One of the prerequisites of running a successful ad agency is recruiting new clients and opening new accounts. A crucial component of this process is to arrive at mutually agreeable terms with the clients and convincing them to sign a contract that allows you to represent them. Closing a new client is itself a multi-step process, one that mimics a kind of courtship and seduction.
Soliciting Clients
The first step of closing a new account is identifying a client that you have a good chance of actually doing business with. Many clients will solicit bids from advertising agencies, but without any real interest in doing business with the company -- the bid is free, so what do they have to lose? A good agency should be able to separate clients it has a solid chance of landing from the long shots.
Making a Bid
Generally, before an ad agency will accept a new client, the agency will present a potential ad campaign for the client. This presentation will accomplish two things. First, it will convince both parties that they are on the same page with regard to strategy. Second, it will -- if done correctly -- compel the client to sign a contract with the ad agency guaranteeing it business.
Drawing up Terms
Once a client has agreed, tentatively, to give its business to the ad agency, the two parties will draw up a contract. Generally, the ad agency will have a standardized contract that it will tailor to the needs of clients. The client will review the contract and the two parties will engage in further negotiation until they've reached an agreement they are willing to sign their names to.
Signature and Logging
Once the two parties have signed the contract, the agency will have to assign its administration to certain members of the firm. These representatives will act as liaisons to the client and will be the point men in producing campaign material for the company. These members will be responsible for ensuring that both parties fulfill the terms of the contract and that goals and deadlines for the client are met.
