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Advertising and PR

Advertising and PR. Stuff. $620B industry globally $285-300B spent on media ads Show me the money! US Industry +7.7% +23K Jobs in 2010 5000/day in U.S. Ubiquity?!. Tattoo Advertising. Types of Agencies. General ad agency: Plan and create marketing campaigns and place ads in media

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Advertising and PR

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  1. Advertising and PR

  2. Stuff • $620B industry globally • $285-300B spent on media ads • Show me the money! • US Industry +7.7% • +23K Jobs in 2010 • 5000/day in U.S. • Ubiquity?!

  3. Tattoo Advertising

  4. Types of Agencies • General ad agency: • Plan and create marketing campaigns and place ads in media • Boutique ad agency: • Focus on specific area such as direct marketing, public relations, branding/logos/identity consultants sales promotion, field marketing, interactive, sports marketing, etc.

  5. Compensation? • Pre-1990: • standard commission = creative fee and 15% of gross billings of media placements • Post: • cost-plus fee, sliding scale fee, or fixed-rate (lower than previous 15%)

  6. WPP Group • 2010, $14.4B • UK • Largest marketing services group

  7. Omnicon Group • 1986 • 2010, $12.5B, $1B Profit (44% Ad, 56%?) • 5000 clients in more than 100 countries • 84,000 employees • 2,000 offices • 106 countries

  8. Publicis Groupe • 2010, $7.2B • 1926, France • 200 cities in 104 countries

  9. The Interpublic Group • 2010, $6.5B • 1961 • approximately • 43,000 employees • 130 countries

  10. TOP 10 Agencies • 1 Grey (WPP) New York • 2 BBDO (OMC) New York • 3 JWT (WPP) New York • 4 Euro RSCG (Havas) New York • 5 DDB (OMC) New York • 6 McCann Erickson (IPG) New York • 7 Foote Cone & Belding (IPG) New York • 8 Deutsch (IPG) New York • 9 Young & Rubicam (WPP) New York • 10 Leo Burnett Co. (Publicis) Chicago

  11. Who spends the most? • Proctor & Gamble $3.34B • AT&T $2.99B • GM $2.87B • Verizon $2.45B (-18%) • American Express $2.22B (+63%) • Pfizer $2.12B • Walmart $2.06B • Time Warner $2.04B (+9% from 2009) • Johnson & Johnson $2.03B • L'Oreal $1.98B • Walt Disney Co. $1.93B (-1.5% from 2009) • JP Morgan Chase $1.92B

  12. PR • What is it? • How is it different than the advertising industry? • How is it related to the ad industry? • SPINdustry (Command PR)

  13. To Consider??? • Blurring content and ad • What does it mean if culture is ad-friendly? • Are we merely consumers? • Collision of cultural and economy? • Impact of clutter • Selling us ourselves or ideal selves • Identity • Consumerism • Materialism • What is PR? How is it the same/different from ads? • How is this industry a cultural industry?

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