ADVERTISING AGENCY AND ITS FUNCTIONS

PRESENTED BY NAME

What is Advertising?Promotion of goods, services, companies and ideas.

Marketers see advertising as part of an overall promotional strategy.

Other components of the promotional mix include publicity, public relations, personal selling, and sales promotion.

Process where in a message is designed.

Various mediums used for communication.

Attract, modify, change and influences public opinion. Everyone needs to advertise.

Various ways for advertising(trade magazines, transit sign on buses, lamp posters, banners, etc).

Advertising Industry Has Three Major SectorsBusiness or organization which wishes to advertise.

Media which provides the medium for advertising.

Ad-agency which creates the ad to suit the need of the firm.

What is an Advertising Agency?The Association of Advertising Agencies of America (AAAA) defines advertising agency as An independent business organization composed of creative and business people who develop, prepare and place advertising media for sellers seeking to find customers for their goods and services.

Advertising AgencyGetting the best out of advertising is a highly skilled job.

Biggest advertisers cannot afford to employ all these experts.

It is one of the most important components of advertising industry.

It has evolved to provide the specialized knowledge, skills and experience needed to produce effective advertising campaigns.

Service business dedicated to creating, planning and handling advertising for their clients.

It is independent from the client and provides an outside point of view.

clients include businesses and corporations, non-profit organizations and government agencies

History Of Ad AgencyPeriod of early growth 1841 1865

Wholesaling Period 1865 1880

Semi Service Period 1880 1917

Service Period 1917 Present

Advertising Process

Typical Work Flow in an Ad Agency

Types of Advertising Agencies

All SizesIn house workSelecting an Ad Agency

Full Service Agency

Provides a range of marketing services. Services directly related to advertising such as copywriting, artwork, production of ads, media planning etc.

2. Modular agenciesA full service agency that sells its services on a piece meal basisFee is charged for actual work undertaken

3. In House agenciesOwned completely by the advertiserCan undertake to serve several other clients, if the owner so desires

4. Creative BoutiquesProvide only creative functions and not full-service. Copy writing, artwork and production of ads Merge with other agencies to provide a wide range of services

5. Mega agenciesConcept of 1980sMerger of two agencies1986, Saachi & Saachi, a London based - the third largest, strarted the movement

6. The Specialists AgencyAgency that specializes only in certain specific areaEg: Soubhagya advertising agency concentrate on specialized financial advertising.

Functions of an Ad Agency

To accelerate create public awarenessTo provide a total, professional, experienced service To take the advertiser's message and convert it into an effective and memorable communication

Services Offered by Ad Agency

Total Advertising ServicesStrategic planningCreative developmentMedia services, particularly in television, newspapers, magazines and radio

Marketing ServicesSales promotion, market research, PR and event marketing

E-Solution ServicesSystem integration services, e-business consulting, customer relationship management (CRM), Search Engine Marketing (SEM) and e-promotions using the Internet and mobile.

Content BusinessSale of sponsorship, broadcasting and other rights, production and marketing of media / content such as sporting events, films, TV programs, animated content, music and other forms of entertainment

Integrated Media ServicesBringing value to both clients and media-related companies by offering a wide range of media solution services

Sales PromotionProviding comprehensive sales promotion planning designed to complement mass media and other activities

Event MarketingAssisting clients by providing dynamic vehicles for their messages in the form of on-the-spot interactive communications

Integrated Branding ServicesAssuring clients the highest quality of branding services for their communication needs

Organization StructureThe activities within an ad agency are divided into 4 broad groups:Account managementThe creative departmentMedia buyingResearch

Recently added: public relations, direct marketing, and promotional services

Organization Chart

Board of DirectorsManaging DirectorClient Services DirectorCreative DirectorServicing GroupMediaResearchCreative GroupsAudio VisualLanguageStudioProductionFinance / AccountsSecretarial / Legal Personnel

Structure of an advertising agency

What Makes Effective Advertising?

Selecting an agencyHave they fully understood the brief?Do they know how to use market research? Can they contribute to our thinking here?Is their strategic thinking sound?Is it imaginative? Have I learned anything useful from it?Are they professional and businesslike?Can I work with their senior people? And will they be actually working on my business?Are their capabilities high in all key areas management, strategy, creative, media?Do they work well as a team both among themselves and with our people?

Selecting an agencyIs their creative work of a high quality?Is this confined to TV, or does it go across all media?Does this include below-the-line? New media? Can they offer an integrated service?Do they have real expertise in the specialist areas which we are looking at, egl direct marketing, new media?Can they work with us internationally (now or in the future)How do they propose to evaluate the effectiveness of the campaign?

Function of and advertising agencyAccount Services / Account Management

Creative department

The Creative TeamCreative TeamCreative Concept

Copywriting and the Creative PlanCopywriting is the process of expressing the value and benefits a brand has to offer.A creative plan is the guideline that specifies the message elements of advertising copy.

Creative Department people need following attributesA good psychologist.Willing and able to set high standards.An efficient administrator & Research mindedCapable of strategic thinking positioning and all that.Equally good at package goods and other kinds of accountsWell versed in graphics and photographyA hard worker and fastSlow to quarrelPrepared to share credit for good work, and accept blame for bad workA good presenter & good recruiter

Copy Approval ProcessSenior ExecutivesProduct Manager, Brand Manager, Marketing StaffClientAccount Management TeamLegal DepartmentAgencySenior WriterCreative DirectorCopywriterAccount Planning

Media Department

Broadcast TelevisionCable TelevisionRadioNewspaperDirect MailMagazines- Consumer/BusinessOutdoorInternet

Media selection

After selecting media, marketers determine the most effective timing and sequence for a series of advertisements.Influenced by seasonal sales patterns, repurchase cycles, and competitors activities.Measure effectiveness in three ways:Reachthe number of people exposed to an advertisement.Frequencythe number of times an individual is exposed to an advertisement. Minimum of three exposures is recommended.Gross rating pointthe product of the reach times the frequency.Media scheduling

Marketing research departmentThe identification of information needsData collection & interpretationAnalysis & evaluation

Creative service departmentEvent management & promotion departmentTraffic DepartmentRadio & TV broadcast production department Producer Production co-ordinator

Print production departmentMeet deadlinesUse sophisticated technologyCo-ordinate and manageSkills and training

Agency PersonnelProduction Team

Storyboard artist

Graphic designer

Case study

Company Profile Advertising / Full Service / Integrated

It is a subsidiary of WPP group, the worlds best-known marketing communications brand with a global network of more then 200 offices in over 85 countries.

Brief History William James Carlton in 1864James Walter Thompson ( JWT ) in 1995

Scope of Operation Sir Martin Sorrell's WPP GroupHQ = NewYork10,000 employees 200 offices 90 countries 1,200 clients.

Setting new benchmark Invent copy and layouts

Build the first full-service advertising agency

Pioneer ad careers for women Create the first international network Develop account planning

Chief clients

Solution it provides360 degree solutions Creative Digital Market planning Specialized communication Strategic communication Trend spotting

In news Effie 2008 Awards

Grand Prix at GOAFEST 2009Agnello Dias,('Lead India Poised' ;Film Single Grand Prix for the Nike Cricket 'Traffic'.) Viral and Email Marketing initiatives

Three Astrid Awards

28 creative excellence award

JWT Exemplar !!

Definitive and Final say . Future Outlook

Advertising glorified !!

THANK YOU