Question

Explain any two functions of Advertising agency.

Describe any two functions of the Advertising Agency.

Discuss five functions of an advertising agency.

Answer 1

The following are the functions of Advertising Agency: 

1. Planning: The advertising agency plans the advertising campaign. A client firm delegates the responsibility of advertising planning and execution to the agency. The agency must have a fair knowledge of the firm's products, its history, the present market conditions, distribution methods, price level and other conditions. A successful advertising programme is built on the basis of these data.
2. Creation and Execution: Specific advertisements are created. The advertising copy is written; the layout is prepared; illustrations are drawn; photographs are finalised; and a correct mechanical form for running it in the selected media is produced. The advertising agency prepares a suitable advertising copy for insertion in all the media.
3. Co-ordination: The advertising agency co-ordinates several activities. It often works with the client's sales force and distribution network to ensure the long-run success of the advertising programme. The combined efforts of salespeople, distributors, and retailers ensure maximum sales. Ideas, media, copy, and decisions are co-ordinated properly to project and implement the advertising programme.
4. Accounting: The advertising agency maintains proper accounts in cooperation with the client. The account executives see to it that the agency keeps to the stated plan. The accountant is in charge of the administration of the advertising programme on the agency side. The accountant resolves a misunderstanding that might have arisen between the agency and the client. The amount of fees received from the ·client and the payment of taxes, bills and other charges are accounted for by the accountant.
5. Media Planning: The advertising agency selects the media or a set of suitable media for the client to reach the right type of audience, which is an important factor in media selection. Rates, circulation, population, audience, income, and other important information are collected for this purpose. 
6. Research: Research is a key function in an advertising campaign. The decisions on creativity and media selection are taken on the findings uncovered for research. Research makes every decision systematic and logical, based as it is on facts and figures.
7. Internal Control: The advertising agency manages its employees, finances and other resources effectively and economically. It conducts the business behind the scenes and exercises proper control over activities and funds. Public relations, sales promotion functions and client contacts are maintained by the management for the effective operations of the advertising agency.