Today was my second day shadowing the employees of Integer Dallas. After my first day, I knew going into the office today that I would again learn many new things about the advertising world and how the agency is run. As soon as I walked into the office I was sent into a meeting room in which the CFO and the Senior Vice President of Operations had a presentation on how the agency makes money and also the legal aspect of the business. First, the CFO taught me how exactly the agency makes money from clients. Unlike many businesses which sell different products, Integer Dallas is selling their people to the clients. For example if the client is asking the agency to build a website for their product, Integer is selling all of the employees who will be working on the website such as digital producers, developers, and creatives. Before starting work for the client, the agency gives the client a cost estimate as to how much the work will cost. This estimate is based upon the number of hours it will take, overhead, which is the ongoing cost of running the agency, and a 20% profit. For example if a client is asking for one full year of work from one employee who makes a $50,000 salary, the estimate will include the $50,000, the total overhead of the agency/total employees, and a $10,000 profit. In order to insure the client will pay for the work, the agency sends the client an invoice, or a bill with the estimate, to be signed by the client. This means the client agrees to pay and now the agency can begin the work. The next thing i learned in this meeting was about the legal aspect of advertising. Before today i never imagined that working in an advertising agency would include such a legal risk. I learned that every single thing the agency uses in an ad has to be bought by the agency so that they have the right to use it. For example any pictures used by the agency in an ad for the client must be paid for. If the agency does not pay for the picture and the photographer sees the image on an ad, the photographer has the right to sue the agency for illegally using the photograph. The legal side of advertising is such a risky part of the business that the agency actually hires teams of people who make sure everything they do is legal. One of the employees in the meeting with me was an art buyer. Her only job was to make sure that the agency has the right to use every single piece of art, such as a photograph, and is not just using these images illegally. It was amazing to hear how important the legal aspect of the business is to the overall health of the agency. If one mistake is made in the legal aspect and the agency is sued, there is a chance the agency could lose millions of dollars. Later in the day I had the chance to attend a brainstorm session. These sessions are between the creative people in the agency and are meetings in which everyone throws out ideas of how to creatively accomplish whatever goal needs to be accomplished. Today the goal was to figure out how to effectively market a new small company with the least amount of money. In this case the target audience of the small company, or the client, is teenagers just as myself. It was really cool to sit in on this brainstorm session because I was constantly being asked questions about what would get my attention. For example they asked things such as would I notice an ad on facebook and where I hang out during the summer. I never realized advertising agencies valued the opinion of teenagers such as myself. I guess that makes sense however considering that in many cases teenagers such as myself are target audience of many of the agencies clients. I had such a fun time learning more about advertising today. I am so excited to go back tomorrow and learn even more.