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Client Agency Relationship
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CONTENTS
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1.INTRODUCTION
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2.Meaning
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3.Definitions
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4.Factors Contributing to Effective
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Client Agency Relationship
5.Advertising Process
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6.Departments9
7. Sources of income for
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the advertising Agency
8. Reasons of Client Turnover
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9. How Agencies get Clients20
10. How Can Client Agency 22
Relationship be improved?
11. Summary
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12. Conclusion
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13. References24
INTRODUCTION
Client Agency Relationship
Business relationships assume a prominent role in the
strategy of leading firms, large and small. Successful
business partnerships are built on trust, confidence,
understanding, and mutual success. These relationships
require a pro- active effort to sustain and are critical to
future growth.
From the point of view of agency, client turnover affects
the image of agency .Its business is affected in a negative
manner. The client is also affected when it switches over
to other agency will take some time in understanding the
inherent qualities of its product , level of competition , its
competitors strategy , nature of its customers, etc.
Client agency relationship can be issued under the
following headings:
(i)Principles of effective client agency relationship.
(ii) Reasons of client turnover.
(iii) How agencies get clients?
(iv) How can client-agency relationship be improved ?
Client-agency relationships are one of the most
complexes in the business environment, requiring
a substantial level of collaboration to be effective.
Meaning
Client-agency relationship means relationship between
advertiser and ad-agency. Cordial relationship with full
trust and confidence is must to get maximum from ad
agency and agency can also work with free hand. Certain
basic principles have been evolved by the experts of
advertising management to have sound relations
between the agency and the media that help client and
media to have long ending business relations to reap the
benefits of continuous relations. These are pointed as;
1). Agency and the Clients:
Advertising agency is known for selling professional
services to the clients. There cannot be any hard and fast
rules for arriving at working agreement between the two
because each DVERTISING agency and its clients are
unique working under their own set of circumstances and
conditions.
a). Commitment:
Every advertiser expects that the agency he engages
refrains from accepting advertising work for his
competitors. It is equally true that the advertiser shall not
engage any other agency without the prior consent of the
agency.
b). Prior Approval:
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c).Payment:
In accordance with the agency contract with the media,
the client is to pay the agency at the medias published
rates and the agency, has the right to retain its
commission allowed by the media. Any concession
extended by the media is to be passed on to the client.
d). Mutual Trust and Confidence:
There should be an attitude of mutual confidence and
trust. The agency should be allowed to participate in
panning and there should be no interference in its
executive. The company should have the freedom to
contribute creative ideas to theagency and the later
should accept them with due changes and considerations.
Definitions
According to the Bedford Group(2002)
Added Expertise
Media Knowledge and Unbiased Advice
Easier Administration
Media Buying
Quality Control
Information
Fending off the media
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2).Prompt Payment:
The client should pay the agency bills promptly, so that
agency can make timely payment to media- owners and
suppliers of advertisement material, professionals etc.
The client should not except agency to finance their
advertising programme. So client should pay bills of
agency as well in time.
Advertising Process
When preparing our search proposal, we should take
into account that the lead-in time needed to place an
ad can vary anywhere from days to months depending on
the publication. We should plan to have our ad approved
and an estimate of the cost done at least one month prior
to the date when we want the ad to be published.The
advertising process for professional staff and faculty
positions involves :
1. Writing an Ad
2. Getting Approval for the Text of the Ad
3. Estimating the Cost of the Ad
4. Placing Ads & Posting Announcements
5. Paying for Ads
Departments
Management
The major department in ad
agencies is account services or
account
management.
Account
service employees work directly
with clients and potential clients,
soliciting business for the ad agency
and determining what clients need
and want the agency to do for them.
They
are
also
charged
with
understanding the clients business
situation and representing those
needs within the agency, so that ads
can be brought to bear on the
correct problem.
Account planner / Director
The Account Planner is the main planning executive
who works in partnership with the client on long-term
account planning. He knows what is happening in the
market place, the attitude of the consumer towards the
clients as well as the competitors brands. The account
planner was originally employed to "represent the
consumer" in the advertising i.e., find the best way to
pitch the clients products to people by better
understanding them, what they want and how to talk to
them.
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Account executives
Account executives represent their ad agency to their
clients. They understand sales and advertising problems
of the client and address the clients need to the
advertising approach. In advertising The account is the
client. The business of each client with the agency is
referred to as an account. An ad agency handles
assignments of a number of clients. The Account
Executive motivates guides and coordinates the activities
so that deadlines are met and the clients expectations
become a reality.
Creative department
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Media Department
Size and scale of the advertising is not
important. What's in the mind is important.
The big bucks are not being spent on
production, they are being spent on
broadcasting. The Media Department of an
advertising agency is responsible for the
planning and placement of advertising time
and space. It is a function that in recent
years has undergone considerable change.
The proliferation of media forms and the
escalating cost of media time have brought
a new focus to the Agency Media
Department.
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Media Planning
The Media Department is responsible for the preparation
and the actual presentation of the media plan. This
department recommends media and media vehicles that
in the agency's opinion best fulfill the client's marketing
and advertising objectives. The recommendations are
based on a careful assessment of the client's strategic
requirements and the subsequent matching against these
of the various available media forms. In the process there
is great reliance on research and the known strengths
and weaknesses of various media.
Media Buying
Once a media plan has been approved by a client, it
must then be purchased. The procedures for this vary
according to the medium under consideration. In print
media, for example, most purchases are made on the
basis of rate cards issued by various newspapers or
magazines. In broadcast, however, negotiation is
involved. The objective of this negotiation is quite simple
- to achieve maximum media efficiencies in obtaining the
most for the least, or, in other words, the most audience
for the least amount of money.
Media Estimating
Every single purchase made by the Media Buyer
must be recorded in advance of the actual running of the
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(ii)
(iii)
(iv)
(v)
Change for the sake of change: When
change becomes the essence of life. Man goes on
changing simply for the sake of change. According to
such clients, change result better results. It may not
always be the case.
(vi) Non-availability of services: If the present agency
cannot render the services required by the client, there
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(iii)
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improved?
The relationship between a client and its fundraising
agency can be a critical factor indetermining the success
of the client's fundraising work. A close relationship in
whicheveryone feels part of the same team can not only
help both parties to produce betterfundraising materials
and get better results, but it can also make the whole
process ofdeveloping the appeals more efficient and
enjoyable!
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Summary:
Business relationships assume a prominent role in the
strategy of leading firms, large and small. Client-agency
relationships are one of the most complexes in the
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Conclusion
In todays world which is fast moving & dynamic,
peoples wants, need and desires are changing; its very
important to know them and give them what they want.
This is the main objective of advertising where ad agency
plays major role in market research, making of creative,
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References
1).Advertising And Sales Management, Dr.
C.N.Sontakki
2). Advertising and Sales Management, Mukesh
Trehan & Raju Trehan
3).Relationship Marketing: Theory & Practice, Francis
Buttle
4).Google search
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