Promotion is dead. long live pr - pr
Although I still consider there is a place for publicity as a brand maintenance or brand assertion tool, I am converted that to build a brand today, you need PR. At one time marketing did build brands. But this was in a simpler America. That America, sadly, is no more.
I've been re-reading The Fall Of Marketing & The Rise Of PR, by Al and Laura Ries, and it is their book that has moved me from distrust of advertising's demise as a brand-builder to conviction.
As the Ries' say, "Publicity is the nail, marketing is the hammer. " What does this mean? It means that your PR attempt helps make your letter believable so that your marketing will have credibility when it hits.
Typically, companies want to hit the marketplace hard and make a lot of noise. Marketing allows you to launch quickly, be in command of the message, and have your idea in as many media as you have the money for. However, that does not mean your letter will be believed. The louder advertisers yell, the less expected I am to deem them. How about you?
PR takes time and does not inevitably work on your schedule. Planting new ideas or altering minds is a slow process. When your PR code rolls out over a longer episode of time, prospects have time to alter their attitudes. Brands that take this accost are longer lasting, too.
Chevrolet, for years the digit one auto brand, was still amount one in ad costs in 2001. It spent $819 million dollars - 39 percent more than Ford spent. That year, Ford outsoldevrolet by 33 percent. Since 1997, Chevrolet has outspent and undersold Ford. Chevrolet spends $314 per vehicle and Ford spends $170 per vehicle. Do you think marketing is effective for Chevrolet?
Kmart, entangled in fiscal exertion for years, had revenues of $37 billion and spent $542 million on US promotion in 2001. Wal-Mart spent $498 million and garnered four times the revenue: $159 billion split amid its Wal-Mart and Sam's Club stores. The be an average of Wal-Mart store does $46 million in sales each year while its Sam's Club be in the region of store sells $56 million. Sam's Club does approximately no advertising.
Those are old brands, you're saying. What about some newer brands, Harry?
OK, let's look at Pets. com. Commit to memory the dog sock dummy that starred in their commercials? It won awards, but not sales. In six months Pets. com had $22 million in revenues and spent four times that much on advertising. Off-base marketing ingenuity at work.
The Body Shop was built fully by publicity. No promotion at all. Starbucks, until recently, did almost no advertising. It has built a brand all through good PR efforts. Starbucks' once a year sales are about $1. 3 billion, while promotion expenditures over 10 years, have totaled less than $10 million.
Finally, what marketing charity do you know that has built its brand with ads? Equipment that make you go "hmm. "
Harry Hoover is organization principal of Hoover ink PR, http://www. hoover-ink. com. He has 26 years of encounter in crafting and delivering base line mail that make sure accomplishment for acute businesses like Brent Dees Monetary Planning, Duke Energy, Levolor, New World Mortgage, North Carolina Tourism, VELUX and Verbatim.
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