Advertising Agency (RA) is an independent organization specializing in the development, preparation, production and placement of an advertising product. The result of the RA activity is advertising services and advertising products. For example, a billboard is an advertising product, and an advertisement placement is an advertising service.
The role (essence) of RA activity is to add tangible value to your customer’s product or service.
Perceptible value- the value that the consumer, internally or in some other subjective way, associates with a brand or service. This goal is achieved by giving the product individuality by creating a certain image, distinguishing it from the general mass of competing goods.
Reasons for cooperation with AA:
AA (based on the essence of the concept of “organization”) is an organization that brings together diverse specialists into a single business enterprise and provides effective communication within the enterprise and with the external environment. 2. The RA experience is based on working with many clients. RA employees use the experience gained from working with one client to solve the problems of another. The objectivity of RA opinion. 4. Experience in managing the creative process
AA functions:
- study of the advertised object, market, competitors, consumers;
- strategic planning;
- tactical planning;
- creative;
- advertising production;
- advertising placement;
- advertising campaign management;
- control of the advertising campaign;
- market research;
- financial support for the interaction between the RA and the advertiser.
Types of advertising agencies
- According to the services provided, the RA is divided into:
- Full cycle RA (universal);
- specialized.
- To size:
- international network RAs;
- national RAs;
- regional RAs;
- local RA.
- Virtual RAs.
- International networks of independent RAs.
Full cycle advertising agencies (universal)
Agencies that ensure the implementation of all advertising efforts of the client. In addition, universal RAs can provide services in the field of PR and marketing.
Specialized agencies
In such agencies, services are provided in any direction. RA can specialize in:
- in specific functions:
- creative agencies are small agencies focused on creatively solving client problems. Creative agencies are usually hired by clients or invited by the RA to cooperate;
- agencies for the purchase of time / space in the media and advertising;
- RAs specializing in research, media planning or brand development and promotion, etc.)
- by audience(for example, RAs creating advertisements targeting young people, abroad, on ethnic groups)
- by type of advertiser and advertised products(RAs working in a specific field) (for example, RAs specializing in political advertising, advertising of technically sophisticated goods, medical products)
- in the field of creating any type of advertising, for example, outdoor, television, print;
International network advertising agencies
Network RAs are universal advertising organizations that have their divisions in many countries and work, as a rule, with international corporations or local advertisers that have a large advertising budget. Currently, there are about 20 large RAs on the world market with representative offices in different countries (transnational advertising campaigns). The reason for the need to expand RA is that as customers expand their product penetration globally, RA needs to do the same to ensure proper service.
Methods of educationinternational network RAs:
- absorption of smaller RA;
- formation of regional divisions.
Virtual AAs
Virtual RAs do not pay for the rented office space, employees work from home and visit clients. When it is necessary to communicate, RA employees use modern types of communication – e-mail, videoconferences.
International networks of independent agencies
These networks bring together RAs from different countries who want to remain independent and independent companies. In order to become a member of the International Network of Independent Agencies, applicants must overcome a multi-stage approval system.
Evaluation parametersRA when joining MSNA:
- creative work;
- range of services;
- the use of interactive technologies;
- stability of the client list;
- international orientation;
- financial indicators;
- the ability to match the corporate culture of the network.
Benefits of the partnership of independent AAs:
- This is access to international advertising technologies.
- Exchange of data and experience with partners from many countries.
- The ability to take into account global advertising trends when developing campaigns.
- The ability to really compete with the representative offices of transnational advertising and communication groups at the local level.
RAs – members of international networks of independent RAs – are local agencies and, on the one hand, have a good understanding of the peculiarities of the national (regional) market, on the other hand, they have the opportunity to use resources around the world.
