An Ad Agency is a company which provides some or all advertising services for clients who wish to gain more recognition for their product. There are three different types of ad agencies: a Full Service agency, which provides everything needs for an advertising campaign to be created, a Boutique, which speicalises in one area, and an In-House agency, which works for one client only in that client's offices.

The different departments of a Full Service ad agency are as follows:

Account Service- operates as the link between the client and the agency

Creative Department- consistes of the Art Dept which provides visuals for ads, and the Copy Dept, which consists of people who write the ads.

Media Department- decide what form of media on which the ad should be placed
1) Plans media
2) Presents media plan to people in agency and client
3) Buys space and time
4) Post evaluates campaign

Traffic Dept- is responsible for seeing that all the work gets done on time

Research Dept- inform the agency about information regarding target audience, pre-test campaigns, and post-testing.

Direct Marketing- go directly to the client through use of Direct Mail or Telemarketing by phone.

Public Relations- responsible for getting visible attention for the product

Recruitment Dept- responsible for recruiting new employees

Yellow Page Dept- handle all the ads in the Yellow Pages

Sales Promotion- puts advertising and communication at the point of sales

Interactive Dept- handles new media such as websites and email campaigns

Guerilla Marketing- also known as "street marketing". Uses non-traditional methods.