Discuss the various criteria that might be used by an automotive marketer such as Ford or Honda in evaluating its advertising agencies versus a consumer packaged-goods marketer such as Procter & Gamble. Which of these criteria do you think would receive the most weight and why? (LO 3-4) Discuss the role of specialized marketing communication organizations such as sales promotion, public relations, and digital agencies in the IMC process. Why are marketers likely to use these specialists rather than a full-service agency? (LO 3-3, 3-5) Discuss the reasons why advertising agencies lose accounts. Find an example of a company that changed advertising agencies and identify the factors that led the company to switch to another agency. (LO 3-4) Discuss the pros and cons for a marketer having one company handle all of its integrated marketing communications needs versus using specialized marketing communications firms to handle the various components of the program. (LO 3-5, 3-6)
Ans. 9: Various criteria that an automotive maker should consider while considering an advertising agency are:
- The amount of experience that the advertising agency has in serving the customers in the same segment is one of the most important factors. Previous advertisements and their success rates would be considered before finalizing the agency by an automotive maker.
- The size of the agency i.e. the year of inception and the number of companies served by that agency is also considered so as to assess the variety of advertisements it has made in its tenure.
- A sample from each agency should be evaluated to gauge their creative nature.
- The reputation of that agency in the market and the trade-off between cost and quality would be considered by an automotive industry like Ford before finalizing an advertising agency.
The first criteria would receive the most weight i.e. experience in the same industry as it will give a clear picture of the capabilities of that agency and the idea of to what extent unforeseeable circumstances can be absorbed positively by that agency.
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