1. Public Relations, Publicity, and Corporate Advertising17
Public Relations, Publicity, and Corporate Advertising

2. Public Relations Defined
A management function
Which evaluates public attitudes
And identifies the policies and procedures
Relation to Text
This slide relates to page of the text.
Summary Overview
This slide presents the definition of public relations.
Use of this Slide
Use this slide to introduce public relations as an IMC tool.
Of an organization with the public interest
And executes a program of action (& communication)
To earn public understanding and acceptance
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3. Public Relations Management Stages
Determination and evaluation of public attitudes PR
Identification of policies and procedures
Relation to Text
This slide relates to page 573 of the text.
Summary Overview
This slide shows the three stages of the public relations management process.
Use of this Slide
This slide can be used to discuss the public relations management process.
Determination and evaluation of public attitudes.
Identification of policies and procedures of an organization with a public interest.
Development and execution of a communications program designed to bring about public understanding and acceptance.
This process does not occur all at once. An effective PR program continues over months or even years.
Development and execution of the program
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4. Traditional PR Perspective
Customers
Community
Investors
Public Relations Department
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide shows the traditional view of public relations.
Use of this Slide
This slide can be used to discuss the traditional and emerging roles of public relations.
Traditionally, PR has been viewed as a non-marketing function, whose primary responsibility is to maintain mutually beneficial relationships between the organization and its publics.
Customers or potential customers
Employees
Investors
Neighbors
Special-interest groups
Suppliers, and so on.
From a traditional perspective, public relations and marketing are separate departments. As public relations moves toward a new role, it will be viewed as a strong department that works closely with marketing, blending their talents to provide the best overall image of the firm and its products or services.
Suppliers
Government
Employees
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5. Integration of PR into the Promotional Mix
Marketing
Department
Public
Relations
Separate Functions
Marketing
Department
Public
Relations
Coordinated and Equal
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide shows the integration of public relations into the IMC process. Use of this Slide
This slide can be used to introduce alternative ways to integrate public relations into the IMC process. Three alternative organizational designs are presented, including:
Either marketing or public relations is the dominant function
Marketing and public relations are equal but separate functions
Marketing and public relations perform the same roles
Marketing
Department
Public
Relations
Integrated
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6. Marketing Public Relations Functions
Build market excitement before media ads break
Defend products at risk, give consumers reason to buy
Create ad news where there is no product news
Introduce a product with little or no advertising
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide lists public relations activities designed to support marketing objectives.
Use of this Slide
This slide can be used to show the various ways MPR can help an organization achieve its marketing objectives and add value to the overall IMC program. Marketing objectives that may be helped by MPR include:
Build marketplace excitement before media advertising breaks
Defend a product at risk and giving customers a reason to buy
Create advertising news where there is no product news
Introduce a product with little or no advertising
Provide a value-added customer service
Build brand-to-consumer bonds
Influence influentials by providing information to opinion leaders
Improve ROI
Provide a value-added customer service
Build brand-to-customer bonds
Influence the influentials
Improve ROI
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7. MPR in Practice
Relation to Text This slide relates to page 575 and Exhibit 17-1.
Summary Overview This slide presents a real-world example of marketing public relations at work, specifically, building a brand-to-customer bond.
Use of this Slide Use this slide to help explain that the Pillsbury Bake-Off has led to strong brand loyalty among Pillsbury customers, who compete by submitting baked goods. The contest has taken place annually since 1949, and the winner now receives a $1 million prize.
The winning recipes are posted on the Pillsbury Web site.
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8. Benefits of MPR A cost-effective way to reach the market
Breaks though the clutter
Highly targeted way to conduct public relations
Circumvents resistance to sales efforts
Relation to Text
This slide relates to page 576 of the text and Figure 17-2.
Summary Overview
This slide outlines the advantages of using marketing public relations.
Use of this Slide
This slide can be used to discuss the many advantages of MPR.
Cost-effective way to reach the market
Highly targeted way to conduct public relations
Endorsements by independent third parties
Achieves credibility
Makes advertising messages more credible
Breaks through the clutter
Circumvents resistance to sales efforts
Improved media involvement among consumers
Can influence opinion leaders and trendsetters
Can improve ROI
Endorsements by independent third parties
Improved media involvement w/customers
Achievement of credibility
Creates influence among opinion leaders
Makes advertising messages more credible
Improved ROI
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9. Disadvantages of MPR Lack of control over media
Difficult to tie in slogans or other advertising devices
Relation to Text
This slide relates to page 576 of the text and Figure 17-2.
Summary Overview
This slide outlines the disadvantages of using marketing public relations.
Use of this Slide
This slide can be used to discuss the disadvantages of marketing public relations.
Lack of control over media
Difficult to tie in slogans or other advertising devices
Media time and space are not guaranteed
No standards for effective measurement
One of the major threats of using an MPR structure is that public relations functions may become subservient to marketing. However, if done properly and used in conjunction with other traditional public relations practices, as well as IMC elements, MPR can continue to be used effectively.
Media time and space aren’t guaranteed
No standards for effective measurement
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10. The Process of Public Relations
Determining and Evaluating Public Attitudes
Establishing a PR Plan
Developing and Executing a PR Program
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide outlines the various activities of the public relations process.
Use of this Slide
Use this slide to introduce the public relation process.
Determining and evaluating public attitudes
Establishing the PR plan
Developing and executing a PR program
Measuring program effectiveness
Measuring Program Effectiveness
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11. Test Your Knowledge
In public relations targeting, external audiences include:
A) Customers
B) The public at large
C) Suppliers
D) Stockholders
E) All of the above
Answer: B
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12. Research on Public Attitudes
Provides input for the planning process
Serves as an “early warning system”
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide shows some of the reasons why companies regularly survey public attitudes.
Use of this Slide
This slide can be used to discuss some of the reasons companies survey public attitudes.
It provides input into the planning process… public attitudes become the starting point in the development of programs designed to maintain or attain favorable positions.
Serves as an early warning system… the firm may be able to identify potential problems and handle them before they become serious issues.
Secures internal cooperation, support… if research shows a problem does or may exist, it is easier for the public relations arm to gain the support it needs to address the problem.
Increases communications effectiveness.. the better the firm understands a problem, the better it can design communications to deal with it.
Increases communications effectiveness
Secures internal cooperation, support
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13. 10 Evaluation Questions Click to add text Second level Third level
Fourth level
Fifth level
1. Does the plan reflect a thorough understanding of the company’s business situation?
2. Has the PR program made good use of research and background sources?
3. Does the plan include full analysis of recent editorial coverage?
4. Do the PR people fully understand the product’s strengths and weaknesses?
5. Does the PR program describe several cogent, relevant conclusions from the research?
Relation to Text
This slide relates to pages of the text and Figure 17-3.
Summary Overview
This slide presents the first five of ten key questions for evaluating public relations plans.
Use of this Slide
This slide can be used to discuss the questions marketers might want to ask when evaluating the PR plan to ensure that it will be successful.
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14. 10 Evaluation Questions
6. Are the program objectives specific and measurable?
7. Does the program clearly describe what the PR activity will be and how it will benefit the company?
8. Does the program describe how its results will be measured?
9. Do the research, objectives, activities, and evaluations tie together?
10. Has the PR department communicated with marketing throughout the development of the program?
Relation to Text
This slide relates to pages of the text and Figure 17-3.
Summary Overview
This slide presents the second five of ten key questions for evaluating public relations plans.
Use of this Slide
This slide can be used to discuss the various question marketers might want to ask when evaluating the PR plan to ensure that it will be successful.
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15. Determining Public Relations Audiences
Stockholders and Investors
Community Members
Suppliers & Customers
Employees
Internal or Associated
Financial Groups
Educators
Civic & Business Organizations
External or Independent
The Media
Governments
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide shows that the target audience for public relations activities can be broken into two main categories, internal audiences and external audiences.
Use of this Slide
This slide can be used to discuss the various types of groups and organizations toward which public relations activities may be targeted, each requiring different objectives.
Internal audiences are those groups closely associated with the company:
Stockholders and investors
Employees of the firm
Vendors and suppliers
Customers and clients
External or independent audiences are those groups not closely connected to the company:
Community members
The media
Educators
Civic and business organizations
Governments
Financial groups
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16. Implementing the PR Program
Press Releases
Interviews
Press Conferences
PR Tools
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide lists the various methods by which organizations keep in touch with target audiences.
Use of this Slide
Once research has been conducted and the target audiences identified, the public relations program must be developed and delivered to the receivers. Use this slide to introduce the tools available for this purpose, which include:
Press releases – one of the more important publics is the press; information must be factual, true, and of interest to the medium and its audience
Press conferences – must be of major interest to a specific group before it is likely to gain coverage
Exclusives – offer one particular medium exclusive rights to a story
Community involvement – memberships or participation in local organizations
The Internet – can be used to disseminate information through the company’s website, through social networks and blogs, or via press releases
Interview – typically done with a spokesperson for the firm
The specific mode of distribution is determined by the nature of the story and the interest of the media and its publics.
The Internet
Exclusives
Community Involvement
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17. Advantages of Public Relations
Credibility
Image Building
Cost Savings
PR Provides
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide outlines the advantages of using public relations in the IMC program.
Use of this Slide
Use this slide to discuss the advantages of using public relations in an IMC program.
Credibility – not seen as being sponsored by the organization which enhances perceptions of credibility
Cost savings – do not have to pay for media time or space
Avoidance of clutter – generally news items not cluttered by other ads
Lead generation – certain announcements can lead to inquiries
Selectivity – can reach specific groups
Image building – can develop a positive image for the company
Selectivity
Avoidance of Clutter
Lead Generation
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18. Potential Problems of Public Relations
Potential for incomplete communication process
Potential
Problems
Receiver not making connection to the source
Relation to Text
This slide relates to page 583 of the text.
Summary Overview
This slide outlines the potential problems that may arise when using public relations in the IMC program.
Use of this Slide
This slide can be used to discuss the potential pitfalls associated with using public relations.
The potential for not completing the communication process
Although the message may break through the clutter, the receiver may not make the connection to the source
Mismanagement and a lack of coordination with the marketing department, which can result in inconsistent communications, redundant efforts, and so on.
Lack of coordination with marketing dept.
Inconsistent, redundant communications
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19. Test Your Knowledge
Which of the following communications is most likely to have more credibility among its receivers?
A) Vogue's layout introducing its latest models
B) Volvo's television ad promoting new standard safety features
C) Motor Trend's announcement of the "Car of the Year"
D) The CEO of Ford Motor Company appearing in its ads
E) The appearance of American Idol participants in Old Navy ads
Answer: C
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20. General Mills Capitalizes on Publicity
Relation to Text
This slide relates to page 5821 and Exhibit
Summary Overview
This slide shows an ad for General Mills cereals, and demonstrates how General Mills uses publicity from a variety of sources to promote the importance of whole grain in a healthy diet.
Use of this Slide
This slide can be used to show how favorable news about a product or service can be used as the basis for an advertisement.
In this case, General Mills used favorable publicity from a variety of sources to promote the importance of whole grain in a healthy diet and highlight the use of whole grains in its cereals.
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21. Measuring PR Effectiveness
Contributions made?
What was achieved?
Relation to Text This slide relates to page 584 of the text.
Summary Overview This slide highlights the questions that are answered by measuring the effectiveness of PR.
Use of this Slide Use this slide to explain why it is important to measure the effectiveness of PR efforts.
It helps determine the contribution PR made toward attaining communications objectives.
It identifies what has been achieved through public relations activities.
It provides management with a way to measure public relations achievements quantitatively.
It gives management a way to judge the quality of public relations achievements and activities.
Quantitative measures?
Quality?
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22. Criteria for Measuring PR Effectiveness
Relation to Text
This slide relates to page 584 of the text and Figure 17-4.
Summary Overview
This slide outlines a system for measuring the effectiveness of a public relations program that was developed by Lotus HAL.
Use of this Slide
This slide can be used to discuss the importance of, and criteria for, measuring PR effectiveness by:
Total number of impressions…
Over time
On the target audience
On specific target audiences
Percentage of…
Positive articles over time
Negative articles over time
Ratio of positive to negative articles
Percentage of positive and negative articles by subject, publication, reporter, and/or target audience
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23. Additional Measures of PR Effectiveness
Walter Lindenmann recommendations
Did the audience receive the message?
Did they pay attention to them?
Were the messages understood?
Where the messages retained?
Mark Weiner suggests
Media content analysis
Survey research
Marketing-mix modeling
Relation to Text This slide relates to page 584 of the text.
Summary Overview This slide presents some additional ways to evaluate the effectiveness of a PR campaign.
Use of this Slide Use this slide to explain two additional methods for evaluating the effectiveness of a PR campaign.
Per Walter Lindenmann, effectiveness can be measured by answering these questions:
Did the audience receive the message?
Did they pay attention to them?
Were the messages understood?
Where the messages retained?
Mark Weiner suggests these methods:
Media content analysis.. Identify the characteristics of messages that appear in the media, analyzing the content to determine trends and perceptions relevant to the product or brand.
Survey research… quantitatively assess consumers’ attitudes toward the product or brand.
Marketing-mix modeling… draw data from multiple sources and integrate them to provide insight.
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24. Publicity versus Public Relations
Publicity: The generation of news about a person, product, or service that appears in the media
A short-term strategy
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide defines publicity.
Use of this Slide
This slide can be used to explain the differences between publicity and public relations.
Public relations is a long-term strategy; publicity is a short-term strategy.
Public relations is designed to provide positive information, and is usually controlled by the firm. Publicity is not always positive, and often originates from sources outside the firm.
Note: Now would be a good time to show some of the BP Making This Right spots on the accompanying DVD in order to highlight BP’s attempts to counter the negative publicity it received from the Gulf oil spill.
A subset of public relations
Not always positive
Often originates outside the firm
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25. A Response to Negative Publicity
Relation to Text
This slide relates to pages of the text and Exhibit
Summary Overview
This slide shows an ad that was used by Tree Top to respond to negative publicity the company received from the media regarding the safety of its apple juice.
Use of this Slide
Use this slide to show how Tree Top responded to negative publicity about its products.
The company’s problems began when major news media reported that the chemical Alar, which is used to regulate the growth of apples, might cause cancer in children. Special interest groups were able to generate adverse publicity regarding the potential dangers of Alar, which created doubt about the safety of Tree Top products.
Tree Top responded with this ad, which informed consumers that Alar was not used in its products.
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26. Pros and Cons of Publicity
Advantages
Disadvantages
Substantial credibility
Timing difficult or impossible to control
News value
Inaccuracy, omission, or distortion may result
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide summarizes the advantages and disadvantages of publicity.
Use of this Slide
This slide can be used to discuss the advantages and disadvantages of publicity.
Advantages
Substantial credibility
News value
Significant word-of-mouth
Perception of endorsement by media
Disadvantages
Timing may be difficult or impossible to control
Inaccuracy, omission, or distortion may result
Because of the many advantages of publicity, it can generate a vast amount of influence on consumers. However, marketers cannot control the dissemination of publicity and some inaccuracies or distortions may occur.
Significant word-of-mouth
Perception of media endorsement
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27. Corporate Advertising
An extension of the PR function
Does not promote a specific product or service
Relation to Text
This slide relates to page 589 of the text.
Summary Overview
This slide shows the various characteristics of corporate advertising.
Use of this Slide
This slide can be used to introduce the characteristics of corporate advertising, the use of which has been growing.
More and more companies are running ads to create a positive image or communicate their views on social, environmental, and/or business issues.
Characteristics of corporate advertising include the following:
Corporate advertising is an extension of the PR function
It does not promote a specific product or service
It promotes the organization to achieve:
Image enhancement
Assuming a position on an issue or cause
Seeks involvement
Promotes the organization
Image enhancement
Assuming a position on an issue or cause
Seeks involvement
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28. Why is Corporate Advertising Controversial?
Consumers aren’t interested in this form of advertising
Opponents to Corporate Advertising
This is a costly form of corporate self-indulgence
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide offers a number of reasons why corporate advertising is considered controversial.
Use of this Slide
This slide can be used to discuss some of the reasons that corporate advertising is considered controversial.
Opponents of corporate advertising claim that:
Consumers are not interested in this form of advertising
This is a costly form of corporate self-indulgence
The firm must be in trouble
Corporate advertising is a waste of money
Despite these criticisms, corporate advertising has been increasing in use.
The firm must be in trouble
Corporate advertising is a waste of money
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29. Objectives of Corporate Advertising
Create a positive image for the firm
Establish diversified company identity
Communicate the organization’s viewpoint
Objectives
Relation to Text
This slide relates to page 590 of the text.
Summary Overview
This slide shows the various objectives of corporate advertising
Use of this Slide
This slide can be used to discuss the various objectives of corporate advertising, which are:
Creating a positive image for the firm
Communicate the organization’s views on social, business, and environmental issues
Boosting employee morale and smoothing labor relations
Helping newly deregulated industries ease consumer uncertainty and answer investor questions
Helping diversified companies establish an identity for the parent firm, rather than relying solely on brand names.
As these objectives indicate, corporate advertising is targeted at both internal and external audiences and involves the promotion of the organization as well as its ideas.
Help newly deregulated industries
Boost employee morale
Smooth labor relations
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30. Types of Corporate Advertising
Image Advertising
Event Sponsorship
Advocacy Advertising
Cause-related Advertising
General Image Ads
Positioning Ads
Recruitment
Financial Support
Sponsorships
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide shows the various types of corporate advertising with special attention toward image advertising.
Use of this Slide
This slide can be used to discuss the various types of corporate advertising available to the advertiser with a focus on image advertising.
Image Advertising – designed to create goodwill, creating a position for the company and generating resources, both human and financial. Types of image ads include:
General image or positioning ads – create or change an image of the firm in the public mind
Sponsorship – providing support for TV programs or special programming
Recruitment – create an image of the firm to help recruit new employees
Financial support – help generate investments in the corporation
Event sponsorship
Advocacy advertising
Cause-related advertising
A positive corporate image cannot be created with ads alone. Quality products and services, innovation, sound financial practices, and good corporate citizenship are other factors that contribute to overall image.
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31. Employee Recruitment by Grant Thornton
Relation to Text
This slide relates to page 591 of the text and Exhibit
Summary Overview
This slide shows an example of a recruitment advertisement used by Grant Thornton designed to attract new employees.
Use of this Slide
This slide can be used as an example of recruitment advertising done by a major company.
Companies with well known products and corporate images often will use them in their recruitment ads to attract the interest of potential employees.
If you have a passion for accounting and want to work with others who share that passion, you might be interested in the Grant Thornton accounting firm.
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32. Event Sponsorship Corporate Sponsor Cultural Events Sporting Events
Causes
Arts
Festivals
Music, Entertainment
Relation to Text
This slide relates to page 592 of the text and Figure 17-8.
Summary Overview
This slide shows the various types of activities sponsored by corporations. Use of this Slide
This slide can be used to discuss the various types of activities that can be corporate sponsored events.
Sporting events
Music and entertainment
Causes
Festivals
Cultural events
The arts
Many corporations are attracted to event sponsorships because it gets their company and/or product names in front of consumers. Additionally, IMC programs can be built around them and promotional tie-ins can be made to local, regional, or national markets. By choosing the right events for sponsorship, companies can get visibility among their target market and enhance the image of the company.
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33. Test Your Knowledge
Why would World Wrestling Entertainment (WWE) sponsor a car on the NASCAR racing circuit?
A) To build equity and gain affinity with its target market
B) To show its position on sports marketing
C) To create a generic positioning strategy
D) To further segment its target market
E) To reduce its overall promotional expenses
Answer: A
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34. Advocacy Advertising
Propagating ideas and elucidating controversial social issues of public importance in a manner that supports the interests of the sponsor
Relation to Text
This slide relates to page 593 of the text.
Summary Overview
This slide shows the definition of another form of corporate advertising, known as advocacy advertising.
Use of this Slide
This slide can be used to discuss advocacy advertising, which is the propagation of ideas and elucidation of controversial social issues of public importance in a manner that supports the interests of the sponsor.
While still portraying an image for the company or organization, advocacy advertising adopts a position on a particular issue rather than promoting the organization itself.
Advocacy advertising has been criticized by a number of sources, who argue that companies with large advertising budgets purchase too much ad space and that advocacy ads may be misleading.
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35. Advocacy Ad Relation to Text
This slide relates to page 593 of the text and Exhibit
Summary Overview
This slide shows an example of an advocacy ad.
Use of this Slide
This slide can be used to provide an example of how an organization uses advocacy advertising. In this example, the American Heart Association and the American Stroke Association are advocating support for President Obama’s Health Care program.
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36. Cause Related Marketing
A form of marketing whereby companies link with charities or nonprofit organizations as contributing sponsors
Relation to Text
This slide relates to pages of the text.
Summary Overview
The slide presents the definition of cause-related advertising.
Use of this Slide
This slide can be used to discuss cause-related marketing, whereby companies link with charities or nonprofit organizations as contributing sponsors.
Cause-related marketing could take on different forms such as making outright donations to a nonprofit cause, donating a percentage of the sales of a product or service to a cause, have company employees volunteer for the cause, donating materials or supplies, running public service announcements, or providing event refreshments.
This is an increasingly popular method of image building as association with a cause may be a way to differentiate one brand or store from another, increase consumer acceptance of price increases, and generate favorable publicity.
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37. Cause Related Marketing
Relation to Text
This slide relates to pages of the text.
Summary Overview
The slide contains a cause-related ad by New Balance.
Use of this Slide
This slide shows an innovative campaign sponsored by New Balance, which supports the Susan G. Komen Breast Cancer Foundation in its Race for the Cure. .
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38. Pros and Cons of Corporate Advertising
Advantages
Disadvantages
Excellent vehicle for positioning the firm
May have questionable effectiveness
Takes advantage of benefits derived from public relations
Raises questions of constitutionality and ethics
Relation to Text
This slide relates to pages of the text.
Summary Overview
This slide summarizes the advantages and disadvantages of corporate advertising.
Use of this Slide
This slide can be used to discuss the advantages and disadvantages of corporate advertising.
Advantages
Excellent vehicle for positioning the firm and establishing an image or position
Takes advantage of benefits derived from public relations
Reaches a selected target market
Disadvantages
May have questionable effectiveness – no evidence it actually works
Raises questions of constitutionality and ethics – larger firms can control public opinion
The many advantages are reasons why this type of advertising has increased in popularity. Although a number of valid points have been offered against corporate advertising, its use is likely to continue.
Reaches a selected target market
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39. Measuring Corporate Ad Effectiveness
Attitude Surveys
Effective?
Stock Prices
Relation to Text
This slide relates to page 597 of the text.
Summary Overview
This slide shows the various methods that can be used to evaluate the effectiveness of corporate advertising.
Use of this Slide
This slide can be used to discuss evaluating the effectiveness of corporate advertising.
which include:
Attitude surveys
Relating to stock prices
Focus group research
While the effectiveness of corporate advertising has been measured by some of these methods, it is not necessarily done on a regular basis like product specific advertising measurements.
Focus Group Research
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