1. Introduction to Public Relations and Publicity Management
How does this relate to the other elements of promotion?

2. Public Relations Often misused and misunderstood
It is a Management function that focuses on the relationships and communications that individuals and organizations have with other groups for the purposes of creating mutual goodwill.

3. Public Relations
Use various forms of communication to relay information to the audience. A wide variety of media are used to sway public opinion
Involves identifying important ‘publics’ and developing and maintaining relationships

4. Consequences of Poorly Managed PR Functions
Loss of customers and revenues
Time lost dealing with complaints or lawsuits
Loss of esteem
Weakens brand equity
Impacts ability to secure financing

5. Impact of Negative Publicity
Today’s Example: Tom Cruise and Scientology
Negative publicity consequences
Incident One – Oprah and her couch
Box Office Impact
War of the Worlds - $234 million (budget $132m)
Mission Impossible Three - $133 million (budget $150m)
Lions for Lambs $14.9m (budget $35m)
Before Couch Incident
Mission Impossible II $215m

6. Companies Dealing Negative Press
Steven Jobs and his questionable health at this time
Apple stock prices have fluctuated resulting from conflicting reports regarding his health
Apple beat Wall Street estimates for profits in 2008
GM continues to cut production and workers; Sales forecasted to drop 20% over 2008

7. Advertising vs. PR
Advertising uses the mass media and is paid for by the sponsor
Customers view with skepticism rarely the best tool for building credibility
Carefully placed to gain TA attention

8. Differences between Advertising and PR
PR Communications generally are not openly sponsored or financed
Info received in the form of news articles, interviews, feature stories after being edited and reviewed by the media
More credible to publics
Less precise in reach
Often followed with corporate ad campaigns to increase effectiveness

9. Differences in Viewpoint
Advertising professionals have a business background and view marketing as the umbrella process in which product development, how to distribute and sell them
PR professionals have a background in journalism and feel that pr should be the umbrella process
“PR is a management discipline that encompasses a wide range of activities from marketing to advertising.” Inside PR

10. Strengths of PR
Targets and maintains relationships with important stakeholders
can reach difficult to reach audiences such as opinion leaders and upscale consumers
pr professionals can advise clients and companies regarding the implications of trends and corporate activities on consumer opinions
can break through clutter more effectively than ads

11. Strengths of PR laws less strict for press releases
pr specialists can present the company as good citizens
can handle crises, minimizing negative effects on the organization’s reputation
offers the business more flexibility than advertising and sales promotion
laws less strict for press releases
adds credibility and believability - why would Dan Rather lie? (ha ha!)
cost effective

12. Weaknesses of PR lack of control over the story slant and coverage
subject to others’ approval for news story to run
Bottom-line impact difficult to measure
PR objectives are difficult to quantify

13. Who are the Publics?
all of the audiences that the marketing communicator targets to receive messages about the company or who are perceived as influencing opinions about the firm

14. Segments to Target Internal Stakeholders employees shareholders
suppliers, distributors, brokers, wholesalers, retailers, dealers
consumers (regular or loyal)

15. External Publics The media local community neighbors
local, regional and federal governmental bodies and regulators
financial community
special interest groups
prospective customers, employees, shareholders

16. Importance of Stakeholders
Employee satisfaction and confidence
WOM (Word of Mouth)
Governmental motivation to monitor
financial market confidence
community involvement and perceptions
consumer confidence

17. The Public Relations Job
Media relations
corporate public relations
crisis management
employee relations
financial relations
public affairs
community relations
marketing public relations
Reputation Management

18. Media Relations
Function primarily responsible for publicity generation and management
Develop personal relations with media contacts
provide information regarding
story ideas
press releases
supplemental info

19. Corporate PR
High-level counseling with senior management about the company’s overall reputation, its image in the eyes of the various stakeholders, and its response to issues that may impact the success of the firm

20. Corporate PR Issue Management Corporate advertising
practice of planning a company’s response to important issues
Corporate advertising
ads used to create positive attitudes and goodwill toward the firm
Advocacy Advertising
expresses a viewpoint of the firm on an important issue

21. Reputation Management
Long-term process using a number of strategies to manage the image or reputation of your client or firm
Tools employed include publicity, press releases, press agentry, crisis management, and community involvement
Press agentry
Planning and staging of events
Bring attention to new products or services or portray the organization favorably

22. Crisis Management Strategies to address crises or disasters
oil spills, plane crashes, management improprieties
Unless react quickly and effectively can destroy brand value
Often referred to as reactive PR
addresses negative publicity

23. Employee Relations participation Motivation programs newsletters
flyers
video programming
bulletin boards
Keys to success
security
consideration
recognition
opportunity
respect
participation

24. Financial Relations Comply with governmental regulations
manage communications with stockbrokers, investors
distribute and deal with financial reporting of acquisitions, actions that effect stock prices

25. Public Affairs and Community Relations
Public Affairs - focus on communication with government agencies
Community Relations
management of relations with stakeholders in the local community event marketing

26. Marketing Public Relations
Seeks positive publicity for products
very important for new products
MPR specialists work closely with marketing staff members on the design of the new product, strategic positioning in the marketplace
handle special events for major announcements
coordination of imc