Transcript PPT chapter 15 - McGraw Hill Higher Education

Chapter 15
Public relations
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Learning objectives
1. 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.
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Planning and
evaluation
Media
choices
Publicity
News
Value
Integration
Image
advertising
Processes
Publics
Public
relations
Marketing
PR
Corporate
advertising
Sponsorship
Advocacy
advertising
Non-marketing
PR
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A media storm
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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
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PR as a planned process
Preplanning
Determine and evaluate public attitudes
Planning
Identify policies and procedures of an individual or
organisation with a public interest
Implementation
Develop and execute an action program designed
to bring about public understanding and
acceptance
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Marketing public relations
(MPR) functions
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 influentials, providing information to opinion leaders
Defending products at risk, giving consumers a reason to buy
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Firestone
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Research on public attitudes
Provides input for
the planning
process
Increases
communications
effectiveness
Serves as an 'early
warning system'
Secures internal
cooperation, support
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Determining public attitudes
Environmental
scanning
Market
research
Communications
from customers
Techniques
Market
intelligence
Media monitoring
services
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Determining public relations
audiences
Internal or associated
Shareholders
and
Stockholders
andinvestors
Investors
Customers and
Customers
and
clients
Clients
Employees
of of
the
Employees
company
the
Firm
Community
Community
members
Members
Vendors
and
Suppliers
Suppliers
External or independent
Educators
Educators
The Media
media
The
Governments
Governments
Civic and business
organisations
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Financial groups
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Evaluating the PR plan
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Internal communications
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Corporate communications
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Corporate advertising
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Implementing the PR program:
tools
Media
releases
Interviews
Media
conferences
PR tools
The internet
Exclusives
Community
involvement
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The media release
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Westpac supports Surf
Lifesaving
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Westpac takes advantage of the
internet
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Benefits of marketing public
relations (MPR)
Advantages
Credibility
Disadvantages
Lack of control over media
Cost efficiency
Clutter avoidance
Media time and space are
not guaranteed
Lead generation
Difficulty coordinating
messages
Selectivity
Measurement problems
Image building
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Why evaluate PR?
Provides management with information about what
has been achieved through public relations activities.
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.
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Three levels of evaluation
Basic
Measure actual PR activities
undertaken
Intermediate
Measure audience reception
and understanding of
message
Advanced
Measure perceptual
and behavioural change
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Planning and
evaluation
Media
choices
Publicity
News
Value
Integration
Image
advertising
Processes
Publics
Public
relations
Marketing
PR
Corporate
advertising
Sponsorship
Advocacy
advertising
Non-marketing
PR
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Publicity
The generation of news about a person, product or
service that appears in the media.
A subset of the PR process
May be out of the marketer’s control
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Odwalla assures customers of
quality
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A response to negative
publicity
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Advantages and disadvantages
of publicity
Advantages
Disadvantages
Substantial credibility
Timing difficult or impossible to
control
News value
Inaccuracy, omission or
distortion may result
Significant word-of-mouth
Perception of endorsement by
media
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Planning and
evaluation
Media
choices
Publicity
News
Value
Integration
Image
advertising
Processes
Publics
Public
relations
Marketing
PR
Corporate
advertising
Sponsorship
Advocacy
advertising
Non-marketing
PR
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Corporate advertising
An extension of the PR
An extension of the PR function
function
Doesnot
notpromote
promote aaspecific
Does
specific
product or
or service
product
service
Promotes the organisation
Image
enhancement
Assuming a position
on an issue or cause
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Seeks involvement
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Types of corporate advertising
Image
advertising
General image ads
Positioning ads
Event
sponsorship
Advocacy
advertising
Sponsorship
Recruitment
Financial support
Cause-related
advertising
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Shell promotes its innovation
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Sponsorship
Corporate sponsor
Sporting
events
Music,
entertainment
Causes
Festivals
Cultural events
Arts
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Advocacy advertising
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.
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Advocacy advertising (cont.)
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Cause-related marketing
Cause-related marketing:
is a form of marketing whereby
companies link with charities or nonprofit organisations as contributing
sponsors.
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Avon supports a cause
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Advantages and disadvantages
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
Reaches a selected
target market
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Measuring corporate
advertising effectiveness
Attitude surveys
Measurement
methods
Studies relating to
corporate advertising and
share prices
Focus group research
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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.
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