TW9Chapter14

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Copyright 2012 Pearson Canada Inc.

CHAPTER 14

Public Relations and EventMarketing and Sponsorships

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Public Relations

Organizations employ all means of communication,

including public relations, to build brand/company

image

Public Relations is one more communications option

to monitor, evaluate,and influence the attitudes,

opinions and behaviours of its publics.

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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, andcommunity groups

Internal

Publics

ExternalPublics

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Public Relations versus

AdvertisingPublic relations is distinguished fromadvertising in two ways:

Advertising is focused on productimage

Public relations is more focused on corporate image.

Advertising is controlled and paid for by a sponsor (the

company the media story concerns)

Public relations is determined by the media.

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Publicity

Publicity is used to market goods and services. Publicity is one aspect of public relations

It is the communication of newsy informationdesigned to familiarize the public with a product,

service or idea.

Typically, publicity attends:

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 Advertising

Advocacy Advertising

Crisis Management

Reputation Management

Product Publicity

Continued

The role of public relations is varied butgenerally falls into six key areas:

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The Role of Public Relations

(cont.) Product Placement and Branded Content

Buzz Marketing (word-of-mouth)

Media Relations

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 proactiveand carefully set out in advance and

be implemented with precision or

Be reactive and only undertaken because of someunforeseen circumstance occurring

The success or failure of a PR plan can impact onthe bottom line

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Public Relations Planning

PR planning usually involves five steps:

EvaluateEffectiveness

SituationAnalysis

EstablishObjectives

Develop thePR Strategy

Execute Plan

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Handling Crisis Situations

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The Tools of the Trade

Diverse tools exist to execute public relationsprograms. Some are used routinely, othersperiodically.

Press Release

Press Conference

Websites

Social Media Annual Reports (and other publications)

Blogs

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Advantages & Disadvantages

of Public Relations

Advantages

Credible source of information

Can influence sales positively

Helps to build relationships

Disadvantages

Lack of control

Costs associatedwith waste

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Experiential Marketing

Creates an emotional connection with aconsumer in personal and memorable ways:

A free sample distributed at an event

Event where the brand is the centrepiece of the event

A good fit for the Internet, where consumers willinglyallow brands into their worlds

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Event Marketing

Integrating a variety ofcommunication

elements to support anevent theme.

Financial support of an

event in return foradvertising privileges.

Event

Marketing

EventSponsorship

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Primary Types of

Sponsorship

Culture

& the Arts

Cultural sponsorships are aimed

at a class target audience.

SportsThe largest sponsorship segment (70%),sports reaches a mass target audience.

Entertainment Music plays a major role inentertainment sponsorships.

Cause-RelatedPartnership between a company anda non-profit entity for mutual benefit

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Sport Marketing Strategies

Sports marketing is extremely competitive socompanies look for advantage by any means.Some recent strategies include:

Ambush Marketing

Venue Marketing and Sponsorship

Value-added Sponsorships

Athlete Sponsorship

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Cultural and Arts

SponsorshipsArt and cultural event opportunities embracedance, 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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Measuring Event Marketing

and Sponsorship BenefitsThe following indicators are used tomeasure 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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