The Structure of Advertising Agencies

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The Structure of Advertising Agencies

  1. 1. Advertising Industry Structure Preapred by @heleenmills
  2. 2. World wide annual spend: $600 billion USA annual spend: $300 billion
  3. 3. Source: Afrographique
  4. 4. Traditional structure Advertiser (client) Agency External facilitator Media Target audience
  5. 5. The client side
  6. 6. The advertising agency
  7. 7. creative director
  8. 8. account executive
  9. 9. media buyer
  10. 10. copy writer
  11. 11. traffic controller
  12. 12. Graphic designer PR Specialist Brand Manager Social Strategist Developer UX Designer Freelancers
  13. 13. Agencies Advertising Agency: • Full service • Creative Boutique • Digital/Interactive • In-House • Media Specialist Promotion Agency: • Direct Marketing • Sales Promotion • Event Planning • Design • Public Relations
  14. 14. In South Africa
  15. 15. Fee System: • Hourly rates, or by project Commissions • Around 15% of airtime fees— in flux • 16 2/3 % for outdoor media • Web media all negotiated Markup charges: • Production cost + fixed % Pay-for-results: • Tightly-specified objectives • But, who is responsible for “results” how do you get paid?
  16. 16. Product/service? Competition? Proposed target market? What consumer need/problem do we address ? What does the consumer think of the brand? What is the one thing we went them to believe? What kan we do to make them believe this? Tone of the advertisement? the creative brief
  17. 17. Marketing & advertising research firms Consultants Databases, Web, CRM, Traditional management Production Facilities, technicians, shop displays Software firms Web tracking (Google analytics) external facilitators
  18. 18. Broadcasting TV, radio, satalite Print Magazine, direct mail, newspapers Digital/Interactive Media Internet, mobile, mobile techonology Support Media Outdoor, sponsorship, point-of-sale, branded entertainment Media Conglomerates Time Warner, Liberty Media media organisations
  19. 19. types of agencies • above the line • through the line • below the line
  20. 20. any questions? • @heleenmills • hmills@sun.ac.za

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