In: Economics
What is PR and in what ways does it differ from other elements of the promotional mix?
The purpose of the promotional mix is to educate, reassure and remind your customer about your product or service. Advertising is included in the advertising mix, and is a paid form of non-personal presentation. Personal sales is used either by telephone or face to face with the prospect, for example, to answer the issues of the clients and respond directly to their questions. Public relations are organizations that interact with their customers, staff and stockholders. It is critical that a company has a strong reputation with clients. One way businesses interact, for example, is by sending out newsletters or press releases.
Marketing typically includes promotional, direct marketing, and advertisement that aims to restore direct sales; while PR focuses on image building by creating positive media attention and contact between stakeholders. Marketing seeks to attract existing and future clients, while maintaining good relationships with those involved in the company or brand is a matter of public relations. This reaches a broader market of workers and shareholders, through consumers and media.
Consumers subconsciously perceive messages conveyed through PR outlets such as blogs, conference speakers or credible bloggers as being more valid than those provided by marketing campaigns. Typically speaking, people can understand clearly that ads and promotions are motivated by the ability of a business to maximize sales. However papers that have the name of a well-known journalist on them, or presentations by someone identified as an industry expert, are more likely to be viewed as a reliable source by the user.
In general, marketing is described as business expenditure – paid branding and promotional activities with the ROI being the new customers. Whereas PR is defined as free publicity to enhance reputation around an picture of a product. Measuring ROI for PR consulting is typically more difficult than for marketing, because it is more difficult to show a change of perception or opinion, because opposed to direct sales.