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Copyright © 2012 Pearson Canada Inc.
CHAPTER 14
Public Relations and Event Marketing and Sponsorships
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Copyright © 2012 Pearson Canada Inc.
Learning Objectives
Identify the role of public relations, experiential marketing, and event marketing and sponsorships in achieving organizational objectives.
Describe the various types of public relations activities
Identify the steps involved in the public relations planning process
Continued…
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Copyright © 2012 Pearson Canada Inc.
Learning Objectives (cont.)
Assess the usefulness of a variety of public relations tools
Evaluate public relations and event marketing and sponsorships as a communications medium
Identify the unique considerations involved in the planning and evaluation of event marketing programs
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Copyright © 2012 Pearson Canada Inc.
Public Relations
“The strategic management of relationships between
an organization and its diverse publics through the use
of communication to achieve mutual understanding
realize organizational goals and serve the public
interest.” Course textbook, page 406
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The Publics
PR is sensitive to two different publics:
Employees, distributors, suppliers, shareholders, and regular customers
Media, governments, prospective shareholders, financial community, and community groups
InternalPublicsInternalPublics
ExternalPublicsExternalPublics
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Public Relationsvis à vis Advertising
Public relations is distinguished from advertising in two ways:
Advertising is focused on selling products
Public relations is more focused on corporate image and organizational relationships.
Advertising is controlled and paid for by the subject organization
Public relations is determined by the media.
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PublicityPublicity is one aspect of public relations
the communication of newsworthy information designed to interest the public in a product, service or idea.
Publicity can often be generated around: Launching new products Opening a new store Technological breakthrough Achievement of some milestone
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The Role of Public Relations
Corporate Public Relations Corporate Image building
Advocacy
Crisis Management
Reputation Management
Continued…
The role of public relations is varied but generally falls into six key areas:
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The Role of Public Relations (cont.)
Community Relations & Public Affairs Lobbying Fund Raising
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Public Relations Planning
A PR plan is dictated by the situation. It can:
Be proactive and carefully set out in advance and be implemented with precision or
Be reactive and only undertaken because of some unforeseen circumstance occurring
The success or failure of a PR plan can impact on the bottom line
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Copyright © 2012 Pearson Canada Inc.
Public Relations Planning
PR planning usually involves five steps:
EvaluateEffectiveness
EvaluateEffectiveness
SituationAnalysisSituationAnalysis
EstablishObjectives
EstablishObjectives
Develop thePR StrategyDevelop thePR Strategy
Execute PlanExecute Plan
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Handling Crisis Situations
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The Tools of Public RelationsDiverse tools exist to execute public relations
programs. Some are used routinely, others periodically.
Media Release Media Conference Websites Social Media Annual Reports (and other publications) Blogs
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Advantages & Disadvantages of Public Relations
Advantages
Credible source of information
Helps to build relationships
Can influence long term sales positively
Disadvantages
Lack of control
Impact not always proportional to cost, effort
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Copyright © 2012 Pearson Canada Inc.
Experiential Marketing Creates an emotional connection with a
consumer in personal and memorable ways:
A free sample distributed at an event Event where the brand is the centrepiece of the event
Grey Cup train across Canada last year to promote CFL
A good fit for social media, where consumers willingly allow brands into their worlds
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Event Marketing
Integrating a variety of communication elements to support an event theme.
Financial support of an event in return for advertising privileges.
EventMarketing
EventSponsorship
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Primary Types of Sponsorship
Culture& the Arts
Culture& the Arts
Cultural sponsorships are aimed at a “class” target audience.
SportsSports The largest sponsorship segment (70%), sports reaches a “mass” target audience.
EntertainmentEntertainmentMusic plays a major role in entertainment sponsorships.
Cause-RelatedCause-RelatedPartnership between a company and a non-profit entity for mutual benefit
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Copyright © 2012 Pearson Canada Inc.
Sports Sponsorship
Tend to be dominated by certain industries and manufacturers
Organizations choose between spending locally (inexpensive) or nationally/ internationally (more expensive).
Involvement in sports sponsorship need not be extravagant or conspicuous
Commitment depends on the organization’s marketing objectives.
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Sport Marketing StrategiesSports marketing is extremely competitive so companies look for advantage by any means. Some recent strategies include:
Venue Marketing and Sponsorship
Athlete Sponsorship
“Ambush Marketing”
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Entertainment Sponsorship
Sponsoring concerts and securing famous endorsements, corporations establish a celebrity-company association. Coca-Cola uses entertainment sponsorships to
develop pop-music and youth-lifestyle marketing strategies.
Festivals (film, comedy, music) offer opportunities to reach a cross-section of adult target audiences. Montréal International Jazz Festival attracts GM, TD
Canada Trust, Loto Quebec, and Bell.
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Cultural and Arts Sponsorships
Art and cultural event opportunities embrace dance, film, literature, music, painting, sculpture, and theatre. Effective for companies who prefer to reach a more
selective and upscale audience (e.g., Mercedes). Primary benefit that companies gain from sponsoring
the arts is goodwill from the public.
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Cause Marketing Sponsorship
Partnership between company and a non-profit entity for mutual benefit The relationship between the parties has
significant meaning to consumers CIBC Run fro the Cure (partners are Canadian
Breast Cancer Foundation and CIBC both trying to raise funds to help find a cure for breast cancer
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Copyright © 2012 Pearson Canada Inc.
Strategic Considerations for Event Marketing
“Fit” between the event and the sponsor is essential. It is important to:
Establish selection criteria
Select successful events reaching relevant target
Require category exclusivity
Use sponsorships to complement other promotional activity
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Measuring Event Marketing and Sponsorship Benefits
The following indicators are used to measure the benefits of sponsorship: Awareness Image New Clients Sales Specific Target Reach Media Coverage
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Advantages of Event Marketing & Sponsorship
Target marketing capability
Face-to-face access to customers
Public image enhancement
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Disadvantages of Event Marketing & Sponsorship
Cost of big events
Advertising clutter at events
Ambush marketing (potentially)
Effectiveness hard to measure
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