Your SlideShare is downloading. ×
0
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Strat Comm Agencies
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Strat Comm Agencies

758

Published on

0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
758
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
20
Comments
0
Likes
1
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Strategic Communications Agencies
  • 2. Agencies <ul><li>The key players </li></ul><ul><li>Types of agencies </li></ul><ul><li>How agencies charge clients </li></ul><ul><li>Organization of agencies </li></ul>
  • 3. The Four Players <ul><li>The Clients </li></ul><ul><li>The Strategic Communication Agencies </li></ul><ul><li>The Media </li></ul><ul><li>The Vendors </li></ul>
  • 4. Types of Clients <ul><li>Manufacturers </li></ul><ul><li>Resellers (retailers) </li></ul><ul><li>Institutions </li></ul><ul><li>Individuals </li></ul>
  • 5. The Agencies <ul><li>Independent communications agencies </li></ul><ul><ul><li>Full service agencies </li></ul></ul><ul><ul><li>Creative boutiques </li></ul></ul><ul><ul><li>Specialty shops </li></ul></ul><ul><li>In-house communication departments </li></ul>
  • 6. Advertising Media <ul><li>Print (newspapers, magazines) </li></ul><ul><li>Broadcast (television, radio) </li></ul><ul><li>Outdoor (billboards, transit) </li></ul><ul><li>Direct response (direct mail, telemarketing) </li></ul><ul><li>Internet and Interactive </li></ul><ul><li>Miscellaneous </li></ul>
  • 7. The Vendors <ul><li>Freelancers </li></ul><ul><li>Consultants </li></ul><ul><li>Production Professionals </li></ul>
  • 8. Types of Agencies <ul><li>The full-service agency </li></ul><ul><li>Creative boutiques </li></ul><ul><li>Medical agencies </li></ul><ul><li>Political agencies </li></ul><ul><li>Minority agencies </li></ul><ul><li>In-house agencies </li></ul><ul><li>Media buying services </li></ul>
  • 9. The Full-Service Agency <ul><li>Major staff functions: </li></ul><ul><ul><li>Research and account planning </li></ul></ul><ul><ul><li>Account management/client service </li></ul></ul><ul><ul><li>Creative services </li></ul></ul><ul><ul><li>Media planning and buying </li></ul></ul><ul><ul><li>Pubic relations </li></ul></ul><ul><ul><li>Promotions and event planning </li></ul></ul><ul><ul><li>Direct response </li></ul></ul><ul><ul><li>Interactive </li></ul></ul>
  • 10. The Full-Service Agency <ul><li>Other major agency functions: </li></ul><ul><ul><li>Accounting </li></ul></ul><ul><ul><li>Legal Services </li></ul></ul><ul><ul><li>Traffic </li></ul></ul><ul><ul><li>Production </li></ul></ul><ul><ul><li>Human resources </li></ul></ul>
  • 11. Services Provided <ul><li>Analysis of marketing and cultural data </li></ul><ul><li>Formulation of core strategy and tactics </li></ul><ul><li>Recommendation of creative direction </li></ul><ul><li>Production of brand messages - Ad/PR </li></ul><ul><li>Create promotions and databases </li></ul><ul><li>Placement in print, broadcast & Internet </li></ul><ul><li>Verification of message placement </li></ul>
  • 12. Creative Boutiques <ul><li>Small agencies focus on creative </li></ul><ul><li>Specialize in producing ads </li></ul><ul><li>Little staff for research, strategy, media planning, or public relations </li></ul><ul><li>Sub-contract for creative work from full-service agencies </li></ul><ul><li>Often have short life spans </li></ul>
  • 13. Medical/Political Shops <ul><li>Entirely service specialized clients </li></ul><ul><li>Specialized knowledge of category </li></ul><ul><li>Provide full-service functions </li></ul>
  • 14. Minority Agencies <ul><li>Often full-service agencies </li></ul><ul><li>Specializing in campaigns that target minorities/specialized populations </li></ul><ul><ul><li>Blacks, Hispanics, Asians, Gay/Lesbian </li></ul></ul>
  • 15. In-house Agencies <ul><li>Owned and supervised by company </li></ul><ul><li>Reasons for in-house agencies: </li></ul><ul><ul><li>Savings </li></ul></ul><ul><ul><li>Specialization </li></ul></ul><ul><ul><li>Priority service </li></ul></ul><ul><ul><li>But, minimum staffing of experts and possibility of “group-think” </li></ul></ul>
  • 16. Media Buying Services <ul><li>Original format of ad agencies </li></ul><ul><li>Sole function is media buying </li></ul><ul><li>Growing complexity of media buying </li></ul><ul><li>Buying media in bulk </li></ul>
  • 17. How Agencies are Paid <ul><li>The Commission System </li></ul><ul><li>The Fee System </li></ul><ul><li>Incentive-based Systems </li></ul>
  • 18. The Commission System <ul><li>Standard rate: 15% of media buys </li></ul><ul><li>Trend toward negotiated commission </li></ul><ul><li>Fierce competition among agencies </li></ul>
  • 19. The Fee System <ul><li>Negotiated hourly fee </li></ul><ul><li>Media buys billed directly to client </li></ul><ul><li>Hourly rate rule of thumb: </li></ul><ul><ul><li>3 x hourly salary of each employee </li></ul></ul><ul><li>Employee hourly salary = </li></ul><ul><ul><li>Salary / Hours worked per year </li></ul></ul>
  • 20. Incentive-based Systems <ul><li>Higher fees for good performance </li></ul><ul><li>Incentives negotiated in advance </li></ul><ul><li>Pay per performance system </li></ul>
  • 21. Organization of Agencies <ul><li>Organized around departments </li></ul><ul><li>Organized around clients </li></ul><ul><li>Organized around tasks </li></ul><ul><li>Organized by ownership </li></ul>
  • 22. Organizing Agencies
  • 23. Tradeoffs in Agency Organization
  • 24. Agency Assignment <ul><li>Get in your agencies and decide what structure you want to adopt </li></ul><ul><ul><li>Greater integration usually results in more coherent campaigns </li></ul></ul><ul><ul><li>More need to negotiate decisions - share responsibilities for sections </li></ul></ul><ul><ul><li>Be realistic about level of integration </li></ul></ul>

×