Business Practices of Media Zone University

8/6/2019 Business Practices of Media Zone University

1/46

BUSINESS PRACTICES OF MEDIA ZONE

COIMBATORE

SUMMER TRAINING REPORT

SUBMITTED BY

RESHMI.R

Reg no: 098001125039

In partial fulfillment of the requirements of

ANNA UNIVERSITY OF TECHNOLOGY, COIMBATORE

for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Under the supervision and guidance of

Assistant professor .Dr. A. Vani M.com., MBA.,M. Phil., Ph.D.,

DEPARTMENT OF MANAGEMENT

SRI RAMAKRISHNA INSTITUTE OF TECHNOLOGY

COIMBATORE -10.

OCTOBER- 2010


2/46

BONAFIDE CERTIFICATE

This is to certify that the summer training entitled, BUSINESS PRACTICES OF MEDIA

ZONE, is the work ofR.RESHMI (098001125039) who carried out the same under my

supervision. Certified further that to the best of my knowledge the work reported herein

does not form part of any other project work or dissertation on the basis of which a

degree or award was conferred on an earlier occasion of this or any other candidate.

The project work is submitted to the ANNA UNIVERSITY OF TECHNOLOGY,

COIMBATORE as partial fulfillment of the requirement for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION.

_______________________ _________________

(Dr. R. RAJENDRAN) (Dr. A. VANI)

Signature and Name of HOD Signature and Name of Guide

Viva voce examination held on: __________________

________________________ __________________

Signature of Internal Guide Signature of External Guide

with date with date


3/46


4/46

DECLARATION

I, R.RESHMI, hereby declare that the summer training report entitled, BUSINESS

PRACTICES OF MEDIA ZONE, submitted to the ANNA UNIVERSITY OF

TECHNOLOGY, COIMBATORE, as partial fulfillment of the requirements for the award

of the degree of MASTER OF BUSINESS ADMINISTRATION is a record of original

and independent research work done by me during June 14 to July 24, 2010, under

the supervision and guidance of Dr. A. VANI, ASSISTANT PROFESSOR, SRI

RAMAKRISHNA INSTITUTE OF TECHNOLOGY and to the best of my knowledge the

work reported herein does not form a part of any project work or dissertation on the

basis of which a degree or award was conferred on an earlier occasion of this or any

other candidate.

Date : Signature

Place : (R.RESHMI)


5/46

ACKNOWLEDGEMENT

I express my profound and sincere thanks to almighty god who showered his

blessings on me with physical strength, confidence, courage, inspiration and interest

throughout the period of my study.

I express my sincere thanks to DR. R. Joseph Xavier, principal of Sri Ramakrishna

Institute Of technology, Coimbatore for the facilities provided to me.

I am very glad to express my gratitude to the head of the department DR. R.

Rajendran for being the source of inspiration for this project.

I express my heartful thanks to my guide, Dr. A. Vani for her stimulating guidance

and valuable suggestions, which helped me for the completion of this project work.

I wish to express my sincere thanks to Mr. Ajay, Entrepreneur for having granted me

permission to do my study in their esteemed organization.

I extend my thanks to staff members, department of management, Sri

Ramakrishna Institute of Technology, for their suggestions and support to complete my

project successfully.

Above all I thank almighty god for his blessings throughout my project work. The

acknowledgement would be incomplete if I fail to mention the encouragement and help

provided by my loving family, relatives and friends.

RESHMI.R


6/46

TABLE OF CONTENTS

SL.NO TITLE PAGE.NO

1.

2.

3.

4.

5.

ACKNOWLEDGEMENT i.

TABLE OF CONTENT ii.

LIST OF FIGURES iii.

LIST OF TABLES iv.

ABSTRACT v.

INTRODUCTION

1.1 Industry profile

1.2 Company profile

Agency structure

2.1 Creative service department

2.2 Account service department

2.3 Media department

2.4 Finance service department

2.5 Advertising research

2.6 organizational functions

2.7 Common softwares used

SWOT ANALYSIS

CONCLUSION

BIBILIOGRAPHY

1

3

7

9

11

14

14

15

33

37

40

40


7/46

LIST OF FIGURES

SL.NO TITLE PAGE NO

1. Role played by Media Zone 6

2. Process followed by Media Zone 27


8/46

LIST OF TABLES

SL.NO TITLE PAGE.NO

1. Table showing Rate card of Dhina Thandhii 21

2. Table showing Rate card of Dhinakaran 22

3. Table showing Rate card of Deccan Chronicle 23

4. Table showing the Mobile Bill Structure 24

5. Table showing price of bill boards 25


9/46

ABSTRACT

Acquiring practical knowledge and skills is the main objective of summer internship

training. It is also important in management studies. As a part of curriculum a study was

conducted on business practices of Media Zone.

Media Zone is an advertising agency which provides all the types of advertising services

to people. It is situated at R.S.Puram. The study was done by a direct interview method with the

employees working there and also with Mr. M. Ajay the owner of the agency.

Business practices followed in the agency and various functional departments were also

understood. They create advertisements in news paper, television, advertising buntings,

broachers, flyers and also outdoor advertisings. Media zone provides services which are cost

effective and quality services. It also provides assistance for their clients in marketing their

products.


10/46

1. INTRODUCTION

1.1 Industry profile

An advertising agency or ad agency is a service business dedicated to creating,

planning and handlingadvertising (and sometimes other forms ofpromotion) for its clients. An

ad agency is independent from the client and provides an outside point of view to the effort of

selling the client's products or services. An agency can also handle overall marketing and

branding strategies and sales promotions for its clients.

George Reynell, an officer at the London Gazette, set up what is believed to be the first

advertising agency in London, United Kingdom, in 1812. This remained a family business until

1993, as 'Reynell & Son', and is now part of the TMP Worldwide agency (UK and Ireland) under

the brand TMPReynell. Another early advertising agent in London was Charles Barker, and the

firm he established traded as 'Barkers' until 2009 when it went into Administration.

Volney B. Palmer opened the first American advertising agency, in Philadelphia in 1850.

This agency placed ads produced by its clients in various newspapers produce "photographs,

ambrotypes and daguerreotypes. His ads were the first whose typeface andfonts were distinct

from the text of the publication and from that of other advertisements. At that time all newspaper

ads were set in agate and only agate. His use of larger distinctive fonts caused a sensation.

In 1864, William James Carlton began selling advertising space in religious magazines.

James Walter Thompson joined this firm in 1868. Thompson rapidly became their best

salesman, purchasing the company in 1877 and renaming it the James Walter Thompson

Company, which today is the oldest American advertising agency. Realizing that he could sell

more space if the company provided the service of developing content for advertisers,
http://en.wikipedia.org/wiki/Businesshttp://en.wikipedia.org/wiki/Advertisinghttp://en.wikipedia.org/wiki/Advertisinghttp://en.wikipedia.org/wiki/Promotion_(marketing)http://en.wikipedia.org/wiki/Marketinghttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Sales_promotionhttp://en.wikipedia.org/wiki/London_Gazettehttp://en.wikipedia.org/wiki/London_Gazettehttp://en.wikipedia.org/wiki/TMPhttp://en.wikipedia.org/wiki/TMPhttp://en.wikipedia.org/wiki/Philadelphiahttp://en.wikipedia.org/wiki/Philadelphiahttp://en.wikipedia.org/wiki/Typefacehttp://en.wikipedia.org/wiki/Fonthttp://en.wikipedia.org/wiki/Fonthttp://en.wikipedia.org/wiki/Agate_(typography)http://en.wikipedia.org/wiki/James_Walter_Thompsonhttp://en.wikipedia.org/wiki/JWThttp://en.wikipedia.org/wiki/JWThttp://en.wikipedia.org/wiki/Advertisinghttp://en.wikipedia.org/wiki/Promotion_(marketing)http://en.wikipedia.org/wiki/Marketinghttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Sales_promotionhttp://en.wikipedia.org/wiki/London_Gazettehttp://en.wikipedia.org/wiki/TMPhttp://en.wikipedia.org/wiki/Philadelphiahttp://en.wikipedia.org/wiki/Typefacehttp://en.wikipedia.org/wiki/Fonthttp://en.wikipedia.org/wiki/Agate_(typography)http://en.wikipedia.org/wiki/James_Walter_Thompsonhttp://en.wikipedia.org/wiki/JWThttp://en.wikipedia.org/wiki/JWThttp://en.wikipedia.org/wiki/Business


11/46

Thompson hired writers and artists to form the first known Creative Department in an advertising

agency. He is credited as the "father of modern magazine advertising" in the US.

According the Advertising Age's 2002 Agency Report, the world's six largest advertising

agencies accounted for over 65 percent of $39.28 billion spent on advertising worldwide in

2001. But the advertising industry has suffered during the first years of the 2000s. The economy

decline prior to and exacerbated by the terrorist attacks of September 11, 2001 has been

sustained by the ongoing conflict with Iraq. As an indicator of the softened demand for

advertising services, advertising agency employment fell to just over 180,000 in December

2002, down from an average employment of 194,400 in 2001 and 182,400 in 2002, representing

the largest decline since 1991.

Advertising agencies are primarily responsible for two functions. The first is the production of

advertising materials in the form of written copy, art, graphics, audio, and video. The second is

the strategic placement of the finished creative product in various media outlets, such as

periodicals, newspapers, radio, and television.

1.2 Company profile

Media Zone is an ad agency started at 2001.Mr. M. Ajay is the owner of the agency. Media

Zone nurtures their projects from the ground up. Clients receive the attention of their entire staff,

not just a single designer. Each and every project receives the utmost care and attention.

a. Vision Statement

To claim as the best advertising firm in India, dedicated to serve our clients with creative

solutions and innovative ideas through intensity, integrity and intelligence.
http://en.wikipedia.org/wiki/Advertising_agency#Creative_departmenthttp://en.wikipedia.org/wiki/Advertising_agency#Creative_department


12/46

b. Mission statement

Mission of the company:

To be Indias leading marketing firm which provides creative solutions coupled with

innovative ideas to the clients.

To be associated with clients as their marketing partner by helping them achieve their

marketing objectives.

To obtain and sustain distinct competence through efficacy of customer service and

enthusiasm towards our vision.

To be recognized as the firm which inspires creativity, sparks innovation and encourages

talent.

c. Positioning

To give your vision a route to success with creative solutions and innovative ideas in a cost

effective manner

d. Objectives

As no company can survive without financial resources and without enjoying any profit,

the company seeks to enjoy a handsome profit out of the services.

To be known to the clients as a firm providing cost effective yet innovative marketing

solutions.

As the advertising market has already been saturated by many marketing companies so

the primary objective is to introduce ourselves to the businessmen and obtain

competitive place in market.


13/46

To appear as a market challenger with creative solutions and innovative ideas.

To maintain friendly relations with clients by satisfying them with effective marketing

solutions.

To reach clients through effective promotions.

Around here they approach things differently. Media Zone prefers to say innovative.

Whether it's a website, a full page glossy, a billboard or a television ad, they create images that

stick. Making a positive impression is only half the battle in any advertising campaign. They help

their clients to take a step further.

They help clients to understand what consumers are thinking and how they are spending

their time, and by enabling them to communicate with consumers at the right moments and in

the best way.

Their services include market insight and communications strategy, through digital creative

execution and website design and build, to media planning and buying, brand tracking and

marketing analytics.

e. Role played

Suppose, if there is a company with a product. It may be a totally new product. As a

company with a product or service to sell, designing and making that item is only part of the

battle. People are not going to beat a path to your door. The company has to seek a channel of

communication.

The agency needs to consider, for example:

For who is the product or service designed?

Who would use it?


14/46


15/46

2. AGENCY STRUCTURE

Media zone have five main departments.

2.1 Creative service department

Media Zone has many experts in creative fields that provide quality, professional services

that conform to the standards of the industry. To a large extent, the success of the ad agency

depends upon the creative department responsible for the creation and execution of the

advertisements. Creation of an ad is the responsibility of the copywriters and they decide how

the ad should look. This is where ideas are born, the advertising message, the persuasive

marketing communication created.

This is the kingpin of the operational area developing out of the dialogue between the

account service group and the client. This too is an area of teamwork. The copywriter and the

ideas man work together as a team. In the process of interaction among these individuals

emerges the advertising message in which the words and pictures and where necessary, sound

and music become an integrated function.

It is in the creative department that a marketing concept is given flesh and blood in the

process of converting it into a communication concept, powerful enough to induce a purchase.

The discipline of marketing has entered the field of creativity to give it a direction and purpose.

The creative specialists are known as copywriters. They are the ones who conceive ideas

for the ads and write the headlines, subheads and the body copy. They are also involved in

deciding the basic theme of the advertising campaign, and often they do prepare the rough

layout of the print ad or the commercial story board. Copywriters provide the text for print ads,

and the scripts for television or radio advertising. Graphic designers are responsible for the


16/46

presentation of print ads, and also provide the necessary images for whatever format

advertisement is decided upon. Photographers and printers are based on contract for services.

Creative services are responsible for developing the advertising platform, which sets the

theme and tone of the ad campaign. The advertising platform should draw upon specific,

positive features of the product advertised and extrapolate the benefits the consumer could

expect to receive as a result of using the product. The campaign, through the development of

this platform, should prove to be eye-catching, memorable, and in some way unique. The

advertising that is remembered by consumers is that which stands out from the rest the

advertising agency and specifically the creative services department's responsibility to provide

this quality for their clients.The final advertising provided by the agency are fully developed and

polished. Print ads are attractive, informational, and attention-getting; radio spots are focused

and of high audio quality.

Graphic designer

Graphic design is a form of visual communication using text and/or images to present

information, or promote a message. The art of graphic design embraces a range of cognitive

skills and crafts including typography, image development and page layout. Graphic design is

applied in communication design and fine art. Like other forms of communication, graphic

design often refers to both the process (designing) by which the communication is created, and

the products (designs) such as creative solutions, imagery and multimedia compositions.

Graphic design is traditionally applied to static media, such as books, magazines and

brochures. Additionally, since the advent of computers, graphic design is utilized in electronic

media - often referred to as interactive design, or multimedia design.

There are varying degrees of graphic design. Graphic designer involvement may range

from verbally communicated ideas, to visual rough drafts, to final production. In commercial art,


17/46

client edits, technical preparation and mass production are usually required, but usually not

considered to be within the scope of graphic design unless the client is also a graphic designer.

After all, they share the same elements, theories, principles, practices and languages, and

sometimes the same benefactor or client. In advertising art the ultimate objective is the sale of

goods and services. In graphic design, "the essence is to give order to information, form to

ideas, expression and feeling to artifacts that document human experience.

2.2Account service department

The other major department in ad agencies is account services or account management.

Account service employees work directly with clients and potential clients, soliciting business for

the ad agency and determining what clients need and want the agency to do for them. They are

also charged with understanding the clients business situation and representing those needs

within the agency, so that ads can be brought to bear on the correct problem.

The Account Service team works closely with the client to map out their communications

needs and define the role the agency can play in helping meet their business objectives. They

engage agency resources as appropriate and ensure all the work done for the client is suitable

for their business and that projects run smoothly.

On a day-to-day basis, this means creating agency teams to work on specific projects,

communicating the agency opinion in formal points of view, presenting work, and setting

timelines and budgets. Account Service is ultimately responsible for ensuring that all agency

work is effective and projects are completed on time within budget.

Not all titles are required for every account and each is staffed according to its unique

needs. The account service, links between the ad agency and its clients. The account


18/46

executives job requires high degree of diplomacy and tact as misunderstanding may lead to

loss of an account. The account executive is mainly responsible to gain knowledge about the

clients business, profit goals, marketing problems and advertising objectives.

The account executive is responsible for getting approved the media schedules, budgets

and rough ads or story boards from the client. The next task is to make sure that the agency

personnel produce the advertising to the clients satisfaction. The biggest role of the account

executive is keeping the agency ahead of the client through follow-up and communications.

2.3Media department

The media department has assumed major significance today with the proliferation of not

only different types of print media, but also the electronic media. The responsibility of the

agencys media department is to develop a media plan to reach the target audience effectively

in a cost effective manner. Size and scale of the advertising is not important. What's in the mind

is important. The big bucks are not being spent on production; they are being spent on

broadcasting. The Media Department of an advertising agency is responsible for the planning

and placement of advertising time and space.

The proliferation of media forms and the escalating cost of media time have brought a new

focus to the Agency Media Department. The staff analyses, selects and contracts for media time

or space that will be used to deliver the ad message. This is one of the most important decisions

since a significantly large part of the clients money is spent on the media time and/or space.

The media department has acquired increasing importance in the agencys business as large

advertisers seem to be more inclined to consolidate media buying with one or few agencies

thereby saving money and improving media efficiency.


19/46

They determine how to best expose the creative message to the desired target. They

determine what combination of TV, radio, magazines, etc., would reach as many target

consumers as possible at the lowest cost. The result of their research and analysis is the Media

Plan. The Media Plan is formatted similar to a calendar, and lays out when and where the

advertisements will appear. Plan effectiveness can be measured in many ways.

Following are a few of the most important measures:

Reach: what percentage of the target audience will be exposed to the ad?

Frequency: how many times the average consumer in the target audience will be exposed to

the advertisement.

Effective Reach: also referred to as 3+ reach, quantifies the percentage of the target audience

that will be exposed to the ad more than three times.

They take the media plan recommended by the planners and negotiate its purchase as

inexpensively as possible. The media buyers front-line experience often provides invaluable

expertise on when and how to make these commitments. As a clients media budget can be

quite large, even small tactical changes can result in big savings.

As the advertisers face severe competition, they are becoming more exacting in the

demand for reaching out to the right consumer, most effectively. The proliferation of the media

and the specialization in relation to audience or readership that is taking place are also

demanding of the advertising agency the best possible utilization of the available media. This is

an area important for both the advertiser and the advertising agency. According to a rough

estimate, 10 per cent of the advertising budget is spent on creating advertisements, while 90 per

cent is spent on the media. Even the most effective advertisement is ineffective if it does not


20/46

reach the right potential consumer. It is from this 90 per cent of the advertising budget that the

advertising agency realizes its major income.

Functions of the Media Department

The Media Department is responsible for the preparation and the actual presentation of

the media plan. This department recommends media and media vehicles that in the agency's

opinion best fulfill the client's marketing and advertising objectives. The recommendations are

based on a careful assessment of the client's strategic requirements and the subsequent

matching against these of the various available media forms. In the process there is great

reliance on research and the known strengths and weaknesses of various media.

The final media plan will present a carefully thought out recommendation that delivers

the right target group, at the right time, in the right place, with the right number of messages.

Media planners have access to up-to-date information about each advertising medium. This

includes the relationship and circulation figures for news papers and magazines, viewing figures

for different times of the day, listening audience figure for commercial radio stations etc. They are

also aware of the various locations for hoarding and billboards. They are a vast array of choice.

There are thousands of brands to advertise the work is challenging. It is though the selection of

the right media that a good media department can save large advertisers money as well as give

credibility.

2.4Finance service department

The agency is in the business of providing services and must be managed that way. The

agency maintains a bill record which is raised from each of the customers for the services they


21/46

provided. They maintain the salary and attendance record. And they also maintain a record of

receipts from various media and from printers.

2.5 Advertising research

Advertising research is a specialized form of research that works to improve the

effectiveness and efficiency of advertising. It entails numerous forms of research which employ

different methodologies. Advertising research includes pre-testing (also known as copy testing)

and post-testing of ads and/or campaignspre-testing is done before an ad airs to gauge how

well it will perform and post-testing is done after an ad airs to determine the in-market impact of

the ad or campaign on the consumer. Continuous ad tracking are competing examples of post-

testing advertising research types.

The research department will be able to provide clients with some details about the

prospective audience of the final advertising campaign, as well as information about the market

for the product being advertised. This should include specific market research which leads to a

much focused ad campaign, with advertising directed to the ideal target audience.

The agencies do not actually produce the finished ads; instead they hire printers,

photographers, engravers, typographers and others to complete the finished ad. The production

department hires an outside director to transform the creative concept to a commercial.

2.5Organizational functions

I. Marketing

a. Segmentation
http://en.wikipedia.org/wiki/Copy_testinghttp://en.wikipedia.org/wiki/Ad_trackinghttp://en.wikipedia.org/wiki/Copy_testinghttp://en.wikipedia.org/wiki/Ad_tracking


22/46

Basically their market is all the business operating in India but for convenience they divide it

into following segments.

Banks

Telecom companies

FMCGs

Media (radio and TV channels)

Political Parties (in election period)

Others services providers

Any small or medium sized company or a business company is spending Rs 5 million and

more on its advertising

b. Target market

Small Businesses

The agency targets a cross section of small business segments that represent

1.) Industries that advertise on the news paper.

2.) High- growth sectors

The top 10 industries that purchase radio include: retail, business and consumer service,

automotive, entertainment, media, food, travel, hotel, real estate, computer, and snack sectors.

Because the decision-making tools that support newspaper advertising purchases are currently

costly, time consuming, and require familiarity with news paper.

The agency provides the most value to the buyers who are time, money, and data

impoverished and are in a growth phase. High-growth small business sectors include high-tech

and computer retail, new businesses, and the consumer service industry.


23/46


24/46

Signboards

Pole sign

Hanging flag

Brochures :

Creatively designed brochures and business cards for business meetings and Personal

sales offices

BTL/Outdoor

Outdoor advertising has always been good medium to convey brand messages to the mass

audience. Through outdoor advertising you can reach the brand audience more than any of the

medium of advertising, in outdoor advertising offered

i. Billboards

Even if the ad in television and radio channels are not noticed by the people .The other way

to make people aware of the product is billboards. The billboards are further divided into two

main categories.

Permanent billboards

Rotary billboards

In permanent billboard, they offer permanent location of billboard with

permanent structure, and in rotary billboards penetrate different market

with same displays.

Mobile billboards


25/46

Most of the people notice ads shown on the sides of vans.

And nearly half of them said that they would look closely at such ads

Most of the respondents could recall the advertisement days later.

The billboards have now transformed into roaming billboards. They offer mobile billboards

with the van carrying product message wherever client want from designated routes offered.

Vans are well capable of driving more than 20 km a day ensuring that more and more

customers get to watch the ads.

Mobile tri-vision

Mobile video billboards

By using mobile tri vision and mobile video billboards the customers not only watch the ads

but also get the message delivered by the client. Services offered by Media Zone also include:

o Advertising campaign operations

o Fuel

o Tolls

o Uniformed drivers (client supplied)

o Product or literature distribution (additional charges apply)

o Illuminated Billboards

o Route scheduling (routes determined by client)

o Event management

o Transit ads

o Wall scapes.


26/46

ii. Streamers

Usually used in campaigns and at the time of launching a new product. It also helps in

outdoor marketing, reaching more and more people

iii. Banners

A banner is a flag or other piece of cloth with a symbol, logo, slogan or other message.

B. Price

Prices have always been a point of discussion and negotiation among the agency and its

clients. As discussed in mission and vision statements the agency tries to provide cost effective

services to their clients that means that the prices of the services will be quite lower than the

other advertising agencies operating in India. The agency charges a commission of 15% for

news paper advertisements. The In some special occasions discounts are given to clients. The

agency also charges service charge from their clients. The charges for other services depend of

the kind of the service they provided and often the price can be negotiated.

The price offered to the kind is affordable the clients and when compared to the other

advertising agencies it will be less. They also provide best services for the cost provided by the

clients.

After the execution of the advertisement the actual appearance of the advertisement is

checked at the right time as scheduled by the agency and whether properly reproduced. Then it

would secure the bills from all the outside service organizations, including the media, every

month and prepare bills for the client.

The price for news paper advertising is calculated based on the rate cards provided by the

news paper:
http://simple.wikipedia.org/wiki/Flaghttp://simple.wikipedia.org/wiki/Symbolhttp://simple.wikipedia.org/wiki/Symbolhttp://simple.wikipedia.org/wiki/Flaghttp://simple.wikipedia.org/wiki/Symbol


27/46

Daily thanthi

Advertisement rate revision for 2010-2011, Effective first April 2010

Sl.

no

Editions Week

days

(R.s)

SQ.CM

Sundays (R.S)

SQ.CM

1. Chennai 452 498

2. Madurai 65 71

3. Dindigul 34 36

4. Trichy 54 58

5. Tanjore 54 58

6. Coimbatore 89 97

7. Erode 35 39

8. Salem 65 73

9. Tirunelveli 57 59

10. Nagercoil 44 47

11. Vellore 44 49

12. Cuddalore 37 39

13. Pondicherry 40 43

14. Bangalore 5259

15. Mumbai 46 53


28/46

Dinakaran advertising rates effective 1.4.2010

Edition Display rates per SQ.CM(B&W)

(IN RUPEES)

CHEENAI 384

COIMBATORE 105MADURAI 110

TRICHY 92

SALEM 60

VELLORE 49

TIRUNELVELI 46

NAGERCOIL 30

PONDICHERRY 70

BANGALORE 40

MUMBAI 65DELHI 53

ALL EDITIONS 1049

FRONT PAGE : 100% EXTRA

COLOUR : 100% EXTRA

THIRD PAGE : 25% EXTRA

BACK PAGE : 50% EXTRA

Height of column: 51 cm

Minimum size acceptable: 4cm (width) *3cm (height)

Minimum width: 4c cm.

Minimum height: 3cm

Minimum height: 51 cm

Full page advertisement 33 cm (width)* 51 cm (height)

(If ad height is more than 46 cm. the ad will be billed for the page height)


29/46

(If ad width is greater than 29 cm. the ad will be billed at the page width

Advertising rates of Deccan Chronicle, Financial Chronicle, the Asian Age, and

Andhra Bhoomi from 1.6.2010

Rates in R.s per Square Centimeter, applicable from 1.6.2010

Display/Tender/Political/Financial/Notice - Guaranteed page and position premium

Inside

page

Inside

page

Front

page

Beck

page

Navigator

Black

and

white

color (Panel

below

front page

masthead)

Deccan

chronicleDc all edition 3090 3810 6600 5370 9900

DC-Bang +Chn

+Hyd

2640 3000 5310 4290 8010

AP editions 2670 2820 4830 3930 7230

Hyderabad 2190 2310 3960 3240 5940

Chennai 1020 1110 1950 1530 2910

Bangalore 810 840 1470 1170 2190

Vijayawada 425 510 870 690 1290

Vishakapatanam 425 510 870 690 1290

Karimnagar 425 510 870 690 1290

Nellore 360 425 720 600 1080

Ananthapur 425 510 870 690 1290

Rajahmundry 425 510 870 690 1290


30/46

Page 3 : 30%extra respective rates

Page 5: 25% extra on respective rates

Page 3 top of column: 30%+25%extra on respective rates

Any specified page: 25% extra on respective rataes

Any specified page and position(other than page 3 and 5): 40%extra on respective rate

Model bill structure for a news paper add

M/s Sai Institute of Management Coimbatore

1168 24.7.2010

Billboards

The costs for billboards depend on the following factors:

Size of billboard

Location

1.

16.7.2010

(Friday)

Dinakaran

(any page)

salem

Edition

5*12

Sq.cm

60

Sq.cm

@

Rs.

63/-

Sq.cm

Rs.3,780.00

2.

16.7.2010

(Friday)

Dinakaran

(any page)

Coimbatore

Edition

5*12

Sq.cm

60

Sq.cm

@

Rs.

107/-

Sq.cm

Rs.6,420.00

3. 16.7.2010

(Friday)

Dinakaran

(any page)

Trichy

Edition

5*12

Sq.cm

60

Sq.cm

@

Rs.

95/-

Sq.cm

Rs.5,700.00

Rs.15,900.00


31/46

Billboard type (i.e. rotary, permanent)

Period of display

View type (single/dual

All the prices are offered keeping these factors in mind and all these prices are negotiable and

may change according to the services provided.

Mobile Billboards

For a standard route we offer following prices

Length ofcontract

Rates Discounted rates for repeatcustomers3 days

18,000/day 17500/day 16,000/day10 days 16,500/day 15,500/day

30 days 16,000/day Negotiable

2 months Negotiable Negotiable6 months Negotiable Negotiable

Campaign rates may also vary in accordance with geographical locations

Fees or special permits may apply

Production costs vary according to your graphic requirements. We willreceive your graphic designs electronically and will have them produced to the

specifications requirements at our production facility

Multiple-vehicle campaign contracts may be qualified for a 10% Discount rate

C. Promotion

For promotion, we will be using only print media and outdoor advertising. We will publish our

advertisement in popular newspapers and magazines of Tamil nadu and other states like;

Times of India

The Hindu

Indian Express

Dhinathandhi


32/46

Dhinamalar

Dhinakaran

D. People

People at Media Zone comprise of:

Copywriters

Graphic designers

accounts manager

Skilled labors

Uniformed Drivers

Other staff

Clients

A partial client list is reproduced below.

Sri Venkateshwara College

Alpha Institute of management

R.J. matriculation School

Pencil Animation

Sri Mahalakshmi Tax


33/46

E. Process

For creative our process flows as follows.


34/46

Introduction of the services to the client

Client briefing about product or services

Brief discussion with creative people

Media work begins

Creative work begins

Proposal presented to the clients

Discussion with team

Clients approval

Printing and output presented to the client

Final display of ad campaign


35/46

II. Finance

1) Agency Compensation

Commission and fees methods

The revenue of advertising agency is derived from commission and fees. It charges a

commission of 10% or 15% on total billings for their services, plus reimbursement for advertising

production costs. The commission comes from the media in which a client firms advertising is

placed rather than from the firm.


36/46

An advertiser is billed by its agency for the full cost of advertising space used in the

media. Then, the media bill the agency for the full cost of space less the commission (any early

payment discount is passed back to the client). The agencys revenue then is primarily the

difference between what it bills clients and what it pays to media. In fact the media are paying

the agency commission through a reduction in its billing to the agency.

Moreover, this commission must cover most expenses of operating the agency, so that

a client is actually paying for the full service offering. Creative Boutiques on the other hand,

charge a fee, rather than a commission, for services rendered.

The movement toward a fee system will change the agency- client relationship to the

advantage of the client; for advertisers will be better able to buy only those services that they

need from agencies.

There is a straight commission system. The profit of the agency declines because they were

forced by competition to perform more and more services without additional compensation.

Large advertisers, who bought much media time and space, felt that they were paying too

much. The agency receives the same compensation, whether they placed extra expenses of

creating ten different magazines or had the extra expense of creating ten ads.

2) Non-Direct Costs

Sales and Marketing

The biggest expenses of the agency are the sales and marketing costs. These are the

critical elements to grab and ultimately maintain the lead over our competition. For the sales

force, they projected 10,000 per quarter per person to capture commissions and also expenses

include salesperson for travel and living costs to account for the substantial travel associated


37/46

with covering the geographical disperse areas. The major portion of our marketing expense

includes advertising and paid promotions.

Financial Services

The financial services expense takes into consideration the staffing costs to support

billing, collection, and internal reporting. Fund transfer would be done through cash or cheque

applications. Hence the employee growth plan forecast assumes a conservative growth for the

financial services organization. The agency project R.s.25, 000 per quarter per person for the

financial services group that would include salary.

Human Resources & Other Expenses

The agency projected expenses R.s.50, 000 per quarter per person including salary.

Administrative costs include receptionist and administrative assistants.. Other expenses include

general office costs such as supplies, production, drinks, etc.

III. Human resource

The agency generally asks for a degree in communication, others in the fine arts. And also

experience in the advertising field.

Recruitment and selection:

People at Media Zone are recruited as per the requirements of the campaigns. Keeping in mind

all the campaign which run these days the staff is recruited and directed to the requirements of

such campaigns.


38/46

Employees are selected mainly through reference and rarely through news paper

advertisements. Candidates who are eligible are with a degree with visual communication and

with one or two years experience. And also candidates who are specialized in MBA marketing

are preferred .Media Zone Ad Agency has worked with a wide variety of clients in many different

industries ranging from Education to Motion Picture Production.

Special Skills required for copywriters:

Ability of creatives.

Solid background in copywriting and/or design.

Travel sometimes required.

Experience with Photoshop, Illustrator, In Design, Flash, QuarkXPress, PowerPoint and

other programs usually required to apply.

HTML, PHP and other Web experience is quickly becoming required of copywriters.

Must be able to manage the creative team from concept to completion of the projects

with strong leadership.

Knowledge of each step of an ad campaign's process to give creatives direction, work

on schedule and meet client's advertising expectations.

A good psychologist.

Willing and able to set high standards.

An efficient administrator & Research minded.

Capable of strategic thinking positioning and all that.

Equally good at package goods and other kinds of accounts

Well versed in graphics and photography.

A hard worker and fast.

Prepared to share credit for good work, and accept blame for bad work.

A good presenter.


39/46

Methods used to recruit candidates for selection are:

Turning circle of individuals and organizations in entourage of company i.e. through

recommendations. The selection has one step, the interview each candidate and, after a

free discussion of 5-10 minutes with him, he read him, he realizes if he is the right

person and if he wants to work with that person.

Through news papers ads.

Qualities that agencies want to prospective employees is the spirit of initiative and

spontaneity, as a reflection of creative nonconformist minds; and ambition and determination,

justified in a field as competitive as it is advertising "good knowledge in the field, past

performance, education, technical skills,

Motivation of employees:

Providing a work environment "comfortable and pleasant, very open and friendly,

stress free, easy, feature at which contributes to a large extent also the organization of

team buildings ("exits in the city, weekly tennis games, Counter Strike championships or

bowling weekend), in order to build strong relations team.

Creation of a distinct organizational identity (e.g., "the belonging to the agency spirit").

Recognition and appreciation of merits, encouraging of employees.

Offering opportunities for professional development (as a tool for development and

performance), promotions (which may include also offering assistants in carrying out

activities"), giving new responsibilities, offering trainings.


40/46

To these there are added, not least, also financial motivation means, under various

forms: "fair salary

IV. Common softwares used

a) Adobe Photoshop

Adobe Photoshop, or simply Photoshop, is a graphics editor developed and published by

Adobe Systems. It is the current market leader for commercial bitmap and image manipulation,

and, in addition to Adobe Acrobat, is one of the best-known pieces of software produced by

Adobe Systems. It is considered the industry standard in most jobs related to the use of visual

elements. Photoshop is available for Microsoft Windows, Mac OS X, and Mac OS; versions up

to Photoshop 9.0 can also be used with other operating systems such as Linux using software

such as Cross over Office.

Photoshop also has strong ties with other Adobe software for media editing, animation and

authoring. Files in Photoshop's native format, .PSD, can be exported to and from Adobe Image

Ready, Adobe Illustrator, Adobe Premiere, After Effects and Adobe Encore DVD to make

professional standard DVDs, provide non-linear editing and special effects services such as

backgrounds, textures and so on for television, film and the Web.

a. Adobe Flash


41/46

Adobe Flash (formerly Macromedia Flash and before that Future Splash Animator), or

simply Flash, refers to both the Adobe Flash Player and to a multimedia authoring program

used to create content for the Adobe Engagement Platform (such as web applications, games

and movies). The Flash Player, developed and distributed by Adobe Systems (which bought

Macromedia in 2005), is a client application available in most dominant web browsers. It

features support for vector and raster graphics, a scripting language called Action Script and bi-

directional streaming of audio and video.

Strictly speaking, Adobe Flash is an integrated development environment (IDE) while Flash

Player is a virtual machine used to run, or parse, the Flash files, but in contemporary colloquial

terms "Flash" can refer to the authoring environment, the player or the application files.

Since its introduction in 1996, Flash technology has become a popular method for adding

animation and interactivity to web pages; several software products, systems, and devices are

able to create or display Flash. Flash is commonly used to create animation, advertisements,

various web-page components, to integrate video into web pages, and more recently, to

develop rich Internet applications. The Flash files, traditionally called "Flash movies", have a

swift file extension and may be an object of a web page, strictly "played" in a standalone Flash

Player, or incorporated into a Projector, a self-executing Flash movie.

b. QuarkXPress

QuarkXPress is a page layout application for Mac OS X and Windows, produced by Quark,

Inc...Quark can be seen as one of the founders of Desktop Publishing (beside Adobe Systems

and Apple Computer). The first version of QuarkXPress was released in 1987.


42/46

QuarkXPress early on incorporated an innovative application programming interface

called XTensions which allows third-party developers to create custom add- on features to the

desktop application. Introduced in 1989, Xtensions, along with Apple Computer's Hypercard,

were the first examples of a developer allowing others to create software add-ons for their

application.

Beside QuarkXPress, Quark Inc.'s other notable product is "QuarkXPress Passport", which

is QuarkXPress with the added ability to use multiple language UI, hyphenation and spell-

checking. Although similar to desktop publishing applications for the home and small office

market such as Adobe PageMaker, Microsoft Publisher

c. Corel DRAW

Corel DRAW is a vector graphics editor developed and marketed by Corel Corporation of

Ottawa, Canada. It is also the name of Corel's Graphics Suite. Its latest version, named X3

(actually version 13), was released in January 2006.

The current version is X3 (actually version 13), released in January 2006. Its new features

include -- Double click Crop tool (the first one able to crop groups of vectors and bitmap

images), Smart fill tool, Chamfer/Fillet/Scallop/Emboss tool, Image Adjustment Lab. Trace

became integrated inside Draw under the name Power TRACE.

Corel DRAW differentiates itself from its competitors in a number of ways. The first is its

positioning as a graphics suite, rather than just a vector graphics program. Second, the package

consistently includes a large collection of fonts and clip art. The biggest improvement with Core

DRAW over other graphic software programs is its ability to edit bitmaps. A full range of editing

tools allow the user to adjust contrast, color balance, change the format from RGB to CMYK,


43/46

add special effects such as Vignettes and special borders to bitmaps. Bitmaps can also be

edited more extensively using Corel Photo Paint, opening the bitmap directly from Corel DRAW

and returning to the program after saving. Corel DRAW's chief competitor is Adobe Illustrator.

d. Computer-aided design (CAD)

CAD is used to design, develop and optimize products, which can be goods used by end

consumers or intermediate goods used in other products. CAD is also extensively used in the

design of tools and machinery used in the manufacture of components. CAD is also used in the

drafting and design of all types of buildings, from small residential types (houses) to the largest

commercial and industrial structures (hospitals and factories).

CAD is mainly used for detailed engineering of 3D models and/or 2D drawings of physical

components, but it is also used throughout the engineering process from conceptual design and

layout of products, through strength and dynamic analysis of assemblies to definition of

manufacturing methods of components.

CAD has become an especially important technology with benefits, such as lower product

development costs and a greatly shortened design cycle, because CAD enables designers to

layout and develops their work on screen, print it out and save it for future editing, saving a lot of

time on their drawings.

3. SWOT ANALYSIS

i. Strengths:

The agency first understands the requirements of its customer and gets a complete profile

about the product or the service to be advertised from them. Further, it makes a complete


44/46

assessment of such a product or service, based on the representations and the explanations

given by its client in terms of the life of the product, its marketability and its commercial value.

Continuing on these lines, the agency also makes an assessment of the requirements of the

client, their budget, cost constraints etc.

Finally, last but not the least, the agency makes an estimate of the benefits, both monetary

as well as non-monetary which it is subsequently in the long run, going to derive out of every

such assignment. On the basis of such a study made about the product, its target audience and

the psycho-analysis of the creator as well as its creation, the agency then selects the type of

media which is the most appropriate one in terms of the cost constraints laid down by the client

and accordingly intimate the client about the cost-benefit ratio of the entire exercise. So, its a

thorough professional approach wherein the client is rest assured about the benefits he is going

to reap from the seeds he is planning to sow in the field of advertisement. Ultimately, its not a

no-win no-lose situation for both of them but is entirely a winners outcome.

ii. Weakness:

Media Zone is facing a major problem of Time Management i.e. it is over-dependent on its

staff. Hence, the quality and the efficiency of its human resources always causes some sort of a

problem in making and implementing fast decisions.

Secondly, as far as client servicing is concerned, Media Zone does not make adequate

attempts to update its services. This is the main reason why this organization though reputed, is

not able to expand its paraphernalia. Lack of creativity is also a major backdrop in its success

story. Next, the agency has also failed to make any renowned celebrity from the fields of


45/46

cinema, sports, politics or business as its brand ambassador as other reputed agencies in this

world are in a practice of doing. Hence, the agency fails to create a long-lasting and huge

appeal for the products of its clients amongst the masses.

iii. Opportunities:

There is a tremendous scope for diversifying its paraphernalia as currently Media Zone is

just specializing in one particular media. Secondly, by recruiting and taking more benefits from

services of professionals in this field, Media Zone can overcome its problems of Time

Management and slow decision making. Instead of having too many heads with different

contents in them, it can always go for quality staff. Media Zone can also concentrate on making

some of the eminent personalities as its Brand Ambassador. If it continues to do so on these

lines it can lead to more aggressive response for its clients products and services.

iv. Threats:

The agency also does not make a SWOT analysis of its clients at the time of taking an

assignment. This also exposes it to a major threat of losing its own ground in its field as not

many of its clients are too reputed, well-organized and aware of their requirements. Another

major threat to the growth and development of Media Zone is its over-dependence on news

paper Media. That is to say, they have not taken too many efforts of diversification and growth

into other media. It is quite understandable that in todays world to remain sellable in the market

they have to keep on diversifying into other fields which this agency is not very much keen in

today, there is a definite threat on its future existence.

4. CONCLUSION

The main objective of the organizational study, to understand the organizations functions

and activities is vital for a management student. The training at Media zone was fruitful in


46/46

gaining a practical hand on experience understanding the functions of the advertising agency

and also helped me to part of the agency and to know about its functions.

5. BIBLIOGRAPHY

1. George. E. Belch and Michael A. Belch, Advertising and Promotion.

2. S. H. H. Kazmi and Satish. K. Batra, Advertising and Sales promotion.

3. www.google.com
http://www.google.com/http://www.google.com/

Business Practices of Media Zone University

Documents

Transcript of Business Practices of Media Zone University