Transcript Principles of PR Management

PRESS AGENTS =
MEDIA RELATIONS
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WHAT ARE THE KEY POINTS IN MEDIA
RELATIONS?
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Media influence is cumulative and long term.
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A single report, even if covered by all media in the
country usually causes little change (effect is
minimal).
If covered over long period (perhaps with viewpoint
on the topic) can influence the whole generation.
(Eg. Continuous news /reports on Communism  we
strongly opposed even most of us have no personal
experience - but because all our lives it has been a
subject of derision in our media; PKI in Indonesia;
Terrorism in these days.)
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The main power of the media is to make
us aware – of products, services,
companies, ideas – and to provide info
about them. Awareness don’t move us to
action but as a 1st step in decision making it
is vital: if we don’t know something exist, we
can’t do anything about it.  Agenda
Setting Role of the Media.
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The media concentrate on reporting bad
news – errors, scandals, accidents.
Researches: we prefer to hear about bad news
rather than good news, by a factor of 7 (seven)
to one. In their own marketing interest, then, it
follows that the media would rather feature bad
news. It’s what their customers demand.
RELATIONSHIPS WITH MEDIA
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So, the challenge is to create RELATIONSHIPS with
Journalists and media figures – that will permit them
to rely on our organizations when we are the focus of
interest.
 Make them learn about us, and that they can
trust an organization and its PR staff.
 So they are likely to report on the information of
which we need to make our publics aware and give
us a FAIR chance, or at least balance reportage,
when we are on the hot seat.
WORKING WITH MEDIA PEOPLE
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Important part of PR job: depends on PR staff providing information
that news people like (consider) to be of public interest  remember
7 FACTORS of NEWS WORTHINESS.
Small or local organization: easier; media have small staffs and
need ‘free’ news gathering help and PR practitioners provide them.
 personalized and mutually supportive relationships.
Big City (Big News Media) and giant corporates: difficult: both
entities tend more to conglomerations and automation (not
personalized).  Companies tend to expose journalism and Media
turns to control advocacy – and animosity grows between the
private and public sectors. (eg. Kompas Gramedia Group with TV-7,
Kontan, dll; Tempo Group with Koran, Tempo newsroom, etc.)
Most major media have ethics code that prohibit their journalist from
accepting favors; relative (family friends) working as editors or news
producers is not easy  it can be suspected or handicap,
particularly as media ethics codes become more common.
THE FUNDAMENTALS.
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News Media Mission: to inform audience quickly, accurately
and fully (on matters in which audience express an interest
and on matters that affect them significantly – whether or not
the audience have expressed interest, or are even aware).
PR Function Mission: is to build working relationships with an
organization’s public.
For both (Media and PR): obligations of truth and accuracy
under the law.
 The freedom of News Media to inform without bias is
assured by the First Amendment to the Constitution
(USA).
If abused: loss of credibility, revenue from advertisers, and
public censure.
When interject their own views: label them as ‘editorial’,
opinion, analysis, commentary, etc.
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 PR Functions: comes under the Freedom of Speech
Provision in the First Amendment.
PR practitioners have the choice of telling their story:
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in paid space or time (advertisement), or
offering it as news, subject to editing or rejection by the
media.
Abuse of free speech rights: loss of supportive
constituents (shareholders), employees, customers, etc.
Penalties from PR Society (PR Society of America in USA,
but Perhumas belum ada sanksi?)
Penalties from media (for being ‘clever’ in manipulating
facts, being ‘unavalible’, etc): loss of credibility and integrity
in the eyes of the media.
 Monitoring Bodies: Dewan Pers, Perhumas, dll. Di sini
belum banyak berfungsi. Cek di UU Pers lagi.
PR Serves 2 masters
1.
2.
The Employer.
Public Interest.
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The Employer wants them best foot put forward in public.
Sometimes dont want publicity; but sometimes media insist
over the ‘public’s right to know’.
If a PR is not able to handle the flow of info so that
favorable news is covered and adverse news is avoided or
at least treated fairly, the practical value of the practitioner
to the employer is limited. But practitioners must make it
clear to the employer and clients that THEY CANNOT
CONTROL THE MEDIA.
GUIDELINES
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Start with a sound working knowledge of the methods and the
technology involved in gathering potential news, in evaluating it, in
processing it editorially, and in putting it into the best format and mode
for newsprint, magazine and broadcast electronic media. Be able to fit
into the process.
Make a designated spokesperson available.  you?
Have spokespeople be as good (candid) as possible in response to
inquiries – consider competitors, national security, etc.
Play the percentages, as in long successful partnership, taking the
instances of bad news in stride with a record of good news coverage
achieved.
Continuously educate and train employers and spokespeople on
how to handle (themselves when in contact with the news) media.
Generate good news situations as a track record to offset instances of
undesired news. Don’t simply wait defensively for bad news. 
Proactive.
Advocate an employer’s views on public issues among the
organization’s natural constituencies and in the news media receptive
of them.
Expect the unexpected and be prepared all the time for it. In
particular, have a crisis or disaster plan.
PR & MARKETING  Marketing PR
PR (one of the definition) is:
the management function which evaluates
public attitudes, identifies the policies and
procedures of an organization with the public
interest, and executes a program of action
(and communication) to earn public
understanding and acceptance.
(Public Relations News, weekly newsletter of the industry).
In this definition:
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The term ‘Management’ (function) should be used in its broadest sense: business
management, non profit organization, etc.
PR requires a series of stages, including:
 The determination and evaluation of public attitudes.
 The identification of policies and procedures of an organization with a public
interest.
 The development and execution of a communications program designed to bring
about public understanding and acceptance.
This process doesn’t occur all at once.
Continues, over months or years.
PR involves much more than activities designed to sell a product or service.
May involve promotional program elements  eg:
 Press release mailed to announce new products or changes in the organization;
 Special events organized to create goodwill in the community;
 Advertising used to state Company’s position on a controversial issue.
The New Role of PR.
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More marketing-oriented companies established
new responsibilities for PR.
It takes much broader and more marketingoriented perspective, designed to promote the
organization as well as its products or services.
Four relationships between Marketing & PR in
an organization – defined by the degree of each
function:
PUBLIC RELATIONS
Weak
Strong
Weak
1
Small social service
agencies, non-profit
organizations.
2
Hospitals, colleges
Strong
3
Small manufacturing
companies
MARKETING
4
Fortune 500 companies
1.
2.
Minimal use of either function  typically have very small marketing
and/or PR budgets and devote little time and effort to them. Eg. Small social
service agencies, non-profit organizations.
Have a well-established PR function but do very little in the
way of formal marketing. Eg. Colleges and Hospitals.  Now: cases
marketing activities are increasing. Both now moved in the direction of Class 4
organizations, though PR activities still dominate.
3.
Many small companies: marketing dominant, and PR
functions are minimal. Eg. Private companies (without stock holders) and
small manufacturers with little or no public to appease tend to employ this design.
(Misal, pembuat teralis besi, home industry catering, etc).
4.
Have both strong marketing and strong PR. These two departments
often operate independently. Eg: PR may be responsible for the more traditional
responsibilities, while marketing promotes specific products and/or services. Both
groups may work together at times, and both report to top management. Many
Fortune 500 companies employ multiple ad agencies and PR firms.
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 The new role of PR might best be characterized as
Class 4, although with a slightly different relationship.
The two nor work closely together (not operating
independently) – blending their talents to provide the
best overall image of the firm and its products/services
offerings.
 PR departments as a tool to both supplant and
support traditional advertising and marketing efforts and
as a key part of the IMC (Integrated Marketing
Communications) program.
INTEGRATING PR INTO THE
PROMOTIONAL MIX
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Kotler and William Mindak: suggest some alternative
organizational designs:
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Either:
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Marketing or PR can be the dominant function (both
can be equal but separate functions);
or both can perform the same roles.
 But other experts recommend setting:
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PR as a promotional program element;
this means that its broad role must include traditional
responsibilities.
MARKETING PR FUNCTIONS
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Thomas L Harris: PR activities designed to support marketing
objectives as MPR functions.
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Marketing objectives that may be aided by PR
activities include:
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Raising awareness
Informing and educating
Gaining understanding
Building trust
Giving consumers a reason to buy, and
Motivating consumer acceptance.
MPR adds value to the integrated
marketing (IMC) program in a number
of ways
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Building marketplace excitement before media advertising breaks. The
announcement of a new product, for example, is an opportunity for the marketer
to obtain publicity and dramatize the product, thereby increasing the
effectiveness of ads.
Creating advertising news where there is no product news. Ads can be the focus of
publicity. There seems to be as much hype about the ads on the World Cup
(Soccer) or Olympic or Super Bowl as there is for the game itself.
Introducing a product with little or no advertising. Eg. Hewlett Packard, Kinetix
and Ty, and Crayola (crayon maker) used this approach to its advantage.
Providing a value added customer service. Butterball (USA) established a hotline
where people can call in to receive personal advice on how to prepare their
turkeys. (handled 25,000 calls during one holiday season); Many cos provide such
services on their Internet sites.
MPR adds value to the integrated marketing
(IMC) program in a number of ways (cont)
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Building brand-to-customer bonds. The Pillsbury Bake-Off has led to
storng brand loyalty among Pillsbury customers, who compete by
submitting baked goods. The winner now receives a one-million dollar
prize!
Influencing the influentials – that is, providing information to opinion
leaders.
Defending products at risk and giving consumers a reason to buy. By
taking constructive actions to defend or promote a company’s products,
PR can give consumers a reason to buy. Battery Energizer’s national
education campaign that urges consumers to change the batteries in
their fire alarms when they reset their clocks in the fall has resulted in a
strong corporate citizen image and increased sales of batteries.
MPR adds value to the marketing program –
some other examples:
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Wonderbra: relied heavily on PR coverage and media hype to create
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Rockport, another shoe company in 1980s. Promoted (by its PR agent) the
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California Kiwifruit Commission: established 1935. PR efforts focused on
awareness and gain attention for the product launch. From 1994, continued
for the past 5 years, and Wonderbra has become the number 1 push-up bra
in the USA.
concept of ‘fitness walking’ through a series of MPR initiatives. Rockport
became known as the ‘Walking Shoe Company”, achieving a tenfold (10 x)
increase in sales.
disseminating health and nutritional information about kiwis. Through a
more marketing-oriented PR campaign, the commission was able to
increase sales by as much as 300 % in stores and achieved a 12 percent
increase in new consumers (users).
Advantages of using MPR (by Harris):
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A cost-effective way to reach the market.
A highly targeted way to conduct public relations.
Credibility.
It benefits from the endorsement of independent and
objective 3rd parties who have no association with the
product.
Supports advertising programs by making messages
more credible.
It breaks through the clutter.
It circumvents consumer resistance to sales efforts.
Disadvantages (by Harris):
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A lack of control over the media.
Difficult to tie in slogan and other
advertising devices.
Media time and space are not
guaranteed.
There are no standard effectiveness
measures.
Major Threat
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MPR may lead to public relations’ becoming
subservient (passive, meek) to marketing
– a concern expressed by many opponents of MPR.
 However, if employed properly and used in
conjunction with other traditional PR practices as well
as IMC elements, MPR can continue to be used
effectively.
Contoh 2: Marketing Comm.
 interfaces for PR Dept. – perhatikan yg sama & beda
Customers
Company
Management
Company
External
Agencies
KOSONG: Influencers
(Public
Officials)
Cust Senior
Management
CEO
Adv.
Agencies
Industry
Bodies;
Purchasers
Product Div.
Managing Dir;
Product
Managers
PR
Consultants;
Design
Consultants
Journalists;
Pressure
Groups
Distributors;
Stockiest
Marketing Dir;
Cust Service
Managers.
Other
Agencies; etc
Consumer
Groups;
Social and Cultural
Environments
Hofstede’s Dimensions
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INDIVIDUALISM VS COLLECTIVISM
HIGH/LOW POWER DISTANCE
MASCULINE VS FEMININE
WEAK/STRONG UNCERTAINTY
AVOIDANCE
CONFUCIANIST DYNAMICS
(LONG RUN ORIENTATION)
Power Distance and Individualism
Scales
Small
Power Distance
Large
12
Collectivist
•PAK
•VEN
•COL
•TAI •PER
•THA
•SIN
•CHL
•POR
30
•GRE
•HOK
•YUG
•MEX
•PHI
Individualism
•TUR
50
•IRA
•ARG
•BRA
•JAP
•IND
+11
+28
+44
Small power distance
collectivist
+64
+77
Large power distance
collectivist
+94
ARG Argentina
BRA Brazil
CHL Chile
COL Columbia
GRE Greece
HOK Hong Kong
IND India
IRA Iran
JAP Japan
MEX Mexico
PAK Pakistan
PER Peru
PHI Philippines
POR Portugal
SIN Singapore
TAI Taiwan
THA Thailand
TUR Turkey
VEN Venezuela
YUG Yugoslavia
Power Distance and Individualism
Scales
Small
Individualist
53
Individualism
71
Power Distance
•AUT
•ISR
AUL
AUT
BEL
CAN
DEN
FIN
FRA
GER
GBR
IRE
ISR
ITA
NET
NZL
NOR
SAF
SPA
SWE
SWI
USA
Large
•SPA
•FIN
•SAF
•NOR•GER
•SWI
•IRE •SWE
•DEN
•NZL
•CAN
•NET
•FRA
•ITA
•BEL
•GBR
AUL USA
•+44
•
+28
+64
+77
91 +11
Small power distance
Large power distance
individualist
individualist
+94
Australia
Austria
Belgium
Canada
Denmark
Finland
France
Germany
Great Britain
Ireland
Israel
Italy
Netherlands
New Zealand
Norway
South Africa
Spain
Sweden
Switzerland
United States
Uncertainty Avoidance and Masculinity
Scales
Masculinity
Uncertainty Avoidance
Weak
Feminine
8
AUL Australia
CAN Canada
DEN Denmark
FIN Finland
GBR Great Britain
HOK Hong Kong
IND India
IRE Ireland
NET Netherlands
NZL New Zealand
NOR Norway
PHI Philippines
SIN Singapore
SAF South Africa
SWE Sweden
SWI Switzerland
USA United States
•SIN
•HOK
•DEN
GBR•
32 •SWE
•IRE
•IND
•NOR
Strong
Masculine
•NET
FIN
56 +23
+44 •
Weak uncertainty
avoidance/feminine
•CAN
USA• •PHI
•NZL
•SAF
•AUL
+59
+77
Weak uncertainty
avoidance /masculine
+95
Uncertainty Avoidance and Masculinity
Scale
Masculinity
Weak
Feminine
59
•FIN
Uncertainty Avoidance
SWI•
•IRA
THA•
•GER
TAI• •PAK
•AUT
BRA•
ITA•
ISR•
•SPA
84
FRA•
TUR•
CHL•
YUG•
•PER
Masculine
COL•
•ARG
•VEN
•MEX
•BEL
Strong
JAP•
•POR
112 +23
+44
Strong uncertainty
avoidance/feminine
•GRE
+59
+77
Strong uncertainty
avoidance/masculine
+95
ARG
AUT
BEL
BRA
CHL
COL
FRA
GER
GRE
IRA
ISR
ITA
JAP
MEX
PAK
PER
POR
SPA
SWI
TAI
THA
TUR
VEN
YUG
Argentina
Austria
Belgium
Brazil
Chile
Columbia
France
Germany
Greece
Iran
Israel
Italy
Japan
Mexico
Pakistan
Peru
Portugal
Spain
Switzerland
Taiwan
Thailand
Turkey
Venezuela
Yugoslavia
Cultural Factors
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Never touch the head of a Thai or pass an object over it –
the head is considered sacred in Thailand
Avoid using triangular shapes in Hong Kong, Korea and
Taiwan – the triangle is considered a negative shape
The number 7 is considered bad luck in Kenya and good luck
in the Czech Republic. It has a magical connotation in Benin,
Africa
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The number 10 is bad luck in Korea
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The number 4 means death in Japan
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Red represents witchcraft and death in many African
countries but it is a positive colour in Denmark
Cateora & Ghauri, International Marketing, European Edition, © 1999 McGraw-Hill
Doing Business in India: A
Cultural Perspective
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Trust had become a central issue
Aggressiveness can be interpreted as a sign of
disrespect.
Indians are very good hosts and will therefore,
invite you to their homes and usually in personal
talk often.
Indians respect people who value their family.
They will allow family to take priority over work,
whenever necessary.
In a group discussion, only the senior most person
might speak, but that does not mean that the
others agree with him.
Humor in the work place is something that some
Contextual Background of
Various Countries
Japanese
Arabic
Latin American
Spanish
Italian
English (UK)
French
North American (US)
Scandinavian
Low
context
explicit
German
Swiss
Cateora & Ghauri, International Marketing, European Edition, © 1999 McGraw-Hill
High
context
implicit
Communication
Global Product Planning Strategic
Alternative
Different
Product Extension,
Communication
Adaptation
Dual
Extension
Same
Dual
Adaptation
Product Adaptation,
Communication
Extension
Same
Different
Product
Cultural Values
Classical Western
Traditional Asian
Nuclear family, self, or immediate
family
 Beliefs in competition, challenge,
self-expression
 Personal responsibility, independence
 Doing one’s own thing
 Resentment of authority
 Primacy given more to youth and
change
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Extended family, blood/kinship/
workgroups
 Beliefs in harmony, cooperation, avoiding
confrontation
 Shared responsibility, interdependence
 Public self and “face”
 Respect for authority
 Age and seniority important, value
tradition
 Control by “shame” and “loss of face”
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Marketing Values
Brand segmentation; personal choice
and self-expression through brand
 Presenters/testimonials important
but more to draw attention to brands
 Seeding and diffusion from leading
edge
 Belief in “understatement” of wealth
 Environmentalism
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Popular famous brands; confidence in
brand and corporate names
 Imitation, emulation, use of presenters as
role models in ads
 Rapid adoption of successful brands
 Display of wealth and status
 Confidence in technology
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Comparisons and Contrasts in Culture, Tradition, and Behaviour Between
Japan and USA
J
a
p
a
n
M
y
t
h
/
h
e
G
r
o
u
p
Marketing Strategies in The European Community
Changes Affecting Strategies
Product
Strategi
es
Pricing
Strategi
es
Promoti
on
Strategi
es
Distribu
tion
Harmonization in product
standards, testing, and
certification process
 Common patenting and
branding
 Harmonization in
packaging, labeling, and
processing requirements

More competitive
environment
 Withdrawal of restrictions
to foreign products
 Antimonopoly measures
 Widening of the public
procurement market
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Common guidelines on
TV broadcasting
 Deregulation of national
broadcasting monopolies
 Uniform standards for TV
commercials

Simplification of transit
documents and procedures

Threats to Marketers’
Planning
Untimeliness of
directives
 Rules of origin
 Local content rules
 Differences in
marketing research

Parallel importing
 Different taxation of
goods
 Less freedom in setting
transfer prices

Restrictions on alcohol
and tobacco advertising
 Limits on foreign TV
production
 Differences in
permitted promotional
techniques
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Increase in distributors’
margins
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Management’s Strategic
Options
Consolidate production
 Obtain marketing
economies
 Shift from brand to
benefit segmenation
 Standardize packaging
and labeling where
possible
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Exploit different excise
and value-added taxes
 Understand price
elasticity of consumer
demand
 High-margin products
 Introduce visible lowcost brand
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Coordinate components
of promotional mix
 Exploit advantage of
pan-European media
 Position the product
according to local
markets
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Consolidate
manufacturing facilities
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Orientation of Management and
Companies
Polycentric
Ethnocentric
Home country is
superior; sees
similarities in foreign
countries
Regiocentric
Sees similarities and
differences in a world
region; is ethnocentric or
polycentric in its view of
the rest of the world
Each host country is
unique; sees differences
in foreign countries
Geocentric
Worldview; sees
similarities and
differences in home and
host countries