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Good PR makes the road less bumpy in the recession


by kerryn le cordeur on 22 February 2010

ImageA recent article in The Economist looks at several reasons why the PR industry has been booming while the rest of the world has been suffering through the recession. The primary reason for this seems to be that the old adage that any publicity is good publicity hasn’t rung true in the financial crisis, and in times when companies have had to answer for “undeserved bonuses; plunging share prices; and government bail-outs, among other ills,” PR agencies have been called upon for their expertise in crisis and reputation management.

However, the statement that the PR industry hasn’t felt the effects of the recession isn’t sweeping as not all PR companies have survived the storm, with many having to shed jobs and reporting declining revenues. The general trend, it would seem, is that companies are more willing to put their faith in the bigger, more established PR agencies, when ROI is more important than ever and they can’t risk further negative publicity as a result of below-par PR performance.

Successful PR agencies are capitalising on the fact that PR is cheaper than advertising campaigns, and that its impact in the form of favourable coverage can be more easily measured than. PR campaigns are also beginning to encroach on advertising territory, giving the PR industry more clout – no longer is it just about pitching a story to the media in order to gain client mentions, it now includes innovative ideas like orchestrating live events and web launches.

Talking about the web, the rise of the internet and social media has certainly given PR a boost. Not only are PR agencies able to leverage the viral nature of the web to aid in launching clients’ various products and brands, but they have also been called upon to oversee clients’ social media presence – tracking what is being said and responding timeously in order to maintain media and consumer relations, as well as reputation.

All in all, it would seem that the PR industry is the place to be in tough economic times, provided you know what you’re doing and can offer your clients the best service possible. There really is no free ride in the recession, but a good PR agency, it would seem, makes the ride a lot less bumpy – for its clients, yes, but for itself, too.




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