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Exercises · Q9

Q.What is an advertising agency? Explain its functions.

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Meaning. An advertising agency is a specialised, independent business organisation that plans, prepares and places advertisements on behalf of its clients (the advertisers) and renders allied marketing services. Because most firms lack the creative talent and media contacts to advertise well, they entrust the work to an expert agency.

Functions (services):

  • Studying the product and market — researching the product, buyers and competition to decide what to say and to whom.
  • Planning the campaign — fixing objectives, the message (appeal), the media and the budget.
  • Creative work — writing the copy, designing the layout, preparing artwork, slogans, jingles and films.
  • Selecting and buying media — choosing the right media and booking space and time.
  • Executing and releasing the advertisements on schedule.
  • Evaluating results — measuring how far the campaign met its objectives and advising on improvements.
  • Allied services — market research, public relations, packaging and sales promotion.

Organisation. A typical agency has a client-servicing (account) department, a creative department, a media department, a research department and a production/accounts department. …

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