Advertising Agency
Advertising agency is a business that assists advertisers in all stages of the advertising process - from account management and planning to message creation, media planning, and research (Bergh & Katz, 1999, p.29). In another words, advertising agencies are service companies that specialise in planning and execution of advertising programmes for their clients (Belch & Belch, 1990, p.61-63). An advertising agency acts on the basis of an assignment placed by the client in which the client also delegates some decision making authority to the agency (Mills, 1990). In most cases the agency makes the creative and media decisions. Often it supplies supporting market research as well, and may even be involved in the total marketing plan. The activities undertaken and the amount of autonomy allowed to the agency vary from one relation ship to another (Aaker & Myers, 1987, p.10).Advertising services can be defined as packages of activities that are offered to other companies and which concern the planning, production and / or delivery of advertising. Advertising services are bought and designed to improve the purchasing company's performance and well-being (Wilson, 1982).
- Acts as an advisor to the account, creative and media departments. - Represent the agency to the client and the client to the agency. - Coordinates the day-to-day work of all departments of the agency for the account. International advertising agency is made up of departments that provide the activities needed to perform the various advertising functions to serve the clients. The organizational structures of an international advertising agency is shown below: The following are the characteristics of advertising agency: - Helps the client set goals and a budget. - Reports clients' billings and forecasts agency's income. Advertising services are produced - and partly consumed - in an interaction between agency and client (Halinen, p.30). The client's participation in the production process is crucial. The client commissions the assignment to the agency, negotiates the terms, provides the necessary information for the account management group and executes the acceptance of the plans and materials. The coordination between the agency and the client is needed in the relationship. International advertising agency is also known as full-service agency offers advertising services such as marketing, communications, promotions services (planning, creating and producing the advertising), research and media selection; non-advertising services such as strategic marketing planning, sales promotions, direct marketing and interactive capabilities, package design and public relations is also offered. Mazda has been selling cars and trucks in the highly competitive U.S. market for more than three decades. Its various models have always received high remarks from consumers in areas such as styling, performance, reliability and value. - An advertising agency can afford more communication specialists than a company can because advertising firms spread the cost over many accounts. Another reason for using an advertising agency is they can provide an objective viewpoint of the market and its business to companies that is not subject to internal company policies, biases, or other limitations. Advertising objectivity is necessary to maintain an independent and unbiased view of the marketplace and the consumers for companies (Wells, Burnett & Moriarty, 2000. p.79). The advertising agency can bring on the extensive range of experience it has gained while working on a diverse set of marketing problems for its various clients. For example, an advertising agency that is handling a travel related account may have individuals staffs who have worked with other travel related accounts like airlines, travel agencies, hotels, cruise ship companies etc. (Belch & Belch, 2001, p.79). The agency may have experience in the company's industry and may even have previously worked on the advertising accounts of the company's competitors, therefore the agency can provide them with insight into the industry and possibly the competitions.
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Approximate Word count = 2701
Approximate Pages = 11 (250 words per page double spaced)
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