Public Relations
Chapter 20
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Public Relations is the profitable integration of
an organization’s new and continuing
relationships with stakeholders, including
customers, by managing all communications
contacts with the organization that create
and protect the brand and reputation of the
organization.
C. L. Caywood, The Handbook of Strategic Public Relations &
Integrated Communications, 1997
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Public Relations
• “Publics” are involved
• Marketing Communications with those who have
a relationship with the firm
• Positive impacts to ensure effective business
operations
• Corporate image and reputation
• Foster goodwill and understanding
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Relative Importance of Promotional Tools in
Consumer versus Industrial Markets
Consumer Goods
Industrial Markets
Advertising
Personal Selling
Sales Promotion
Sales Promotion
Personal Selling
Advertising
Public Relations
Relative Importance
Public Relations
Relative Importance
Advertising
Print and broadcast
ads
Packaging - outer
Packaging - inserts
Motion pictures
Brochures and
booklets
Posters and leaflets
Directories
Reprints of ads
Billboards
Display signs
Point-of-purchase
displays
Audio-visual materials
Symbols & logos
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Sales Promotion
Contests, games,
sweepstakes, lotteries
Premiums, gifts
Samplings
Fairs, trade shows
Exhibits
Demonstrations
Couponing
Rebates
Low-interest financing
Entertainment
Trade-in allowance
Trading stamps
Tie-ins
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Public relations: An umbrella
term...
Product publicity
Corporate communications
Issues management
Investor relations
Financial communications
Lobbying
Public affairs
Media relations
Community affairs
Crisis management
Events management
Sponsorship
A range of services
feeding into these...
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Job of PR
Decide how activities link to others -individuals or organizations
Find groups, define exact nature of
opportunity/problem and select PR
solution
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Types of Public Relations
• Publicity
- News Release
•Fundraising
- Press Conference
• Corporate Advertising
- Press Kit
• Videos and Film
- Product Placement
• Publications
- Annual
Reports
- Corporate Histories
• Company Sponsorship
• Lobbying
• Meetings
• Organized Social Activities
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Tools
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Written material
Audio-visual material
Corporate identity media
News
Events
Speeches
Telephone information service
Internet
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How MPR Adds Value
Build marketplace excitement before
advertising breaks
Drive communications program when there is
no advertising
Make advertising news when there is no
advertising
Bring advertising to life
Extend promotion programs
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How MPR Adds Value
Build personal relationships with customers
Influence the influentials
Communicate new product benefits
Demonstrate a company’s social responsibility
and build consumer trust
Defend products at risk and give consumers
permission to buy
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Marketing Public Relations
Tools
 Awards
 Books
 Contest, competitions,
created events
 Demonstrations
 Exhibits
 Expert columns
 Fan clubs
 Festivals
 Grand openings
 Hot lines
 Interviews
 Key issues
 Luncheons
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Meetings
Museums
Newsletters
Official endorsements
Produce placement
Questionnaires
Radio contests
Support for sports teams,
the arts, community
projects, etc..
Symbols
Tours
Weeklies
Youth programs
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Relationship Building
• Key element of IMC
• Not just with customers
Knowing
Trusting
Consistent
Accessible
Responsive
Affinity
Likeable
Committed
Constructs determining strength of relationships
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Corporate Practices and Images
Group
Employees
Investors
Customers
Community
Character Traits
Images
1. Generate Trust
2. Empower
Trustworthiness
3. Instill Pride
4. Show Profitability
5. Maintain Stability
Credibility
6. Have Growth Prospects
7. Cultivate Product Quality
8. Provide Customer Service Reliability
9. Serve the Community
10.Green the Environment
Responsibility
Ethics
Moral guidelines
Truthful
Testimonials
Children and young
people
Exploitation of
goodwill
Comparisons
Imitation
Safety
Denigration
Responsibility
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Coorientational Model
Organization’s
Definition and
Evaluation of Issue
Congruency
Organization’s
Perception of
Public A’s Views
Agreement
Accuracy
Public A’s
Definition and
Evaluation of Issue
Congruency
Public A’s
Perception of
Organization’s Views
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The Multiple Publics of Public Relations
INTERNAL STAKEHOLDERS
Employees
Shareholders
MPR Public: Suppliers, distributors, brokers,
wholesalers, retailers, dealers
Regular or loyal customers
EXTERNAL STAKEHOLDERS
The media
Local community neighbors
Local, regional, state and federal government
bodies and regulators
The financial community
Special-interest groups
Prospective customers, employees and shareholders
Public Relations
STRENGTHS
WEAKNESSES
• Reaches stakeholders other than
consumers
• Lack of control over how the
story gets covered
• Reaches hard-to-reach targets,
such as upscale opinion leaders
• Subject to other’s approval
for news story to run
• Can advise company/client on
image issues
• Bottom-line impact is
difficult to measure
• Establishes corporate-citizen role
• Proactive-can plan for crises
• More message flexibility due to
fewer legal restrictions
• Adds credibility/believability
• Can break through “ad clutter”
• Low costs
Planning Public Relations
The Development Plan Consists of Six Steps
1.) Assessment of the current situation
2.) Statement of objectives
3.) Selection of target audiences
4.) Selection of implementation methods
5.) A determination of costs
6.) Evaluation of results
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