Advertising agencies are companies that specialize in creating, planning, and handling advertising and other forms of promotion for their clients. There are five main types of ad agencies: traditional, digital, media buying, creative boutiques, and large companies. Traditional advertising agencies specialize in traditional forms of media such as television, radio, impressions, billboards, and direct mail. Traditional advertising is great for companies looking to reach a local or regional audience.
In local areas, traditional media still plays an important role in providing information. Nowadays, many companies that work with traditional advertising agencies also use other forms of advertising such as digital marketing. Traditional marketing is great for targeting regional areas while digital marketing is great for reaching a wider audience. The trend for specialized media buying agencies began in the 1970s.
These agencies have many contacts in the media and offer very low commissions on media rates. Media buying agencies are often used in conjunction with creative boutiques. Large companies also use their specialized negotiating skills to purchase space and time in the media.