# Advertising agency working on commission based



## Nicky (30 Nov 2010)

Good evening everyone,

I have a perfect product but need a help to advertise it through an advertising agency which works on commission based contract, looked at the  "Metro Herald" newspaper rates but too dear
Thanks in advance for any help

Nicky


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## Bob_tg (30 Nov 2010)

Not sure such an advertising agency exists for new products..... As much as may you get the ad agency to perhaps risk the concept/creative piece, there are direct costs associated with production of the ad and media placement.  That would mean the bulk of marketing investment would come from the agency side, which is unlikely.


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## Nicky (2 Dec 2010)

Thanks Bob for the reply, is there any advertising agency that might agree to get a part of the product as a payment for their work ?


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## Bob_tg (2 Dec 2010)

Nicky - It's hard to answer your question without some specifics....

Can you be more specific about the "work" you require from the agency?  Do mean create the ad?  Or produce it?  Or place it in the media?  What kind of ad do you want to make - digital, newspaper, outdoor, direct marketing, tv/radio etc....?

Do you have a minimum budget in mind in terms of what you can afford spend up front with the agency?  And then what kind of revenue would you expect in the first year?

Also, is there any chance you could desribe the product or service?  If it's all hush hush, can you at least categorise it?

Bob


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## Nicky (2 Dec 2010)

Thanks Bob for a lot of questions, the more them here the better, there is no hush hush instead of that everyone needs this product in such cold weather,
you can see my ads "protect your health from the cold" on DoneDeal, the  budget is very small in cash, but the work might be paid by the product


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## Bob_tg (2 Dec 2010)

Had a look at it - thanks.  Looks like an interesting product, but there seems to be a lot of similar products on the web.  Have you the exclusive licence for distribution in Ireland for this particular brand?  

Are you set on selling direct to consumer, or have you considered selling via a traditional retailer?

Your marketing costs of selling direct to consumer in Ireland would be quite high.  If you are on a tight budget, you might consider partnering with a retail channel distributor, or alternatively going direct to a retailer (e.g. Argos/ Clery's).


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## Nicky (2 Dec 2010)

Thank you Bob for taking time to have a look at the product and for your feedback too, I have the exclusive licence for distribution in Ireland and UK for this particular brand.
There is a problem with the retails, they are interested in the product but they only agree to get it without any payment untill it is sold and they going to sell it for the price
in 3 times higher, as a result we can give them our product but wait money for ages, that's why better to advertise and sell to consumers directly


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## Gods_Gift (6 Dec 2010)

Umm - so you don't want to wait for a (definite) payment from the retailer, but want the ad agency to wait for (some unknown amount of) payment when the products sells?


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## Nicky (6 Dec 2010)

Gods_Gift said:


> Umm - so you don't want to wait for a (definite) payment from the retailer, but want the ad agency to wait for (some unknown amount of) payment when the products sells?


 
yes Gods_Gift, however I wouldn't mind an advertising agency get a part of the product as a payment for their work as was said in one of my posts


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## Bob_tg (7 Dec 2010)

Nicky - For consumer advertising to make a return on advertising you need massive volumes.  I can't see an advertising agency taking such a risk, as this is not a unique product and there are many competing brands out there on the internet.  If you don't want to go down the traditional distribution route and continue with the direct2consumer model, then perhaps consider a lower cost marketing and advertising route (such as a viral campaign or even selling direct at outdoor markets).


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## Nicky (7 Dec 2010)

Thank you Bob, you are 100% right, I am thinking the same way


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## GregLane (12 Dec 2010)

Having worked in national brand management and also agency side, the chances of having an agency invest time and money behind this will be very unlikely. This is a product that might fit the demographic of some of the 'other' tv channels, where ads are cheap but you are still talking of '000s. Shopping channels might look at it and if you are looking at getting in nationals like Tesco, you may have to invest some money in terms of free stock for a sample of 10 stores for 6 months or so, but these nationals try to avoid dealing with one item companies and prefer to deal with large suppliers/distributors. The also want margins of 50/60%.

Distribution companies do exist but I would suggest you build up some good case studies so that you can demonstrate there is demand for the product. If you have the skills to secure rights for this product, perhaps you should make sure you are also maximising your time on the right product and not neglecting other opportunities.


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