MKTG 350 Chapter 17

What is the traditional role of PR?
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What is the traditional role of PR?
- Maintain mutually beneficial relationships between the organization and the public
- Act as a management communications function
What is the new role of PR?
-Work together with the marketing dept.
- Contribute to the IMC process in a way that is consistent with marketing goals
Marketing Public Relations (MPR)
Public relations activities designed to support marketing objectives
Functions of MPR
- Building marketplace excitement before media advertising breaks
- Improving ROI
- Creating advertising news where there is no product news
- Introducing a product with little or no advertising
- Providing a value-added customer service
- Building brand-to-customer bonds
- Influencing the influentials
- Defending products at risk and giving consumers a reason to buy
What are the advantages of MPR?
- It is a cost-effective way to reach the market
- It is a highly targeted way to conduct product relations
- It benefits from the endorsement of independent and objective third parties who have no association with the product
- It achieves credibility
- It supports advertising programs by making messages more credible
- It breaks through the clutter
- It circumvents consumer resistance to sales efforts
- There can be improved media involvement among consumers
- It can create influence among opinion leaders and trendsetters
- It can improve ROI
What are the disadvantages of MPR
- There is a lack of control over the media
- It is difficult to tie in slogans and other advertising devices
- Media time and space are not guaranteed
- There are no standard effectiveness measures
What are the 4 steps in establishing a PR plan?
1. Define PR problems
2. Plan and program
3. Take action and communicate
4. Evaluate the program
Internal Audiences
People who are connected to a firm with whom the firm communicates on a routine basis
- Employees
- Stockholders
- Investors
- Local community
- Suppliers
- Current customers
External Audiences
People who are not closely connected with thee organization
- Media
- Educators
- Civic and business organizations
- Governments
- Financial groups
What are the methods of implementing a PR program
- Press release
- Press conferences
- Exclusives
- Interviews
- Community involvement
- Internet
- Social networks and blogs
Press releaseStatement provided to the media. Must be factual, true, and of interest to the medium and its audiencePress conferencesDelivering information by interactive directly with the mediaExclusivesOffering one particular medium exclusive rights to the storyInterviewsInteractions involving a spokesperson answering questions directed toward him or herCommunity involvementSupporting and contributing to a communityInternetHelps to spread PR information electronicallySocial networks and blogsOnline social platformsWhat are the advantages of PR?- Credibility (source) - Cost - Avoidance of clutter - Lead generation - Ability to reach specific groups - Image buildingWhat are the disadvantages of PR?- Potential for incomplete communication process - Lack of connection between receiver and sender - Lack of coordination with marketing unit - Erratic, redundant communicationsWhy measure the effectiveness of PR?- Determines what has been achieved - Provides a way to measure the achievements quantitatively - Provides a way to judge the quality of the achievements and activitiesPublicityGeneration of news about a person, product, or service that appears in broadcast or print mediaHow does publicity differ from PR?- ST strategy - Not always positive - Not always controlled or paid by the organizationHow is publicity more powerful than advertising, sales promotion, and other forms of PR?- Highly credible (third-party source) - Information may be perceived as endorsed by the medium in which it appears - Has news value and frequently generates exposureVideo News Release (VNR)- Publicity piece produced by publicists so that stations can air it as a news story - Used by marketers to have control over the time and place where information is releasedWhat are the advantages of publicity?- Substantial credibility - News value - Significant word-of-mouth - Perception of media endorsementWhat are the disadvantages of publicity?- Lack of control - Timing - AccuracyCorporate advertisingDesigned to promote the firm overall by: - Enhancing its image - Assuming a position on a social cause - Seeking direct involvement in somethingWhat are the objectives of corporate advertising?- Creating a positive image - Communicating the 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 company rather than relying solely on brand namesWhat are the different types of corporate advertising?1. Image advertising 2. Event sponsorships 3. Advocacy advertising 4. Cause-related advertisingImage advertisingPromotes the organization's overall imageWhat the methods of image advertising?- General image or positioning ads - Sponsorships - Recruiting - Generating financial supportEvent sponsorshipsSponsoring specific events or causes as part of a marketing strategyAdvocacy Advertising- Spreading ideas and explaining controversial social issues of public importance - Indirectly supports the sponsor's interestsIssue adsA method of advocacy advertising. Sponsored by an organization to bring attention to what they consider to be an important issueCause-related advertisingLinking with NPO as contributing sponsorsWhat are the advantages of corporate advertising?- Excellent vehicle for positioning the firm - Takes advantage of benefits derived from PR - Reaches a selected target marketWhat are the disadvantages or corporate advertising?- Questionable effectiveness - Raises questions of constitutionality and ethicsHow can the effectiveness of corporate advertising be measured?- Attitude surveys - Studies relating corporate advertising and stock prices - Focus group research