PRESS AGENTS = MEDIA RELATIONS WHAT ARE THE KEY POINTS IN MEDIA RELATIONS? Media influence is cumulative and long term. 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.) 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. 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 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 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. 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. PR Functions: comes under the Freedom of Speech Provision in the First Amendment. PR practitioners have the choice of telling their story: 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. 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 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: 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. 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. 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 Kotler and William Mindak: suggest some alternative organizational designs: Either: 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: PR as a promotional program element; this means that its broad role must include traditional responsibilities. MARKETING PR FUNCTIONS Thomas L Harris: PR activities designed to support marketing objectives as MPR functions. Marketing objectives that may be aided by PR activities include: 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 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) 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: Wonderbra: relied heavily on PR coverage and media hype to create Rockport, another shoe company in 1980s. Promoted (by its PR agent) the 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): 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): 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 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 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 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 The number 10 is bad luck in Korea The number 4 means death in Japan 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 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 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” 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 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 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 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 Increase in distributors’ margins Management’s Strategic Options Consolidate production Obtain marketing economies Shift from brand to benefit segmenation Standardize packaging and labeling where possible Exploit different excise and value-added taxes Understand price elasticity of consumer demand High-margin products Introduce visible lowcost brand Coordinate components of promotional mix Exploit advantage of pan-European media Position the product according to local markets Consolidate manufacturing facilities 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