Advertising department

Functions of advertising manager

 Plans the ad campaign and prepares an
ad budget.
 In smaller org., creates and produce ad.
 In larger org., interacts with the account
executive of an ad agency also prepare
sales promotional materials.
 Handles admin department.
 Co-ordinates with operation and
marketing dept to facilitate the working
of the sales dept.
 Supervises the promotional activity and
evaluates the result.
 Advertising Agency
 An advertising agency or ad agency is a service business
dedicated to creating, planning and handling advertising
(and sometimes other forms of promotion) for its clients.
 An ad agency is independent from the client and provides
an outside point of view to the effort of selling the client's
products or services.
 An agency can also handle overall marketing and
branding strategies and sales promotions for its clients.
 Typical ad agency clients include businesses and
corporations, non-profit organizations and government
agencies
 Agencies may be hired to produce an advertising
campaign
Organization of an ad agency
 Functions of an ad agency
 Understand the product, technology,
market
 Understand the methods of
distribution and selling
 Assess the different media for
conveying the message
 Prepare an advertising plan
 Mutually beneficial partnership with
agencies and advertiser
Selection Of An Ad Agency
Well Known

Creativity

Sound Track Record

Account Executive

Accounts they handles

Personal Equation

Ability and presentation

Unique Considerations
 Types of ad agencies
 Full Service Agencies
 Modular agencies
 In House agencies
 Creative Boutiques
 Mega agencies
 The Specialists Agency
 Structuring The Ad Agency
Chief executive

Client group I Client group II Client group III Client group IV

Account
Creative services Media services Support service
management
 Compensation of Ad Agency
 Media commission (15%)

 Mark – up (17.65%)

 Fees
- Fees commission
- Retainership

 Incentives – based / performance based

compensation
Client – Agency Relationship
(CAR)
 Client – Agency relationship
 The agency avoids advertising a close
substitute competing product. The
client, too, avoids engaging the
services of another competing agency
 Agency receive green signal form
clients
 Agency keeps the media commission
for itself, and the client undertakes to
foot the bill promptly
 If media grant and cash discount, it is
passed on to the client
 The agency is not taken to task for
CAR relationship may breaks due to..
 International alignments may cause
a changes
 Management changes
 Product conflicts with mergers,
takeovers or new product
introductions
 disappointment with each other
 Brand failures
 Agency - media relationship
 Agency alone responsible for
payment to the media
 Agency does not allow any cut from
the commission received from the
media to go the client
 Media do not discriminate amongst
the agencies dealt with and follow a
uniform policy for all the agencies
 Media do not alter the adverting
material without the prior consent of
Top 10 Advertisement Agency Of India
 Adbur Pvt Ltd
 Akshara Advertising
 Mudra communication ltd
 Chaitra Leo Burnett Pvt Ltd
 Contract Advertising (India) Ltd
 Crayons Advertising and Marketing Pvt
Ltd
 Creative Advertising
 Enterprise Nexus Communications Pvt.
Ltd