PR Agencies and PA Consultancies: The Growth of Expectation

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PR Agencies and PA ConsultanciesThe Growth of
Expectation

• International Public Relations Association
• 2005 World Congress
• Istanbul, 28 June 2005

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The Growth of Expectation

• The drivers behind higher expectations
• Expecting More for Less
• The evolution of communications measurement
• Demonstrating the link between communications and
  business outcomes
• A new solution for meeting the communications
  measurement challenges
• Conclusions

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Drivers behind higher expectations

• Since 2001
• 9/11
• Technology
• Corporate governance
• Tightening of belts

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Expecting More for Less

• Three Ps
• Perspective
• Professionalism
• Price

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Measuring effectiveness

• Senior managers demand it
• Nearly 60 of companies with formal measurement
  tools in place created them at the behest of
  senior management1
• Communicators have myriad measurement tools
• On average, a company uses 20 different measures
  to gauge the effectiveness of its communications
  activities2
• Measuring press clippings is the 2nd most common
  measurement method, but communicators rank it 2nd
  in lack of significance3
• Communicators have little to show for their
  efforts
• PR budgets decreased by 39 during the recent
  recession4

• PRWeek
• Communications Executive Council
• Delahaye
• Biz360

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Communications measurement is evolving
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Contributing to the value of intangibles, which
drive business outcomes
Communications Activities
Intangible Assets
Business Outcomes
Outcomes

• Internal communications
• Media relations
• Promotions
• Product Web sites
• CEO visibility programs
• Issue campaigns
• Public affairs

• People
• Brands
• Innovation
• Corporate culture
• Alliances
• Intellectual property
• Management teams
• Strategy execution
• Work processes

• Market share
• Revenue
• Share price
• Customer retention
• Earnings
• Employee retention
• Permission to operate

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We are developing a solution to resolve the
challenges communicators face
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Conclusions

• The market does not currently offer a universally
  compelling communications measurement system
• A valid measurement tool will
• Enhance communicators credibility with senior
  management and help them earn a seat at the table
• Provide a solid foundation for setting
  communication strategy
• Elevate the professional status of communicators
  and of the industry overall