Measure what Matters - PRSA

8/7/2019 Measure what Matters - PRSA

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Measure What MattersMeasure What MattersA RealA Real--World Approach toWorld Approach to

Public Relations EvaluationPublic Relations Evaluation

Alice H. Brink, ABC, APRAlice H. Brink, ABC, APR

Vollmer Public RelationsVollmer Public Relations


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Before We BeginBefore We Begin

A little preA little pre--testtest


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What We Will CoverWhat We Will Cover PR Measurement in the real world: ideal and realityPR Measurement in the real world: ideal and reality

The ROI question: how do we demonstrate value?The ROI question: how do we demonstrate value?

What are we trying to accomplish and how will weWhat are we trying to accomplish and how will weknow when we get there?know when we get there?

Practical measurement toolsPractical measurement tools

New twists on ad valueNew twists on ad value pro or con?pro or con?

Examples and case historiesExamples and case histories


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Measurement in theMeasurement in the

Real WorldReal World The ideal: Measure in financial terms theThe ideal: Measure in financial terms the

impact of public relations efforts on aimpact of public relations efforts on a

companys reputation, bottomcompanys reputation, bottom--line and abilityline and abilityto conduct businessto conduct business

The reality: Clip counting and ad valueThe reality: Clip counting and ad valueequivalencyequivalency

The challenge: Move from current realityThe challenge: Move from current realitytoward idealtoward ideal


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Measurement is a RealityMeasurement is a Reality In a recent survey, PR pros gave reasons toIn a recent survey, PR pros gave reasons to

measure:measure:

Improve communications planningImprove communications planning 89%89% Establish use of key messagesEstablish use of key messages 86%86%

Prove value of PRProve value of PR 81%81%

Benchmark vs. competitionBenchmark vs. competition 57%57%

Source: Reality Check 2001Source: Reality Check 2001


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Strategic MeasurementStrategic Measurement

Is RareIs Rare Measurements include:Measurements include:

Clips/circulation/impressionsClips/circulation/impressions

Ad value equivalencyAd value equivalencyPublicity valuePublicity value

Content analysis/evaluation of coverageContent analysis/evaluation of coverage

Surveys of audienceSurveys of audience

Hard data (esp. for IR, events)Hard data (esp. for IR, events) Proprietary measurement processesProprietary measurement processes


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Other FindingsOther Findings

86% of PR pros surveyed are held86% of PR pros surveyed are heldaccountable for demonstrating resultsaccountable for demonstrating results

70% have less than 10% of budget allocated70% have less than 10% of budget allocatedfor M&Efor M&E

26% say budgets have increased in the last 326% say budgets have increased in the last 3yearsyears

Source: Reality Check 2001Source: Reality Check 2001


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That Pesky ROI ThingThat Pesky ROI Thing

How do we show return on the dollarsHow do we show return on the dollars

spent on public relations?spent on public relations?


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The Crux: Defining returnThe Crux: Defining return Define the value we are trying toDefine the value we are trying to

demonstratedemonstrate

Did we move the needle?Did we move the needle? Direct/outcome measuresDirect/outcome measures

Did we accomplish the task?Did we accomplish the task?

Indirect/output measuresIndirect/output measures

Did we gain new knowledge?Did we gain new knowledge? Feedback/planning measuresFeedback/planning measures


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AThought about Value:AThought about Value:

To have meaning, communicationTo have meaning, communication

measurement must assume the value ofmeasurement must assume the value ofcommunication and focus on effectivenesscommunication and focus on effectivenesswith respecttothe organizationswithrespecttothe organizations

strategic direction.strategic direction. Thomas J. Lee inThomas J. Lee in Journal of Employee CommunicationJournal of Employee Communication

Management,Management, 19981998


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ROI: The Simple AnswerROI: The Simple Answer

We demonstrate ROI by linking ourWe demonstrate ROI by linking our

measurements to the strategic objectives of themeasurements to the strategic objectives of thebusinessbusiness

Next question:Next question:

How?How?


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So WhatSo What AreAre We TryingWe Trying

To AccomplishTo AccomplishAND HOW WILL WE KNOWAND HOW WILL WE KNOW

IF WE GET THERE?IF WE GET THERE?


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What Do You Want toWhat Do You Want to

Accomplish?Accomplish? Set objectives up frontSet objectives up front

Identify the audienceIdentify the audience

Ask the question:Ask the question:

What do you want the audience to do as aWhat do you want the audience to do as aresult of your communications?result of your communications?

Gain consensus on objectives!Gain consensus on objectives!Agree on measurement processAgree on measurement process


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Clear objectives are:Clear objectives are: AudienceAudience--focusedfocused

SpecificSpecific

MeasurableMeasurable AchievableAchievable

ConcreteConcrete

Interim/indirect objectives should be identified asInterim/indirect objectives should be identified assuchsuch


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Six Basic Public RelationsSix Basic Public Relations

ObjectivesObjectives Reputation/awarenessReputation/awareness

Sales/attendance/web trafficSales/attendance/web traffic

Sales support (recall awareness)Sales support (recall awareness)

Recruiting/retentionRecruiting/retention

Investment perceptionInvestment perception

Persuasion/issues managementPersuasion/issues management


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ExamplesExamples

Hospital: Build awareness of five main service linesHospital: Build awareness of five main service linesand physicians among our target market.and physicians among our target market.

Chemical company: Position company as a leaderChemical company: Position company as a leaderin its market. Target audiences should identifyin its market. Target audiences should identifycompany as a provider of valuecompany as a provider of value--added services toadded services totheir endtheir end--use markets.use markets.

Plastics producer: Use public relations to supportPlastics producer: Use public relations to support

increased sales and market share.increased sales and market share.


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Two Ways to MeasureTwo Ways to Measure

Direct measurement:Direct measurement:

OutcomeOutcome--based: measure the resultsbased: measure the results

Indirect measurement:Indirect measurement:

OutputOutput--based: measure the mediabased: measure the media


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Direct MeasurementDirect Measurement

MethodsMethods

Perception management studiesPerception management studies thethe

ultimateultimate stakeholder (audience) researchstakeholder (audience) research

evaluates change in stakeholder viewpointsevaluates change in stakeholder viewpoints

Ideally beforeIdeally before--andand--after studiesafter studies

Can be done on small or large scaleCan be done on small or large scale


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Getting the data

Getting the data

Use data that exists elsewhereUse data that exists elsewhere

Sales dataSales data

Web traffic/event attendanceWeb traffic/event attendance Incoming callsIncoming calls

Stock activity/PE multipleStock activity/PE multiple

Votes/legislation/public opinion pollsVotes/legislation/public opinion polls


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Getting the DataGetting the Data

Develop your own dataDevelop your own data Survey audienceSurvey audience

Conduct focus groupsConduct focus groups Track sales leadsTrack sales leads

Gather sales force feedbackGather sales force feedback

Ask, How did you hear about us?Ask, How did you hear about us?

Start with benchmark dataStart with benchmark data


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Practical Ways to MeasurePractical Ways to Measure

Use a control test (by project or media)Use a control test (by project or media)

Screen incoming callsScreen incoming calls

Separate tollSeparate toll--free number or web URLfree number or web URL Phone scriptPhone script

Survey sales forceSurvey sales force

Track spikes in calls, sales, web visits vs.Track spikes in calls, sales, web visits vs.media coveragemedia coverage


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Indirect Measurement:Indirect Measurement:

Yes, It Has ValidityYes, It Has ValidityAsAs interim benchmarksinterim benchmarks to supportto support

outcomeoutcome--based measuresbased measures

Answers: Did we accomplish the task?Answers: Did we accomplish the task?

Did we get the word out?Did we get the word out?

Did we work effectively with media?Did we work effectively with media?

Did we produce materials on time?

Did we produce materials on time?

Did we work within budget?Did we work within budget?


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Indirect Measurement ToolsIndirect Measurement Tools

Basic performance evaluation:Basic performance evaluation: Budget met?Budget met?

High quality concepts/materials?High quality concepts/materials? Timeliness?Timeliness?

No opportunities missed?No opportunities missed?

Effective media relationships?Effective media relationships?

Effective client/management relationships?Effective client/management relationships?

These measures should correlate withThese measures should correlate withoutcome. If not, why not?outcome. If not, why not?


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Media measures do countMedia measures do count

Research shows that editorial coverageResearch shows that editorial coveragegenerally correlates with public opiniongenerally correlates with public opinion

News does impact perceptionsNews does impact perceptions 2001 shark attack scare2001 shark attack scare


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Media Measures: QuantityMedia Measures: Quantity

Column inchesColumn inches

Audience impressionsAudience impressions

Standardized numbers essentialStandardized numbers essential Focus on target demographicsFocus on target demographics

Quantitative measure with little qualitativeQuantitative measure with little qualitativeinformationinformation


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Media Measures: QualityMedia Measures: Quality Media analysisMedia analysis

Positive or negative tonePositive or negative tone

Placement/dominancePlacement/dominance Tiered mediaTiered media

Use of key messagesUse of key messages

Message trend analysis: client vs. competitorsMessage trend analysis: client vs. competitors

Informal/formal feedback from journalistsInformal/formal feedback from journalists


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EXAMPLE: HospitalEXAMPLE: Hospital

Objective: Build awareness of five main serviceObjective: Build awareness of five main servicelines and physicians among our target market.lines and physicians among our target market.

Measure by:Measure by:

Monitor coverage and share of discussionMonitor coverage and share of discussion

Measure appearance of key messagesMeasure appearance of key messages

Have physicians track feedback for 30 days afterHave physicians track feedback for 30 days afterinterviews appearinterviews appear


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EXAMPLE: Plastics ProducerEXAMPLE: Plastics Producer

Objective: Use public relations to supportObjective: Use public relations to supportincreased sales and market shareincreased sales and market share

Measure by:Measure by: Increased media mentions of tollIncreased media mentions of toll--free number orfree number or

websitewebsite

Increase in incoming calls and site visitsIncrease in incoming calls and site visits

Sales force feedbackSales force feedback

Sales dataSales data


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Example: Chemical Co.Example: Chemical Co.

Objective: Position company as a leader in itsObjective: Position company as a leader in itsmarket. Target audiences should identify companymarket. Target audiences should identify companyas a provider of valueas a provider of value--added services to their endadded services to their end--

use markets.use markets.

Measure by:Measure by:

Leadership positioning will be reinforced by increasingLeadership positioning will be reinforced by increasingappearance of key messages, including serviceappearance of key messages, including service

description, customer or case history description, ordescription, customer or case history description, orpositive qualitative evaluation of company or technology.positive qualitative evaluation of company or technology.

Customer surveyCustomer survey


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SampleSample

Tracking Report GraphTracking Report GraphQ ua lita t iv e M e d ia Ana ly s is

1 2

29

9

22

8

5

1 0

1

4

2 6

4 2

1

7

34

2 5

7

21

1

4

0

0 1 0 2 0 3 0 4 0 5 0

Postive coverage

Neutral coverage

Negative coverage

Cus tom er m ention

Product/service description

Corporate s trategy

ALAC photo

ALAC q uote o r interview

800 # m ention

Websi te m ention Q1 2001

Q2 2001


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EXAMPLE: Frozen Food BrandEXAMPLE: Frozen Food Brand

Objectives: Build sales in key markets; buildObjectives: Build sales in key markets; buildleadership positioningleadership positioning

Measure by: Sales increase; media visibilityMeasure by: Sales increase; media visibility

Results to date: Sales increases of more thanResults to date: Sales increases of more than95% in key markets; 6 million impressions95% in key markets; 6 million impressions


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About Ad ValueAbout Ad Value

EquivalencyEquivalency Problems:Problems:

Not a value but a costNot a value but a cost

Doesnt account for message content or strengthDoesnt account for message content or strength

Some media have no ad rates (or impressions figures)Some media have no ad rates (or impressions figures)

Multipliers for PR value are inconsistentMultipliers for PR value are inconsistent

If you measure PR in terms of ads, how do youIf you measure PR in terms of ads, how do youmeasure ads?measure ads?


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Where Ad Values MayAdd Value:Where Ad Values MayAdd Value:

Measuring Share of DiscussionMeasuring Share of Discussion

Share ofDiscussion tracks visibility within topicShare ofDiscussion tracks visibility within topic compares vs. competitorscompares vs. competitors

New research shows SoD correlates with sales data inNew research shows SoD correlates with sales data inhistoric comparisonshistoric comparisons

In research, SoD correlations were made based onIn research, SoD correlations were made based onthree readily available data metrics:three readily available data metrics: Story countsStory counts ImpressionsImpressionsAd ValueAd Value

Greatest correlation was with ad valueGreatest correlation was with ad value


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EXAMPLE: Menopause TherapyEXAMPLE: Menopause Therapy

In 1Q 1996, virtually all available menopause treatmentIn 1Q 1996, virtually all available menopause treatmentinformation (95%) discussed traditional hormone replacementinformation (95%) discussed traditional hormone replacement

therapy (HRT).therapy (HRT).

By 2Q 1999 HRTs Share ofDiscussion hadBy 2Q 1999 HRTs Share ofDiscussion had droppeddropped to 58%.to 58%.

Today a woman is as likely to hear about alternatives asToday a woman is as likely to hear about alternatives astraditional HRT.traditional HRT.


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SoD Correlates with New RxSoD Correlates with New RxScripts per menopausal woman shows a clear decline beginning inScripts per menopausal woman shows a clear decline beginning in1997, just as share of discussion declines.1997, just as share of discussion declines.

TRx p r op l Wom (f m l , g 51)

V .

HRT rticl P rc t of Tot l rtic l

2.5

2.7

2.9

3.1

3.3

3.5

3.7

3.9

4.1

4.3

4.5

0%

20 %

40 %

60 %

80 %

1 0 0 %

1 2 0 %

TR x

r

l ti HRT rc t fTo t l Visi ilit


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EXAMPLE: OTC Vitamin SalesEXAMPLE: OTC Vitamin SalesProblem: OTC vitamin categoryis declining.

Observation:

Levelof discussion in category

(Visibility)is down significantly.Sales correlates withlevelofdiscussion.

Conclusion:

Levelof discussion is clearlya majorsales driverin this category.

Implication:

Develop strategies toincreasecategoryand brand discussion.

S a l V r D i c io

T o ta l lt i itam i / C a lc i m / H rb a l

$1 , 9 0 0 , 0 0 0

$1 , 9 2 0 , 0 0 0

$1 , 9 4 0 , 0 0 0

$1 , 9 6 0 , 0 0 0

$1 , 9 8 0 , 0 0 0

$2 , 0 0 0 , 0 0 0

$2 , 0 2 0 , 0 0 0

1 9 9 9 2 0 0 0 2 0 0 1

Sa

l

4 4 , 0 0 0

4 5 , 0 0 0

4 6 , 0 0 0

4 7 , 0 0 0

4 8 , 0 0 0

4 9 , 0 0 0

5 0 , 0 0 0

5 1 , 0 0 0

5 2 , 0 0 0

5 3 , 0 0 0

5 4 , 0 0 0

#

of

rticl

S a l

s D is c

s s io n


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If You Use Ad ValueIf You Use Ad Value

Use it in planning to evaluate and rankUse it in planning to evaluate and rank targettargetmediamedia

Use it to weight media quantity vs.Use it to weight media quantity vs.competitors (share of discussion)competitors (share of discussion)

DO NOTDO NOT present it as an absolute valuepresent it as an absolute value

DO NOTDO NOT multiply it by a credibility ormultiply it by a credibility or

publicity valuepublicity value


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Vollmer MeasurementVollmer Measurement

ModelModel Proprietary processProprietary process

ObjectiveObjective--setting worksheetsetting worksheet

FOCUSES ATTENTION!FOCUSES ATTENTION! Custom periodic reportCustom periodic report

Track results against objectivesTrack results against objectives

Direct measuresDirect measures

Indirect measuresIndirect measures


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What Makes the ProcessWhat Makes the Process

Work?Work?

Agreement on objectivesAgreement on objectives

Client/management: willingness to invest inClient/management: willingness to invest inmeasurementmeasurement

PR team: willingness to commit to achievingPR team: willingness to commit to achievingresultsresults

FollowFollow--throughthrough


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The realThe real--world solutionworld solution

Ultimately, measure against businessUltimately, measure against businessoutcomesoutcomes

In reality, output measurement is part ofIn reality, output measurement is part ofthe processthe process

Real issue is when PR measurement isReal issue is when PR measurement ismissingmissing


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Questions?Questions?Contact info:Contact info:

Alice H. Brink, ABC, APRAlice H. Brink, ABC, APR

Vollmer Public RelationsVollmer Public Relations

[email protected]@vollmerpr.com

713713--546546--22302230

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Measure what Matters - PRSA