Agency Structure Roles and Responsibilities.

 Typical structure of an advertising agency consists of:

·         Contact Department

·         Media Department

·         Copy Department

·         Art Department

·         Production Department

·         Research Department

·         Accounting and Finance Department

·         Public Relations (PR) Department

·         Office Management

Contact Department

Contact department, also known as client department is in charge of keeping contact with their prospective clients of the advertising agency, mostly the advertisers.

The functions of the client department include:

·         Carrying the important information to the clients

·         Efforts for retaining and creating new clients

·         Building the bridge between the advertising agency and the client

·         Helps in boosting revenues

·         Promotion of their agency to create new prospects

·         Efficient working for the quick growth of its organization

Media Department

Media Department of advertising agency is responsible for the choice of media. This department selects the best suitable medium for the ad agency that will be suitable for its clients.

Before the selection process, media department’s initial role is to find out about:

·         The product’s nature

·         The market competition

·         Advertising budget of the client

·         Media trends, etc.

The functions of media department are:

·         It selects and uses the best media possible to communicate the ad message to the ultimate consumers

·         It can also fail, as a wrong selection will result in the failure of the advertised product.

·         Preparation of media plans for its clients

·         Media scheduling

·         Supervising the execution

·         It keeps constant contact with the media and the client

Copy Department

The copy of the advertising agency is very crucial. It is called the heart of the ad as this conveys a direct message to the consumers creatively.

Primary functions of the copy department are:

·         Preparing an attractive copy for its clients and customers.

·         Participate in brain- storming sessions and come up with ideas.

·         Using their extraordinary skills of putting flair and fluent language while preparing a copy.

This department includes copywriters, copy-supervisors, and others.  The copy department works in close co-operation with the art department. Mostly, the copy department is the largest department of an advertising agency. It comprises of a hard-working team of qualified professionals and experienced staff.

Art Department

The art department consists of all the artists in an advertising agency. The advertisement finally becomes agreeable and acceptable because of these people in the art department. These people use the principles of real art, probably on software, as a guideline or base to present a product to the targeted audience. The personals working in the art department are known as the Art Directors.

The functions of the art department are:

·         Transform the idea that the client wants to convey, into a simple and beautiful imagery.

·         Preparing layouts and visuals for the clients.

·         To work closely with the copywriters for developing the visual messages.

·         Making painted bulletins, posters, car cards, illustrations, slogans, etc.

Production Department

Once, after the copy and art is finalized, the advertisement is sent to the production department for further process. Both the departments, copy and art, create the basic model of the advertisement. The production department takes the advertisement into its final stage. A production manager heads the production department.

Functions of the production department are:

·         Produces the final advertisements for the markets.

·         Making contacts in the industry for the easy carrying out of tasks.

·         Assemble the typographic design patterns, engraved photos, illustrations, copy, etc. and prepare the final advertisement.

·         Sending the final product to its clients and get the approval.

·         Once the approval is received, then it can be sent for final printing or production for the market.

·         Keeping them updated about the latest trends and technologies.

Research Department

Without knowing the 5 W’s and 1 H of the market, you can never run a successful advertisement campaign. The research department in advertising collects information about the market, market competition, market trends, products and services, competitors, consumer behavior, media trends, new trends in advertising, so on.

The success of the advertising agency’s advertisement campaign depends upon how hard the research team has done its work. A right direction and the right approach are very important for a successful ad campaign.

Functions of the research department include:

·         Carrying out research and deriving out useful information.

·         Critically analyze the information, which they have derived.

·         Apply the results in different ways.

·         Agency makes use of above information for executing an excellent ad campaign.

Accounting and Finance Department

As the name suggests, the accounting and finance department of an advertising agency looks into the financial and accounting matters of the organization.

The functions of this department are:

·         To generate and keep a record of the invoices that the company incurs or gains.

·         Sending out regular reminders to the clients for un-cleared payments.

·         Clear accounts before or within the due dates.

·         Issue payments to vendor parties within or on the due date.

·         Keep a track of the monthly and yearly accounts.

·         Deposit the government fees on time.

·         Manage salary accounts of the employees.

Public Relations (PR) Department

The chief responsibility of a public relations (PR) department is to maintain a cordial relationship among three parties, namely, advertising agency, clients, and media. Every organization may not have a separate department for PR hence, it becomes important for the other members of the organization to build cordial relations with clients and customers.

The functions of the PR department are:

·         Redressing the grievances of the consumers.

·         Taking feedback from clients and customers and working on it immediately.

·         Serve as a road between the advertising agency and the other parties.

·         Maintain a repo, by maintaining the goodwill.

Office Management

The office management department can also be called the HR department of the advertising agency.

Their functions include:

·         Recruiting the office staff.

·         Carrying out training and development of the newly hired staff.

·         Carry out promotions of the deserving candidates.

·         Provide welfare facilities to staff.

·         Filing and record keeping of all the essential documents.

It is not necessary for an advertising agency to have all these different departments, depending on their scale. But even the small- sized or mid- sized agencies have people for the functions of all the departments. They can hire multi- taskers for that matter.  The departments can be merged, but these are the basic functions that the organizational structure of any advertising agency follows.

 

ADVERTISING BUDGET DEFINITION

An advertising budget is an amount set aside by a company planned for the promotion of its goods and services. Promotional activities include conducting a market survey, getting advertisement creatives made and printed, promotion by way of print media, digital media and social media, running ad campaigns etc

Advertising Budget Basis

The advertising budget of a company is based on the following factors:

  • Type of advertising campaign that it intends to run
  • Selection of target audience
  • Type of advertising media
  • Company’s objective of advertising

Process of Creating Advertising Budget

Following steps are followed to set up this budget –

  • Setting advertising goals based on the company’s objectives.
  • Determine the activities that are required to be done.
  • Preparing the components of the advertising budget;
  • Getting the budget approved by management;
  • Allocation of funds for activities proposed under the advertisement plan;
  • Periodically monitoring the expenses being incurred on the advertising process;

 

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