Entrepreneur
Most entrepreneurs and business owners understand they need a comprehensive communications strategy to reach their target customers. However, all too many think that only means branding, marketing and advertising and forget to include public relations (PR). In particular, many small businesses and startups neglect this part of the communications equation.
This has always been a mistake, but that’s even more true today. Here, I explain how PR impacts brand credibility and customer trust, as well as how those seemingly ineffable factors connect to your hard revenue numbers.
The problem with investing solely in marketing
Investing only in marketing and ignoring PR is a problem because marketing drives awareness, but PR builds trust — and without trust, awareness doesn’t convert.
One study has put the number of consumers who believe advertisers have integrity at 4%. Customers’ trust in conventional advertising is also plummeting, especially for members of the younger generations. As Wharton Magazine reports, 84% of millennials not only dislike traditional ads but also distrust them.
Research also shows people don’t pay attention to ads and actively avoid them. According to consumer research firm Bulbshare, 63% of Gen Zers use ad blockers, meaning they don’t even see ads online. If they do come across one, 99% say they hit “skip” when given the choice.
In short, today’s consumers are savvy. They know how to follow the money trail and identify conflicts of interest. Indeed, the Content Marketing Institute has found that 80% of corporate decision-makers prefer to glean information from articles that are more objective rather than ads, which are recognized as biased and self-interested.
Meanwhile, today’s consumers increasingly prioritize ethics. B2B services company BusinessDasher explains that 84% of customers weigh companies’ ethics and values when considering a purchase, and 63% say they would like companies to adopt more ethical practices.
For companies that would like to expand their market reach, these statistics send a clear signal. Investing only in advertising and marketing is unlikely to move the needle. To develop a good reputation for your brand, you need to do PR.
Related: How to Make the Most of Your Public Relations
PR: Ethical strategic communications
PR differs from other communication strategies like branding and marketing because it specifically focuses on developing your organization’s positive reputation and earning consumers’ trust. While ads and marketing campaigns may attempt to tell people about the business’s great reputation, good PR shows them. It enables the business and its spokespeople to demonstrate ethical conduct rather than just making claims to this effect.
For instance, while a top PR team will draft and release press releases and media advisories on a company’s behalf, they will also seek out opportunities for the company’s leadership to serve as expert sources in the media. When the public needs help understanding current events and a journalist turns to a company’s spokesperson for expert analysis, the viewers understand that this person and their company are trustworthy. In addition, they come to rely on and appreciate the spokesperson’s valuable advice.
In the course of such an interview, the company’s representative may never even mention their product or service. By demonstrating their willingness to share important information, however, they signal their care for the greater good, their own sterling character and that of their company. This forms positive connotations in viewers’ minds. People come to associate the spokesperson and company with credibility and garner their trust.
Behaving in an ethical manner and showing goodwill tends to be more convincing than merely claiming to be good. This is how strong connections with customers can still be forged despite today’s cynical environment.
Related: How You Can Leverage These PR Strategies to Build Your Company’s Credibility and Trust — Even When Under Attack
How PR contributes to revenue growth
To be clear, PR is not a direct method of boosting sales or generating leads. Instead, it works in the background, burnishing your brand’s reputation and predisposing people to think highly of your company. This can pay off in the end, however.
Take Sears, Roebuck and Co. as an example. When the brand partnered with The Oprah Winfrey Show to provide Christmas gifts for 100 foster children, the results were staggering. After the episode aired, customer surveys showed an 11% jump in positive sentiment toward the brand — and people said they planned to spend 39% more at Sears.
The final impact? That single PR moment helped generate $13 million in new revenue.
In addition, father-daughter co-authors Al and Laura Ries studied 91 launches of new products in their book “The Fall of Advertising and the Rise of PR.” Those campaigns that incorporated PR were more successful than those that only deployed marketing approaches. Indeed, they conclude that PR is a better investment than advertising for most businesses.
In my own experience leading a PR firm, I can attest that campaigns sometimes generate so much new business that clients can’t scale fast enough and have to pause our services while they catch up with demand.
Enter the limelight with PR
Hiring a PR firm, especially one that can show a track record of success in your particular industry, is indispensable to make your brand image shine. This strategic communications approach avoids the common missteps of advertising and marketing while aligning with today’s customers’ preferences for ethical business practices.
For these reasons, more businesses should consider taking PR firms up on their offers of a free consultation call. There’s nothing to lose and the limelight to gain.
Read the full article here
