis plan to the
client
() Executlon of this plan:
of advertisement or other
Writing, designing, illustrating
appropriate forms of the message,
(i) Contracting for the space.
incorporation of the message in mechanical form
(lil) The proper
it with instruction for the fulfillment
proper
and forwardirig
of the contract.
(tv) Checking and verlfying of
insertions display.
(v) The auditing, billing
and paying for the service, space and
preparation.
the clients' sales workforcë, to ensure the
(g) Co-operation with
greatest effect from dvertising.
without
Many small advertisers work directly with the media
losing an agerncy. Local car dealers, estate agents etc. supply 'copy
the artwork
direct to local newspapers, do the typestting and produce
ready for printing.
However, most of the major advertisers utilise the services of
one or more advertising agençies for parts of their advertising
prográmmes, The success of advertising depends on the contribution
made by these specialists.
So whether to use an agency or not is a matter for individual
companies to decide for themselves. As a broad indication, a company
with a wide range of highly technical products callirig for speclal
writing skills, by technically informed people, but where clear
presertation is more important than exciting creative approaches may
often opt for a 'do-it-yourself approach, A
company depenaent
developing a High level of awareness of its products through a branu
image' is more likely to hire specialised talent, when this need is allied
to a requirement for medla buying skl|ls, then an agency is likely to e
the answer.

FUNCTIONS OF AN ADVERTISING AGENCY


(1) Collection of Cllents/Advertisers:
Clients
agency which provides wide varlety of services normally prerct
the agency must maintain efficiently. For
expert staff and provide prompt
provide
pra
services to the clients. Personal
contacts with patenfia.
Adverelalng Agency
269
advertisers, contact with company executlves and
service tq existlng cllents are some satisfactory
more cllents. New business acts as
more
techniques useful for collecting
a life blood of an
advertlsing Agency.
2) Advertlslrng Planning: AN
advertlser
responsiblity of advertistng planning tonormally
transfers the
the ad agency. The
agency has to develop advertising plan and execute the same
through Its organisation. For thls, the agency needs
knowledge of the cllent's products, its advertising hlstory,thorough
a
market
conditions, the distributlon methods used by the cllent, the
products of competitors and so on, The agerncy may þe required to
conduct extensive market research whlle preparing such
advertlsing plan.
(3) Accqunt Planning: Account planning uses research to bridge the
8ap between account management and creatives. The account
plannet defends the consumer's polint of view. Petsonal interviews
are heavily relied upon by the account planners to study
consumer needs and desires. They enable cretive team to
translate thelr findings into imaginative siccessful campaigns.
Account planners ensure that research findings are reflected in the
ads. The consumer rather than the advertiser is placed at the
centre of the process, This effort changes the task from simply
creating an advertlsement to nurturing a relatlonship between
consumer and brand, Account planning helps the agency to get
bigger accounts.
4) Media Selection: While selecting the media, the cost ánd the
availability of right audience should be given special attention.
which
Media selection is actually media planning function,
selection of media
involves (a) selection of sultable media, (b)
and (d) the date and
vehicle, (c) preparatlon of media schedule
time of publishing/announcing the advertisement.
is the most
)Creatlve Functlons: Creatton of advertisement
staff. It involves varlous
important functlon which requlres expert
illustration, layout, drawing
activitdes such as copy writng, message to be given
to
advertising
photographs and preparlng the of creatiye
is glven to a group
Consumers. This créative function and
wrlters, àartists, designers, producers
people including copy copy should lgok like it w¡s written
8raphic art specialists. Adnon-yerbal commuriicatlon, This is the
wIth ease. Ads also yse
directors, graphic designers and production
esponsibility of art
270 Advertlsing (Goa)
the açis verbal a1) 4 Vlsual
artlsts who deterntlne how bols will ))
and artlsts
ft together. The ageney's copywrlters work as
creatlve team under a creative director, Euch team
team Is
1s en
entristed
wlth a partleular cllont's business.
(6) Research: Research ls one more supporting function undetal,.
by advertislng ageneles. Here, the agency collects, analyses and
ken 5)
draws concluslons us regards market sltuatlon, products,
competltlon, buyers' preferences and current marketirng trend
This Informatlon Is useful to the agency whlle conducting other (7)
functlons (e.g, advertisement creatlon and media selectlon) more
purposefully,
(7) Sales Promotlon: Advertlslng agencles also Conduct marketing
functlons such as selecting target consumers, determining prices (8
and discounts, deslgnlng products ancd packages,
developing sales
promotion strategles and so on, These functidns are useful to
Advertlsers ln promotlng sales.
(8) Co-ordinatlon: The ad agency brlrigs proper co-ordinatlon
between the client's salesforce and the dlstrlbutlon network with
the advertisement
programme to be Introduced for
promotlon. Such co-ordinatlon between the advertiser, sales
the
agency, the medla and the distrilbutors plays an important role in
promoting sales.

SERVICES OF AN ADVERTISING AGENCY


(1) Economical advertising: An
advertiser to advertlse hls advertising agency enables
(2) Preparatlon and executlon products effectlvely and economicauy
of advertlsing
plan: An
agency prepares and executes advertisitg
in a advertlslng
systematic manner. It also relleves the plan for lts clien
botheratlon of keeplng continuous advertlser from tn
contact with medla
(3) Benefit of profeslonal owne.
servlcea1 It provldes the beneflts Its
professional skll», experlence and maturity to the o
thereby makes hls advertlslng Ce
Impresslve and result-orlented. and publlcity prog programme

4) Proviston of research
facilltles: Advertlalng agency at its
onducts

marketing research actlvitles as o.


cllents. additlon, t also
In per the
requlremernearch
actlvities ta its cllents, It canprovides the beneflts ot lts research
Its of
sfor
les for
the products to be sold aut in deslgn trademarks and lad
the market.
Advertising Agency
271
S) Use of expert staff:
activitles Advertising agency performs advertising
of its clients in
staff, media contacts and satisfactory manner due to expert
a

client in terms of sales long experience. This gives benefit to the


turnover.
6) Budget control: Advertising
his advertising agency assists the advertiser in using
interest of the
budget economically and also in the best
business.
(7) Supports sales promotion programme: The advertising agency
brings success to the sales
jpromotion programme of its client.
It provides
necessary ássistance and also brings necessary co-
ordination in the activities of salesforce, distributors and so on.
(8) Guidance to clients: Advertising agency offers guidance to
its
cllents in relation to non-advertising activities such as selection of
target consumers, determining prices and discounts, designing
products and packages, introducing suitable sales promotion
measures at dealers and consumers levels and so on. The ad
agency acts as a marketing advertiser and consultant of its
clients.

TYPES OF ADVERTISING AGENCIES


(1) Specialised agencies: Some agencies do not follow the
traditional full-service agency approách. They either specialise in
certairi functions like copy writing, media buying and production
art or concentrate on certain audiences such as women and youth
B2B
or cater to certain industries such as health care, agriculture,
communications, computers or certain specific market segments

based on demographic psychographic segmentation. Some ad


or
to
in one type of advertising campaign e.g..
agencies specialise arly ad
departments pnly or to
take
up campaign
Work for government
can function provided
for the service sector only. Such agencies
there is regular business. own
an organisation's
These operate within
14)in-house agencies: department is replaced by in-
departmental structure.
Advertising
take responsibllity for planning,
house ad agency. They the organisation's awn mârketing
implementing
developing and
over
better control and access
There is the
communication activities. are appointed by
personnels and activities
when ad personnels income from the
income from
can generate
will
organisation. The agency the media. Agency personnels
from
COmmission it receives
272 Advertlaing (Gon
pröducts, serylces
haye good understanding of the The advertiser
and

which the business operates.


nurket
arketsn tln
becomes ef
depehdertt and the
work becomes economlcal. In-house self
Agencles
may lack abjectivity due to over-famillarlty wth the marketing
department.
agencles: Some ad agencles that provlde dit..
types service
(3) Full of markeing services are called full service agencles
eren
uch
services would include medla planning, copywriting, flm
shooting, music, ëditing, marketing research etc. These gencles
normally get the work done through freelancers.
(4) Modular agencies: In case of modular agencles, they are
are
prepared to perform only a part of.advertising responsibllity e.g,
copywriting whlle other related Work the adyertiser gets it done eg
from some other ad ageney. Payment is based on actual work
done
(5) Creative boutiques: These are similar to specialist agencies and
undertake only creative functions such as illustration, layout,
drawing photographs, media selection, selectiorn of media vehlcle
etc. They bjll the advertiser on the basis of actual work completed
Advertisirnig business is always exposed to stiff competltion.
Survival of creative boutiques is dificult. Hence they often tie up
with other agencies. Their mission is to develop exciting
creative
Concepts and produce fresh, distinctive advertising mes8ages
Advertising effectiveness depends on originality in concept, design
and writing No doubt, they are economical but they do not
provide research, customer analysis, sales expertise or marketing
that full-sèrvie agencies offer. The role of boutiques is limited in
executing a sound advertising package.
Freelançers independent creatíve people who are sg
are
employed. They take assignments from an agency
ncy on
on project-to
projece
project basis. Freelancers can be considered one-person bou
They specilize in copy writing, art direction,
artwork. photograpy
(6) Direct Response agencles:Direct Agencies provide
-
Response Agenei
a number of services such as database management, Their
1ail

research, media services, creative and production activiuc


primary job is direct mail and databa_e inanagement. i
agency mainly maintains three departments: accounts

department, creative department and media departmei Most


direct response agencies are compensated on a fee Dasi
dvertlslng Agency
273
Interactive agencies: With the remarkable
and increased interests in growth of internet
new breed of speçialists integrated marketing communicatlons, a
called
in USA. They are specialists in interacive agency has developed
fun involving information designing Web
rnch online pages and creating
global marketing. Indjan business advertising. They cater to
interactive agencies to develop and represents
flourish.
vast
opportunity for
RMedia independents: A çombination of the growth of television
sales houses,
the increasing fragmentation and complexity of the
media market and the client's desire to control media costs led to
the developmernt and growth of media independents. The media
specialists of today are used to working with companies dedicated
to the busihess of media planning and buying, whose media staff
are the lifeblood of agency. Media independents provide specialist
media services in the planning, buying and monitoring of client's
media schedules, particularly in TV and radio. Agencies and
clients will determine their media requirements and pass on these
to the media independents who negotiate and purchase
advertising time. Because of their business standing, they can
negotiate larger discounts on behalf of their clients.

ORGANISATION STRUCTURE OF
AN ADVERTISING AGENCY
-

structure.
Anad agericy needs suitablë internal organisation
structure with
Every agericy has to éstablish its own organisation for effective
Suitable departments, line of authority and mechanism
communication and co-ordination,
Thus, the organisation structure
as per the
functional areas and
Qrers from agency to aency
departments. A standard chart showing the organisatlon
specialised is given on the next page:
Structure of an advertising agency
the specialised functions assigned to
Let us, now, consider
different fünçtional departments: contact with
Contact department keeps to them and
4Contact Depärtment: information
prospective dvertisers, supply necessary
Such contacts
of the agency.
to increase the
rhumber of clients the existing business.
existing
business.
y the
new business to supplement for earning more
ng bring business is necessary
activities of
the ad
Additional advertising the
expansjon in
evenue and
also for the head of
contact department.
as the
acts
Account executive
8ency:
274 Advertlsing (Goa
The department acts as a liaison authorlty betwe the
agency and the clients.
(2) Media Department: Media department has to select th.
ne most
appropriate media for advertising pfoducts of the
the most
this, nature of the product, market competition, theclients. For
the o r
budget
allocation by the client, etc. should be taken into conslder
Even media trends need careful consideratjon while sel
suitable media for advertising. The media department has to s
that message is communicated to consumers in an attractie see
manner. It estimates the potential customers for the product
the client and selects the media accordingly. The function of thie
department is (a) Media selection, (b) booking of time and space
in the media, (c) media scheduling. (d) supervision on the
execution of the schedule and finally (e) keeping contact with the
media.
Board of Dlreotors

Presldent/General Manager
4)
Vice Presldent Vlce Presldent Vice Preslident Vice President
Marketing Servlces Management & Creatlve Servlces Accounting
Flnance Services

Coverage Coverage Coverage Coverage

Media Acçountling Copy Art Account


Supervisors

Reséarch Office Account


Production
Management Executives

Sale
Promotlon Pereonnel TV&Radio
Records Prass, etc.
Publle Relatlons Traffic

(3) Copy Department; Copy department


advertisement. prepares the cop
heart af
of
Copy is
rightly treated as the
the
hear
advertisement as it cammunicates the message to co
The head of the department is copy chief who has an dein
in
regard to copy preparation. The staff of this department
copy writers. The copy staff work in close ine
the
co-operatiOr
artists in the 275
visualisation
creative departinent exists department. In some
preparing an advertisement.and it deals with agencies, an
Here copy, artwork the total work of
are linked
together, Copy department is and
production
department the agency with
of perhaps the largest
(4) Art properly qualifiedl staff.
Department: Art department prepares
pictures, slogans, etc. for layout, illustrations,
Creativity is making attractive
the main functlon af advertisements.
activity this
is not a
mechanical activity but department. Such
a reul art of
product to the target audience. This presenting a
yisuals and layouts for departnment prepares the
press advertisements,
bulletins, car cards and so on. Some
posters, painted
done by outside artists. The
art
agencies get the art work
Director, He is assisted by department is headed by an Art
The copywriters and artists, layout men and visualisers.
artists have to work together as both have to
make the final
advertisement copy attractive. The The
department and art department operates under overall copy
and
guidance of Vice-president Creative Services. supervision
(5) Production Department: The fully
advertisement is sent to the
prepared copy of an
prbduction department
for further
processing. This
department is a part of creative services and is
headed by 'production
mariager. Its main
the mechanical production of advertisement résponsibilityis toget
properly finished.
Usually, the ad agencies use the services of outside agencies for
the production work. This department keeps contacts with
printers, typographers, photo-engravers etc. It gets illustrations,
copy etc. prepared and then gets them assembled in the final
advertisement which is used for publicity purpose. Finally, the
advertisement is sent to the prlnt media for publicity purpose.
Final copy of the advertisement prepared is shown to the
advertiser for his approval and then only sent to the media for
publicity.
Traffic Departmeiit: In an ad agency, one of the unpardonable
misses a
acts of omission is a missed deadline. If an agency
wait another
leadline for a monthly magazine, it will have to
month before, it can run the ad. This is likely to earn client's
is it coordinates
aispleasure. The importance of traffic department is
and ensures everything completed
phases of production
work full of stress and
Defore the deadlines. It is a high pressure

strain.
276 Advertlsing (Goa
research
department is heade
(7) Research Department: The
Research Director whd is assisted by analysts, investigators, by field
assistants, statisticians,
librarian, field
workers, marketing
library stàff. An advertising agency needs information as reg the
products, market trends, market competi ion, trends in consumes
hew trends in advertising ander
behaviour, media trends,
information and its critical analysis is t1
Collection of such
ad agencies usually have thal
to
the agency in different ways, Large neir
research subsidiaries (e.g. Lintas has path finders as its rch
valuable market information,
subsidiary) which provide
(8) Accounting and Finançe Departnent: The finance department
looks after the financial and accounting matters, It is responsible
for maintaining accounts, billing and collection of dues from the
clients, paying bills to media owners after verification and finally
looking after routine matters relating to accounts. Vice President,
accounting services supervises all accounting and financial
matters.
(9) Public Relations Department: Cordial relations with clients
media, etc. are absolutely essential for the survival and growth of
an advertising agency, Here, public relations department plays a
cruçial role. The department acts as a link between the agency and
others connected with the agency, The department makes efforts
for
creatihg goodw/]|l and reputation în the business world in
general and the advertising wotld in partiçular. The department is
headed by a
public relations officer (PRO) who has fake
possible steps for maintaining cordial relations with clients, media
to
a
Owners and the
society at large. The department has to create
good public image for the ad agency.
(10) Office Management: Efficient office management is essential in
the case of an
advertising agency as it operates like a
serve
organisation. Office management inçludes recruitment, trainin
promotion of statt, office
correspondence, and record
keeping, salary payment and provision of welfarefiling
facilities to
recor
sta
The office management
department
secretarial services to all
also provides clerical and
other
departments. Normally, Vice.
President, management of finance looks after the office
mnagement department.
Advereising Agency
277
FACTORS INFLUENCING THE
AN AD AGENCY CHOICE OF
Creativity of an Agency:
(1)
of Creativity is the most
advertising
an
agency. Creativity important asset
creative personnel depends the quality of
on

appointed (copywriters, artists, art directors, etc.)


by the agency. The quality of creative
be given
adequate weightage while selecting an ad services should
(2) Services offered by an Agency: It Is agency.
range of services offered (advertising andnecessary consider the
to

selecting ad agency. Small agencies provide ndn-advertising) while


while large agencies offer wide limited services
range of services i.e. a
integrated services. Some agencies are specialised inpackage of
financial
advertising while others are concerned mainly with con_umer
g0ods.
(3) Location of an Agency: Loçation of an agency is important for
effective, quick arnd economical communication with the agency.
The agency which is operating in the city
h where the advertiser
has his head office is always convenient, The agency can also
follow the client easily.
and
orts (4) Size of the Agency: A large size agency normally offers better
quality services. Such agency is financially stable with adequate
ts staff. Small agencies may not offer wide variety of services.
Naturaly a large agency is always preferable. Moreover this is an
age of mega agencies,

(5) Initiative and Involvement: Ad agency takes keen interest and


initiátive in the work of its clients. The agency which studies the
is also
problems of the advertiser and offers suitable guidelines
There should be complete
useful to the advertiser,
client's business.
inyolvement of the agency in the
the Agency: The market standing and
(6) Market Standing of
ad agency should be taken into account while
past record of an
which provides prompt service
agency
selecting an agency, The is always preferable.
cordial relations
and also maintains desirable to
the Agency: It is always
(7) ype of Clients of the agency before assigning work.
clients pf and
Consider the existing connected with the competitors
agency may be
directly
he to
such agency. Secondly,
drop
desirable
their products. It is
278 Advertlsing (Goa)
work be identjcal in nature. Thirdly, the
the quality of may
leaked out
secret information provided to the agency may be
are
(8) Media Connections of the Agency: Media connections
media.
useful for appropriate advertising through different media
Suitable dates and timings are available through such
has close contacts with
with
contacts. An ad agency which
tor
newspapers, magazines, TV, radio etc. is always preferable
advertising.
of the Services: An advertiser needs
(9) Compensation Agency factor
different services but at reasonable rates. Naturally, this
needs attention. The service charges áre not uniform in the ca»
of
of all agencies. The advertiser should compare the rates
while selecting an agency. It is better aV
to
different agencies
an agency where the charges are too high or too low.
are accredited
(10) Accreditation of the Agency: Some ad agencies are accreuSuch
by radio, TV and newspapers while others do not havedue to
accreditation. Accredited agencies get market standing
dia
their recognition. Moreover, they enjoy credit from the have
agencies te

Owners which they pass their clients. Suchag


on to agencies
to follow the code of conduçt and they are the right choice.

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