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There is a growing array of ad agencies available to businesses today, from traditional agencies to online agencies. In addition to specialization, ad agencies also offer an array of support services including strategic planning, creative development, brand design, production services, media planning and media buying.

Specialized advertising companies have become necessary because advertising can take many forms, and can be delivered in a wide range of mediums including television advertising, print advertising, outdoor advertising, direct mail, Internet ads, web content and mobile device messaging.

Advertising now includes many new mediums and approaches, like social marketing, that reaches people on social media sites like Twitter and Facebook. When searching for or working with an agency, understanding and discussing all of these advertising options is the first step in helping you decide on the kind of advertising you want to do and the kind of advertising agency you need to engage.

Ad agencies come in all sizes, from small shops with only a few employees, to large multi-national agencies with offices around the world. Choosing the right-sized agency depends on your advertising needs: the kind of advertising you want to do, the level of services you'll need, and the budget you have.

Advertising firms are usually divided into four departments: account, creative, production and media. The account department works with clients to develop sales and marketing strategies, and coordinates the efforts of the creative, media, and production departments. The creative department is staffed with copywriters, art directors and creative directors who write, design and supervise the creative work. The production department works with manufacturers to get the advertising produced and distributed, and the media department plans and purchases the media space to run the advertisements. In small agencies, employees may do both creative and account work, while larger agencies work within specialized departments.

Ad agencies are typically paid a combination of fees and commissions. Fees, including retainers and per-project charges are paid by clients, while commissions are paid directly from broadcast media companies, and are usually equal to 15% of the cost of placing an advertisement. Most services purchased on the client’s behalf are also priced with an agreed-upon mark-up.