Public Relations, Publicity, and Corporate Advertising

1. 17 Public Relations, Publicity, and Corporate Advertising

2. Negative Publicity • Ends it’s decades long relationship with Planned Parenthood • Had not voiced reasons adequately • Received thousands of threats via social media • Resignation of Komen’s VP / decreases in contributions / black mark on it’s positive image 17-2

3. The Power of Publicity • Can be positive or negative • Directly affects companies • financially / trust / image • Impacted by far and fast reaching Internet / social media sites • Element to be managed as part of IMC 17-3

4. Public Relations Defined A management function Which evaluates public attitudes And identifies the policies and procedures Of an organization with the public interest And executes a program of action (& communication) To earn public understanding and acceptance 17-4

5. Public Relations Management Stages Determination and evaluation of public attitudes Identification of policies and procedures Development and execution of the program PR Effective PR program continues over months / years 17-5

6. Role of PR Customers Community Investors Suppliers Government Employees To maintain mutually beneficial relationships Public Relations Department Communicate thru company newsletters 17-6

7. What Does PR Do? Build market excitement before media ads break Apple Create ad news where there is no product news Super Bowl ads Introduce a product with little or no advertising Apple Provide a value-added customer service Butterball Build brand-to-customer bonds “ Improve ROI Free publicity 17-7

8. Value Added Customer Service Butterball provides help during the Thanksgiving Holidays 17-8

9. The Process of Public Relations Establishing a PR Plan Developing and Executing a PR Program Measuring Program Effectiveness Determining and Evaluating Public Attitudes 17-9

10. Research on Public Attitudes Provides input for the planning process Serves as an “early warning system” Increases communications effectiveness Secures internal cooperation, support 17-10

11. Determining Public Relations Audiences Internal External Employees The Media Financial Groups Stockholders and Investors Governments Community Members Public Suppliers & Customers connected with company not connected with company PR efforts are targeted to more than one group 17-11

12. Test Your Knowledge In public relations targeting, external audiences include: A) Customers B) The public at large C) Suppliers D) Stockholders E) All of the above 17-12

13. Implementing the PR Program Press Releases Interviews Press Conferences The Internet / Social Networks Exclusives Community Involvement PR Tools 17-13

14. Advantages of PR Credibility Image Building Cost Savings Reach Specific Groups Avoidance of Clutter Lead Generation PRProvides Blogs 17-14

15. Potential Problems of Public Relations Receiver not making connection to the source Potential Problems Lack of coordination with marketing dept. Inconsistent, redundant communications 17-15

16. Criteria for Measuring PR Effectiveness 17-16

17. Publicity versus Public Relations Publicity:The generation of news about a person, product, or service that appears in the media A short-term strategy A subset of public relations Not always positive Not under control of firm 17-17

18. A Response to Negative Publicity News report: Alar, chemical to grow apples, causes cancer TreeTop produced print ads and video news releases 17-18

19. Video 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 released

20. Pros and Cons of Publicity Advantages Disadvantages Substantial credibility Lack of control News value Timing Significant word-of-mouth Inaccuracy Perception of media endorsement 17-20

21. Publicity = Credibility 17-21

22. Corporate Advertising Promotes the organization Does not promote a specific product or service Image enhancement Assuming a position on an issue or cause Seeks involvement An extension of the PR function 17-22

23. Why is Corporate Advertising Controversial? Consumers aren’t interested in this form of advertising Opponents to Corporate Advertising This is a costly form of corporate self-indulgence The firm must bein trouble Corporate advertising isa waste of money 17-23

24. Objectives of Corporate Advertising Create a positive image for the firm Establish diversified company identity Communicate the organization’s viewpoint Objectives Help newly deregulated industries Boost employee morale Smooth labor relations Solar power 17-24

25. Types of Corporate Advertising Image Advertising General Image Ads Positioning Ads Event Sponsorship Sponsorships Recruitment Advocacy Advertising Financial Support Cause-related Advertising 17-25

26. Corporate Advertising • Creates an image of the company in the public mind 17-26

27. Event Sponsorship Sporting Events Music, Entertainment Causes Festivals Cultural Events Arts Corporate Sponsor 17-27

28. Corporate Sponsorship • McDonald’s associates with sponsorship of the Olympics • Excellent platform to build equity and gain affinity with target audience 17-28

29. Test Your Knowledge Why would World Wrestling Entertainment (WWE) sponsor a car on the NASCAR racing circuit? A) To build equity and gain affinity with its target market B) To show its position on sports marketing C) To create a generic positioning strategy D) To further segment its target market E) To reduce its overall promotional expenses 17-29

30. Advocacy Advertising Propagating ideas andelucidating Controversial social issues of public importance in a manner that supports the interests of the sponsor 17-30

31. Advocacy Ad GE promotes its concern for the environment 17-31

32. Cause Related Marketing A form of marketing whereby companies link with charities or nonprofit organizations as contributing sponsors 17-32

33. Cause Related Marketing New Balance promotes it’s support for breast cancer awareness 17-33