Chapter 13: PUBLIC RELATIONS andCORPORATEADVERTISING13.1

Public Relations PUBLIC RELATIONS Marketing & Management Function Focusing on Communications Marketing & Management Function Focusing on Communications that Foster Goodwill Between a Firm and its Many Constituents Constituents Include Customers, Stockholders, Suppliers, Employees, Government Entities, Educators, Citizen Action Groups, Local Communities where Firm has Operations and General Public Constituents Include Customers, Stockholders, Suppliers, Employees, Government Entities, Educators, Citizen Action Groups, Local Communities where Firm has Operations and General Public Publicity – Component of PR Process represented by News Media Coverage of Events Related to a Firm’s Products, Employees Publicity – Component of PR Process represented by News Media Coverage of Events Related to a Firm’s Products, Employees or Activities 13.2

Microsoft Used Advertising to Facilitate its Public Relations Efforts 13.3

Public Relations (con’t) OBJECTIVES FOR PUBLIC RELATIONS Promote Good Will Promote Good Will Promote a Product or Service Promote a Product or Service Prepare Internal Communications Prepare Internal Communications Counteract Negative Publicity Counteract Negative Publicity Lobby Lobby Give Advice and Counsel Give Advice and Counsel 13..4

Public Relations (con’t) TOOLS OF PUBLIC RELATIONS Press Releases Press Releases Feature Stories Feature Stories Company Newsletters Company Newsletters Interviews and Press Conferences Interviews and Press Conferences Sponsored Events Sponsored Events Publicity Publicity13.5

A Newsletter as a PR Tool Can Reach a Wide Range of Constituents 13.6

Public Relations (con’t) PUBLIC RELATIONS AND NEW MEDIA Internet Internet Pro-Active Public Relations Pro-Active Public Relations “Buzz” Through Word-of-Mouth “Buzz” Through Word-of-Mouth One Drawback – Trying to stay Ahead of Information Dissemination One Drawback – Trying to stay Ahead of Information Dissemination13.7

Intel Had a Difficult Time Staying Ahead of the Internet “Buzz” About Flaws in the Pentium Processor

Public Relations (con’t) BASIC PUBLIC RELATIONS STRATEGY Proactive Strategy Proactive Strategy Public Relations Audit Public Relations Audit Public Relations Plan Public Relations Plan Current Situation Analysis Current Situation Analysis Program Objectives Program Objectives Program Rationale Program Rationale Communications Vehicles Communications Vehicles Message Content Message Content Reactive Public Relations Strategy Reactive Public Relations Strategy Public Relations Audit Public Relations Audit Identification of Vulnerabilities Identification of Vulnerabilities13.9

Corporate Advertising SCOPE AND OBJECTIVES OF CORPORATE ADVERTISING Build Image of Firm Among Customers Build Image of Firm Among Customers Boost Employee Morale or Attract New Customers Boost Employee Morale or Attract New Customers Communicate Organization’s Views on Certain Issues Communicate Organization’s Views on Certain Issues Better Position Firm’s Products Against Competitors Better Position Firm’s Products Against Competitors Play a Role in Overall Integrated Marketing Play a Role in Overall Integrated Marketing13.10

Corporate Advertising (Con’t) TYPES OF CORPORATE ADVERTISING Corporate Image Advertising Corporate Image Advertising Advocacy Advertising Advocacy Advertising Cause-Related Advertising Cause-Related Advertising 13.11

Corporate Image Advertising Does Not Highlight Specific Brand Features

Corporate Cause Advertising Associates the Firm with a Social Cause 13.13