How a firm organizes for advertising and promotions is a function of a number of factors including
- The size of the organization,
- The number of products it markets,
- The role that advertising and promotion assume in the product mix,
- The advertising and promotions budget, and
- The structure of a firm.
Read: IMC Planning Process
Three organizational designs are discussed:
The Centralized System
Marketing activities are organized along functional lines.
A common form is to have an advertising manager responsible for all advertising and promotions activities including planning and budgeting, administration and execution, and coordination with other departments and outside agencies.
The advantages and disadvantages associated with Centralized System are:
The Decentralized System
Individual products or brands are the responsibility of the product manager or brand manager.
Read: The Promotional Mix
Product/Brand Manager is responsible (including responsibilities for working with all external agencies) and will be in charge of all planning, implementation, and control for that product or brand.
The advantages and disadvantages associated with Decentralized System are:
The In-House Agency
Some firms embark on all of their marketing themselves (in-house) without involvement from external vendors and advertising agencies
Read: Basic Model of Communication
The design of these agencies may vary from small advertising departments to operations as large as an external agency.
The advantages and disadvantages associated with In-House Agency are:
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