Abstract:
This study analyzes the challenges faced by media agencies and their impact on
outsourcing. This study was carried out in Islamabad and Rawalpindi based media
agencies including multi-national and local level agencies. In this study sample of 100
respondents from different agencies based in Islamabad and Rawalpindi cities has
been selected on random bases for the results and analysis. The fining of this study
reveals the major problems faced by media agencies which are in shape of their level
of expertise and quality of services are not up-to the mark, lacking the latest
technology and facilities as compared to outsourced companies, and last is cost of
marketing production services which is very high. So that is why companies are
moving towards outsourcing instead of using in-house services from media agencies.
Reliability analysis and multiple-regression test was applied to find out the results.
Findings showed that in all the variables are reliable for further proceedings or test,
then findings of multiple-regression analysis showed that there is statistical positive
significant relationship between independent variables(“Expertise and quality”,
“Technology”, and “Cost of marketing activities” and dependent variable
(Outsourcing) at significant value p<.05.
Based on the results of each variable, few recommendations are also proposed to fill
up the gaps in media agencies services. The expertise, strategies, and quality can be
improved by adopting international best marketing practices and also by leaving the
old thoughts can improve the in-house capabilities of the media agencies. Hiring of
proper and experienced staff can also make the difference in the outcomes of the
agencies. By using latest technology and facilities can also develop the good
relationship between the clients and media agencies. By reducing the cost of
production of marketing services media agencies can get the best outcomes in terms
of good clients and high earnings.
