University of Washington EMBA Program

Marketing Management

“Public Relations ”

Instructor: Elizabeth Stearns

Elements in the Communications Process

Source(Encodes Message)

MessageMessageChannel

Receiver(Decodes Message)

Noise

Feedback

Harcourt, Inc

Marketing Plan Review

Analysis of promotional program situation

Analysis of the communication process

Budget Determination

Develop integrated marketing communications program

Advertising Direct Marketing Sales Promotion PR/ Publicity Personal Selling

•Create Awareness

•Develop Attitudes

•Change Attitudes

•Inform

•Persuade

•Generate a Sale

•Generate a Lead

•Qualify a Lead

•Enhance a db

•Relationship

Building

•Create Excitement

•Stimulate

demand/sales(short

term)

•Support sales

force/trade/customer

•(selling and buying)

•Fostering

Goodwill between

co. and publics•Brand Awareness•Build Attitudes•Encourage

purchase behavior

•Influence purchase needs•Educate consumers•Provide Product usage/marketing assistance/•After sale service and support

Objectives of PR/Publicity

• Fostering Goodwill between co. and publics• Brand Awareness• Build Attitudes• Encourage purchase behavior

Specific Forms of Public Relations

• Proactive PR-– Is dictated by a company’s marketing

objectives; it is offensive rather than defensive and opportunity-seeking rather than problem-solving

• Reactive PR-– Describes the conduct of public relations in

response to outside influences

Harcourt, Inc.

ReactiveThe good, the OK, and the ugly

• Johnson & Johnson Tylenol• Alaska Airlines, Swiss Air• Odwalla• Union Carbide• Volvo and “The Monster Mash” (truth in advertising)• Microsoft, Hertz• TWA, Exxon

PR Activities and Functions

•Publications•Advice and Counsel•Publicity•Relations with Various Publics•Corporate Image Advertising•Public Opinion•Miscellaneous

The Dryden Press

Various Publics with Which Public Relations Interacts

CorporatePublic

Relations

Employees

Suppliers

Stockholders

Governments

General Public

Labor Groups

Citizen ActionGroups

Consumers

MultinationalCorporation

PRESSStockholders

Investment Community

Competitors

Suppliers

Special Interest Groups

Community Neighbors

International CommunityBank Insurers

Trade Associations

Dealers/Distributers

Customers

Federal, State, Local Legislators

Regulatory Authorities

Academic Community

Labor Unions

Board of Directors

Clerical Employees

Employee Families

Managers/ Supervisors

PR Audiences—Internal and External

Public Relations Tools

Controlled Media(Company Controls the use and placement)

•House Ads•Public Service Ads•Corporate or institutional and advocacy advertising•Publications: brochures, flyers, magazines, newsletters•Annual Reports•Speakers•Photographs•Films, videos, CD-ROMs•Displays, exhibits•Staged events

Uncontrolled Media(media control the use and placement)

•The news release (print, audio, video, e-mail, faxes•Features (pitch letters)•Fillers, historical pieces, profiles•The press conference and media advisory (media kits, fact sheet, background information)•Media tours•Bylined articles, op/ed pieces, letters to the editor•Talk and interview shows•Public service announcements

Controlled and Uncontrolled Media•Electronic communication (web sites, chat rooms)

“Managing the Crisis you Tried to Prevent,”Norman R. Augustine”

• Stage One: Avoiding the Crisis– “Next week there can’t be any crisis. My schedule is

already full.” Henry Kissinger

• Stage Two: Preparing to Manage the Crisis– “Today my stockbroker tried to get me to buy some ten year

bonds. I told him, ‘young man, at this point I don’t even buy green bananas.’ ” The late congressman Chet Holifield

• Stage Three: Recognizing the Crisis– “If you can keep your head when all about you are losing

theirs, it’s just possible you haven’t grasped the situation” Humorist Jean Kerr

“Managing the Crisis you Tried to Prevent”,Norman R. Augustine

• Stage Four: Containing the Crisis– “When you come to a fork in the road, take it.”

Yogi Berra

• Stage Five: Resolving the Crisis– “Even if you’re on the right track, you’ll get run

over if you just sit there.” Will Rogers

• Stage Six: Profiting from the Crisis– “Experience is the name everyone gives to their

mistakes.” Oscar Wilde

PR’s Top 6 Firms Worldwide

Firm Employees Fees (Millions)1. Burson-Marsteller 2,200 $266

2. Hill & Knowlton 1,478 189

3. Shandwick 1,742 159

4. Porter Novelli 1,331 148

5. Fleishman-Hilliard 1,115 135

6. Edelman 1,332 134

Inside PR, vol 4(15), March 2, 1998

Forms of Sponsorship Marketing

• Cause-Related Marketing (CRM)

– Is corporate philanthropy based on profit-motivated

giving (e.g. Statue of Liberty & AMEX)

• Event Marketing

– Is a form of brand promotion that ties a brand to a

meaningful athletic, entertainment, cultural, social ,

or other type of high-interest public activity.

Harcourt, Inc.

Corporate Advertising

Corporate Advertising

Response to Environmental Problems

Cause-Oriented Programs

Packaging response

Green advertising

Point-of-Purchase

Seal-of-Approval programs

Green Advertising

• Relationship between product and environment

• Promote a green lifestyle

• Corporate responsibility

Green Advertising

Mercedes-Benz

Leo Burnett Company, Inc.

Thank you!