15-1 Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion...

15-1Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell

Chapter 15

Public relations


Learning objectives1. To recognise the roles of public relations,

publicity and corporate advertising in the integrated marketing communication mix.

2. To know the difference between public relations and publicity and demonstrate the advantages and disadvantages of each.

3. To understand the reasons for corporate advertising and its advantages and disadvantages.

4. To know the methods for measuring the effects of public relations, publicity and corporate advertising.


Processes

News Value Marketing

PR

PublicsMedia

choices

Sponsorship

Publicity

Integration

Public relations

Corporate advertising

Advocacy advertising

Image advertising

Non-marketingPR

Planning andevaluation


A media storm


Public relations defined

Public relations is the deliberate, planned and sustained effort to establish and

maintain mutual understanding between an organisation (or individual) and its (or

their) publics.

It is a management function which evaluates public attitudes, identifies the

policies and procedures of an individual or an organisation with the public interest,

and plans and executes a program of action to earn public understanding and

acceptance.

Public Relations Institute of Australia

Public relations is the deliberate, planned and sustained effort to establish and

maintain mutual understanding between an organisation (or individual) and its (or

their) publics.

It is a management function which evaluates public attitudes, identifies the

policies and procedures of an individual or an organisation with the public interest,

and plans and executes a program of action to earn public understanding and

acceptance.

Public Relations Institute of Australia


PR as a planned process

PreplanningDetermine and evaluate public attitudes

PreplanningDetermine and evaluate public attitudes

PlanningIdentify policies and procedures of an individual or

organisation with a public interest

PlanningIdentify policies and procedures of an individual or

organisation with a public interest

ImplementationDevelop and execute an action program designed

to bring about public understanding and acceptance

ImplementationDevelop and execute an action program designed

to bring about public understanding and acceptance


Marketing public relations (MPR) functions

Building marketplace excitement before media advertising breaksBuilding marketplace excitement before media advertising breaks

Creating advertising news where there is no product newsCreating advertising news where there is no product news

Introducing a product with little or no advertisingIntroducing a product with little or no advertising

Providing a value-added customer serviceProviding a value-added customer service

Building brand-to-customer bondsBuilding brand-to-customer bonds

Influencing influentials, providing information to opinion leadersInfluencing influentials, providing information to opinion leaders

Improving ROI Improving ROI

Defending products at risk, giving consumers a reason to buyDefending products at risk, giving consumers a reason to buy


Firestone


Research on public attitudes

Provides input for the planning

process

Provides input for the planning

process

Serves as an 'early warning system'

Serves as an 'early warning system'

Secures internal cooperation, support

Secures internal cooperation, support

Increases communications

effectiveness

Increases communications

effectiveness


Determining public attitudes

Environmental scanning

Environmental scanning

Communications from customers

Communications from customers

Market intelligence

Market intelligence

Media monitoring services

Media monitoring services

Market researchMarket

researchTechniquesTechniques


Determining public relations audiences

The MediaThe Media

GovernmentsGovernments

Financial groupsFinancial groupsThe mediaThe media

GovernmentsGovernments

External or independentExternal or independent

EducatorsEducatorsEducatorsEducators

Civic and business organisations

Civic and business organisations

Customers and Clients

Customers and Clients

Employees of the Firm

Employees of the Firm

Vendors and Suppliers

Vendors and Suppliers

Community Members

Community Members

Stockholders and InvestorsStockholders and Investors

Shareholders and investors

Shareholders and investors

Customers and clients

Customers and clients

Employees of the company

Employees of the company

SuppliersSuppliersCommunity members

Community members

Internal or associatedInternal or associated


Evaluating the PR plan


Internal communications


Corporate communications


Implementing the PR program: tools

Media releases Media

releases

Media conferences

Media conferences

ExclusivesExclusives

Interviews Interviews

The internet The internet

PR toolsPR tools

Community involvement Community involvement


The media release


Westpac supports Surf Lifesaving


Westpac takes advantage of the internet


Benefits of marketing public relations (MPR)

Media time and space are not guaranteed

Media time and space are not guaranteed

Measurement problemsMeasurement problems

Lack of control over mediaLack of control over media

Difficulty coordinating messages

Difficulty coordinating messages

CredibilityCredibility

Cost efficiencyCost efficiency

Clutter avoidanceClutter avoidance

Lead generationLead generation

SelectivitySelectivity

Image buildingImage building

AdvantagesAdvantages DisadvantagesDisadvantages


Why evaluate PR?

Provides management with information about what has been achieved through public relations activities.Provides management with information about what has been achieved through public relations activities.

Provides management with a way to measure public relations achievements quantitatively.Provides management with a way to measure public relations achievements quantitatively.

Allows managers a means to judge the quality of public relations achievements and activities.Allows managers a means to judge the quality of public relations achievements and activities.


Three levels of evaluation

Measure audience reception and understanding of

message

Measure audience reception and understanding of

message

Measure perceptual and behavioural change

Measure perceptual and behavioural change

Measure actual PR activities undertaken

Measure actual PR activities undertaken

AdvancedAdvanced

Intermediate Intermediate

BasicBasic


Processes


PR

PublicsMedia

choices

Sponsorship

Publicity

Integration

Public relations



Image advertising

Non-marketingPR



Publicity

May be out of the marketer’s controlMay be out of the marketer’s control

A subset of the PR processA subset of the PR process

The generation of news about a person, product or service that appears in the media.

The generation of news about a person, product or service that appears in the media.


Odwalla assures customers of quality


A response to negative publicity


Advantages and disadvantages of publicity

Inaccuracy, omission or distortion may result

Inaccuracy, omission or distortion may result

Timing difficult or impossible to control

Timing difficult or impossible to controlSubstantial credibilitySubstantial credibility

News valueNews value

Significant word-of-mouthSignificant word-of-mouth

Perception of endorsement by media

Perception of endorsement by media



Processes


PR

PublicsMedia

choices

Sponsorship

Publicity

Integration

Public relations



Image advertising

Non-marketingPR




Image enhancement

Image enhancement

Assuming a position on an issue or cause

Assuming a position on an issue or cause

An extension of the PR function

An extension of the PR function

Promotes the organisationPromotes the organisation

Does not promote a specific product or service


An extension of the PR functionAn extension of the PR function



Seeks involvementSeeks involvement


Types of corporate advertising

Positioning adsPositioning ads

SponsorshipSponsorship

RecruitmentRecruitment

General image adsGeneral image ads

Financial supportFinancial support

Image advertising

Image advertising

Event sponsorship

Event sponsorship

Advocacy advertisingAdvocacy

advertising

Cause-related advertising

Cause-related advertising


Shell promotes its innovation


Sponsorship

Sportingevents

Sportingevents

Music, entertainment

Music, entertainment

CausesCauses FestivalsFestivals

Cultural eventsCultural events ArtsArts

Corporate sponsorCorporate sponsor



Advocacy advertising:is the propagation of ideas and elucidation of controversial social issues of public importance in a manner that supports the interests of the sponsor.

Advocacy advertising:is the propagation of ideas and elucidation of controversial social issues of public importance in a manner that supports the interests of the sponsor.


Advocacy advertising (cont.)


Cause-related marketing

Cause-related marketing:is a form of marketing whereby companies link with charities or non-profit organisations as contributing sponsors.

Cause-related marketing:is a form of marketing whereby companies link with charities or non-profit organisations as contributing sponsors.


Avon supports a cause


Advantages and disadvantages of corporate advertising

Raises questions of constitutionality and

ethics

Raises questions of constitutionality and

ethics

May have questionable effectiveness

May have questionable effectiveness

Excellent vehicle for positioning the firm

Excellent vehicle for positioning the firm

Takes advantage of benefits derived from

public relations

Takes advantage of benefits derived from

public relations

Reaches a selected target market

Reaches a selected target market



Measuring corporate advertising effectiveness

Studies relating to corporate advertising and

share prices

Studies relating to corporate advertising and

share prices

Attitude surveysAttitude surveys

Focus group researchFocus group research

Measurement methods

Measurement methods


Summary and conclusions Public relations has both marketing and non-marketing

roles.

Many large companies engage external PR consultants to manage their PR activities.

Marketers must develop programs to manage positive and negative public attitudes.

Important tools include media relations, publicity, sponsorship, corporate advertising, advocacy and cause-related marketing.

A systematic approach to PR management includes identifying problems, planning programs and evaluating programs.

15-1 Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion...

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