David Cohen Art

The media buying services are mostly not wise to borrow money on them if you are not sure of the results or impact on you income. New products are more risky to borrow for their advertisement for they are still under test and many need some adjustments. But for mature products whose campaign is huge financing can be sought from all places for the current sales levels can sustain the repayment.

Another form of financing is the credit facilities offered by the media placement agencies. The well established ones are able to source credit facilities from the advertising media and the transfer it to you. Here you must have good relation with the agency so that they are sure of getting their money after the agreed time.

As you analyze the costs in media planning the source of finance should be clearly elaborated depending on the cost. Advertising is a risky venture whose results are not time specific thus cannot bank on it. So my advice would be to use your own capital reserve to run advertising campaigns rather than borrowing.

Advertising is the use of all marketing mix items to put across the message to the group you wish to entice. The groups might not be only people but also companies and other businesses. The budget made to achieve this goal should not be extravagant but exact to save the company some expenditure. But the aims must be met without failure no matter what the budget is.