Top >> Managing_PR Company and Agency Perspectives on PR in 04 published March 2004 This collection of information and quotes from the US shows the current status of public relations and expectations and demands from both users of PR and agencies themselves. Spending on PR 90 percent of US companies expect their communications (public relations) budgets to be the same or greater in 2004 compared to 2003 according to data recently collected by the US-based Council of PR Firms. The survey showed that 50 percent of companies expect to keep budgets the same as 2003 while 40 percent plan to invest more in communications. Trends The Council of PR Firms identified several trends viz: Specialisation:  Organisations are increasingly looking for specialist external communication services e.g. multi-cultural, web-related, media relations. Consultants:  The use of outsourcing to augment internal resources will increase - but only if companies are able to access senior consultants from their PR agencies. Budgets:  As internal company departments face cost pressures they are looking to their PR agencies to help them save money. Company Perspectives “I wish that agencies would think more strategically about a client’s business instead of focusing solely on tactical execution.  Clients hire agencies to be strategic partners, and we value their input and thinking regarding our business, even if we don’t always agree.” “Companies and agencies need to focus on the ‘optimistic’ side of things, and use their creativity to tell a positive story, not just blunt negative stories.  The tech industry has been down for so long, there’s a lot of fatigue, a lack of risk taking, and a lack of creative ideas.  If agencies are unable to shake the fatigue, then companies should replace them.” “Communications is at a tipping point to gain credibility in the boardroom but we have to deliver, and that means measurement must be a key focus.  The technology of measurement will need to get more sophisticated.  I think the PR industry is hungry for measurement tools to prove its case.” “We want more senior attention….. and make sure senior management is handling quality control on an ongoing basis - as opposed to only when there’s an issue…..” “I wish agencies would train their inexperienced, junior staff members on someone else’s business.” Agency Perspectives “We’ve had several clients take us deeper inside their business this year.  The result is a more seamless relationship and greater understanding of their culture and what works.  The extra awareness has created more meaningful recommendations and bull’s-eye work.  My wish is for clients who think of their agencies as vendors to instead think of them as family.” “Our clients are surrounded by enough yes people in their lives.  We must be honest with them at all costs.  We must be willing to walk away when we know our clients still have a strong pattern of lying after patiently and consistently counselling them to tell the truth.” “I think we’re going to see PR firms morphing more into management consulting firms. More and more companies are turning to agencies that have a real depth and knowledge beyond the things you typically think of when you think of PR firms.” “E-mail and the web are fabulous, fabulous tools.  But there’s nothing like the building of personal relationships and trust, and that’s something that all clients need to spend a great deal of time on.” “We are entering a period of the “reputation economy”.  It is a time when agency senior talent will be called to the client’s corner office for counsel and action. Agencies that are up to that task will thrive.” Sources:   Council of PR Firms,  ‘PR Week’ ‘PR News’.

PR Influences Australian Public Relations Newsletter. Article: Company and Agency Perspectives on Public Relations. Information Content: Managing PR