Chapter Number Thirteen Public Relation Modular: Afjal Hossain, Assistant Professor, Department of Marketing, PSTU Kenneth K. Clow & Donald Baack “Integrated Advertising, Promotions and MCs” 2nd ed.

Learning Goals Understand the roles of public relations in the promotion mix. Learn how companies use public relations to communicate with their publics.

Definition Public Relations: Building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.

Definition (continued) Public Relations: In other words, to foster goodwill between a firm & its many constituent groups. The function of PR is to highlight positive events & is used strategically for “damage control” when adversity strikes.

Definition (continued) Public Relations: Here the constituent groups are customers, stockholders, suppliers, employees, government entities, citizen action group and the general public.

Objectives Promoting goodwill This is an image building function of PRs. Here industry events or community activities that reflect favorably on a firm are high lightened. Ex: Prothom-alo Tran Tahobil for the flood affected people.

Objectives (continued) Promoting a product/ service Press releases, events or brand news that increase public awareness of a firm’s brands can be pursued through public relations. Ex: Opening a new branch of a bank through press release.

Objectives (continued) Preparing internal communications Disseminating information and correcting misinformation within a firm can reduce the impact of rumors and increase employee morale. Ex: Discussion with the employees in a board meeting why they are not work well.

Objectives (continued) 4. Counteracting negative publicity This is the damage control function of public relations. The attempt here is not to cover up negative events, but to prevent the negative publicity from damaging the image of a firm and its brand.

Objectives (continued) Lobbying It can assist a firm in dealing with government officials and pending legislation. Giving advice & counsel assisting management in determining what position to take on public issues, preparing employees for public appearances and helping management anticipate public reaction.

Public Relation Functions Press Relations Product Publicity Public Affairs Lobbying Investor Relations Development

Role and Impact of Public Relation Greater credibility than advertising Publicity is often underused Strong impact on public awareness at lower cost than advertising Good public relations can be a powerful brand-building tool

Public Relations Tools Press Releases Feature Stories Company Newsletter Interviews & Press Conferences Sponsored Events Others

Public Relations Tools (continued) Press Releases Allow a firm to pursue positive publicity (a file of information that makes good news) from the media. The following topics are good press releases: New products New scientific discoveries New personnel New corporate facilities Innovative corporate practices i.e. energy-saving programs Annual stakeholder meetings Charitable and community service activities

Public Relations Tools (continued) Press Releases Only drawback, firm doesn’t know when the item will appear in the news. Even Journalists are free to edit/ interpret the message for which the meanings may alter.

Public Relations Tools (continued) Feature Stories While a firm can’t write a feature story for a newspaper or any other media, it can invite journalists to do an exclusive story on the firm when there is a particularly noteworthy event.

Public Relations Tools (continued) Company Newsletters In-house publications are newsletter. They disseminate positive information about a firm through its employees. As members of the firm they are proud of achievements by their firm. Today it can be distributed through internet.

Public Relations Tools (continued) Interviews & Press Conferences Interviews with key executives are effective tool. Firms can also call press conferences to announce important scientific breakthroughs or explain the details of a corporate expansion or a new product launch.

Public Relations Tools (continued) Sponsored Events Fund-raiser is a form of sponsorship. Fund-raisers for nonprofit organizations of all sorts give positive visibility to corporations. At the local level, prominent display of the corporate name and logo offers residents the chance to see that an organization is dedicated to supporting their community.

Public Relations Tools (continued) Others News Speeches Buzz Marketing Corporate Identity Materials Mobile Marketing Special Events Written Materials Audiovisual Materials Public Service Activities Internet

Basic Public Relation Strategies Proactive Public Relation Strategy Reactive Public Relation Strategy

Basic Public Relation Strategies (continued) Proactive Public Relation Strategy It is guided by marketing objectives, seeks to publicize a company and its brands and takes an offensive posture in the public relation process. In developing a proactive PR strategy, a firm acknowledges opportunities to use public relations efforts to accomplish something positive.

Basic Public Relation Strategies (continued) Proactive Public Relation Strategy The positive aspects i.e. employee achievements, corporate contributions to the community, organization’s social and environmental programs can be used to develop PPRS. The key components for developing PPRS are: (a) Public relations audit (b) Public relation plan

Basic Public Relation Strategies (continued) Proactive Public Relation Strategy Public relations audit PR Audit identifies the characteristics of a firm or the aspects of the firm activities that are positive & newsworthy. These activities may be on: Co. products/ services Market performance of brands/ market profitability Market trends Employee programs/ facilities Community programs Charitable activities Public relation plan after gathering PR Audit the PR plan should be structured following some components.

Basic Public Relation Strategies (continued) Proactive Public Relation Strategy Public relation plan The components are: Situation analysis: Information collected should be categorized i.e. product performance, employee performance etc. Objectives: Obj. should be set both for short & long term i.e. products credibility, firm’s research and development efforts. Program Rationale: Should articulate integrated brand promotion. Communication vehicle: Which type of PR tools & how will be used? Message Content: Focus group/ in-depth interviews can be conducted for the meaningful message of the product/ co.

Basic Public Relation Strategies (continued) Reactive Public Relation Strategy Influences outside, the control of a company focuses on problems to be solved rather than on opportunities. So, need defensive strategies & measures. It requires 2 steps PR Audit: what a firm needs to issue public statements based on current and accurate data. The identification of vulnerabilities: the weaknesses that constitute negative relationship among the constituents are vulnerabilities. These vulnerabilities should be modified for the success of public relation.

Questions?

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