Managing the IMC Function MKT 3850 Dr. Don Roy
Dec 23, 2015
Managing the IMC Function
MKT 3850Dr. Don Roy
Options for Managing the IMC Function
• Do-It-Yourself Approach: Use of an in-house ad agency
• Outsourcing IMC: Hire an outside agency to create communication
• Combination of In-House and Outside Agency
Outside Marcom Agencies
Approaches agencies use for offering marcom services:
• Full-Service Agencies• Specialized Agencies
Full-Service Agencies
• One-stop shopping service for a brand’s marcom needs; it’s a “Wal-Mart Supercenter” approach to buying marcom services
• Full-service agency typically consists of functional areas that all work to serve the client
Full-Service Agency Departments
• Account management
• Creative services
• Media planning and buying
• Research
• Account planning
• Traffic
Specialized Marcom Agencies
• Many firms do not have a need for entire range of services offered by full-service agencies or find them overpriced
• Specialized marcom agencies offer a “Starbucks” approach to marcom services, providing expertise in a single or limited area
Specialized Agencies Examples
• Brand Strategy Agencies
• Media Buying Agencies
• Public Relations Agencies
• Direct Marketing Agencies
• Sales Promotion Agencies
• Interactive Agencies
• Social Media Agencies
• Event Marketing Agencies
• B2B Marketing Agencies
• Ethnic Marketing Agencies
• Expertise
• Objectivity
• Resources
• Efficiency
Why Hire an Outside Agency?
Agency-Client Relationships:A Revolving Door?
The Future of Ad Agency Compensation?
“Agencies can create brands and product categories where we have an idea: We can name it, we can label it, we can research it. We can say, ‘If the product has these characteristics, it looks like an X million-dollar business’ and then we can go and sell that brand to somebody who has the expertise in manufacturing and distribution.”
- Keith Reinhard, 40-year ad veteran, Chairman, DDB Worldwide, and creator of the pay-for-performance concept