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CHP 13: PR and sponsorships

Terms in this set (42)

-Identify and monitor internal and external stakeholders
-Assess the corporate reputation
-Audit corporate social responsibility
-Create positive image-building activities
-Prevent or reduce image damage
Public Relations Functions
-Employees
-Unions
-Shareholders
-Channel members
-Customers
internal Stakeholders
employees
______ are the primary internal stakeholders
•Media
•Local community
•Financial community
•Government
•Special-interest groups
External stakeholders
Reputation is fragile, but valuable
Negative view of businesses
Assess reputation
Monitor corporate reputation
-Less than half have someone assigned

ex: Volkswagen...caught lying about their emissions on their vehicles
Assessing Corporate Reputation
-Discrimination
-Harassment
-Pollution
-Misleading communications
-Deceptive communications
-Offensive communications


ex: Dove had an advertisement showing how their soap takes skin from dark to light somehow giving the message that whiter skin is cleaner
Image Destroying Activities
-Empowerment of employees
-Charitable contributions
-Sponsoring local events
-Selling environmentally safe products
-Outplacement programs
-Supporting community events
Image Building Activities
Corporate Social Responsibility
Companies have an obligation to act ethically and to consider the needs of society. Consumers today expect corporate transparency. It is the responsibility of management to ensure the company and its employees act in a socially-responsible manner.
transparent, fight injustices, drive positive social change, and that they have power to initiate social change.
Consumers believe companies should be
purpose marketing or pro-social marketing
A new trend in CSR is _________, which involves advertising that focuses on values, behaviors, and beliefs of the company.
Green marketing
is the development and promotion of products that are environmentally safe.
uTry to save electricity (58%)
uRecycle newspapers (46%)
uReturn bottles and cans (45%)
uBuy products - recycled materials (23%)
Surveys indicate people are concerned about the environment and support green marketing.
not.
While consumers say they are supportive of green marketing, most are ____
price and quality
For green products, many say it is important, but will only buy them if the______ and _____ is equal to competing brands that are not green.
inferior
Most consumers still see green products as being _____.
Only about 12% of the population truly support green marketing through purchases. Only about 9% (true blue greens) actively promote and encourage others to use green products. About 1/3 of Americans don't care about environmental issues at all (basic browns). Another 19% are uneducated about the topic. A relatively large part of the population (31%, sprouts) believe in green products in theory, but not in practice.
Americans can be placed into one of five categories based on their beliefs and actions towards green marketing.
True Blue Green (9%)
- Have strong environmental values and are politically active in environmental issues. Heavy users of green products.
Greenback Greens (6%)
- Have strong environmental values, but are not politically active. Heavy users of green products.
Sprouts (31%)
- Believe in green products in theory, but not in practice. Will buy green products, but only if equal to or superior to non-green products.
Grousers (19%)
- Are uneducated about environmental issues and cynical about their ability to effect change. Believe green products are too expensive and inferior.
Basic Browns (33%)
- Do not care about environmental issues or social issues.
greenwashing
Faking green, which is called ______, can be very damaging to a company's image and create a backlash.
Promotion of green efforts varies widely
Low-key approach
-Coca-Cola and starbucks, they post info on their website but thats it

Promote product first, pro-environment second
-Prius

Green products within brand line
-Nike's "FlyKnit" shoes

Promote pro-environment
-Honest Tea
-Seventh Generation
Promoting Green Activities
...
Preventing or Reducing Image Damage
Damage control
is reacting to negative events, regardless of the cause. Negative publicity travels fast, especially with the Internet and 24/7 news programs.
1. the firm making an error or doing something wrong,
2. someone targeting the company with unjustified or exaggerated negative press.
The two major causes of bad news are
1. proactive prevention strategies - building up your reputation (if you have a great reputation, people wont really believe the negative news...if you have a bad image and negative news comes out, people will believe it)
2. reactive damage-control strategies
Two strategies to damage control
Proactive approaches
try to prevent or reduce the chances of negative events through building a positive image through entitling and enhancements.
-rather have this
Reactive strategies
try to react to a negative situation through Internet interventions, crisis management programs, or impression management techniques.
1. Use Internet to react
2. Consumers can spread bad news quickly
3. Assign employees to monitor online communications
-Involves hundreds of post per day
-Watch for trends, increased chatter
-Must choose which warrant a reaction
4. Provides information on what people are thinking

It is important in posting a reply that the employee identify himself and provide the company's viewpoint
Internet Interventions to PR
An apology strategy
is a form of crisis management and a good approach when the firm is at fault. It is important to immediately offer an apology and not try to blame other companies. An apology is a good strategy especially with minor violations or when there is no way a firm can deny responsibility. It can be an effective approach to create emotional bonds with consumers, if the apology is sincere. Most people will forgive as long as the apology is sincere.
Impression management
is an attempt to project a certain type of image to others and to consciously or unconsciously attempt to control the images that are projected in real or imagined social interactions. A company wants to control the images people have of it.
-expressions of innocence
-excuses
-justifications
-other explanations
To do this, companies attempt to reduce the negative impact of any event that can modify or negatively effect its image. We all do the same with our own image.
Expressions of innocence
try to convince the pubic that the company and its leaders were not associated with the event in any way.
Excuses
are explanations designed to convince the public that the firm and its leaders are not responsible for the situation or that the situation could not have possibly been foreseen.
Justifications
involve using logic to reduce the negative impact of the incident.
Sports account for 68.8% of sponsorships and event marketing in the United States. The next largest category is for entertainment, tours, and attractions, at 9.8%. Charities and causes are third with 8.9%.
Expenditures on Sponsorships & Events
IMC plan
In North America, over $16 billion a year is spent on sponsorships, and over 70% of sponsorships involve sports. To be effective, sponsorships need to be a part of the .
brand awareness and customer loyalty
A sponsorship is an excellent way to build ______. Besides sports, companies can sponsor cultural events and television shows.
-Enhance company image
-Increase firm visibility
-Differentiate a company or brand
-Showcase specific goods or services
-Develop a closer relationship with current and prospective customers
-Unload excess inventory
Sponsorship Objectives
1.Determine objectives
2.Match audience to company's target market
3.Promote the sponsorship or event
4.Advertise at the event
5.Track results
Steps in Selecting a Sponsorship or Event
•NASCAR-72%
•Tennis-52%
•Golf-47%
•NBA-38%
•NFL-36%
What is the likelihood that a fan will buy a sponsor's product?
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