Advertising agencies require people who know how to market products effectively. Marketing professionals usually have experience working for advertising firms.
They help companies develop effective advertising campaigns.
As technology continues to evolve, so too will the ways we market our business. We’re seeing an increase in the number of companies that rely on outside agencies for their online presence.
What are the Job Types of an Advertising Agency
When you’re working at an ad agency, you may be responsible for various tasks. An ad agency takes on different responsibilities depending on who hires them.
Often, marketing managers from ad firms pitch new campaigns for clients, helping them come up with a plan. They work closely with creatives at an agency, brainstorm ideas, and help the creative teams realize their visions.
There are several different kinds of ad agency job positions, including the following:
- Meeting with prospective clients
- Conducting market research about target market demographic groups.
- Selecting appropriate advertising media
- Create streamlined and custom marketing programs based on your business needs.
- All design work for audio-visual/printed advertisements.
- Creating samples for ads and presenting them to potential customers.
- Follow-up analysis.
10 Steps to Start an Advertising Agency
1. Decide on the Advertising Agency Business Model
The very first thing you need to do when opening an ad agency is to figure out what kind of agency you want to set up. You could either go for a small-scale one at your own place or a large-scale one.
You need to decide which type of business plan you want for your marketing agency.
2. Get Trained
There is no prerequisite for starting an advertising agency, but it is advisable to have some experience and training before starting this business. If possible, please consider taking some management courseses before starting this business. These will help you run the business professionally.
It is important to design logos for clients if you want to be successful in advertising. However, if you don’t know how to start, it is best to get help from local institutions or online.
The online ad industry is an ever-changing one. To stay up to date with the latest trends, technology, and events, some of the best online resources include the following
- HubSpot
- Kissmetric
- Moz
- Neil Patel
- PR Daily
- Seth Godin
- Ad Age
3. Create a Business Plan
If you want to be successful in the ad agency industry, you need to write a proper research paper.
Your advertising business plan must include some of these key elements:
- What are the initial costs and the recurring costs?
- What services you’re offering to your clients
- The pricing strategy
- Target Customers
4. Name Your Business
First, take some downtime and brainstorm ideas. Then, share your ideas with friends and family, and finally, pick the one that works best for your business.
You can use a number of different tools to generate names for your new company, but if there isn’t already a similar website available online, you might want to consider buying one.
Make sure that your company’s legal entity doesn’t already exist.
Get more info here: How to name your business step-by-step guidelines
5. Register Your Business & Get Licenses & Permits
It is advisable to register your company if you wish to operate an ad agency legally. Each country and state has its own legal requirements for running a company. Select the structure that suits you best based on your scale of operations.
There are different business structures available for U.S. companies. Sole proprietorships, partnerships, and LLCs are the most common.
A limited liability company (LLC) is usually the best choice for the most business owners because it protects their personal property from the business property in case the business gets into financial or legal trouble.
You will need to register your company in order to apply for an EIN (Employer Identification Number).
6. Calculate the Cost of Starting an Advertising Agency Business
Starting an advertising firm doesn’t require a large amount of cash. Because it’s a services-based business, there is no requirement for investing in equipment and storage to keep inventory. All you need is a small office to visit clients if necessary, a printer, computer, bookkeeping programs, graphic design programs, and an internet connection
If you’re starting out at home, you save a ton of time and effort by not having to invest in an office space. So give your home office some professionalism.
It’s important to have a website for any advertising agency because it helps them reach out to potential clients online.
7. Set Pricing
An advertising agency usually prices its service based on a project/ campaign or retentive ship (fixed) rate. You will be paid a fixed monthly fee for your service.
For services, the fees are usually 15 percent of the campaign costs.
Your prices should be determined by the services provided and should be competitive with other vendors offering similar products and services.
8. Hire Employees
You may not need a large team if you’re starting out with a smaller advertising agency. However, if you want to grow quickly, you may require a larger team.
You don’t need to hire any employees if you’re willing to use free online tools.
9. Develop a Portfolio
To succeed in the advertising industry, the portfolio of your previous works is most important. Clients want to see your previous works for them to know whether they can trust you or not. So add every piece of your previous works into your portfolio.
If you’re completely new to the industry and don’t have any previous experience, start by creating some designs or doing some freelance projects and add them to your portfolio.
10. Get Clients
Your ultimate success depends on your ability to attract clients. You need to be able to communicate well to succeed as an advertising agency owner.
You need to network with potential customers and tell them about the services you offer. Create brochures, visiting cards, and social networking pages for your company. Besides having a website, create social networking pages for your business.
Additionally, join professional organizations like the American Advertising Federation (AAF), and American Marketing Association (AMA) as a member. Also, provide your contact information for online listings at local B2B websites.
You may like to read: These 20 Oil and Gas Business Ideas Will Get You Started
