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Public Relations and Corporate Advertising

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Title: Public Relations and Corporate Advertising


1
Public Relations and Corporate Advertising
  • Chapter 20 with Duane Weaver

2
Public Relations - defined
  • focuses on communication that can foster
    goodwill between a firm and its many constituent
    groups customers, stockholders, suppliers,
    employees, government entities, citizen action
    groups, and the general public.
  • OGuinn, Allen, Semenik, 4E, p. 699

3
Todays PR
  • Todays major brands tend to be born with
    publicity, not advertising, whereby advertising
    is used to maintain brands and PR is used to
    establish brands. As per The Fall of
    Advertising The Rise of PR.

4
PR and Damage Control
  • PR can provide damage control from bad publicity.
  • E.G. Intel, 1994..Pentium Chipflaw in floating
    point calculations producing errors to the 5th
    and 6th decimal place.
  • PR 1 so insignificant that a flaw once in 27,000
    years
  • IBM counteronce very 24 hours, stop shipping
    intel PCs
  • Every major newspaper and even Dilbert laughed at
    Intel publicly
  • PR 2 Intel admitted division problem and offered
    free chip to anyone experiencing the problem
    475 M replacement program
  • E.G. Pepsico and syringe in can
  • PR 1 Pepsico considers 100 recall, yet FDA
    suggests not necessary
  • PR 2 Pepsico enlist FDA to go on camera with
    Pepsico to defend manufacturing process
  • PR 3 Pespico catches woman on film inserting a
    syringe in a can of pepsi after purchase
  • PR often reactive, but can be planned and
    proactive

5
PR Objectives
  • Promote Goodwill
  • Image building, industry events, community
    activities
  • Promote a Product or Service
  • Press releases, events, brand news, increase
    public awareness
  • Prepare internal Communications
  • Disseminate information and correct
    misinformation to maintain employee support
  • Counteract Negative Publicity
  • Damage control function
  • Lobby
  • Deal with government officials and pre-empt
    pending legislation
  • Give Advice and Counsel
  • Assist management positioning on public issues,
    prepare employees for public appearances, and
    help management anticipate public repsonses.

6
PR Tools
  • Press Releases
  • Feature Stories
  • Company Newsletters
  • Interviews and Press Conferences
  • Sponsored Events
  • Publicity (unpaid media exposure)
  • Buzz Marketing seeding the media
  • Viral Marketing consumers marketing to
    consumers via blogs, newsgroups, etc

7
Basic PR Strategy
  • Proactive
  • Guided by marketing objectives, publicizes brands
    and company, offensive approach to PR.
  • PR Audit looking for ve newsworthy aspects of
    a firm
  • PR Plan identifies objectives and activities
  • Current Situation Analysis
  • Program Objectives
  • Program Rationale
  • Communications Vehicles
  • Message Content
  • Reactive
  • Driven by outside influences to the company,
    problem solving based, defensive approach to PR.
  • PR Audit same as above (provides ammunition to
    react)
  • Identification of Vulnerabilities recognize
    areas where firm has weaknesses so as to be
    prepared for controversy, discussion.

8
Corporate Advertising
  • not intended to promote a specific brand,
    ratherintended to establish a favourable
    attitude toward a company as a whole.
  • TYPES
  • Image
  • Majority of corporate advertising is Image.
  • Enhance overall image amongst constituents
    consumers, employees, and general public.
  • Advocacy
  • Establish corporations position on important
    social, political, ore environmental issues.
  • Cause-Related
  • Features the firms affiliation with an important
    social cause.

9
ETHICS
  • SUPERSIZE ME and Ethics.
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