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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 Measuremen