chapter 17 public relations, publicity, and corporate advertising

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Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Chapter 17 Public Relations, Publicity, and Corporate Advertising

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Chapter 17 Public Relations, Publicity, and Corporate Advertising. Public Relations (PR). Evaluates public attitudes Identifies the policies and procedures of an organization with the public interest Executes a program of action to earn public understanding and acceptance. Role of PR. - PowerPoint PPT Presentation

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Page 1: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Chapter 17Public

Relations, Publicity, and

Corporate Advertising

Page 2: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Public Relations (PR)

Evaluates public attitudes

Identifies the policies and procedures of an organization with the public interest

Executes a program of action to earn public understanding and acceptance

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Page 3: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Role of PR

Traditional role

• Maintain mutually beneficial relationships between the organization and its publics

• Act as a management communications function

New role

• Work together with the marketing department

• Contribute to the IMC process in a way that is consistent with marketing goals

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Page 4: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Marketing Public Relations (MPR) Public relations activities designed to support

marketing objectives

Functions Building marketplace excitement Improving ROI

Creating advertising news where there is no product news

Introducing a product with little or no advertising

Providing a value-added customer service

Building brand-to-customer bonds

Influencing the influentials

Defending products at risk & giving consumers reason to buy

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Page 5: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Figure 17.2 - Advantages and Disadvantages of MPRs

Sources: Thomas L. Harris, “Marketing PR—The Second Century,” Reputation Management, www.prcentral.com , January/February 1999, pp. 1–6

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Page 6: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Determining and Evaluating Public Attitudes

Reasons Provides input into the planning process

Serves as an early warning system

Secures support internally

Increases the effectiveness of the communication

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Page 7: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Steps to Develop a PR Plan

Define public relations problems

Plan and program

Take action and communicate

Evaluate the program

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Page 8: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Figure 17.3 - Ten Questions for Evaluating Public Relations Plans

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Page 9: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Types of Target Audiences

Internal audiences

• People who are connected to a firm with whom the firm communicates on a routine basis• Employees• Stockholders • Investors• Members of the local

community• Suppliers• Current customers

External audiences

• People who are not closely connected with the organization• Media• Educators• Civic and business

organizations• Governments• Financial groups

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Page 10: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Tools for Implementing the PR Program

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Page 11: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Advantages and Disadvantages of PR

Advantages

Credibility

Cost

Avoidance of clutter

Lead generation

Ability to reach specific groups

Image building

Disadvantages

Potential for incomplete communication process

Lack of connection between receiver and sender

Lack of coordination with marketing unit

Erratic, redundant communications

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Page 12: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Measuring the Effectiveness of PR

Should consider whether the target audience: Received the messages Paid attention to the messages Understood the messages Retained the messages

Methods Media content analysis Survey research Marketing-mix modeling

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Page 13: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Publicity

Generation of news about a person, product, or service that appears in broadcast or print media

Differs from public relations by: Being a short-term strategy

Not always being positive

Not always being controlled or paid by the organization

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Page 14: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

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

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Page 15: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Pros and Cons of Publicity

Pros

Substantial credibility

News value

Significant word-of-mouth

Perception of media endorsement

Cons

Lack of control

Timing

Accuracy

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Page 16: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Corporate Advertising

Designed to promote the firm overall by: Enhancing its image

Assuming a position on a social cause

Seeking direct involvement in something

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Page 17: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Reasons for Corporate Advertising Being Controversial

Consumers are not interested

Costly form of self-indulgence

Belief that the firm must be in trouble

Perceived as a waste of money

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Page 18: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Types of Corporate Advertising

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Page 19: Chapter 17 Public Relations, Publicity, and Corporate Advertising

Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Methods for Measuring the Effectiveness of Corporate Advertising

Attitude surveys

Studies relating corporate advertising and stock prices

Focus group research

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