PR In Europe

March 2005Sandra Macleod, CEOEcho ResearchSandraM@echoResearch.com

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ABB

Allied Domecq

BAE SYSTEMS

BBC

BOC

British Airways

BT

Commerzbank

Daimler Chrysler

Disney

Dow Jones

PricewaterhouseCoopers

Rolls-Royce

SABMiller

Sainsbury’s

Schroders

Shell

Siemens

Swiss Re

Zurich Financial Services

UNAIDS

UNFAO

WWF

EADS

Eli Lilly

Emirates

Financial Times

Hewlett Packard

IBM

Investcorp

J P MorganChase

Ministry of Defence

Novo Nordisk

Norvatis

Pfizer

Echo ResearchReputation & Communication Analysts

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Outline

1. Europe - who / where / what 2. External: Media / Internet 3. On a Personal Note 4. Internal: Challenges for MNCs 5. To End

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1. Europe: Who, Where, What?

europe

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Consistent Countries of the Euro Zone

Population in millions

Date of joining European Union

101986

10,51981

Greece57,51957

Italy

8,11995

Austria

821957

Germany

5,11995

Finland

8,91995

Sweden

58,91973

United Kingdom

3,71973

Ireland

58,51957

France

39,31986

Spain101986

Portugal

15,61957

Netherlands

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Europe NOW

25 Different Countries25 Different Histories, Culture, Languages25 Different Media LandscapesLOCAL is key … what does that mean?

As Heinz applies different recipes to its same name soups, so the PR recipe needs to be altered to suit ...

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2. External : Media / Internet Source: Hitting the Headlines in Europe - Burton and Drake, 2004

The Romans gave us the earliest newspaper, the Acta Diurna, published by the senate

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Tower of Babel

• ‘Europe’ growing day by day• More countries, more languages, more institutions,

more lobbyists• Media diversity: nothing links the sensationalism of

Albanian media with a British broadsheet

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Europe

Population(2005 Est.)

m

% Pop.ofWorld

Internet Usersm

Penetration(% Population)

EuropeanUnion

460,000 7.1% 206,000 44.8%

Rest of Europe 272,000 4.3% 25,000 9.1%

TOTALEUROPE

731,000 11.4% 231,000 31.6%

Rest of World 5,681,000 88.6% 587,000 10.3%

TOTAL WORLD 6,412,000 100.0% 817,000 12.7%

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Internet Usage - Europe member statesPopulation 2005 (est) millions

Internet Users millions

108.6

11.21.7

Greece

58.628.6

Italy

8.23.7

Austria82.746.5

Germany

5.43.4

Denmark

96.7

Sweden

6035.3

United Kingdom

41.3

Ireland

60.325

France

43.414.1

Spain

10.53.6

Portugal

16.310.8

Netherlands

10.44

Belgium

0.950.25

Cyprus

5.22.7

Finland

10.22.7

Czech R

1.30.62

Estonia

10.12.4

Hungary

2.31

Latvia

3.40.7

Lithuania

0.460.17

Lux’bourg

0.40.12 Malta

38.19

Poland

20.75

Slovenia

5.41.4

Slovakia

460207

EuropeanUnion

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European - US media gap

“It's always an education to be on European television and radio. The questions you get asked are dramatically different – because European perspectives have dramatically diverged from American perspectives since the Cold War ended and the War on Terrorism began. For example, not long after 9/11, a BBC talk show host conducted a very tough interview with me, asking if there really was evidence to support the American allegation that Osama bin Laden was behind the terrorist attacks on the World Trade Center and, if so, would that evidence stand up in a court of law?

“I replied that there was no serious doubt that bin Laden was responsible, and that I hoped my president would respond to the attack in the same fashion that FDR responded to Pearl Harbor – that is, not with lawyers and subpoenas but with decisive military force.

“The BBC man appeared not to comprehend.”

- Clifford May, US Foundation for the Defense of Democracies

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Europe-wide print media

Key pan-European titles include

• English- language FT (business)

• IHT (platform for the politicians)

• Economist (most authoritative for Europe’s opinion-formers)

• Le Monde (the paper of reference for diplomatic world)

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Europe’s news agencies

• Reuters (started 1851 as carrier pigeon service) - financial and general news. First port of call for European PR.

• AFP - softer news stories than Anglo-Saxon media.

• AP - sends out news in Eng, Ger, Fr, Dutch, Span: Paris office likely first stop for PR execs.

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Euro TV news

Every national channel now international! - thru digital satellite technology

• BBC World - “Hard Talk” opinion-forming slot

• CNN - HQ in London: watched by world leaders / opinion-formers

• Deutsche Welle (Berlin), Euronews (Lyon), CNBC Europe (24-hr business and financial)

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Heart of Europe

Brussels key city for European media (1000+ journos). Mid-morning good time to catch them (after they’ve heard own national morning stories), and at the 12 midday daily press briefing at European Commission (plus EU Commissioners on Weds). Read European Voice for EU and NATO briefing times and avoid them.

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3. On a Personal Note

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Media in … Austria Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Heavy ownership concentration

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Media in … Belgium Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• International media hub for EU

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Media in … Denmark Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• One of the first countries to put press freedom into constitution

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Media in … Finland Source: Hitting the Headlines in Europe - Burton and Drake, 2004

•Top of EU league for print readership

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Media in … France Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Best-selling daily is a sports paper.• News agency AFP global giant

alongside Reuters and AP.

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Media in … Germany Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Strong business press - Church (Protestant and Catholic) have media influence.

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Media in … Greece Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Home of democracy with rich media landscape (1,800 papers).

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Media in … Ireland Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Strong on radio talk shows - heated argument is part of life.

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Media in … Italy Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Media inextricably linked with politics.• PM Belusconi owns most media

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Media in … Netherlands Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Serious-minded media: no Sun-style tabloids

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Media in … Norway Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Worlds greatest newspaper readers

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Media in … Poland Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Only 30% read a daily.

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Media in … Portugal Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Low literacy levels hit media profitability.

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Media in … Russia Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Russians can afford only 1 paper a week

• Oppression of journalists by state machine.

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Media in … Spain Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Linguistic media diversity (Castillian, Spanish, Catalan, Basque, Galician) romantic gossip weekly magazine popular.

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Media in … Sweden Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• High (80%) daily readership.

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Media in … United Kingdom Source: Hitting the Headlines in Europe - Burton and Drake, 2004

• Has world leaders like Economist, FT, BBC, Reuters

• European capital of spin, gossip-fuelled tabloids, manipulative owners.

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4. Internally Speaking

Echo ’s AFCI Study of MNC communications in UK, France, US - 2004:

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4. Internally Speaking

• Internal Comms have seen role expand and expect further responsibility over next 5 years

• Evolution and internal status vary from one country to another, one company to anotherCEOs and Top Managers vital to remit (and not always onside)

• Practitioners in need of wider recognition

Echo ’s AFCI Study of MNC communications in UK, France, US - 2004:

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• More strategic role

• Providing a service to internal departments and management

• More structured and defined role vs CEOs and top management

• Facing international & complex challenges

• Lack of human & financial resources

• Promising future which varies from one country to another

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Main Constraints

• Cultural & Geographical differences

• Language

• People included in the network

• HQ priorities are different from national ones

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"We have reported to the Board since June 2004. Before that, we came under the General Secretariat. The new structure is more logical, because it reflects the role which the company envisages for communications. It will help to clarify the relationship between HR communications (more technical) and internal communications (more strategic). And it means we will be able to settle any arguments much quicker than before".

Laurence Theulot, BNP Paribas Assurance, France

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"I am responsible for both Group communications strategy as well as managing communications in my own branch. It is not always easy to combine both. Group communications do not take account of the nature of our work and sometimes have a hard time understanding why we focus more on local issues linked to our branch activity."

Catherine Eelsen, Renault DPA, France

"For global programmes, most decisions happen in the US. When EMEA internal communications is informed ahead of a programme launch, we make suggestions for changes to suit the message for EMEA employees."

Gail Bull & Virginie Vallon, MCI, UK & France

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"I think one of the major issues will be the changing relationship between employees and employers. Today some younger employees feel betrayed by their companies because of our changing society.

Businesses are no longer the communities they once were. This new generation no longer has the same loyalty towards employers that previous generations may have felt."

Thierry Garnier, Afci, France

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"Our international role will become increasingly important".

Laurence Theulot, BNP Paribas Assurance, France

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To End

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Common Challenges : 5L’s

Link: mix of skills, responsibilities, needs, prioritiesLimited: time, human resources, budgetLack: common standards in evaluation / reportingLittle: experience / exposure / understanding of communications research methodsLOGISTICS

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Common Requests (1)

To ensure HQ 'controlled communicationsTo overlay with local issues for wider/deeper impactTo demonstrate accountability/effectTo know where additional support/change requiredTo determine what works, what doesn't and whyTo understand local /national/cultural differences

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Common Requests (2)

To establish 'best practice'To improve efficiency/effectivenessTo provide maximum intelligence with minimum effort to senior managementTo speak management's languageTo translate it all into one common language

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PR Essentials

• Common ground and concerns

BUT

• Consider exponential impact of Time, Distance, Culture and Language

• Develop local angle

• Cultivate key relationships

• Foster contacts (and build databases)

• Translate / adapt

• Target target target

Sources:

Hitting the Headlines in Europe, Catherine Burton, Alun Drake, Institute of Public Relations, 2004Le Guide des relations avec la presse internationale, France 2004 The Media in Western Europe, Euromedia Research Group, 1997Echo Research (AFCI study): echoresearch.comhttp://europa.eu.int

©: EchoOffices in: London, Brussels, Paris, Stockholm, New York

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Be Prepared to Listen

To find the route up the mountain… research is pivotal

“It’s better to go 1 mile in the right direction than 5 milesin the wrong one”

Merci. Danke. Gracías. Grazie. Tak. Blagodarya

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