Types of Advertising Companies

An advertising company or ad company is a service business dedicated to creating, planning and handling advertising and sometimes other forms of promotion for its clients. An advertising company is not relying from the client and provides an outside point of view to the effort of selling the client’s products or services. It can also handle overall marketing and branding strategies and sales promotions for its clients to have better results.

Typical ad company clients include businesses and corporations, non-profit organizations and government agencies. Ad companies may be hired to produce an advertising campaign. There are different types of ad companies some of them are:

Full-service Ad Companies

Mostly full-service ad companies are working on a combination of fee-based and commission based compensation. The fee-based is paid by the entity for which the advertisement is being done. The commission is a payment from the media to the company and is usually equal to 15% of the cost of the advertisement. Traditionally the broadcast media, radio and television are paid a commission.

Full-service companies are also known as traditional advertising companies for the client, wherein the client satisfies almost all their advertising or promotional needs with the same organization. This type of company provides advertising services such as strategic planning, creative development, production, media planning, media buying, and other related services such as sales promotionals, direct selling, design, and branding, etc.

Limited-Service Advertising Companies

Some of the ad companies limit the amount and kind of service they offer. Those companies usually offer only one or two of the basic services. Unlike on some companies that specialize in “creative” also offer strategic advertising planning service. Their basic interest is only in the creation of advertising. Similarly, some “media-buying services” offer media planning service but focus on media buying, placement, and billing.

Specialist Advertising Companies

Besides to the full-service, general-line ad companies, there are also companies that specialize in particular kinds of advertising like on jobs: recruitment, help-wanted, medical, classified, industrial, financial, direct-response, retail, yellow pages, theatrical/entertainment, investment, travel, and so on.

In-House Advertising Companies

Sometimes the in-house ad company is established to provide basic ad company functions. Ad company may also specialize in one or more advertising functions, such as planning and creating advertising or media planning, buying, billing, and paying. Advertisers who choose this option believes that the in-house company can provides services better than those available from full service or limited service agencies. In addition, some advertisers believe that they can provide such advertising services to themselves at a lower cost than would be charged by an outside company.

Search engine Companies

Lately, pay per click (PPC) firms have been classified by some as ad companies because they create media and implement media purchases of text based or image based, in some instances of search marketing ads. These relatively modern strategies are been advertising only through internet, make transactions and earn money online. With the creation of PPC ads on either text or image they are now in demand on most businesses because most of the people are now using internet.

Footer

An advertising company or ad company is a service business dedicated to creating, planning and handling advertising and sometimes other forms of promotion for its clients.

Article Source: NeatArticles.com - Types of Advertising Companies

---