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The Marketing Mix ยป Public Relations - Improving Company Image

What you'll learn this session

Study time: 30 minutes

  • Understand what public relations means and why it matters for businesses
  • Learn different PR techniques companies use to improve their image
  • Explore how PR fits into the marketing mix alongside other promotional methods
  • Analyse real-world examples of successful and failed PR campaigns
  • Discover how social media has changed modern public relations
  • Evaluate the costs and benefits of different PR strategies

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Introduction to Public Relations

Public Relations (PR) is all about managing how the public sees your business. Think of it as your company's reputation manager. Unlike advertising where you pay for space, PR is about getting positive coverage and building trust through genuine communication with customers, media and the community.

In today's world, a company's image can make or break its success. One viral social media post can either boost sales massively or destroy years of hard work. That's why smart businesses invest heavily in PR strategies.

Key Definitions:

  • Public Relations (PR): The practice of managing communication between a business and its various audiences to build a positive reputation.
  • Corporate Image: The overall impression that customers, investors and the public have about a company.
  • Stakeholders: Anyone who has an interest in the business - customers, employees, shareholders, suppliers and the local community.
  • Media Relations: Building relationships with journalists, bloggers and influencers to get positive coverage.

💬 Why PR Matters

Good PR builds trust, which leads to customer loyalty. When people trust your brand, they're more likely to buy from you, recommend you to friends and stick with you even when competitors offer lower prices. Bad PR can destroy this trust overnight.

PR Techniques and Strategies

Companies use various PR techniques to shape their public image. The key is choosing the right mix of strategies that fit your target audience and business goals.

Traditional PR Methods

These are the classic PR techniques that have been used for decades, though many have evolved with digital technology.

📰 Press Releases

Official statements sent to media outlets announcing news, product launches, or company updates. They're free but need to be newsworthy to get coverage.

🏆 Sponsorship

Supporting events, sports teams, or charities to associate your brand with positive activities. Think of how Red Bull sponsors extreme sports events.

🤝 Celebrity Endorsements

Getting famous people to publicly support your brand. This works because people trust celebrities they admire and want to copy their choices.

Case Study Focus: Nike's Colin Kaepernick Campaign

In 2018, Nike featured Colin Kaepernick in their "Just Do It" campaign, despite controversy around his protest during the US national anthem. Initially, Nike's stock dropped and some customers burned their shoes. However, the campaign ultimately boosted sales by 31% and strengthened Nike's brand among younger, more diverse customers. This shows how bold PR moves can be risky but potentially very rewarding.

Modern Digital PR

Social media has completely changed how PR works. Companies can now communicate directly with customers without going through traditional media. But this also means mistakes spread faster than ever before.

Social Media PR

Platforms like Instagram, TikTok and Twitter allow companies to build relationships with customers in real-time. The key is being authentic and responsive.

📸 Influencer Marketing

Partnering with social media personalities who have large followings. Their recommendations feel more personal than traditional advertising.

👍 User-Generated Content

Encouraging customers to create content featuring your products. This builds community and provides authentic testimonials.

Crisis Management

Quickly responding to negative events or criticism online. Speed and honesty are crucial when things go wrong.

Community Relations and CSR

Corporate Social Responsibility (CSR) has become a major part of PR. Customers, especially younger ones, want to buy from companies that care about society and the environment.

🌱 Environmental Initiatives

Companies like Patagonia have built their entire brand around environmental responsibility. They donate profits to environmental causes and encourage customers to repair rather than replace products. This creates incredibly loyal customers who share the company's values.

Building Community Connections

Smart companies invest in their local communities through various initiatives that create positive associations with their brand.

🏫 Local Sponsorship

Supporting local sports teams, schools, or events. This builds goodwill in the community where your business operates.

🤝 Employee Volunteering

Encouraging staff to volunteer for local charities during work time. This improves employee morale and community relations.

🎁 Charity Partnerships

Long-term relationships with charities that align with your brand values. McDonald's partnership with Ronald McDonald House is a famous example.

Measuring PR Success

Unlike advertising, PR results can be harder to measure directly. However, there are several ways companies track their PR effectiveness.

Case Study Focus: Greggs' Vegan Sausage Roll Launch

In 2019, UK bakery chain Greggs launched a vegan sausage roll after years of requests from customers. Their cheeky social media campaign, including responses to Piers Morgan's criticism, generated massive free publicity. Sales increased by 9.6% that year, showing how good PR can directly impact profits. The campaign cost very little but generated millions of pounds worth of media coverage.

PR Measurement Techniques

Companies use various methods to track whether their PR efforts are working and providing value for money.

📈 Media Coverage

Tracking mentions in newspapers, TV, radio and online. Positive coverage is worth much more than paid advertising because people trust it more.

📊 Social Media Metrics

Monitoring likes, shares, comments and follower growth. High engagement shows people are interested in your brand.

💰 Sales Impact

Tracking sales before and after PR campaigns. This is the ultimate measure of success for most businesses.

PR vs Other Promotional Methods

PR works differently from advertising, personal selling and sales promotion. Understanding these differences helps businesses choose the right promotional mix.

Advantages of PR

PR is often cheaper than advertising and more trusted by consumers. Good PR can reach millions of people for very little cost. It also builds long-term relationships rather than just driving immediate sales.

When to Use Different Promotional Methods

The best companies use PR alongside other promotional methods to create a powerful marketing mix that reaches customers in different ways.

📢 Use PR When

Building brand awareness, managing reputation, launching new products, or dealing with negative publicity. PR is perfect for long-term relationship building.

💵 Use Advertising When

You need to control the exact message and timing. Advertising guarantees your message will appear when and where you want it.

🎉 Use Sales Promotion When

You want immediate sales boosts. Discounts and special offers create urgency that PR campaigns usually can't match.

Case Study Focus: KFC's "FCK" Apology Campaign

When KFC ran out of chicken in 2018 due to supply chain problems, they could have just waited for the crisis to pass. Instead, they took out full-page newspaper ads rearranging their logo to spell "FCK" with the headline "We're Sorry." This honest, humorous approach turned a potential disaster into positive PR. The campaign won awards and actually strengthened customer loyalty by showing KFC could laugh at itself and take responsibility for mistakes.

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