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Introduction to Public Relations and Publicity Management

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... Tom Cruise and Scientology Negative publicity consequences Incident One Oprah and her couch Box Office Impact War of the Worlds - $234 million ... – PowerPoint PPT presentation

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Title: Introduction to Public Relations and Publicity Management


1
Introduction to Public Relations and Publicity
Management
  • How does this relate to the other elements of
    promotion?

2
Public Relations
  • Often misused and misunderstood
  • It is a Management function that focuses on the
    relationships and communications that individuals
    and organizations have with other groups for the
    purposes of creating mutual goodwill.

3
Public Relations
  • Use various forms of communication to relay
    information to the audience. A wide variety of
    media are used to sway public opinion
  • Involves identifying important publics and
    developing and maintaining relationships

4
Consequences of Poorly Managed PR Functions
  • Loss of customers and revenues
  • Time lost dealing with complaints or lawsuits
  • Loss of esteem
  • Weakens brand equity
  • Impacts ability to secure financing

5
Impact of Negative Publicity
  • Todays Example Tom Cruise and Scientology
  • Negative publicity consequences
  • Incident One Oprah and her couch
  • Box Office Impact
  • War of the Worlds - 234 million (budget 132m)
  • Mission Impossible Three - 133 million (budget
    150m)
  • Lions for Lambs 14.9m (budget 35m)
  • Before Couch Incident
  • Mission Impossible II 215m

6
Companies Dealing Negative Press
  • Steven Jobs and his questionable health at this
    time
  • Apple stock prices have fluctuated resulting from
    conflicting reports regarding his health
  • Apple beat Wall Street estimates for profits in
    2008
  • GM continues to cut production and workers Sales
    forecasted to drop 20 over 2008

7
Advertising vs. PR
  • Advertising uses the mass media and is paid for
    by the sponsor
  • Customers view with skepticism rarely the best
    tool for building credibility
  • Carefully placed to gain TA attention

8
Differences between Advertising and PR
  • PR Communications generally are not openly
    sponsored or financed
  • Info received in the form of news articles,
    interviews, feature stories after being edited
    and reviewed by the media
  • More credible to publics
  • Less precise in reach
  • Often followed with corporate ad campaigns to
    increase effectiveness

9
Differences in Viewpoint
  • Advertising professionals have a business
    background and view marketing as the umbrella
    process in which product development, how to
    distribute and sell them
  • PR professionals have a background in journalism
    and feel that pr should be the umbrella process
  • PR is a management discipline that
    encompasses a wide range of activities from
    marketing to advertising. Inside PR

10
Strengths of PR
  • Targets and maintains relationships with
    important stakeholders
  • can reach difficult to reach audiences such as
    opinion leaders and upscale consumers
  • pr professionals can advise clients and companies
    regarding the implications of trends and
    corporate activities on consumer opinions
  • can break through clutter more effectively than
    ads

11
Strengths of PR
  • pr specialists can present the company as good
    citizens
  • can handle crises, minimizing negative effects on
    the organizations reputation
  • offers the business more flexibility than
    advertising and sales promotion
  • laws less strict for press releases
  • adds credibility and believability - why would
    Dan Rather lie? (ha ha!)
  • cost effective

12
Weaknesses of PR
  • lack of control over the story slant and coverage
  • subject to others approval for news story to run
  • Bottom-line impact difficult to measure
  • PR objectives are difficult to quantify

13
Who are the Publics?
  • all of the audiences that the marketing
    communicator targets to receive messages about
    the company or who are perceived as influencing
    opinions about the firm

14
Segments to Target
  • Internal Stakeholders
  • employees
  • shareholders
  • suppliers, distributors, brokers, wholesalers,
    retailers, dealers
  • consumers (regular or loyal)

15
External Publics
  • The media
  • local community neighbors
  • local, regional and federal governmental bodies
    and regulators
  • financial community
  • special interest groups
  • prospective customers, employees, shareholders

16
Importance of Stakeholders
  • Employee satisfaction and confidence
  • WOM (Word of Mouth)
  • Governmental motivation to monitor
  • financial market confidence
  • community involvement and perceptions
  • consumer confidence

17
The Public Relations Job
  • Media relations
  • corporate public relations
  • crisis management
  • employee relations
  • financial relations
  • public affairs
  • community relations
  • marketing public relations
  • Reputation Management

18
Media Relations
  • Function primarily responsible for publicity
    generation and management
  • Develop personal relations with media contacts
  • provide information regarding
  • story ideas
  • press releases
  • supplemental info

19
Corporate PR
  • High-level counseling with senior management
    about the companys overall reputation, its image
    in the eyes of the various stakeholders, and its
    response to issues that may impact the success of
    the firm

20
Corporate PR
  • Issue Management
  • practice of planning a companys response to
    important issues
  • Corporate advertising
  • ads used to create positive attitudes and
    goodwill toward the firm
  • Advocacy Advertising
  • expresses a viewpoint of the firm on an important
    issue

21
Reputation Management
  • Long-term process using a number of strategies to
    manage the image or reputation of your client or
    firm
  • Tools employed include publicity, press releases,
    press agentry, crisis management, and community
    involvement
  • Press agentry
  • Planning and staging of events
  • Bring attention to new products or services or
    portray the organization favorably

22
Crisis Management
  • Strategies to address crises or disasters
  • oil spills, plane crashes, management
    improprieties
  • Unless react quickly and effectively can destroy
    brand value
  • Often referred to as reactive PR
  • addresses negative publicity

23
Employee Relations
  • Motivation programs
  • newsletters
  • flyers
  • video programming
  • bulletin boards
  • Keys to success
  • security
  • consideration
  • recognition
  • opportunity
  • respect
  • participation

24
Financial Relations
  • Comply with governmental regulations
  • manage communications with stockbrokers,
    investors
  • distribute and deal with financial reporting of
    acquisitions, actions that effect stock prices

25
Public Affairs and Community Relations
  • Public Affairs - focus on communication with
    government agencies
  • Community Relations
  • management of relations with stakeholders in the
    local community event marketing

26
Marketing Public Relations
  • Seeks positive publicity for products
  • very important for new products
  • MPR specialists work closely with marketing staff
    members on the design of the new product,
    strategic positioning in the marketplace
  • handle special events for major announcements
  • coordination of imc
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