Business

Importance of Advertising Agencies

Advertising Agency is a specialized type of institution which conducts the function of advertising of the products in the market. The development of advertisement has been associated with the growth of such agencies. It is a service organization composed of one person or group of persons who are experienced and skilled in this field.

The advertising agency usually has various departments i.e., marketing research department, layout, sales, art, copy and mechanical departments, some large companies have their own advertising departments and the services of an outside agency may also be hired.

Importance of Advertising Agencies

Advertising agency renders professional services to business community. It may measure the pulling power of its client’s advertising. It can also provide marketing research facilities on practically any stage of selling. So largest companies hire the services of reputable advertising agencies.

Independent Institution

Advertising agency is an independent institution which can take important and immediate decision for the achievement of its outside objectives.

Wide Experience

Advertising agency has wide experience of advertising channels with various types of products in the different markets. Agency has some specialists who know how to use the various channels of distribution and can determine the suitable media of advertisement.

Valuable Service

The great source of revenue of advertising agency is media commission which cannot be available to advertiser if he contacts direct with the media for publication space or broadcast time. So advertiser cannot cost the large part of the services of advertising agency.

Satisfactory Function

Agency must perform a satisfactory job with the object of receiving remuneration. It has to remain alert to opportunities because its client may change, agency at any time in case of default.

Economical sources

It is most economical to engage the services of advertising instead of maintain separate advertising department. Because the agency may spread the expenditure of certain services over a number of accounts.

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