Five Major Players in the Advertising Industry

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Five Major Players in the Advertising Industry

• Advertisers
• Marketing or advertising dept.
• In-house agency function? Pros and cons?
• Agencies (External) Different Types, Its typical
  structure
• Media
• Suppliers/Vendors
• group of service organizations/individuals that
  provide specialized services. Examples?
• Why do advertisers or agencies hire them?
• Consumers (target audience)

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Five Major Players in the Advertising Industry

• Relationship between Advertiser (client) and
  Agency
• ?equal partners?
• Or Master-Servant relationship?
• Account Review?
• Account Pitch?

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Different Brands by different Agencies even
within the same client

• Time Warner Company
• America Online, HBO by BBDO Worldwide
• Time Inc. by Fallon Worldwide
• Time Warner Cable by Ogilvy Mather
• Proter Gamble Co.
• Clairol, Cover Girl, Downey by Grey Worldwide
• Always, Max Factor, Secret by Leo Burnett
• Bounty, NyQuil, Vicks by Publicis Worldwide
• Old Spice, Crest, Tide by Saatchi Saatchi

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Top 10 U.S. Advertisers ( in billions)
Source Advertising Age Fact Sheet 2005 Data is
based on their 2003 ad spending, the sum of
measured media from TNS and unmeasured estimates
by Advertising Age.
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Top 10 U.S. Mega brands ( in millions)
in millions --- measured U.S. ad spending in
NPs, magazines, outdoor, broadcast and cable TV
and radio.
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U.S. AD Spending Totals by Media ( in billions,
2003)
Data based on 100 Leading National
Advertisers. Broadcast TV includes network,
spot, syndicated and Spanish-language TV.
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Top 10 Media Companies (Estimated 2003 Media
Revenues in millions of )
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Top 10 U.S. Advertising Agency Brands (US
revenue in 2003, in millions)
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Different Brands by different Agencies even
within the same parent company

• Time Warner Company
• America Online, HBO by BBDO Worldwide
• Time Inc. by Fallon Worldwide
• Time Warner Cable by Ogilvy Mather
• Proter Gamble Co.
• Clairol, Cover Girl, Downey by Grey Worldwide
• Always, Max Factor, Secret by Leo Burnett
• Bounty, NyQuil, Vicks by Publicis Worldwide
• Old Spice, Crest, Tide by Saatchi Saatchi

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Top 10 Marketing/Advertising Organizations (by
worldwide revenue in 2003, in millions)
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Agency Business Market Share Top 5 groups
dominate global advertising and media!!!
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• Omnicom Group Family

• WPP Group Family

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• Interpublic Group of Cos.

• Publicis Group Family