Ever Thought About Hiring an Advertising Agency?

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Ever Thought About Hiring an Advertising Agency?
Advertising is the most fun you can have with
your clothes on.

• Bill Cosby

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• Ellen Fruchtman
• President
• Fruchtman Marketing

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Can this woman be objective?
YES!
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WHAT DO WE DO?
Radio

• Television

Billboard Design
Logos
Direct Mail
Brochures
Media Buying
Print Ads
And some of us do
Public Relations
And still some of us do
Website Design
Web Marketing
Podcasting
What the heck is that?
And to really confuse you, we can provide
Strategic Planning
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WHEN SHOULD YOU HIRE AN ADVERTISING AGENCY?

• When you want professional help in one or all of
  the above.
• When you are financially secure and ready to pay
  for those services!
• (Well talk more about budgets later)

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• Advertising is a ten billion dollar a year
  misunderstanding with the public.

• Chester Posey, Senior VP Creative Director
• McCann Erickson

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FIRST IMPRESSIONS

• Is there anything more important?

According to a Wall Street Journal article
written by Jeffrey Zaslow called First
Impressions Get Faster, companies are sized up in
1/20th of a second!
First impressions can be the difference between
success and failure.
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WHERE TO BEGIN

• First, set your business strategy and objectives.

• Decide what youre looking for.
• What are the areas you need help with?
• Obtain references and research.
• Media reps
• Other business people
• Web sites

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WHERE TO BEGIN

• Conduct an Agency Interview
• Ask them to bring samples of materials they have
  produced akin to your needs.
• Ask them to bring the person or persons that will
  be working on your account.
• Ask them about fees, billing procedures,
  contractual arrangements, etc

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Dont be surprised if the agency pre-screens you!
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A good Agency/Client relationship is really like
a marriage! The most successful relationships
are in it for the long haul. Compatibility is
key!
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AGENCY / CLIENT COMPATIBILITY QUIZ
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AGENCY / CLIENT COMPATIBILITY QUIZ

• A good marketing firm will
• Provide the necessary strategy I need to broaden
  my business.
• Take me to lunch once a week.
• Never know my
• business as well as I do.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• A good marketing firm will
• Provide the necessary strategy I need to broaden
  my business.
• Take me to lunch once a week.
• Never know my business as well as I do.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• Im open to creative ideas, and
• Id like you to take a
• look at some copy
• I wrote yesterday.
• B Id like you to present
• a multitude of options.
• C. My spouse is too.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• Im open to creative ideas, and
• Id like you to take a look at some copy I wrote
  yesterday.
• Id like you to present a multitude of options.
• My spouse is too.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• Im currently with an agency. They
• Have been loyal, but something has been missing
  the last few years.
• Are old high school buddies
• of mine.
• C. Havent come up with a
• good idea in over two years.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• Im currently with an agency. They
• Have been loyal, but something has been missing
  the last few years.
• Are old high school buddies of mine.
• Havent come up with a good idea in over two
  years.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• I pay my bills in
• 30 days.
• 60 days.
• Net 90. Oh, and you
• need to pick it up.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• I pay my bills in
• 30 days.
• 60 days.
• Net 90. Oh, and you need to pick it up.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• After a creative presentation, I
• Take some time to carefully review your ideas.
• Take it for a company-
• wide vote.
• C. Take it to my spouse.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• After a creative presentation, I
• Take some time to carefully review your ideas.
• Take it for a company-wide vote.
• Take it to my spouse.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• My project needs to be done ASAP. I
• Send it over by fax, go to the Bahamas and never
  check my messages.
• Send it over by fax and call you to discuss
  immediately.
• Fax it, have you design it, make 50 changes, then
  scrap the whole idea.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• My project needs to be done ASAP. I
• Send it over by fax, go to the Bahamas and never
  check my messages.
• Send it over by fax and call you to discuss
  immediately.
• Fax it, have you design it, make 50 changes, then
  scrap the whole idea.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• My media plan is
• Based on sound planning,
• reasoning and strategy.
• B. Solely based on what I
• read, watch or listen to.
• C. Based on what my spouse
• reads, watches and listens to.

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AGENCY / CLIENT COMPATIBILITY QUIZ

• My media plan is
• Based on sound planning, reasoning and strategy.
• Solely based on what I read, watch or listen to.
• Based on what my spouse reads, watches and
  listens to.

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AGENCY / CLIENT COMPATIBILITY QUIZ
If your score is 35 Youre the P-E-R-F-E-C-T
client. The only thing that could possibly make
you better is if you didnt have a spouse at all.
Lets face it. Eventually they all meddle
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AGENCY / CLIENT COMPATIBILITY QUIZ
If your score is 31 You could definitely work
with an agency. Yes, there are a few items youll
need to work on, but theyve probably worked with
much worse, so itll be a breeze.
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AGENCY / CLIENT COMPATIBILITY QUIZ
If your score is 29-31 You have potential. Just
a few bad habits you need to break. But overall,
you show decent judgment. Dont give up your day
job.
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AGENCY / CLIENT COMPATIBILITY QUIZ
If your score is 17-29 Leave your name and
number on voicemail and an agency will call you
back C-O-L-L-E-C-T! However, theres no
guarantee when. It will most likely be during
their slow periods or when theyre having serious
cash flow problems and are desperate. Youve got
the potential to be a bad, bad client. Take this
hintyoure probably not right for any agency.
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AGENCY / CLIENT COMPATIBILITY QUIZ
If your score is under 17 Hire your spouse. No
one will have the time or patience to retrain you!
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WHERE TO BEGIN

• Clearly define your business strategy and
  objectives
• An agency is there to creatively communicate and
  execute your plan.

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• Even the most accurate rifle cant hit the
  target if its aimed in the wrong direction.

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WHAT ARE YOUR OPTIONS?

• Full service agencies
• Small and large
• Design firms and graphic studios
• Media-buying services
• Internet agencies
• Public relations firms

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WHAT ELSE DO YOU NEED TO CONSIDER?

• Size - As a general rule of thumb, small
  companies work better with small agencies and
  large companies with large agencies. Will you be
  the big fish in the small pond?

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WHAT ELSE DO YOU NEED TO CONSIDER?

• Type of Experience - Are they industry specific?
  Do they have experience in working in your type
  of business? If not, expect a learning curve.

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WHAT ELSE DO YOU NEED TO CONSIDER?

• Creative Strength - Limited budget?
• Youre going to need killer creative.
• Note Killer creative does not necessarily
• mean expensive creative.

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WHAT ELSE DO YOU NEED TO CONSIDER?

• Marketing Media Know-How - Superior creative is
  great, but you will also want a company that is
  an expert on media to ensure that its seen.

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MEDIA QUIZ TIME!
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MEDIA QUIZ
QUESTION Using the same television budget Do
you reach more people in the FALL or in the
SUMMER?
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MEDIA QUIZ
ANSWER Actually, you can reach the same number
of people in either season, but you need to buy
different programming.
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MEDIA QUIZ
QUESTION What two months have the highest number
of television viewers and the lowest rates?
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MEDIA QUIZ
ANSWER January and February.
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MEDIA QUIZ
QUESTION Who is the least expensive demographic
to reach, based on age and sex?
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MEDIA QUIZ
ANSWER Senior-aged females.
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MEDIA QUIZ
QUESTION Who is the most expensive demographic
to reach?
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MEDIA QUIZ
ANSWER Males, age 18-34.
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MEDIA QUIZ
QUESTION How much copy should you include on
outdoor advertising?
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MEDIA QUIZ
ANSWER Seven words, maximum.
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MEDIA QUIZ
QUESTION Which has the highest viewer rating
CNN National News or your local news broadcast?
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MEDIA QUIZ
ANSWER Your local news. Only during a national
crisis do more viewers turn to CNN.
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MEDIA QUIZ
QUESTION Will color increase response in a
Yellow Pages ad?
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MEDIA QUIZ
ANSWER According to Consumer Review Systems,
NO.
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MEDIA QUIZ
QUESTION What color appears to register on the
brain faster than any other color?
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MEDIA QUIZ
ANSWER Yellow. It connotes health, cheerfulness
and spirituality. It is believed that men in
particular are more likely to read something if
it includes the color yellow. For the record, red
seems to make people hungry.
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MEDIA QUIZ
So how did we all do?
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• If advertisers spent the same amount of money on
  improving their products as they do on
  advertising, they wouldnt have to advertise
  them.

- Will Rogers
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HOW MUCH DO AGENCIES COST?

• Costs can vary
• Fees plus commission
• Commission only
• Retainer
• Combination of the above
• Make sure that this is clearly defined before you
  hire an agency!

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HOW MUCH SHOULD YOU BUDGET FOR YOUR ADVERTISING
AND MARKETING?

• Industry-specific ratios vary from 1-10 of Gross
  Sales
• Pick a number where you can sleep at night!

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BUDGETS

• Set your advertising number as a of sales.
• Look at a four to five-year month-by-month
  breakdown (delete anomalies).
• Average those numbers as a percent of total
  sales.
• Divide your dollars accordingly.
• Be as consistent as you can over the course of
  your year!

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The business that considers itself immune to the
necessity for advertising sooner or later finds
itself immune to business. - Derby Brown
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WHEN YOU SHOULD NOT WORK WITH AN ADVERTISING
AGENCY
Cute, unbiased presenter!
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WHEN YOU SHOULD NOT WORK WITH AN ADVERTISING
AGENCY

• General rule of thumb - if your budget is under
  25,000.
• That does not preclude you with working with
  free-lancers!
• 35 - 125 per hour

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SEEMS EXPENSIVE?

• Contact your local University

Shameless plug!
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SEEMS EXPENSIVE?

• Local University
• Technical or art school
• Local newspaper or broadcast
• stations
• Note Just be prepared that you will have to
• provide lots of focus and input, however, the
• savings can be enormous for a small business.

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SEEMS EXPENSIVE?

• Contact The Advertising Club of Toledo
• www.adclubtoledo.org
• For available resources and postings on
• the Help Wanted section of their website.

Another shameless plug!
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This is the part where you get to ask me
questions!
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Thank you!

• 6800 W. Central Ave. Building F Toledo, OH
  43617
• 419.539.2770 fruchtman.com