Traditional Advertising Agencies are Now Tweaking Themselves Sell Start-Ups

2016 has been a harsh year for start-ups as evaluations are getting lower and sponsors are demanding greater revenues.

In this situation where advertising is being lead by e-commerce businesses or start-ups, traditional advertising agencies are changing their business models to adapt the new market.

Global advertising agency Public is Group lately commenced the Drugstore India, an innovative facility that cultivates relationships between big organizations and startups for shared profit. The agency operates as a third party and brings together big corporate and start-ups.

Anil K Nair, MD& CEO, Digital L&K Saatchi & Saatchi and Drug store says, “We think that big companies and start-ups can get profit from each other. We at Public is are attempting to construct a connection between these two systems. Nobody is viewing this because the new start-ups believe that big companies have not much to propose as they are stiff, IP driven, process intensified etc., whereas these guys are into sharing, collaborative and swift in execution.”


He added, “Having said that big organizations are sitting on huge consumer data and vast resources, while start-ups are sitting on qualities like rapidity or QRT (quick reaction time). And in today’s world, I can’t perceive why these two shouldn’t be talking to each other.”
Drug store uses the experience and expertise of the all the advertising agencies under the Public is Group companies. The company has numerous huge multinationals which it uses for media solutions and is now seeking to provide that additional push to clients to keep swiftness with the rapidly growing world.
An advertising agency in India, which is introducing a more concerned approach in supporting start-ups is Seagull (a pune based advertising agency) who has commenced the Brand Launch Centre (BLC), a start-up optimizer. It is entirely focused on commencing new brands from their early stages of set-up to mapping their track, building their brand character and lastly commencing the ad campaign.


It even has developed a BLC centre in Pune from where the new start-ups can do their work and the BLC offers them with help in the form of financial and legal planning, HR planning, media planning, advertising, market research and additional services.

It has already assisted in the commence of over 14 products which involve start-ups such as Green Salute (water less car-wash product maker), Tork (electric bike maker), Flavors of My City (sweets delivery service), Aapla Ghar (real estate start-up) and much more.

Chief Strategy Officer of BLC Sameer Desai says,”Most start-ups take a chance in the businesses for their help, whereas the BLC is a unique service that is proposed to them at a cost that depends upon the services they want.” He says,”As they are also bonded with sponsors they could also assist them gain the investment they required to take their business enterprise ahead.”

“They have three phases for start-ups, i.e. the benefit product launch phase, launch setup phase and launch roll out phase. The service recommended to start-ups are over six months and might be less depending upon the phase they are in. The fees too depend upon what kind of services they are seeking and the specific phase they are presently at”, says Desai.

Another advertising agency in India, which is also introducing a familiar approach in supporting start-ups is BrandBerry Marcom (an advertising agency in noida). BrandBerry has also started it’s venture as a start-up a few years ago, and now it’s one of the best advertising agency in Delhi NCR.

BrandBerry Marcom Director Aayushi Jain says, “We’re assisting start-ups because we deeply understand them and wealso want them to have the positive exposure like we have.”

So what do advertising agencies have to profit other than the costs for their services? The profit would be outstanding as they could profit enormously if these start-ups turn out to be the next Google’s or Facebook’s of the world.


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