noun phraseadvertising

advertising agency

A company that plans, creates and places advertising on behalf of clients.

Definition

An advertising agency develops the ideas, messages and materials that promote a client's products, and often arranges where and when they appear. Traditional agencies combined strategy, creative work and media placement; today many specialize in one part, such as creative concepts, media buying or performance campaigns. The agency typically earns income through fees, retainers, commissions or a mix. Clients hire agencies for outside expertise, extra capacity and fresh perspective. The right fit depends on budget, channels, category experience and how closely the client wants to work with the team.

In a sentence

  • The advertising agency presented three campaign ideas to the marketing director.

  • Many small brands pair a freelance strategist with a specialist advertising agency.

Related terms

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