PR (Public Relations)

PUBLIC RELATION

“Public Relations is defined as helping an organization and its publics adapt mutually to each
other.”

Public relations is a planned and sustained activity to help an institution create a social climate
favorable for its growth. It is based on the fundamental belief that the survival of any enterprise, public or private depends today on the sensitive response to changes in public opinion.

The International Public Relations Association defines public relations as “Public relations is the
art and social science of analyzing trends, predicting their consequences, counseling organisation leaders and implementing planned programmes of action which will serve both the organization’s and the public interest.”

Public relation is a two way process. On the one hand it seeks to interpret an organization to
society while on the other it keeps the organization informed about the expectation of the society.
Fundamentally public relation is a means by which an organization improves its operating
environment.


ROLE OF PUBLIC RELATIONS

Public relations people have the role of being always in the middle – pivoted between their
clients/employers and their publics. They must be attuned to the thinking and needs of the
organizations they serve or they cannot serve well. They must be attuned to the dynamics and
needs of the publics so they can interpret publics to the clients, as well as interpret the clients to
the publics.


ORGANIZATIONAL ROLE & FUNCTIONS: 10 BASIC PRINCIPLES

We can describe the function and role of public relations practice by stating ten basic principles:

1. Public relations deal with reality, not false fronts. Conscientiously planned programs
that put the public interest in the forefront are the basis of sound public relations
policy.(PR deals with facts, not fiction.)

2. Public relations is a service-oriented profession in which public interest, not personal
reward, should be the primary consideration. (PR is a public not personal, service.)

3. Since the public relations practitioner must go to the public to seek support for
programs and policies, public interest is the central criterion by which he or she
should select these programs and policies. (PR practitioners must have the guts to say
no to a client or to refuse a deceptive program.)

4. Because the public relations practitioner reaches many publics through mass media,
which are the public channels of communication, the integrity of these channels must
be preserved. (PR practitioners should never lie to the news media, either outright or
by implication.)

5. Because PR practitioners are in the middle between an organization and its publics,
they must be effective communicators – conveying information back and forth until
understanding is reached.

6. To expedite two-way communication and to be responsible communicators, public
relations practitioners must use scientific public opinion research extensively. (PR
cannot afford to be a guessing game.)

7. To understand what their publics are saying and to reach them effectively, public
relations practitioners must employ the social sciences – psychology, sociology, social
psychology, public opinion, communications study and semantics. (Intuition is not
enough.)

8. Because a lot of people do PR research, the PR person must adapt the work of other
related disciplines, including learning theory and other psychology theories,
sociology, political science, economics and history. (The PR field requires
multidisciplinary applications.)

9. Public relations practitioners are obligated to explain problems to the public before
these problems become crisis. (PR practitioners should alert and advise, so people
won’t be taken by surprise.)

10. A public relations practitioner should be measured by only one standard: ethical
performance. (A PR practitioner is only as good as the reputation he or she deserves.)



WHO NEEDS PUBLIC RELATIONS?

The diverse institutions and individuals requiring professional Public Relations go beyond
the more traditionally defined corporate world. Who are they? And Who are the “Publics”
of Public Relations?


Following are the main “publics” of Public Relations:

A College or University: A public relations expert needs to defuse those crisis situations
where student bodies could be in revolt over demands, where there is a change in
educational policy, where something could be wrong with the examination papers or
simply when, in interaction with State and Central Governments, grants have to be sought
or when a college organizes intercollegiate festivals.
Case: public relations for college festivals like Kshitij – Mithibai college, Brouhaha of
sidnam college, Drishti of Narsee Monjee college.

A Newspaper: Some of the better newspapers have Public Relations Staff quite separate
from the advertising department or the marketing people.

A Non-Profit Body: From the point of view of the organisation, whether it is Rotary,
UNICEF, the Institute of Cerebral Palsy, the Red Cross, or any number of charitable and
cultural and social service organizations, a Public Relations cell is an integral part of the
institution. It has to interact with a number of bodies for its very existence, for the support
of its causes, for mis-understandings that can crop-up as, at every stage it is public money
at stake.

An Individual: An aspirant to a political post needs it, so does a person standing for president-
ship of a chamber of commerce. So does an actor, a producer or a gallery owner, or a non-
resident who is seeking to make a mark in the Indian business circle.

A Cause: The problems exist – AIDS, drugs, population explosion and other environment
concerns, slums, poverty of every sort, child abuse, women’s rights on abortion and property and marriage laws, the handicapped, uneducated – and the champions and doers for these causes are only in thousands, not in millions. If PR agencies unite and pool in their resources they can help in tackling such problems.

CORPORATE BODIES:

Corporate organizations constitute bulk of recognized Public relations activity involving
numerous publics.

• Employee Interaction:

The most important “public” of Public Relations activity in a corporation is the employee. He is
vital in a more crucial way than people imagine. The employee could be viewed as a decision-
maker, someone who cannot merely be a target for communication but who would also be
dictating the direction in which the company moves. Which means that the Public Relations
Practitioners cannot be mere purveyors of information, but have to ensure an involvement and
participation of and direction from employees. Employee aspirations have soared as a result of
which a PR expert has to remember some basic tenets. He has to ensure the least amount of
secrecy and holding back of information. He has to cater to many strata of employees, he has to
convey the company’s plans, ideas, projects and vision, and also ensuring better communications
during a crisis. Effective Public Relations begins at home!

• Shareholder Interface:

A shareholder relation is a key aspect of corporate Public Relations. Shareholders, particularly
those who have stayed with a company for many years because they value their investment in it, deserve more than just the statutory annual report, interim report or ‘not well’ shareholders visits to the company which turn out to be a mere picnic. A well-treated shareholder can do a lot for the company’s image in terms of his feedback to his peer group. For, armed with his detailed
knowledge of the company’s financial status, twinned with the kind of “treatment” the company
the metes out to him in terms of goodies like shareholders meets and gifts and information, he
can be a better ambassador of the company than the organisation could ever imagine. Also now
there are new investor associations, which are championing the rights of shareholders. This is an
issue companies need to be aware of so that their interaction can extend beyond shareholders to
these associations.

Example: Balrampur Chini

The “Stretch” philosophy of Balrampur Chini Mills, is yet another inspiring example of public
relations. Stretch is the philosophy of the company, their baseline and also the attitude that
reflects everything they do, according to their Managing Director Vivek Saraogi. It is used as the
title of their annual reports; it is also a pocket-sized document that is sent out to a few thousand
people encapsulating anecdotes that have compiled with great sensitivity. These anecdotes
embody the Stretch philosophy, as you would apply it to everything from uncompromising
integrity to stretch as a boon, as an education. It has inspired the depressed individual as well as
the corporate chief alike.

The annual report for they year 2000-01 gives an overview of the sugar industry and the role of Balrampur. In the new scenario of progressive de-regulation, the future of the industry in the
international context and then goes into the Measurement of Value, the requirements of
Corporate Governance, analytical reports and a focus on Community Development. The 68-page report leaves no stone unturned, giving an invaluable picture without actually doing any pictorial spreads.

Consumer Consciousness: Where public relations comes in, when marketing products is
concerned, is in revealing the character of the company that is behind a product. It could be
summed up as the reassurance factor beyond brand image. Llew von Essen in his Handbook of
Public relations quotes, “Public Relations Techniques can be effectively used to put the
company’s side of picture across; to explain marketer’s problems, talk about product complexity, review market conditions and pressures, show how good companies are in combating these
pressures and above all highlight how the consumer benefits from product improvement,
research and keen competition.

Dealer Dealings: Most of the companies, especially those with large dealer networks, have no
integrated approach to communicate or formulate a corporate personality in the minds of the
dealers. However, a handful of companies have through their Public Relations efforts, instituted
even such things as financial funds for dealers that have served them well when they have they
have required sums of money for, say, a wedding in the family or a crisis arising out of an
accident.

• Media Monitoring:
The area, which occupies considerable amounts of time for any Public Relations department is
the relationship with the media. To many people, this is probably the only function of a public
relations person. To the Chief executive, this is the area, which is likely to create the greatest
problems. To the public relations expert, this is what brings in the best opportunities to
communicate the product-policy-plan conundrum of the company through well-mustered plans.
To the journalist or the television producer, it is sometimes a reactive situation of reviving
unsolicited plugs, but also one, which could provide material for analysis, projection of industrial
progress and background for potentially explosive stories.

• Government Goodwill:
When public relations was in its infancy, the strongest focus, and perhaps the need of the day,
was lobbying with the powers that be. Today, the needs of the company to interact with the
policy makers, not just through their government liaison departments, but also through their
public relations managers who are expected to be able to study the complete picture and present not just a case for license but a total image package.

BENEFITS OF PUBLIC RELATIONS

1. Prestige or ‘favourable image’ and its benefits
The familiarialty and reputation of its name are among the greatest assets of any organization –
whether it deals directly with the public or not. Everyone is influenced by Reputation because
reputation in industry can rarely be one without true accomplishments.

2. Promotion of products and services
Telling people about products and interesting them, in purchasing requires more than advertising
efforts. People’s tastes and desires are developed by the unobtrusive influences by them. These
unobtrusive, non-selling influences have an immeasurable effect on their desire to buy.

3. Determining the organization’s posture in dealing with its publics

Increasing sophistication had modified how organizations have approached their relations with
various groups. There are 3 major conceptions of that role:

1) To master the publics; to direct what they think and do, according to the desires of the
organization involved

2) To block; to react to developments and problems, to respond to events or the initiatives of
others by blunting them

3) To achieve mutual adaptation; to develop relations of mutual benefits all parties involved
In the present human climate, achieving mutual adaptation, has become the most widely taken
course.

4. Fostering the Goodwill
Goodwill of:
- The employees
- Communities in which the organization has units
- Stockholders
- Suppliers
- Government
- Rest of the industry
- Dealers
- Customers
- Supporters

5. Helps in building Brands

Building Brands becomes easy when proper public relations exist. Brand vitality and brand
credibility follow. This can be concluded from a national poll of brand managers. The brand
managers have given authentication that public relation is the most effectual way to institute
brand credibility. Maximum utility can be derived on every marketing rupee spend. More than
half the voters i.e., brand managers regard that, PR are more imperatively judged against
advertising, sales promotion and new media. PR paves the path for effective communications
discipline though the editorial context cannot be put aside.

PR is the best way to gather third party endorsements according to brand managers. The survey clearly states that PR is a valued marketing partner in building brand equity. Probably the return earned on the marketing rupee spent makes the brand managers, give more importance to public relations.

6. Prevention and Solution of Labour Problems

Public Relations can assist in stabilizing labor conditions through employee relations
activities. The use of public relations as a labour stabilizing aid is preventive as well as
curative and it’s most beneficial when it is carried on continuously rather than only when
strike clouds appear.

7. Overcoming Misconceptions and Prejudices

Prejudices that may exist because misinformation has been spread also threaten the success
of business. Analysis of the situation, plans for meeting it, and the dissemination of correct
information can clear up these difficulties

8. Ability to attract the Best Personnel

No organization’s future is any better than the caliber of future executives it is able to
attract. Making a company or organization known and respected is necessary to assure its
healthful development.

9. Education of the Public to the use of a product

When an entirely new service or product is to be promoted, it is necessary to capture the
imagination of the public in order to make the item attain steady sales. When a company
brings out a new type of product, public relations must support advertising and the sales
staff in capturing the public’s imagination.

10. Education of the Public to appoint a view

When an organization seeks to win support for its method of operation, its principles, the system
that supports it, or any other viewpoint, its most effective means are the channels of teaching the public that are constant being utilized by Public relations people

11. Dealing with Emergencies

This has three phases:
1) Monitoring whatever may cause unexpected difficulties for the organization
2) Preparing for meeting the full range of such emergencies
3) Actual handling of matters when there is an emergency

12. Directing the course of change

At its best, public relations is a bridge to change. It is a means to adjust to new attitudes that have been caused by change. It is a means of stimulating attitudes in order to create change. It
provides judgment creativity and skills in accommodating changing groups to each other.

13. Altering Misconceptions:

In India some PR agencies and independent consultants are doing just that. An example of an
advertising management would be when pictures of Pepsi bottles with fungus in them were
splashed in newspaper, their agency, Perfect Relations launched an intensive media awareness
campaign with the misinformation in the media. How did they do this? They highlighted that 40 percent of Pepsi bottled in India was spurious, established that the bottle reproduced in
newspapers was not an original one, and then suggested Government needed to take a firm stand on enforcing laws against spurious manufacturers of consumables.

What happened in the end was that many illicit plants were raided and closed down, Pepsi
emerged as the aggrieved party and the case was diminished.

14. Issues and Perception Management:

The Issues Management departments of companies or of consultancies today have become a part of a total system of anticipative Public Relations.

A fair amount of research has to be done by the communications department to be able to track
issues that could affect companies in the long run.


Public Relations have both advantages and disadvantages.

Advantages include:

1. Credibility: Because PR communications are not perceived in the same light as advertising – that is, the public does not realize the organization either directly or indirectly paid for them – they tend to have more credibility. The fact that the media are not being compensated for providing the information may lead receivers to consider the news more truthful and credible. For example, an article in newspapers or magazines discussing the virtues of aspirin may be perceived very much as more credible than an ad for a particular brand of aspirin.

2. Cost: In both absolute and relative terms, the cost of PR is very low, especially when the possible effects are considered. While a firm can employ PR agencies and spend millions of dollars on PR, for smaller companies, this form of communication may be the most affordable alternative available.

3. Avoidance of Clutter: Because they are typically perceived, as news items, PR messages are not subject to the clutter of ads. A story regarding a new product, introduction of break through is treated as a news item and is likely to receive attention.

4. Lead Generation: Information about the technological innovations, medical break-throughs and the like results almost immediately in a multitude of inquiries. These inquiries may give the firm some quality sales lead.

5. Ability to reach specific groups: Because some products appeal to only small market segments, it is not feasible to engage in advertising and / or promotions to reach them. If the firm does not have the financial capabilities, to engage in promotional expenditures, the best way to communicate to these groups is through PR.

6. Image Building: Effective PR helps to develop positive image for the organization. A strong image is insurance against later mis-fortunes.
Perhaps, the major disadvantage of PR is the potential for not completing communication
process. While PR messages can break through the clutter of commercials, the receiver may not
make the connection to the source. Many firms’ PR efforts are never associated with their
sponsors in the public mind.
PR may also mis-fire through mis management and a lack of co-ordination with the marketing
department. When the marketing and PR department operate independently, there is a danger of inconsistence communication, redundancies in efforts and so on.
The key to effective PR is to establish a good program, worthy of public interest and manage it
properly. To determine if this program is working, the firm must measure the effectiveness of the PR effort.


PR AND SIMILAR ACTIVITIES

PR AND ADVERTISING: Many people consider public relations and advertising as almost
synonymous, probably because there is an element of information and persuasion inherent in
both. Public Relations and Advertising

• PR is winning of public acceptance by acceptable performance without any idea of instant tangible gain.

• Advertising is any paid form of non-personal presentation and promotion of ideas, goods or services by any identified sponsor. Although some advertisements seek to inform an even educate, there is an immediate, commercial goal behind most.
  

• PR does, of course, provide support to marketing activities but it has a wider prospective and is broader in scope and vision.

• Advertising is essentially a tool of marketing along with product, price, packaging and place (distribution).

• PR is a management function.
• Advertising is a marketing function.
• Every organization has a public perception and consequently public relations.
• Advertising may or may not be used by an organization.
• PR presents its messages to specialize external audiences and internal publics.
• Advertising is addressed to external audiences, primarily consumers of goods and services.

• PR message is largely a matter of credibility.
• Advertising messages are mostly emotive and strident.
• PR is more proactive than advertising.
• It involves anticipating, diagnosing problems and then providing solutions
• Advertising involves directly acting upon the briefs or problems presented by the client.

PR AND MARKETING:
There are certain areas like publicity, sponsorship, exhibitions, consumer and dealer relations
where both the functions of PR and marketing overlap. They do not always talk the same
language though both marketing and PR make use of communication to pursue their goals. What
really matters in the long run, however, is not whether a particular set of techniques should be
labeled PR or marketing but whether they are effective in achieving the desired corporate goal.

From a marketing perspective, PR is part of the promotional element in the marketing mix and
aid to consumer relations. It is seen as a component in the total marketing communication and is
bracketed with advertising and sales promotion. As a support function for marketing, PR
operates primarily as a publicity function.

PR Marketing
 PR is a marketing of an organization
 Marketing is the selling of a tangible service or product through promotion, pricing and distribution.
 PR is equally concerned with internal and external groups.
 Marketing is external in its orientation.
 The audiences of PR include employees, shareholders, neighbors and many others.
 Customers are the key audiences for marketing.
 Good PR can pave the way for marketing effort. It is concerned with creating a favorable climate for marketing. It can help maintain good relations with dealers organize product publicity and disseminate information to trade and industry.
 Similarly, a successful marketing campaign and satisfied consumers make good relations with the others easier to develop and maintain.

PR is both a compliment and a corrective to the marketing approach. As a compliment, it
provides and techniques with support marketing efforts. The techniques of communication used
in PR and available to marketing and can be used in support of product and sales promotion.
Introduction of new products and publicity campaigns to put fresh life into the sales of
established products are important marketing functions. In these areas, PR can work closely with marketing. Indeed, PR and marketing can support and reinforce each other with synergistic force, if planned and coordinated in a total communication strategy.

PR AND PUBLICITY: Publicity is often confused as an identical activity to PR probably because it is the most visible aspect of PR. Tangible evidence of PR efforts can be seen thorough publicity.
A publicist works on only one area of PR-dissemination of information for the media.
Publicity consists of obtaining free space or time for news about the organization. Spreading of
information in this way can effectively improve PR program. But it is quite possible to have
wide, even favorable publicity and still not achieve good public relations. Publicity can
sometimes be unfavorable or even controversial. Frequently, its over abundance may cause bad reaction instead of good.
Publicity can be measured by the length of space or time obtained in mass media and it is
possible to maintain a record through press clipping. But publicity is, in effect, one-way
communication. PR, on the other hand, strives to initiate dialogue and feedback. It is a more
complex and comprehensive discipline.
Unlike advertising the main cost of PR is time. If an advertising campaign is undertaken
too early, it will fail to overcome the barriers of prejudice, apathy and ignorance. To create
acceptance, interest and impart knowledge, PR should come earlier.
While PR begins very early and then proceeds steadily as a constant factor as a part of an
organization’s existence, advertising is intensive at the launch and then tapers off in proportion
to the product sensibility.
 PR and Propaganda:
Public Relations
Propaganda
 PR is responsible for presenting factual information without comment.
 Propaganda seeks to build a favorable public opinion through one-sided presentation of facts. The selective and slanted presentation is designed to strengthen particular images by emphasizing only the good points of one position and the bad points of another.
 The receiver of the information has the freedom to take his own decision.
 They resort to deliberate disinformation for building the strongest possible case for their views.
 The fundamental purpose of PR is to establish mutual understanding. It is based on facts and information.
 Propaganda is designed to manipulate the beliefs and attitude of the people through colorful half-truths.
 Objective: Consent
 Objective: to build a sectarian movement.


TOOLS OF PUBLIC RELATONS

 PRINT MEDIA

Most of the efforts chapters make in public relations are through forms of print media, primarily
newspapers. These are usually the most visible outlets on college campuses, especially school
newspapers, and in the local community.

1. PRESS RELEASE

The press release is the most common material provided to media outlets. These documents
provide a brief, yet thorough, description of an upcoming activity, whether it is rush or a service
project.

2. PUBLIC SERVICE ANNOUNCEMENTS

These are very short articles (no more than 75 words) that simply provide the facts of the activity (what it is, where it is located, when it will be, who is sponsoring, etc.).

3. PHOTOGRAPHS

There are usually two types of photographs in publicity portrait shots, where people pose for the camera and smile, and candids, where the subjects are doing something.


4. CASES HISTORIES/ STUDIES

Case studies which show a good image of the company are shared with the media/ investors,
community etc. Books on Making of Asoka, Making of Lagaan,, Amitabh Bacchan- A book by
Jaya Bachchan


5. EDITORIALS

No money, high credibility, however no control over message.

6. ADVERTORIALS

Advertisement + Editorial. Control over message, pay lesser than an advertisement. It is a
strategic tool, but should not be used too often. J & J is coming out with Branded Cotton. So they
are coming out with advertorials on wound handling.

7. INTERVIEWS/FEATURES

Meeting journalists. Here there is lot of room for different interpretations. More often than not,
press releases will not be printed verbatim. Even though your media contact will likely rewrite
them, possibly including additional quotes or information they research on their own your press
releases should be written well enough. However, there are also times that a press release will
encourage a reporter to do more, such as conduct a full interview with chapter members or write
a feature article on an upcoming project. While doing sponsorships one should try to brand it
with the event simultaneously.

8. BROCHURE
A booklet published bye the organization which contains the organisation’s background, its
ethics, vision, mission, its past, present and future projects, its USP, etc.

9. POSTER AND CALENDAR
Any poster or calendar used to achieve a public relations objective.

10. WRITTEN SPEECH
The typewritten or printed text of a speech given to achieve a public relations
objective.

11. INTERNAL NEWSLETTERS AND PUBLICATIONS
e.g. ICICI has their internal Newsletters, in which information about the company, its profits,
employees etc. is given.

 EVENT AND PRESS SUPPORT
Special events are acts of news development. The ingredients are time, place, people, activities,
drama, showmanship; one special event may have many subsidiary events, such as luncheons,
banquets, contests, speeches, and many others as part of the build up.

 LETTERS TO THE EDITOR
Submitting these articles does not require a media contact. This also gives an opportunity for any member to submit a letter on their chapter for printing in a local or campus newspaper.

 ANALYSTS BRIEF
One tells about the company, what the company is doing. It is done to influence the stock buyers, analysts, employees and media.

 CONFERENCES AND SEMINARS
- Press – Om Kotak doing many seminars. It contacts associations and tells them to give
numbers of their members so that they can talk to them. The members are contacted through
telephones and asked to attend seminar on General Insurance. In the seminar they talk on
General Insurance for 20 minutes and then the next 10 minutes they talk about the company
products.

Pharma Companies when they do any research say for example, diabetic research, they would
launch the product and before or after the launch they would call doctors for a conference to
discuss about the research

 PROMOTIONAL ITEMS
Any gift, premium, novelty or physical token used to convey an impression, make
a point, establish an image or achieve a public relations objective.

 CORPORATE ADVERTISING
If you believe the image of the company is good i.e. that trustworthy, reliable one then you can
use that as a PR tool.

 INTERNET
This one medium has helped transform the whole business of marketing and public relations. In a way, it gives any organization the ability to promote themselves without having to rely solely on other media outlets. Websites and e-mail are the two most common methods to use the Internet for PR purposes.

 WEBSITE
A chapter website should not only be designed to serve as a resource for members, but it should
also present a positive message to nonmembers just "browsing through.". Brief descriptions of
chapter history, past projects and activities, and long-standing relationships with other
organizations may give an outsider a positive impression of the fraternity. Like the newsletter,
information for members shouldn't just inform, it should also encourage involvement and
develop enthusiasm.

 E-MAIL
Today, this has become the most common method used for communication between fraternity
members. It can also be used to promote a chapter to fellow students and others, but it should be used carefully.

 AUDIO AND VISUAL
This division includes any audio or audio/visual presentation or program which serves a
public relations objective.

1. AUDIO PRESENTATION
Any sound-only program, including telephone hot lines and other recorded messages, radio programs, public service announcements and audio news releases.

2. AUDIO/VISUAL PRESENTATION
Any internal or external audio-visual presentation using still illustrations, with or without sound, using one or more projectors.

3. FILM OR VIDEO
Any film or video which presents information to an organization's internal audiences.

4. VIDEO NEWS RELEASE
Any film or video prepared and released to the media as a news item, article or feature story on behalf of a sponsoring organization.

 NEWS AND PUBLICITY

News is something that interests many people today. From the point of view of THE
TIMES OF INDIA, that means the national readers of THE TIMES OF INDIA and the metropolis readers of THE BOMBAY TIMES, etc. From the point of view of THE INDIAN
EXPRESS, it means all the people interested in hardcore content and no masala.

“Every medium has a news standard of its own, and that is the criterion the publicist goes
by in attempting to address publicity to the public through that medium.”

Ways To Make News

 Tie in with the news events of the day
 Tie in with another publicity person
 Form and announce the names of a committee
 Hold an election
 Announce an appointment
 Issue a summary of facts
 Make a statement on a subject of interest
 Bring a celebrity from elsewhere
 SPECIAL EVENTS

Special events are acts or news development. The ingredients are time, place, people, activities,
drama, and showmanship. One special event may have many subsidiary events, such as
luncheons, banquets, contests, speeches, and many others, as part of the build-up. The special
event is the coup de maitre of publicity, propaganda, and public relations.


ORGANIZATIONAL STRUCTURE OF A PR AGENCY
On the basis of size PR agencies can be classified into:
 Big Agencies
 Medium sized Agencies
 Small Agencies
In big agencies the scope for growth is large, whereas in small agencies responsibility may be
very high but there is little scope for growth.
When the number of clients of a small agency increases it needs to hire new people, and
gradually becomes a medium sized organization.

Grey Worldwide (India) Pvt. Ltd., has three branch offices situated at Mumbai, Delhi and
Bangalore.

Each of these teams follows the following hierarchy.

An Account Director maybe heading 2-3 supervisors depending on the number of total accounts
GCI is handling.

MAJOR CLIENTS OF GCI

OM KOTAK MAHINDRA
RUF AND TUF
CRY
BRITANNIA



PUBLIC RELATIONS PROCESS

Establishing an public relations program on behalf of a business or industry, or a professional
group, involves a series of steps that, although subject to some variation in differing situations,
generally will include

















 ANALYSIS OF THE SITUATION:

Analysis of the situation calls for broad study of all aspects of the business that affect the
publics. The starting point will be the people in the business or industry (particularly those who
are active in the company, such as board members, appropriate committee chairman and
members, and so on) who appear to have awareness of the public relations situation. The public
relations person will begin by interviewing such people; from them he or she will go to people
outside the business but in a position to observe it more closely than the average layman (these
may include editors of trade publications, officials of chambers of commerce and better business
bureaus, government officials concerned with the regulations of the business or profession – if
there are any – and others). Finally, this basic study may approach the general public for
additional views. This may be done through an opinion or attitude research study, of market
research, conducted by a recognized research firm. Sometimes, this may be done on a more
informal basis where the budget will not permit formal research. Such an approach to the general
public will be designed to provide a profile of the business as it appears in the public mind.

 DEFINITION OF PROBLEM AREAS:

This will follow naturally from the interviews and research activities. Comparisons among the
views of the public, of people in the business, and of those who are close observers of the
business may reveal some interesting parallels as well as differences and may indicate some
cause and effect relationships. It should be noted, also, that ignorance and misconception will not
always or necessarily be found in the public mind. Industry people more often then not will be
found to have some misconceptions about the public’s viewpoint, too. In such an event,
correction of industry thinking will be called for. Sound public relations may require changing
the attitudes of the client (diplomatically, of course) as much as it involves endeavoring to
change the attitudes of certain publics. As a matter of fact, although the public relations person is
usually hired to change public attitudes, he or she sometimes performs the most important task in
changing the attitude of his client or employer.
In today’s climate, the role of public relations practitioner is enlarging. He or she should be
capable of observing and analyzing the social, economic, and political trends and helping his or
her management or clients become aware of their significance to the institution they represent.
Through such expanded awareness, the manager or clients come to view their business or
institution in a new and different perspective.

 IDENTIFICATION OF PUBLICS:
A public is a group of people bound together by a specialized interest with reference to a focal
point.

Example: Employees in the steel mill may constitute one of the publics of a steel industry
association’s public relations effort; dairy farmers may be a special public of the association
representing the milk processing industry; automobile dealers a special public of the association
representing automobile manufacturers, and so on.

Customers of a particular business always are a primary public; for a professional society, the
individual members will also be one. Indeed, the association’s members should not be
overlooked in any public relations effort; their understanding and support are necessary.

 ESTABLISHING OBJECTIVES:

Once the problem areas are defined, long range objectives should be established. Usually, these
will be outlines in terms of the respective publics involved. General objectives should be drawn
with perspective in order to serve as guides over the long range. If they are drawn only in respect
to immediate, short term problems, they will not serve to provide continuity of direction and they
will need constant revision.

It would be unwise to draw an overall objective in reference to a specific piece of current
legislation that is to be opposed or supported, for once the legislature has adjourned, the
objective is meaningless. Instead, a long range objective might describe in general terms the
nature of legislation that an industry favours, viz:

 “ To support, in the respective states, legislative efforts that will enable our business to
serve the public on a competitive basis in accord with the traditions of a free market
economy, and to oppose legislation that would deny this opportunity.”

Any association public relations program must be flexible; obviously it should be modified as
time and circumstances require. But if it is drawn with sufficient perspective, changing day-to-
day and month-to- month problems will be found to fit within the framework of its general
objectives. And, of course, short-range objectives will be developed from time to time. In
addition, if sound communications networks have been developed to obtain long-range
objectives, these networks will facilitate the solution of passing and temporary problems. But
common sense demands a long-range plan with specific objectives against which results may be
measured.

 PROGRAM PLANNING:

It involves laying out in detail the various activities and communications that will be employed
with reference to the key publics that have been pinpointed in the objectives.

Let us assume, for example, a situation in which an association of home appliance
manufacturers finds that the industry has lost standing in the public mind because a substantial
number of consumers are dissatisfied with the repair and maintenance services. The industry
association identifies, as one of its publics, the retail appliance dealers who are responsible for
servicing. The objective with respect to this public is to indoctrinate the dealers in the necessity
for providing quality repair services and to provide information to them on the methods by which
high quality servicing may be established.

The program plan will outline the activities to be directed toward gaining the support of
the dealers for this mutually benefit purpose. It may, for example, call for the preparation of a
“code of good service” and of a manual describing the service functions the dealer is expected to
perform. Further, this part of the plan may call specifically for a series of dealer meetings in
various communities; for special articles to be prepared for trade publications that are circulated
among the dealers; for a special periodical to be published by the association especially for the
dealer-audience; for paid advertisements in industry publications, addressed to dealers; for the
conduct of special training schools for the service people employed by the dealers; or for any
combination of these and other techniques, some of which may lie outside the field of public
relations must, inevitably, be based on good performance, and it should be noted that all of these
measures would be designed to improve performance in repair and maintenance.

 IMPLEMENTING THE PROGRAM:
Involves carrying out these steps. It calls primarily for hard work by the association’s public
relations staff or the external counsel. In association work, however, the implementation of a
public relations program frequently requires active participation of people in the profession or
industry. Indeed, in respect to many objectives, the only path to success is to enroll the people in
the business or profession who are located at many points across the country.

No association staff, however large, has sufficient people to perform the grass roots
indoctrination task all by itself. Frequently, therefore, means will be devised for recruiting people
who are working in the business, but who are not themselves public relations people, to assist in
the public relations efforts of the association.

For any grass-roots efforts by a national, regional, or even a state association, reliance on local
representatives of the business, industry, or profession is essential. This Carrying out the
program can involve a wide range of functions, always guided by the long-range plan and
association’s policies.

 PERIODIC EVALUATION:

Periodic evaluations of progress are necessary. Such evaluations should be made on a continuing
basis, of course, by the professional public relations staff or public relations counsel or by the
association. Progress reports should be made regularly also to the membership and to interested
committees and boards of the association.

Though the contribution of the campaign would be difficult to measure we should try to evaluate
it with the help of the following 3 most commonly used measures of PR effectiveness.

The return on PR investments can be calculated as follows:
Total sales increase
Rs……..
Estimated sales increase due to PR
Rs……..
Contribution margin on product sales
Rs……..
Total direct cost of PR programme
Rs……..
Contribution margin added by PR investments
Rs……..
Return on PR investments
…..%

An activity which fails to add value stands to be eliminated in today’s professional world for
several decades PR practitioners did not see any need to demonstrate that the PR adds value.
“Any publicity is good publicity” was the questionable catch cry of the PR model practiced. The
main method of demonstrating results of PR was collecting and presenting the management with
piles of press clippings. The different methods of evaluation are:
MEASUREMENT BY KILOGRAM
Commonly referred to as measurement by kilogram collecting press clippings focuses on
quantitative measurement with little attention paid to the quality of media coverage. Press
clippings, tapes or transcripts indicate only that reporting occurred in the media. They do not
indicate whether target audiences read, saw or heard the information and if they did whether it
influenced their attitudes or behavior.
 POSITIVE/ NEGATIVE ANALYSIS
In attempt to provide qualitative assessment of editorial media coverage PR practitioners
accepted that negative publicity was unlikely to achieve objectives and began to categorize
media coverage in terms of positive, negative or neutral. This was done based on the belief that
positive coverage supported clients or employers objectives while neutral coverage at least raised
awareness. However this runs into 2 major challenges:
1. It involves a high degree of subjectivity,
2. Sometimes positive articles may appear in media which do not reach the client’s
target audience or which while generally positive may not contain the client’s key
messages. Also the articles may be positive but not strategically important and thus
do not contribute to achieving a client’s objectives.

 MEDIA CONTENT ANALYSIS

Media content analysis is a growing area of public relations research for evaluating publicity and
offers a more reliable and relevant method of evaluating the effectiveness of media coverage.
While systems vary, most rigorous media content analysis systems measure:
1. Total circulation or audience reached;
2. Target audience or market reach/penetration;
3. The extent to which key messages were communicated;
4. Share of voice compared with competitors or others.

In simple terms, communication is about getting your key messages to your target audiences –
preferably better than competitors do. That is what PR needs to focus on and what PR research
should address.

BILLING OF A PR AGENCY

It is the bread and butter of an agency. PR agencies are doctors and lawyers, professional who
diagnose a problem and dispense their skills and expertise on a time cost basis. They charge by
the hour or motnthly retainer ship and sall projects or events are then billed at cost or on a total
turn-key basis.

Case: At Contact corporate communication they prepare a contract based on the needs of the
client. Sometimes if the client is not media savvy then the public relations agency provides
media counselling to the client. For this they charge an additional amount to the client.

The scope of the billing is generally decided before hand. E.g.: The PR agency may charge for
the STD, ISD calls, traveling separately if the PR activities are on a broader base.

ROLE OF PR TO ESTABLISH AND DEVELOP CORPORATE IMAGE

 CORPORATE IDENTITY

Every individual, every business or nation has an identity. For most of us, as individuals, it
emerges naturally. Just as the way we speak, dress, behave, just as much as what we say and do,
consciously or unconsciously, expresses what we stand for and believe in as individuals, in the
same manner organisations too express themselves in a variety of ways. It accumulates over a
period of time and is a sum total of the company's history, philosophy, ethical values, ownership,
people, technology and performance.

Ideally the corporate identity reflects the inner truth about the organisation. It is the
coordinated and consistent projection of everything an organisation stands for. Corporate identity
is not reflected merely by visual elements but nevertheless, it is often readily identified through
visual signs and symbols. Because, the visual expression tends to encapsulate with imagery what
the company holds to be its essential belief and philosophy.

As organisations grow large, complex and increasingly impersonal, most of them feel the need to
develop a distinctive identity in order to provide them with a competitive edge in the market
place. The desire to seek a new identity may arise out of dissatisfaction with the current identity
or even an absence of any consciously created identity. Diversification, entry into a new field,
mergers and acquisitions, major technological changes can all be reasons for the creation of a
new identity. This desire to be different, to stand out from the crowd, is one of the many vital
measure to survive and grow in this fiercely competitive world.

The need for developing a strong corporate identity has been further felt owing to the
weakening of brand loyalty. A considerably shorter life-cycle of an average product in today's
market has forced the companies to reposition themselves. If a company has a definite public
perception, it is likely that it will also have a definite market slot.

A corporate identity is also a method of expressing a body corporate in human terms. In essence,
it communicates the style of management and the spirit of the working culture within the
organisation. Successful companies like ITC and Tatas have distinctive identities borne out of
long and widely-held beliefs and values. But identities require to be relevant to the new business
strategies. Identities, therefore, call for constant review.

CORPORATE IMAGE

Some people seem to get confused between corporate image and corporate identity. Corporate
Identity is a matter of physical recognition while Corporate Image is a matter of mental
perception. Corporate identity can contribute to corporate image.

A corporate image develops out of a company's corporate identity and, as a result of people's
knowledge and experience of the company. The organisation can seek to influence this image, it
cannot control it. Vic Markham describes corporate image in these words: "Everything we buy
helps us express our personalities; helps us to say to the world around us: 'This is the kind of
person I would like you to think I am.' We buy products to assist us in this projection of our
personalities. In effect, we see the mirror image of ourselves in the product we buy. Image is a
reflection of that personality. Corporate bodies project recognisable personalities and people
choose between competing brands very largely because the brand reflects their own
personalities. Corporate identity, on the other hand, is how one identifies ourself: on one's
advertising, on the packaging, on the van sides so that a symbol or logo can be a part of the
corporate identity." To sum up therefore, corporate image is what people think about an
organisation and corporate identity is how people identify an organisation.

An organisation will have a corporate image whether or not it has made conscious efforts to
manage a corporate identity. Since the image is going to be present anyway, it is now universally
accepted that organisations should make an effort towards the development of a favourable
image through the projection of the chosen corporate identity.

Creating the desired corporate image is not just a matter of giving a face-lift to the company's
otherwise sagging identity. It is a matter of firm commitment to a corporate life-style and culture
in policy and action. The organisation has to address itself to a variety of publics. Quite often,
they have mutually conflicting expectations of the organisation and as a result, they may
interpret the message from their particular point of interest. The corporate image, therefore, has
to be consistent among all its operation and all its audiences. Hence, the management of
corporate image has to be a constant and all-encompassing process.


CORPORATE COMMUNICATON

“Corporate communication is the process that makes the corporate identity visible in concrete
terms.”

But corporate communication is not an option. It is happening to all companies all the time,
sometimes haphazardly and often without real planning. It has also been described as a process
that translates corporate identity into corporate image. The role of communication is crucial in
the entire process because without communication the values and strategies of an organisation
will never be understood properly. Corporate communication includes virtually the entire range
of its interaction with the society; from the way telephone calls are answered to the way video
films are made.

“Corporate communication cannot overnight turn a poor company into a successful one.”

It can only ensure that it conveys a consistent and credible message of what the company is, what
it does and how it does it by trying to synthesize the messages it transmits.

The visual projection in corporate identity is derived from the fact that it not only helps internal
cohesion but it plays a large part in showing to the outside world what the company is like and
how it can be expected to behave. Indeed a distinctive visual communication programme is one
of the most prominent and marketable corporate assets; without it, ready acceptance of even the
most superlative product may be difficult. It can provide a focus for a consistent message to all
the external publics.

Institutional Advertising or Corporate Advertising
The main aim is to build a positive image for the firm in the eyes in internal and external public
in institutional advertising. It does not attempt to sell anything directly. However, it does a lot of
good to the organization as a whole. It forcefully tells how the organisation is a socially
responsible institution. It also tells about the nationalistic learning’s of the organization. It shows
how its actions are consistent with overall national objectives like environmental protection,
employment generation, literacy, loss prevention, health for all etc. It is integrated to public
relations function of the organisation.
Institutional advertisements may be addressed either to consumers or other groups like
government, suppliers, financial institutions etc. Effective institutional advertising evokes a
positive response amongst the target group and creates goodwill. Institutional advertising may
introduce products indirectly or may introduce the sales people indirectly. Glaxo’s advertising on
child health may make doctors favourably inclined to meet its medical representatives.
Institutional advertising like product advertising can be in formative, persuasive or reminder-
oriented.
It's objectives is of institutional/corporate advertising are:

To make the company known.
To make its products/services known.
To make its achievements known
To make its values known.
To make socio-political/economic/moral statements

Case: Philips hosts the second 'India Retail Summit'
100 retailers from the Consumer Electronics industry attend India's one and only summit on
trends in the Retailing sector.

July 22 2002, Mumbai: The Consumer Electronics Division of Philips India Limited, in
association with leading global retail consultants, KSA Technopark hosted the 'India Retail
Summit' - 2002', for 100 top Consumer Electronics Retailers, from across the country, on 21st
and 22nd July 2002, in Mumbai. The 'India Retail Summit' was organised, for the second time in
successive years, after it was launched in July 2001.
The theme for the 'India Retail Summit - 2002', was "Retailing for the New Millenium". Besides
high pitched discussions on "How to improve the Consumer Electronics Retailer's business" in
India; sessions on 'International Retailing trends', 'Regional Trade Evolution' and the 'Human
Resource aspect to Retailing' were some of the key attractions at the two days India Retail
Summit 2002.

The top 100 Retailers of Philips were enthusiastic participants, who witnessed the coming
together of leading national & international experts on retailing, as Philips aimed to address
issues of critical importance to the current and future business of retailers both with respect to
general trends and specific operational issues.

The tone of the day was set by Mr. Alan Sparks, who was addressing such a major platform on
retailing for the very first time in India after taking the reins of Philips as its new Regional
General Manager, Philips Consumer Electronics (PCE), Asia Pacific, Middle East & Africa.
After inaugurating the Summit, in an insightful special address, he commended the major
changes witnessed by our markets in the last few years and how closely these changes matched
developed markets on most parameters.

Earlier, while opening the Summit, Mr. Rajeev Karwal, Senior Vice President, Consumer
Electronics, Philips India, said, "After being the first Consumer Electronics company to initiate
an interactive session on Retailing trends for its dealers, by launching the 'India Retail Summit'
for the first time in India, in July 2001, Philips has reiterated its commitment towards its valued
trade partners by once again inviting them to be a part of the 'India Retail Summit' experience in
2002. We believe that exposure to current and future retailing trends in India and internationally,
will help broaden our trade partners' approach of looking at his business, and in the process
generate a win-win relationship for the Retailer as also Philips".

Mr. Raghu Pillai, President & CEO, Retail Sector - RPG Enterprises, focusing on The Retail
evolution in India and the emergence of various formats across various categories, said, "The
hypermarkets, supermarkets, mass merchants, Departmental stores, exclusive stores, specialty
stores, are all emerging. Each has its own role to play and a value proposition for the consumer.
This has been a good initiative by Philips to share learnings across the retail segment with it's
channel partners"

Mr. Rajan Chibba - Managing Director, KSA - Technopak provided a few valuable insights on
the 'Step-by- Step' approach to 'Better Retailing'. Providing an overview of what retailing entails -
an end-to-end macro view, Mr Chibba said, "Retailing is complex. Anybody who is a retailer or
understands retailing will appreciate what it means to ensure that the consumer gets what he
wants, when he wants in the store." On the Philips India Retail Summit 2002 he said, "This is our
second year of association with Philips on this platform, and, seeing the response this year round,
we feel that the India Retail Summit would be an important date on the calendars of retailers
from here on"

The Importance Of Operational Excellence And Other Key Success Factors Of Retailing was an
interesting talk by Mr. B. Nagesh, CEO & MD - Shoppers' Stop. He shared with the CE retailers ,
what it takes to achieve operational excellence in retailing and its importance. "It's pleasing to see
a leading brand like Philips working hand in hand with its trade partners to imbibe best practices
followed globally in the retail industry" said Nagesh.

Case: Pantene unveils 'Shine Morning to Night' campaign
Pantene, the world's largest selling shampoo from Procter & Gamble conducted a consumer
research on identifying the top hair needs which revealed that Indian women rated 'Shine' as the
No.1 hair attribute.
August 26, 2002, Mumbai: Research further indicated that the major cause of dull hair that lacks
shine is weakness of hair, misalignment and roughness. Pantene's unique Pro-V formula has been
researched and identified as one of the best solutions to achieve long-lasting hair-shine, because
it penetrates dry strands better, smoothens roughness, reduces frizz and fly-aways thus making
hair smooth, straight and polished. Supporting the research, Pantene unveiled the launch of
"Shine Morning to Night" campaign that has two exciting components to it; The MTV "Shine
Your Soul" contest which has diamonds worth Rs. 12.5 lacs to be won and the launch of 'Pantene
Shine Booths' across the country that helps to achieve shine that lasts from morning to night.
Complementing the "Shine Morning to Night" campaign P&G has launched Pantene Shine-
Meter, a unique device that measures the level of hair shine, followed by a recommendation from
the Pantene Beauty Assistant on the right variant of Pantene shampoo. To help consumers attain
long lasting hair-shine, the Pantene Shine Meters will be covering 30 cities across India through
Pantene Mobile Vans and Pantene Shine Booths. The Pantene Shine Booths will be set up at
more than 1100 leading retail stores across the country for the next six weeks.
The "Shine your Soul" contest with MTV gives consumers an opportunity to win an exquisite
Diamond Necklace and 19 diamond sets from Inter Gold. All Pantene users are eligible to
participate in the MTV 'Shine Your Soul' contest by answering the simple question - "What gives
you a Shining personality" (a) Wealthy Mind and Wealthy body, (b) Healthy mind and Healthy
body and (c) Stealthy mind and Stealthy body.
Commenting on the Pantene "Shine Morning to Night" campaign, Mr. Rahul Malhotra, Brand
Manager, P&G India said: "Only hair that is healthy can have long lasting shine. Pantene's
unique Pro Vitamin B formula strengthens hair, smoothens roughness and leaves hair looking
shiny from morning to night. We have tied up with MTV and Intergold for the "Shine your Soul"
contest to communicate Pantene's ability to deliver long-lasting shine, through the simple analogy
between diamonds and shine."
Said Ms. Neha Dhupia, Miss India-Universe'02, at the launch, " With the everyday pollution hair
is exposed to and the routine hustle-bustle, there is very little time to invest in your hair and
possess dream hair that shines 'Morning to Night'. But truly, Pantene with its remarkable range of
shampoos; Smooth & Silky, Volume & Fullness, Balanced clean, Anti-Dandruff and Lively
Clean offers the right shampoo variant for every hair type and gives hair that shine all day long".
All Pantene shampoo variants are available at Rs.61 for the 100 ml pack and Rs. 117 for the 200
ml pack. Procter & Gamble Home Products, India also has in its portfolio, Head & Shoulders'
Shampoo in three variants; Smooth & Silky, Refreshing Menthol and Clean & Balanced, Ariel
Total Compact, Tide detergent and Gain Super Soaker.
Procter & Gamble Worldwide has in its beauty-care basket, brands like Vidal Sassoon, Pert Plus,
Pantene, Head and Shoulders, Rejoice, and Physique in Hair care; Olay Skin Care and
Cosmetics; Max Factor and Cover Girl cosmetics and fragrances from Hugo Boss.

Case: Amway to use corporate ad campaign in India to communicate
25 October 2002

Mumbai: Amway India Enterprises, the multilevel direct marketing company, which has grown
into a global multibillion corporation exclusively by word of mouth publicity, is now planning to
use corporate advertising to communicate to its customers, though in a limited manner. And India
is the first country where the company plans to use the mode of advertising.
Amway India managing director and CEO William Pinckney says: “Amway is growing fast in
India and corporate advertising at this stage will be beneficial to its distributors, prospective
distributors, customers and prospective customers. It will also add to the increased awareness and
appreciation of the company.”
He emphasises that it would not have a real change in Amway’s communication strategy. “The
company still relies mainly on the word of mouth, and the ad campaign in India is a low-key
affair.”
He says Amway’s ad campaign focuses on the business opportunities thrown up by the company,
its corporate values and commitment. “More importantly, ads mention very distinctly about one
of its important unique selling points, which is the 100-per cent customer satisfaction or money-
refund policy commitment towards India is found necessary if only to supplement the efforts the
company’s distributors continued to put in.”
The ad campaign, he feels, will enhance the receptivity of Amway products, and with it the
business opportunities, and enable distributors to reach out to a much larger audience and much
faster.
Amway India clocked a turnover of Rs 553 crore in the year ended 30 September 2001 and is
targeting a turnover of Rs 700 crore for the coming year. From a six-product company ii 1998,
the company now sells 33 products through 3 lakh distributors and is present in four categories -
personal care, home care, nutrition and cosmetics.
Amway India is a wholly owned subsidiary of Amway Corporation and was established in
August 1995 after getting approval from the Foreign Investment Promotion Board. The company
commenced commercial operations on 5 May 1998.
The company manufactures all its products in India through three third-party manufacturers. Till
now, it has invested in India in excess of $35 million, of which $6 million is in the form of
foreign direct investment.


Case: Daler Mehndi to paint for quake-hit
New Delhi, February 24
Popular crooner Daler Mehndi, who becomes a livewire performer with a microphone, will try
his hands with a painting brush for the sake of earthquake victims in Gujarat.
The Punjabi pop singer will be the chief guest at an on-the-spot painting competition for
schoolchildren being organised tomorrow at Aadharshila Vidyapeeth School, Pitampura in West
Delhi.
Organisers of the programme informed that famous painter Jatin Das would grace the occasion as
the guest of honour. The canvas to be painted by the two celebrities will later be auctioned and
the proceeds given to the quake-hit.
In the competition, being jointly organised by Aadharshila Vidyapeeth School and Archies,
children from class II to VII have been invited to participate