The Flipside by Alternative Strategies

Advertising vs. Public Relations – What’s the Difference?

If you are trying to promote your company and have been looking into the different options, you may have questions about advertising and how it’s different from public relations. Even though the two fields are commonly confused as being one and the same, that couldn’t be further from the truth. Here you can find out what the differences are and sort out which approach will work best for your business.

   1. Paid or Free
           With advertising, the company pays for ad space, whether it’s for print television or radio. You will know exactly when the print ad will be published or when the ad will air.

           With Public Relations, editorial coverage in the same mediums are presented in a different format and, for the most part, out of your direct control. The role of the public relations professional is to present the company to the media in a way that is conducive with the desired company image and reaches the target audience. This type of coverage is unpaid to the outlet. That’s right, free! Unfortunately, you have little to no say of where and when it will be placed.

   2. Targeting Your Consumers
           When a consumer sees an advertisement, they know that they are trying to be sold a product or service. Many times, consumers pay less attention to ads because they know there is a selling message within the ad, and they aren’t interested in being “sold.”

           Through public relations efforts, an article is written about a product or service and comes from a third party source -- the editor or writer. Consumers view this type of product or service push differently from an ad, because it has credibility behind it. It’s more like a suggestion instead of a sell. Many times the editor or writer is well-respected and well-followed, this is especially true in the world of “food and restaurant” public relations.

  3. Placing an Ad or Creating a Hook
           When pacing an ad, you have control over where it is placed and are able to direct it to your target audience accordingly.

           With public relations, you must have an angle or hook for your story that pertains to the outlet’s readers, viewers or listeners. Sometimes this means tailoring your message for different target audiences.

   4. Endurance
           Since you pay for advertising you can run your ad over and over again for as long as you wish. Ads generally have a longer shelf life than a public relations piece.

           When a company has something newsworthy that gains public relations coverage, the story will be picked up by various media outlets, but they will only run the story once. An editor won’t publish the same story 2 or 3 times in their magazine. However, getting the extra mileage from PR exposure is becoming more and more attainable with the advancement of social marketing and outlets like YouTube, a personal blog or social networking page to post your PR exposure.

   5. Promoting Your Special Event
           If your company is holding a special event or has decided to sponsor one, you could take the road of placing ads to announce the event, or you can go the route of public relations. Placing ads, especially when you are a sponsor, may seem like you are giving yourself a pat on the back, which isn’t good for your company's image.

           With public relations efforts, the event can be presented to the media as the place to be! A feature about the event that creates buzz in the community is priceless; it will get people interested and excited to participate. Many times, publications and TV stations send a person to cover the event and they will report on it after the fact. This will help generate even more exposure for your business.

The decision is yours. Start by deciding the outcome you’re looking to achieve. Is it a consistent message from your company’s “voice” or the power of a strong editorial that will send dozens of new customer’s in your door? Who says you can’t create an award-winning mix of the two?!

Marketing in a Down Economy

It’s not shocker that these tough economic times have put a tight squeeze in most budgets. Managers in every business, in every industry, are looking for great ways to save some money in their budgets, without losing precious profits. Understandable. There are some places, though, where there is prime opportunity for cutting your budget, increasing visibility and, ultimately, increasing sales.

Take it from Warren Buffet. The multi-billionaire recently poured $5 billion into Goldman Sachs, then went on to invest $3 billion in General Electric. He knows that now is the time to buy cheap and bank big. This includes your advertising.

With tight budgetary pressures, businesses are cutting back on marketing expenditures. This is good news for savvy business owners who are looking to invest in their business’s success. For starters, it means that there are few competitors taking up your ad space. With many business abandoning marketing efforts to help meet their bottom lines, there are fewer competitors passing by your audience’s eyes. That means any marketing initiatives you make will end up being more effective. Why wouldn’t you want to advertise when there are fewer competitors visible?

Beyond the lack of competition that the down economy presents, there is the added benefit of more affordable advertising spaces. As media outlets scramble to attract advertisers, they are willing to accept lower fees than what they typically do. As an example, I recently purchased a full-page advertisement in a regional magazine at a fourth of the price it sold for a year ago. A fourth of the price! While that example may be a bit extreme, it’s representative of advertising sales trends throughout the U.S.

More than the lack of competition and the advertising steals you can find today, there is also something valuable going on inside the heads of consumers. As individuals look for ways to save money, their brand loyalties are being challenged. They are willing to try new products or services if they think they will be more economical. Creating a sense of need is all it takes to get shoppers to consider your product or service as the cost-effective alternative to their current brand loyalties.

Fewer competitors, advertising bargains and consumers’ finicky brand loyalty combine to create the perfect opportunity for you to market your business during challenging economic times. There’s no better time than now to put good marketing to work to sustain and grow your business.

Maximizing Referrals

Referrals are a good way to increase your client base. Some of our biggest revenue-generating clients came from referrals. But referrals don't just fall into your lap. They take time and energy, just like any sales process. If requested the right way, referrals will prove to be well worth the effort.

When you get a referral from someone, chances are they know the person who you are being referred. This gives you credibility that a cold call can't - at least not right away. Asking for a referral from your existing clients is a good place to start. Your current clients already know your work ethic, trust you and act as great testimonials. Don't wait for them to refer you; you aren't always on their minds. Ask them directly for a referral, all the while thanking them for being a great client. This will create better results for you.

Asking for Referrals

When I ask for a referral, I ask for a specific request. For instance, "Do you know any wedding planners with a great website that could use some media exposure?" This offers some assistance in thinking of someone specific, as opposed to asking for "anyone you know." If you are like me, you know a lot of people. So get specific when you ask.

Prospect Your Prospects

Have you ever built rapport with a prospect and found that you become pals, but never business partners? I have. And I have found them to be great resources for referrals. Just because someone doesn't become a client of yours, doesn't mean they can't recommend someone who ends up being one. It doesn't mean they don't like you or your company if they don't sign. It could just be the timing. Don't be afraid to ask a prospect you are chummy with for a referral.

Referral Incentives

Another way to get more referrals is to offer an incentivised referral program. We use $100 gift cards to local restaurants for every referral that becomes a signed client. Who couldn't use one of those? Sending out a reminder about your incentive program every couple of months will remind your clients and prospects that it is out there.

The Importance of Public Relations

Public Relations is all about knowing how to get your name out there!

In this highly competitive market, image is everything. The image presented by your company, if strategically planned, can serve as a huge complement to your marketing efforts and give you the
most return on your investment.

PR practitioners serve as advocates for the organizations they represent. They inform the public about the goals, programs, products and issues associated with the organization. Having a PR plan that strategically places your product or services in the public eye is key.

Many marketing strategists argue that PR has become the most effective way to build a brand, beating out advertising and marketing efforts. Well-known brands such as Play Station and the Harry Potter book series spent little time or money on name-brand advertising. Instead, they achieved success through public relations efforts.

So, how can PR help your business? Here are four questions you should answer to help you set up a compelling PR campaign:

    1. What is PR? It is always a good idea to have a clear understanding of your task at hand. Public relations is simply accurate, consistent and timely communication that conveys the right message to the right audience.
   2. Who is my audience? Take the time to find out who your audience is, this includes people who have any interest or stake in your business. This can include many more individuals than your current customers. Look at local media, surrounding communities and your competitors for ideas.
   3. What is my PR plan? A complete plan should consist of some basic elements including: your objectives, your key message, how you want to position your business and a strategy on how you plan to accomplish your objectives. Keep in mind that you want to send the message that you are the best. Show viewers that what you are offering is different from anyone else.
   4. Have you developed relationships with the local media? The media are always on the lookout for new stories, different angles and established experts. Contact them frequently and make them aware of what you can offer them and what your business is all about.

Social Networking in Plain English

Design for Your Customers, Not You

Your company is your baby. You want to build it, create it and design it the way you envisioned. The picture in your head is what your company is going to be! It is true that you have the ownership, but often times, you should think about what customers will experience.

   1. You Are the Creator!

Who else knows your company better than you? Viewing from the owner’s eye, there might be a lot of obstacles keeping you from creating the aesthetic appeal you want. It is time to find your edge and bring it to the experts. We can take your vision to the next level and to a place that you will make you say, “Wow!”

   2. Choosing the Right Customers

Understanding your company is one thing, but knowing your customers is what you should focus on. This is what separates you from the rest of your competitors. Tailor your image to those who care the same way you do about your company. As a first step, analyze your main audience, their lifestyle and background?

   3. What Makes Your Customers Tick?

Running a business is not easy. Customers are always looking for added incentives. Small things can create memorable experiences for your customers and encourage them to spread the word about your company – the power of word of mouth. A sweet message and note card on a plate, lighting a candle to create a harmonious environment or brightening the room with decorative lighting can all work to make unique experiences for your customers and help your company stand out.

  

4. Presentation, Presentation, Presentation!

Once you understand who your customers are and what they like, you want everything to be perfect! Creating the right tone on a promotional piece – contemporary, high-tech, progressive, fun or sexy - is key. What color attracts your customers the most? What is the message you want to deliver to them? Finding the perfect partner or group to work with can help you create the presentation pieces you need to take your business to the next level!

By Jane Wong | Creative Director

Twitter for PR (Public Relations)

Twitter for PR (Public Relations)

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