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Pg. 10Burson-Marsteller fightsFacebook backlashPg. 13Health pros blastMcDonald’s marketingCommunications & new media June 2011 I Vol. 25 No. 6<strong>INTERNATIONAL</strong>& <strong>MULTICULTURAL</strong> <strong>ISSUE</strong>Global PR networks growpg. 18overseas, shrink at homeTravel tips for PR prospg. 12Minority market research:pg. 27 a brief historyHas outreach to Hispanicaudiences failed? pg. 26SPECIAL REPORT: Mutiny at the IPRA boardJ u n e 2 0 1 1 | w w w . o d w y e r p r . c o mHow to start a multicultralmarketing practice pg. 28


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Vol. 25, No. 6June 2011EDITORIALHijinks smirch IMF’s “austerity” image. 6BETTER PR IS LESSON OFJAPAN NUKE CRISIS 8A recent British study cited a need forbetter <strong>com</strong>munications as one takeawayfrom Japan’s Fukushima nuclear disaster.ORBITZ ASKED TO DROP ADSFROM FOX 9Gay rights groups have askedInternet travel giant Orbitz to stop runningads on the Fox News Network.10BURSON BECOMES TARGETIN FACEBOOK FLAPBuson-Marsteller’s recent PRwork for Facebook notoriously backfiredafter they were discovered to be thesource of an op-ed critical of Google.IPRA MEMBERS CHARGEBOARD WITH ABUSES 11IPRA members claim the boardwrongfully elected its president and terminatedboard members, among other charges.12TIPS FOR THE TRAVELINGPR PROFESSIONALEtiquette and cultural sensitivityare paramount when developing or workingon a PR project overseas.13MCDONALD’S SHOULDCHANGE MARKETING PLANHealthcare pros took out full-pageads asking McDonald’s CEO Jim Skinner tostop marketing “junk” to children.14NEWSWIRES’ ROLESUNCERTAINA recent survey of U.S. journalistsfound that almost no journalists want pressreleases from <strong>com</strong>mercial newswires.16FIVE SUBJECTS THEY DON’TTEACH IN PR SCHOOLUnfortunately, some of the bestand most useful tricks in the PR tradearen’t being taught in the classroom.17LINCOLN CENTER’S PRHEADACHENew York City’s Lincoln Centersaw a PR backlash when it dedicated thetheatre to longtime donor David H. Koch.18GLOBAL PR NETWORKSSHRINK IN U.S.As PR reaches into uncharted foreignterritories, each of the “big four” globalnetworks now reveal fewer U.S. partners.20232627COLUMNS32333435382011 PARTNER LIST OFGLOBAL PR NETWORKSPROFILES OF GLOBAL PR FIRMS<strong>MULTICULTURAL</strong> MARKETING:AN EVOLVING HISTORYSpecial care must be undertaken tounderstand a nationality, ethnicity or minoritygroup before implementing a survey.THE WHY, HOW AND WHAT OF28 <strong>MULTICULTURAL</strong> MARKETINGWhen it <strong>com</strong>es to enacting a multiculturalpractice, some <strong>com</strong>municators may not know whereto start.30HISPANIC SOCIAL MEDIAEFFORTS NOT DOING ENOUGHRecent outreach efforts to woo the50-million-member Hispanic market have notreached their target.PROFILES OF <strong>MULTICULTURAL</strong>PR FIRMSWASHINGTON REPORT36PROFESSIONAL DEVELOPMENTFraser SeitelGUEST COLUMNWes PedersenGUEST COLUMNRichard NicolazzoGUEST COLUMNBill HueyPR BUYER’S GUIDEJanuary: Crisis Comms. / Buyer’s GuideFebruary: Environmental & P.A.March: Food & BeverageApril: Broadcast & Social MediaMay: PR Firm RankingsJune: Global & Multicultural1317EDITORIAL CALENDAR 2011www.odwyerpr.<strong>com</strong>Daily, up-to-the-minute PR newsJuly: Travel & TourismAugust: Financial/I.R.September: Beauty & FashionOctober: Healthcare & MedicalNovember: High-TechDecember: Entertainment & SportsADVERTISERSCOMUNICAD..............................................17 OPEN CHANNELS GROUP.......................13DAE ADVERTISING.....................................9 OMEGA WORLD TRAVEL..........................15FLOWERS COMMS GROUP.......................8PR NEWSWIRE............................................5IMAGES PUBLIC RELATIONS...................19RL PR..........................................................11LOG-ON........................................................7KEF................................................................3 RUDER FINN..........................BACK COVERNAPS....................................INSIDE COVER TV ACCESS................................................33O’Dwyer’s is published monthly for $60.00 a year ($7.00 for a single issue) by the J.R. O’Dwyer Co., Inc., 271 Madison Ave., New York, NY 10016. (212) 679-2471; fax: (212) 683-2750. Periodical postage paid at New York, N.Y., and additional mailingoffices. Postmaster: Send address changes to O’Dwyer’s, 271 Madison Ave., New York, NY 10016. O’Dwyer’s PR Report ISSN: 1931-8316. Published monthly.


EDITORIALTales of sexual hijinks smirch IMF’s “austerity” imageThe Washington, D.C.-based International Monetary Fund is supposed to be an organizationof strait-laced numbers-crunching economists dedicated to restoring sanity tothe globe’s financial system. That nose-to-the-grindstone image was forever shatteredlast month when news broke that IMF Chief, Frenchman Dominique Strauss-Kahn, wasarrested in the first class cabin of an Air France plane at New York’s JFK Airport forallegedly attempting to rape a chambermaid at his $3,000 a-night suite. He 62-year-oldStrauss-Kahnwas humiliated via a “perp walk” and then unceremoniously tossed in jail atthe notorious Riker’s Island lock-up. New York tabloids rightly feasted on the misfortunateof the haughty Frenchman. Photographers snapped unflattering pictures of the unshavedStrauss-Kahn, which sent shudders down the spine of the chattering classes of France, agroup that long tolerated the womanizing ways of their perhaps future president. The pixalso did the IMF no good.The sordid mess opened a nasty can of worms. The WallStreet Journal huffed that there was little new in the matterbecause insiders knew of the frat-house culture that ruled theIMF. While the arrest of the now former IMF chief is themost recent “black mark,” the Fund “chose to overlook”Strauss-Kahn’s previous sexual adventures, reported theWSJ. In 2007, it gave Strauss-Kahn a “wrist slap” after adumped husband blew the whistle on an affair the then newlyminted managing director was having with his wife. TheFund’s board determined that Strauss-Kahn <strong>com</strong>mitted aserious of judgment errors. In contrast, the Journal pointedout that IMF’s sister organization — the World Bank — gaveits then-President Paul Wolfowitz the boot after news brokeDominique Strauss-Kahnthat he helped get a raise for his girlfriend.Strauss-Kahn’s legal team informally reached out toWashington-based TD International for counsel, according toa report from Reuters. William Green, a former U.S. diplomatposted in Geneva and Paris, founded TDI in 1999 to provide discreet and strategic crisismanagement expertise to <strong>com</strong>panies, non-governmental organizations and wealthyindividuals. Before TDI, Green served as President of Parvus International, a businessintelligence outfit.TDI has a history with DSK. He hired the firm in 2007 as his U.S. <strong>com</strong>municationsresource to help guide the former French government official’s quest for the top spot at theIMF.Lousy damage controlThe IMF attempted to sweep the latest Strauss-Kahn embarrassment under the rug. Itissued a skimpy 46-word statement on May 15 about the arrest of its leader to assure theworld that it “remains fully functioning and operational.” That business-as-usual attitudewas torn to shreds by a New York Times (May 20) article with the headline “At IMF, Menon Prowl and Women on Guard.” It depicted the IMF as an institution run by “alpha males”where women are subject to sexual harassment. The Times reported that the IMF’s ownrules seem to encourage managers to pursue women who work for them. “Intimate personalrelationships between supervisors and subordinates do not, in themselves, constituteharassment,” says an IMF provision. The Fund tried to regroup following the NYT reportto deny its frat house image. “Harassment is not tolerated in this institution,” said a statementfrom Spokesman William Murray. A new standard of conflict requires that close personalrelationships between a supervisor and subordinate must be reported. The IMF effortwas too little and way too late.The Fund’s global role is supposed to be all work and no play. Boring is good. The IMFgoverns the economic lives of 187 nations that depend on it to keep the global financialsystem operating in an orderly fashion. Lately, the IMF is pushing harsh austerity measuresto punish the so-called economic free-wheeling activities that it believes went on inplaces like Greece, Ireland and Portugal. The IMF calls for pain, not pleasure. Excesses areto be squeezed, not celebrated.IMF staffers are expected to be hard-nosed arbiters, not a pack of lecherous skirtchasers.Tough going awaits the IMF. Embarrassing revelations about the financial bodyare bound to be revealed during the trial of Strauss-Kahn. It will take more than just a newbroom for the IMF to regain respectability. — Kevin McCauleyEDITOR-IN-CHIEFJack O’Dwyerjack@odwyerpr.<strong>com</strong>ASSOCIATE PUBLISHERKevin McCauleykevin@odwyerpr.<strong>com</strong>EDITORJon Gingerichjon@odwyerpr.<strong>com</strong>SENIOR EDITORGreg Hazleygreg@odwyerpr.<strong>com</strong>CONTRIBUTING EDITORSJohn O’DwyerFraser SeitelRichard GoldsteinADVERTISING SALESJohn O’DwyerAdvertising Sales Managerjohn@odwyerpr.<strong>com</strong>Jack FogartyNational Advertising Representativejfogarty@odwyerpr.<strong>com</strong>O’Dwyer’s is published monthly for $60.00a year ($7.00 for a single issue) by theJ.R. O’Dwyer Co., Inc.,271 Madison Ave., New York, NY 10016.(212) 679-2471Fax (212) 683-2750.© Copyright 2011J.R. O’Dwyer Co., Inc.OTHER PUBLICATIONS &SERVICES:www.odwyerpr.<strong>com</strong> breaking news,<strong>com</strong>mentary, useful databases and more.Jack O’Dwyer’s Newsletter An eightpageweekly with general PR news, mediaappointments and placement opportunities.O’Dwyer’s Directory of PR Firms haslistings of more than 1,850 PR firms throughoutthe U.S. and abroad.O’Dwyer’s PR Buyer’s Guide lists 1,000+products and services for the PR industry in 54categories.jobs.odwyerpr.<strong>com</strong> O’Dwyer’s onlinejob center has help wanted ads and hostsresume postings.6JUNE 2011 WWW.ODWYERPR.COM


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SPECIAL REPORTExperts: better PR is lesson of Japan nuke crisisBy Greg HazleyAreport <strong>com</strong>missioned by the U.K.government to draw lessons fromJapan’s Fukushima nuclear disasternamed better PR and <strong>com</strong>municationsas one of four general takeaways from theevent.Although the U.K. is 1,000 miles fromthe nearest fault line, the report, releasedMay 18, found several areas of improvementfor the British nuclear industry andstressed public <strong>com</strong>munications as a keyarea of focus for the country’s 19 reactorsin the wake of Fukushima, noting theJapanese nuclear plant operator TEPCOfumbled its early PR at the detriment ofthe public and its own reputation.“The recent <strong>com</strong>ments over informationrelease by TEPCO and distrust in itsprovenance provide a striking illustrationof why [the U.K. Office of NuclearRegulation] is addressing this issue with<strong>com</strong>mitment and urgency,” says thereport.President Barack Obama has asked theNuclear Regulatory Commission toreview the U.S.’s 104 nuke plants, aswell.The U.K. nuclear industry has made“great strides” with an “openness andtransparency agenda” in recent years,according to the report, but “some stakeholdershave reservations about greateropenness and access to information,based on concerns about the potential formisues by the media or others and possibledetrimental effect on our regulatoryeffectiveness.The report says that while there mustbe some limitations on the release ofinformation because of security concerns,“such reservations should not stand in theway” of more open <strong>com</strong>munication withthe public.W-S touts Japan recoveryWeber Shandwick’s Tokyo officeunveiled a web-centric platform in May toshow “a more accurate understanding” ofthe rebuilding of Japan economy in thewake of the March tsunami and subsequentnuclear disaster which has shakenthe country.The initiative, called “Real Voices, RealJapan,” highlights the views of citizensand business leaders, social media posts,along with photos and video to feature thecountry’s efforts to recover and offer PRadvice the <strong>com</strong>panies with interests in theregion.Japan CEO Akihiko Kubo said the firmhas been issuing a daily “Quake Update”briefing since the March 11 disaster, notingthat the international business <strong>com</strong>munityis “keenly interested” in Japan’seconomic recovery. He said the RealVoices offering is intended to create “amore accurate understanding” of the situationin Japan as a way of supporting therecovery process.Insight from Weber Shandwick staffersoffering a PR perspective is also part ofthe digital endeavor.Senior VP Toshiya Takata said Tokyobased<strong>com</strong>panies, including those unaffectedby the disaster, have been askinghim about how to <strong>com</strong>municate withstakeholders overseas.He wrote in a post on the new site thathe counsels them to use their own mediato stress two points: the <strong>com</strong>pany’s functionalstatus (injuries, casualties, damage)as well as disaster updates and countermeasures.8JUNE 2011 WWW.ODWYERPR.COM


Orbitz asked to drop ads from FoxInternet travel giant Orbitz isbeing asked by gay rightsgroups to pull advertising fromFox News due to alleged bias.By Kevin McCauleyWashington’s FitzGibbon Mediais guiding the launch ofMediaMatters’ DropFox campaigndesigned to pressure advertisers topull ads from Fox News due to what it perceivesas the News Corp. property’s“alarming deviations from the usual standardsof a news organization.”Travel website Orbitz Worldwide is thefirst target as members of three gay organizationssigned a letter to that <strong>com</strong>pany’sCEO, Barney Hartford, to “raise our concernsabout your association with a networkthat advances destructive anti-gayrhetoric.”The organizations, GLAAD, CourageCampaign and Equality Matters, acknowledgethat Orbitz, which also runs a gayspecificsite, has done “great work” in“partnering and catering to the LGBT<strong>com</strong>munity.”They blast Fox for bias “on everythingfrom gay marriage to the repeal of DADT”and conclude that its “coverage is drivenby a political agenda and cannot be consideredan objective news source.”The gay rights groups want Orbitz torethink its advertising backing for Foxbecause that translates into support for an“organization <strong>com</strong>mitted to advancing anagenda that demeans many of your customersand advocates limiting their civilPR Services BriefsGRAYLING SMOKES OUT EUGrayling has picked up a big anti-smoking campaignfrom the European Commission’s Directorate-General for Health and Consumers covering 27nations of the European Union.Huntsworth’s global PR flagship is to handlemedia relations, content development, outreach toconvince adults aged 25 to 35 to quit smoking.Publicis Groupe’s Saatchi & Saatchi handles theadvertising <strong>com</strong>ponent of the <strong>com</strong>munications program.Huntsworth CEO Peter Chadlington believes theMarch win of British Airways business, a threeyeardeal covering 38 countries, opened the doorfor Grayling to scoop up larger mandates.He said in March that the trick is to “convert ourexpanding international pipeline into new clients.The EU win <strong>com</strong>bined with the DHL courier businessin 17 countries is worth nearly $25 million.Huntsworth touts Grayling as the second largestindependent global network after Edelman. It ishelmed by Michael Murphy.rights.”Fox News denies any bias in its coverage.Brian Hoyt, Vice President of CorporateCommunications and Government Affairsat Orbitz, was contacted for corporate reactionto the DropFox effort. He provided astatement in which Orbitz played up itsstrong support of gay rights and its “perfectscore on the Human Rights Campaign’s‘corporate equality index.’”Headquartered in Chicago, OrbitzWorldwide, Inc. has been a leader in theonline travel business since its founding in2001. The site is currently responsible formore than 1.5 million flight searches andone million hotel searches every day. It hasestimated anual revenue of $870 million.Orbitz says its advertising carries an“inclusive message reflective of ourdiverse audience.” It will continue to“respect and serve the needs of all travelersno matter their politics, race, religion, sexualorientation or gender.”The <strong>com</strong>pany noted it “might need toagree to disagree” at times with organizationsthat it supports. JUNE 2011 WWW.ODWYERPR.COM 9


REPORTBurson be<strong>com</strong>es target in Facebook flapThe growing corporate and PR war between Google andFacebook enveloped Burson-Marsteller in May after the firmsaid it took on an assignment it should never have accepted.PR services newsNOKIA PLUGS NEXT FIFTEENThree Next Fifteen Communications GroupPR firms will handle Nokia’s global PR account,following a <strong>com</strong>petitive review.Text 100, Bite Communications and 463Communications have been tapped to guide PRfor the tele<strong>com</strong> in the U.S., U.K. and its homebase of Finland.Ketchum was the U.S. incumbent, whileGolinHarris and Good Relations worked Finlandand the U.K., respectively.Earlier this year, Nokia said it would beadopting Microsoft’s Windows Phone 7 softwarefor its smartphones in a billion-dollardeal between the <strong>com</strong>panies. Some media andanalysts have suggested the pact is a precursorto an acquisition by Microsoft.The episode unfolded in earlyApril after Burson staffersapproached on behalf ofFacebook an Internet security bloggerabout penning an op-ed piece critical ofa Google service. When the blogger,Chris Soghoian, pressed Burson toreveal its client, the firm declined andan irritated Soghoian posted the firm’sentire pitch online.Under pressure from evidence uncoveredby the Daily Beast on May 11,Facebook admitted a few days later thatit was the shadowy client, sparking aflurry of criticism for the social network,PR firm and, in some cases, thePR industry as a whole.Slate’s Jack Schafer sneered: “Assomeone whose regard for the publicrelations industry could not descendbeneath the subbasement it currentlyoccupies unless I used nitroglycerine toerase some troublesome bedrock, I findnothing surprising, shocking, or offensivein what Burson-Marsteller did inattacking Google.”But much of the flame-throwingcame from within the PR industry,itself, and dozens of PR pros took totheir blogs, social networks and the airwavesto expound on ethical PR andcriticize the Burson-Facebook fiasco.“Just as we saw in the Dept. ofEducation/Ketchum matter a few yearsback, this case is as much about attribu-By Greg Hazleytion as ethics,” said Alan Kelly, the veterantechnology PR CEO now in D.C.with Playmaker Systems. “Hadinquiries been answered honestly andimmediately — even proactively —there’d be no PRgate to navigate.” Hedubbed the episode “more a case ofin<strong>com</strong>petence than malpractice.”A particularly stinging critique washanded down from a former top B-Mstaffer in the U.K, Terence Fane-Saunders, the former CEO of the firm’sU.K. operation now chairman ofLondon-based Chelgate.“Quite simply, this is not the way thatB-M would have operated in the dayswhen I knew it well, and I am sure thatit is not an approach which HaroldBurson would have condoned,” he said,noting that the firm’s history helpedestablish PR as an ethic managementprocess and expressing hope that the“furtive and creepy” episode was anaberration.No intent for ‘smear’ campaignUSA Today cracked the story open aweek earlier, on May 6, when it said itwas among the “top-tier media outlets”targeted by B-M to place news storiesand editorials about how Google’sSocial Circle email feature violates theprivacy of users. At the time,Facebook’s identity was still underwraps.A Facebook spokesman said thesocial network hired B-M becauseGoogle is moving into social networkingservices and also because Facebook“resents” Google’s attempts to use FBdata in those services.“No ‘smear’ campaign was authorizedor intended,” Facebook said,adding that it hired B-M to “focusattention on this issue, using publiclyavailable information that could beindependently verified by any mediaorganization or analyst.”Burson said Facebook requested thatits name be withheld on the groundsthat it was “merely asking to bring publiclyavailable information to light andsuch information could then be independentlyand easily replicated by anymedia.”The firm contends that any informationbrought to media attention raisedfair questions, was in the publicdomain, and for the media to verifythrough independent sources.Burson admitted, however, that theeffort was “not at all standard operatingprocedure and is against our policies,and the assignment on those termsshould have been declined.”The client and firm have since partedways.Standard tactic of PRWhile many PR critics piled on theepisode, some were less admonishingand detected an air of hypocrisy insome of the finger-pointing.“I am sure there will be PR practitionerswho join the public lambastingof the PR agency in question in a holierthan thou attempt to position themselvesabove the fray,” wrote ScottFriedman, North American Director forText 100. “The truth, however, is thatanyone who has worked in our industryfor a significant time has probablyengaged in somewhat similar tactics. Itis a regular practice in PR to createfear, uncertainty and doubt about ourclients’ <strong>com</strong>petition.”B-M said the two execs involved inthe campaign — former NationalJournal scribe John Mercurio and ex-CNBC tech correspondent JimGoldman — were to undergo additionalethics training, and all staffers wouldbe reminded of ethical guidelines inplace at the WPP-owned firm.“Op-ed pieces are supposed to springfresh from the minds of their writers,not be prompted by skullduggery,”blogged Pennsylvania PR pro DougBedell. “It’s possible Mercurio mighthave disclosed his client to Soghoianlater. But the damage in terms of thestandards shown by this PR executivehas already been done.PRSA chair Rosanna Fiske, in a rarerebuke of a PR agency, criticized B-Mfor not revealing its client and appearedin a handful of media outlets to tout thegroup’s ethics code.“This reflects poorly upon the globalpublic relations profession,” she toldthe Telegraph. “[B-M] took the road ofmisleading and not disclosing who theywere representing,” she said in the NewYork Times. “In the essence of the publicrelations code of ethics 101, that’s ano-no.” 10JUNE 2011 WWW.ODWYERPR.COM


IPRA members <strong>com</strong>ment on board abusesBy Jack O’DwyerKey board members and past leadersof the International PR Associationhave resigned to protest what theysee as abuses in financial reporting andgovernance including the dissolution May5 of the IPRA Council, the 74-member legislatureof the group.One issue of particular contention is theelection of Johanna McDowell of SouthAfrica as President for 2012. Dissidentsclaim McDowell was wrongfully electedbased on her receiving “40 messages ofcongratulations.”They say her election should be declarednull and void because valid other candidateswere excluded; no secret ballot washeld; the voting software was “corrupted,”and the board ignored <strong>com</strong>plaints ofminority board members about the conductof the election.A number of members are also in openrevolt against the leadership of staff CEOJames Holt, who at one point resigned lastyear. Dissidents feel he should not have thetitle of “CEO.”Holt appears to be back at the helmalthough some members have <strong>com</strong>plainedthat his salary — about $80,000 a year —takes up about 80% of the in<strong>com</strong>e ofIPRA.Board members say they were ignoredThe dissolution of the Council wasdeclared at the May 6 meeting in Brusselsbut there are many members who questionthis action, noting that only the Councilcould dissolve itself.An announcement May 13 by 2011 presidentRichard Linning said the last fiveIPRA presidents, operating under the newconstitution, have submitted its report onthe membership and eligibility for electionof the new governing body and for the conductof future IPRA ballots.Dissident board members, including formerPresident Elizabeth Ananto ofIndonesia Ananto, claim they do not getadequate financial reports. They are alsoupset that Nigel Chism of the U.K. hasbeen treasurer since 2000 when there is afour-year limit for that office.Tempers have flared on both sides of thisdispute resulting in threats of lawsuits andlegal opinions obtained from lawyers. Twodissident directors have been “suspended”from the board for several months as “punishment”for not toeing the line. They disputedsuch suspensions as improper andunwarranted.Among those resigning in protest areformer directors Don Stacks of the U.S.;Jennifer Hardie of United Arab Emirates;Volker Stoltz of Germany and DavidDonahue of Australia, former Councilhead.Poor financial reportingMember services manager ClareCochrane, who was with IPRA more than10 years, was laid off because of budgetproblems, said sources. She was paid fourmonths’ salary and a “<strong>com</strong>pensation” payment.Members say the Council of IPRA, “thesovereign body” of the group according toRobert’s Rules, made up of representativesfrom the 60 or so nations with members inIPRA, is being disregarded and key decisionsare being made by a few board members.A new governing setup places control inthe hands of representatives elected from“regions” rather than individual countries.A new U.K. corporation has been set up tohandle the affairs of IPRA as required byU.K. laws.There are numerous <strong>com</strong>plaints thatdirectors and even officers of IPRA are notgetting full and timely financial reports.Latest figures on the IPRA website are forthe year ended Dec. 31, 2009 and show anoperating loss of £18,277 on revenues of£204,798 including £81,907 cost of salesand £141,168 administrative expenses. Netassets were £319,205, a decline of£16,101.IPRA hurt by mismanagementSome members fear the current crisis atIPRA could spell its doom or bring it to itsknees. It’s in the middle of its biggestmoney-maker, the Golden World Awards.Winners, who paid £230 per entry, willbe announced later this month and awardswill be made at a banquet in the fall.IPRA, whose membership has declinedfrom 1,000 or so to under 500, say seniormembers, has stiff <strong>com</strong>petition from theEuropean Assn. of CommunicationDirectors, a corporate group founded in2006 that now has 1,600 members.IPRA had about 900 members in 2004from 90 countries and had cash of£231,336. Current membership is said tobe about 1,000.Current staff costs, including Holt’s payof about £60,000, consume 80% of totalin<strong>com</strong>e, said memo by director VolkerStoltz of Germany; Srba Jovanovic ofSerbia; Hardie, and Stacks. The memo saiddirectors had been told that Holt intends tostay for another five years. JUNE 2011 WWW.ODWYERPR.COM 11


FEATURETips for the traveling PR proInternational public relations has be<strong>com</strong>e a way of life for<strong>com</strong>municators in the United States. When the opportunityarises to develop a PR plan or supervise a project in anothercountry, etiquette and cultural sensitivity are paramount.You may be in for a big surprise.International PR often has little similarityto the way we practice it inthe United States.In London, the president of a large, prestigiousPR firm called me aside after he’dlectured my students about British PR.“Hey, chap,” he said, “What is the ‘evaluation’thing you yanks do? How does itwork? Can I bill the client more if I workevaluation into the mix?” I gave my newfriend a fifteen-minute lecture on the valueof evaluation as part of the PR mix. WhatI learned in that fifteen minutes is that noteveryone in the world practices PR as wedo in the United States.In Hong Kong, the head of a PR officesaid “we should call it ER, not PR.Emergency Relations is what we do.” Hewas sending emails as quickly as possibleto a newspaper in Korea. He wanted aKorean reporter to correct an error in astory. The reporter insisted the story wouldremain as it had originally been written;the error would remain. The integrity ofjournalist varies from country to country.Don’t expect the type of journalistic excellenceyou find in the United States in everycountry of the world.In preparation for traveling to anothercounty, you don’t need an in-depth knowledgeof the language where you’ll be visiting.However, you do need enoughknowledge of the host country’s languageto show respect. Some of the words you’llneed include: Hello, Goodbye, Thank You,Yes and No.English is a required language in manycountries. Many high school graduatesmay be able to converse with you inEnglish. But, you should arrive in thecountry with a basic vocabulary in order toopen the language barriers.Check with your local university inorder to hire a tutor, who can give you acrash course in conversational language. Aquick review of a college foreign languagetextbook (available in the local bookstore)will bring back some the language youlearned in school.For legal documents and financial agreements, contact the American Embassyfor a translator. The person you hire mayBy David Ritcheynot work in the Embassy but would beacquainted with the Ambassador’s staff.Culture dictates how people behave in acountry. A group of Arab students invitedme to dinner. Out of respect for the food, Iremoved my shoes at the doorway to theroom where the food would be served.Second, we sat on the floor. Arabs do notlet the bottoms of their feet show. Theyconsider the bottom of the foot to be thedirtiest part of the body and it must neverbe exposed. The Arabs wore long robesthat covered their feet. I was wearingslacks and it’s impossible to cover the feetwhen wearing slacks. I removed mysweater and covered my feet with thesweater.We ate family style, with our hands —no knives, forks or spoons — out of a large<strong>com</strong>mon bowl. At the end of the meal, themen left the dining area one at a time.When a man returned to the room, anotherwould leave. I assumed they were going tothe bathroom. Later, one of the men toldme they left to go to a prayer room, whereeach prayed alone.People eat based on what they canafford. In China I was alerted that dog wasusually served with tomato sauce. In aHong Kong market I saw live snakes availablefor the evening meal. The marketoffered slaughtered rabbits.Don’t ask your host, “What is this stuff?”Sneer or not, it’s an insult to your host.You can easily order something thatmight be appealing to you by reviewing themenu and asking questions. Don’t expect ahamburger and fries. You need to enjoynew foods.When working in another country, whopays for what is a delicate issue. You mustbe willing to pay. In truth, you have themoney to pay for the dinners. Avoid theembarrassing moment when the check isbrought to the table. Take the check. Don’tlet this be a problem for you, your host oryour guest.A colleague invited me to tour theCarpathian Mountains. We would travel inhis car, but I was expected to pay for all ofthe food and drink. When it was time toleave, his wife and daughter joined us. Ipaid for everything.The gifts I’ve been given in other countriesusually represent that country. InBeijing, a student, who knew I collectedstamps, gave me a first-day cover of astamp issued jointly by China and Sweden.He remembered my interest and gave mean appropriate gift. If you’ll be exchanginggifts, bring items that are indigenous toyour country. Give practical, inexpensivegifts. Don’t embarrass a host who can’tafford to buy you something expensive.Dress appropriately and conservatively.Don’t wear any clothing with words writtenon them and don’t wear clothing with amanufacture’s logo prominently displayed.These clues readily identify you as anAmerican.Don’t ask about family, spouse, home orlifestyle. Some cultures consider it rude toask about the wife of a business associate.We might innocently ask, “And how isyour wife? What does your wife do?”These fairly innocuous questions may notbe acceptable in another culture.Show respect for what your hosts holdspecial or sacred. Attitudes about religionwill be different than what you’ve know inthe US. I left Westminster Abby followinga worship service. One of the students said,“They certain do the worship service well.”Another student responded, “They’vehad about a 1,000 years to get it right.” Athousand years of religious traditionsdemand your respect.Don’t flaunt your wealth. In most countriesand in most situations you are a richAmerican. Don’t display photographs ofyour house, car or other possessions inorder to show your new friends how youlive.Money is important. Don’t refer toAmerican money as “real money.” InRomania, the money hasn’t been re-evaluatedin a long, long time. My breakfast atthe Hilton Hotel in Bucharest was 100,000Lei. “Oh, I can’t afford this,” I said.A friend responded, “It’s only $3.40.Tickets to the top opera house in Romaniawere $3.40. An excellent Italian dinner inRomania, with salad, two glasses of wineand tip was $3.40.Prepare for your visit to another countryby reviewing how you practice public relationsin your office. Study the countryyou’ll be visiting — language, currencyand history. Finally, show respect for thetraditions of the host country. You’ll bemore successful professionally and personallyif you make a point of enjoying yourself.David Ritchey, Ph.D., is a Professor inthe School of Communications at theUniversity of Akron. Ritchey has workedin St. Petersburg, Bucharest, Hong Kong,Beijing, London and Cuba. 12JUNE 2011 WWW.ODWYERPR.COM


Health pros want McDonald’s to give Ronald the bootMore than 500 healthcare pros and medical institutions signed aletter to McDonald’s CEO Jim Skinner asking him to stop marketing“junk food” to children in an effort to <strong>com</strong>bat the “staggering”rates of obesity and diabetes among the nation’s young.By Kevin McCauleyThe letter appeared May 18 as a fullpagead in the <strong>com</strong>pany’s hometownChicago Sun-Times, New YorkMetro, Boston Metro, San FranciscoExaminer, Minneapolis City Pages andBaltimore City Paper. The ad’s full-text atLettertoMcDonalds.org contends that thedramatic rise in sickness “mirrors thegrowth of your business — growth drivenin large part by children’s marketing.”The letter reads, in part:“As health professionals engaged directlyin the largest preventable health crisisfacing this country, we ask that you stopmarketing junk food to children ... Our<strong>com</strong>munity is devoted to caring for sickchildren and preventing illness throughpublic education. But our efforts cannot<strong>com</strong>pete with the hundreds of millions ofdollars you spend each year directly marketingto kids ... We know the contributorsto today’s epidemic are manifold and abroad societal response is required. Butmarketing can no longer be ignored as asignificant part of this massive problem.”The letter zeroes in on corporate mascotRonald McDonald and other promotions“to appeal to kids in environments thatinformed parents and health professionalscan’t constantly monitor — from schoolsto libraries to the Internet.”Ronald McDonald is an “icon as recognizedas Santa Claus, and the McDonald’smodel of marketing is used by a range ofabusive industries,” says the group.Skinner was asked to retire marketing tochildren for food high in salt, fat, sugar andcalories, as well as Ronald and toy giveaways.McDonald’s says it’s concerned withhealth issues and that it takes its “<strong>com</strong>municationsto children very seriously.” It is<strong>com</strong>mitted to being part of a dialogue onchildren’s health and nutrition. The fastfeederalso says parents have told it that“they appreciate our Happy Meal choices.”Corporate Accountability organized thead campaign that received signatures fromorganizations such as the MassachusettsPublic Health Assn., American AcademyFull-page ads appeared in newspapers acrossthe country asking McDonald’s CEO Jim Skinnerto change the <strong>com</strong>pany’s marketing plans.of Child and Adolescent Psychiatry,Illinois Maternal & Child Health Coalitionand Physicians Committee for ResponsibleMedicine. JUNE 2011 WWW.ODWYERPR.COM 13


REPORTNew technologies leave newswires’ role uncertainA recent MyPRGenie survey of U.S. journalists found that only1.4% of them now prefer to receive press releases via <strong>com</strong>mercialnewswires. Email, on the other hand, was the preferreddelivery medium for 90% of reporters. These numbers haveinspired some to reflect on the changing role of PR newswiresin this highly dynamic and ever-changing media landscape.By Johan-Till BroerReaching journalists with your storytakes far more than just sending apress release over the wire. This isnot new. Creating <strong>com</strong>pelling content,good writing and strong ties with importantreporters in your industry have alwaysbeen the fundamental pillars of any successfulPR program. But this is even moretrue in the age of the social web.The way journalists work has changeddramatically over the last years. Many publishinghouses have cut their reporter staff.At the same time, the number of PR professionalshas increased drastically, exposingeach journalist to more pitches and pressreleases. The social web and the digitalizationof different media forms requires journaliststo take on additional responsibilitiesand juggle multiple tasks. Many journalistsare now also bloggers, Twitter users andweb TV producers. They are very busy andforced to be extremely selective about theirsources. All of this means they have lesstime to deal with PR people and their stories,which makes it harder to get throughPR news briefsRUDER FINN GROUP FORMSRUDER FINN PARTNERSRuder Finn Group announced May 24 that it isspinning off Finn Partners as a separate unitunder Peter Finn later this year.Currently, he shares co-CEO duties at RuderFinn Inc. with his sister, Kathy Bloomgarden.Ruder Finn spun off RF Binder Partners in 2001under Amy Binder, sister of Peter and Kathy.As founder and managing partner of FinnPartners, Finn will initially preside over 160staffers and $25M in fees. RFG generated $97Min 2010 fees and employed 602 at yearend.Finn Partners will be housed in RFG’s NewYork headquarters and move into Ruder Finn Inc.offices in Washington, Chicago, Los Angeles,San Francisco and Israel.Finn expects the new venture will thrive in anera in which “innovation and partnership will bestrong drivers of the brand.”He has targeted digital/social media, consumer,technology, travel/economic development,corporate and the arts as areas of development.to a reporter. For any PR pro it is therefore,now more than ever, extremely importantto establish oneself as a reliable source thatjournalists trust and listen to. The surveyresults mentioned above reflect this:Instead of browsing through all the pressreleases that <strong>com</strong>e through the <strong>com</strong>mercialwire services every day, journalists preferablyrely on trustworthy sources sendingtheir news via email.Do newswire still reach journalists?There are still benefits to using a PRnewswire. Even though journalists preferto receive information via email, there arestill reasons for them to browse through thestream of a <strong>com</strong>mercial wire service, forexample, when researching a specific topicor looking for a new and specializedsource. In these cases it is clear that beingpresent with press releases on a newswiresite can be beneficial. A newswire can alsobe extremely helpful if you don’t have anyrelationships with journalists in place yet orwhen entering a foreign market. In thesecases it will at least enable you to reach acertain number of influencers that could beinterested in your story, and you’ll get thepress release into search engines.Newswire sites, like PR Newswire,Business Wire or Market Wire, still receivehigh web traffic, so posting a press releasecan result in good visibility on searchengines. This is a very effective way toreach journalists as 91% turn to Googlewhen researching a story, the study shows.When distributing the release over a wire,it will also automatically be posted onmajor news sites like Yahoo Finance etc.,which provides additional SEO benefits.Newswire alternativesAs already pointed out, establishing yourown network of press contacts that are relevantand sending press releases toreporters directly is still the most effectiveway of getting your news out. But there areother tactics that can work as well. Writinga blog post on your corporate blog can bevery effective and there are many <strong>com</strong>paniesdoing just that. It is a great way to getyour news into search engines, especially ifyour website and blog gets a lot of visits.Another benefit is that you drive trafficdirectly to your website instead of drivingit to a newswire site.It can also be very effective to just pitchcertain key blogs with a story and offerthem an exclusive. Popular blogs can serveas distribution vehicles. Their posts notonly rank high on search engines but arealso followed by many journalists at mainstreamand industry publications (especiallyin the tech space). One downside of thisstrategy, however, is the loss of controlover the message. While the content of apress release can be entirely controlled (ofcourse not the resulting coverage), a bloggerwill write whatever he/she thinks ofyour news, so there is a possibility that thefocus of a story will be different thanexpected or even take a negative tone.Reaching new influencersThe social web has not only changedhow journalists work, it has also changedthe audience PR pros need to address.Brands not only need to reach analysts andjournalists but also influencers on thesocial web as well as customers. This iswhy the Social Media News Release(SMNR) was developed. The idea of theSMNR is that it offers many different sharingoptions for various social media platformsbut also multimedia content — suchas videos — that can deliver the message ina different format. The SMNR alsoacknowledges the fast-paced work environmentof journalists and tries to not onlyprovide a news text but also additional content,such as links to articles that put a topicin context, as well as in-depth backgroundinformation. This provides journalists amore <strong>com</strong>prehensive view on a topic, evenwithout additional research. A SMNR canbe created in form of a blog post or withspecialized services such as Pitchengine.PR newswires have lost some of theirrelevance, but they aren’t obsolete. Whenplanning any media outreach, it should beassessed closely if a wire distributionmakes sense or not. There are surely manyalternative tactics. Hopefully, the bignewswires will realize this too and furtheradopt their products to the needs of thesocial web. While most of them offer sharingbuttons and multimedia integration,they are still far away from offering <strong>com</strong>prehensiveSMNRs.Johan-Till Broer is an international publicrelations professional living in Chicago.He is the North American PR Manager andSpokesperson for NAVIGON, and blogs atGlobalPRBlog.<strong>com</strong>. 14JUNE 2011 WWW.ODWYERPR.COM


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FEATUREFive subjects they don’t teach in PR schoolBy Shelley SpectorMany years ago, I asked EddieBernays, the father of publicrelations, what he thought wasan ideal undergrad level PR program.Considering this question was askedyears before a PR degree would be widelyconferred at U.S. colleges, Bernays had theopportunity to construe his own ideas foran ideal BA degree in Public Relations.“In today’s world, the best PR degreewould be equally divided among three disciplines:one-third journalism, one-thirdpsychology, and one-third business,”replied Bernays.In short, he was saying that studentsshould learn the tools of the trade throughjournalism: news writing, understanding ofnews and the media. They also shouldlearn the principles of human motivation:an understanding of our publics and howbest to influence their perceptions.And very importantly — and here iswhere Bernays thought our profession wastruly lacking — future PR professionalsshould learn finance and how businessesoperate. By this he didn’t mean just ourclient’s business, but the greater businessworld.Fortunately, a growing number of PRgrad programs, like NYU’s, are now incorporatinginto curriculums courses thatteach students critical skills, like learninghow to read a balance sheet, writing an IRprogram and understanding SEC <strong>com</strong>pliance.But yet few undergrad programs arerequiring this. They should.PR students should also understand thegrowing influences of politics and governmenton the practice of PR. Equally importantfor tomorrow’s practitioner is anappreciation of reaching a global audience.So what does this mean for today’s PRgraduate? What are some of the subjectsmost valued in the PR field but that undergraduatePR students never learn?1. Consumer Behavior. Of all thecourses I took at my college’s businessschool, the one that proved to be the mostpotent to my appreciation of public attitudeswas Consumer Behavior 201 — amix of social psychology, market researchand mass <strong>com</strong>munications. Only throughlearning how to assess customer sentiment,is it possible to influence attitudes andbehavior and eventually build whatBernays’ called a “two way street” of trustbetween an institution and its publics.Malcolm Gladwell’s “Tipping Point”and “Blink” are excellent explorations ofthe topic, as is my old time favorite bookthat first introduced me to consumerbehavior “The Hidden Persuaders” byVance Packard. Although published in1957, its theories of motivation and influenceare still relevant today.2. The Stock Market. Understandingthe sentiment of the investing public, especiallythe people who own your client’sstock, is critical to anyone working or representinga public <strong>com</strong>pany — which willbe most <strong>com</strong>municators, at some point orother in their careers.It’s impossible to create and conduct aPR campaign without taking into accounthow best to reach the professional andindividual investor: to recognize how thenews you’re releasing will impact thestock, how securities analysts will be evaluatingthe chairman’s recent remarks andhow the introduction of a new product willimpact perception on Wall Street. Keeptrack of the Dow and NASDAQ; read atleast the first page of the Times’ Businesssection and, for extra credit, read the WallStreet Journal.The more you read, the more you’llunderstand how best to position your <strong>com</strong>panyas well its management before theinvestors. Also, and maybe most importantly,you’ll be able to have meaningfuldialogues with the top management.3. Sales, Finance, Manufacturing andSupply Chains. As PR people, we sometimesget so wrapped up in creating outsideperceptions that we often overlook what’shappening inside. How does the <strong>com</strong>panydevelop new technologies, build sales,manage supply chains, and export to newmarkets? How does it handle operations,manage finances, analyze <strong>com</strong>petition, andtrain its workforce?Take time to truly get deep into the <strong>com</strong>pany:talk to workers on the factory floor,attend a sales presentation, sit in on a productionmeeting or have lunch with anengineer. It will not only help you createmore effective campaigns, but they’ll helpyou learn the inner workings of the <strong>com</strong>pany,and ultimately, help you achieveincreased respect in the C-suite.The better you understand the <strong>com</strong>pany’sculture—its acronyms, terminology,departmental structure and even its politics— the better you’ll represent it to all itsstakeholders.4. Politics and Government. No organizationis immune to what happens insidethe beltway. Washington is no longer justthe province of the government relationsdepartment. Every PR person today needsto understand how decisions made in D.C.can have profound and long-lasting impacton operations in the future (see theSarbanes-Oxley Act). Bills being consideredtoday may well impact your <strong>com</strong>panytomorrow.Rulings at regulatory agencies, decisionsby the Supreme Court, speeches made onthe House floor — all of these potentiallyhave an affect on your <strong>com</strong>pany’s bottomline.Keep tabs on political trends and presidentialpolls. Read political blogs, watchpolitically diverse coverage and read thesites published by your <strong>com</strong>pany’s industrytrade associations. The most penetrating PRcampaigns today are those that areinformed, at least in part, by what’s goingon in Washington.5. International affairs. Few <strong>com</strong>paniestoday operate exclusively within its owncountry’s borders. With the public be<strong>com</strong>ingmore diversified—culturally, politicallyand economically — PR people have a lotlearning to do.How do we engage and win the trust ofthese new groups of stakeholders whosecultural backgrounds are so different fromours? How do we assess their perceptions,influence their attitudes, and build theirtrust? How do we best create a dialoguewhen we can’t even understand their language?Here, an old axiom is relevant: to beunderstood, first understand: read the internationalpress, subscribe to the Economistand stay attuned to events affecting particularlyinfluential overseas markets.Read case studies of <strong>com</strong>municationsprograms that reflect cultural sensitivity (agood recent example is Aflac’s response torecent events in Japan) and programs thatdid just the opposite (like the introductionof the Nova car in Latin America).Any good undergraduate public relationsprogram will arm students with the tools ofthe trade: media relations, writing andresearch. But it’s up to them to take thateducation up a few notches up, getting theirarms around consumer behavior, marketresearch, Wall Street, Washington and therest of the world.Only by truly appreciating the innerdepths of a <strong>com</strong>pany, and the new environmentsin which they operate, can PR peoplelearn how to build that “two way street” oftrust that Bernays originally had in mind.Shelley Spector is President andFounder of Spector & Associates in NewYork. 16JUNE 2011 WWW.ODWYERPR.COM


Koch industries gives Lincoln Center PR headacheAbout 1,000 people gathered in front of the Lincoln Center onMay 11 to protest David H. Koch, whose name now christensthe famous theater’s walls.By Jack O’DwyerAlarge sticker was placed on the theater’swall above the name withthe inscription, “I’m the TeaParty’s Wallet.”Promoters of the event, who host thesite www.kochbrothers exposed.<strong>com</strong>, provideda live marching band, sang songs,and gave out popcorn. A goal of the protestersis renaming the theater.A film exposing the alleged abuses ofDavid and Charles Koch was projected onan outside wall of the theater. David is therichest person in New York City, accordingto Forbes magazine. He gave $100million to refurbish the theater in 2008 andlater gave $2.5 million to the ballet <strong>com</strong>panyitself.NYCB, despite the gift, faces a $6 millionbudget shortfall this year. Dancersreceived no pay increase last year and willget a 2.5% hike this year.The New York Times and New York Postdid not report the incident.The Koch Brothers are accused by theprotesters of “representing the worst of thecorrosive elements that have turned ourdemocracy into a pay-to-play system ofgovernment — a system where the corporateelite are able to continuously extendtheir power, wealth and influence whilethe majority of citizens are relegated furtherand further to the margins.”The group says the brothers have fundedthe “Tea Party which has be<strong>com</strong>e thetip of a right wing spear that will neverstop seeking tax cuts for the rich.”Praised in the group’s website are theactivities of George Soros, a billionairewho has supported liberal causes andDemocratic candidates.One part of the site has a list of alleged“evil” activities of the Koch Brothers setalongside alleged “good” activities ofSoros.‘Political’ gifts may be taxedPolitical gifts of donors like the Kochsand Soros, which have escaped taxation,may no longer be able to do so under a newinitiative of the Internal Revenue Service.The IRS has sent letters to five suchdonors, who were not identified, sayingtheir gifts to politically active foundationsmay be taxed if they exceeded legal limits.Such donors have “proliferated and funneledvast sums of money in support ofcampaigns and causes without having topublicly disclose themselves,” said theNew York Times May 13.The Kochs have been involved with anumber of political entities including theconservative “Americans for Prosperity”while Soros has given “more than $12 million”to liberal advocacy groups likePriorities USA Action, said the NYT.Companies and individuals can contributeto non-profit groups registeredunder 501/c/4 of the tax code but the primarypurpose of such groups cannot bepolitical.Individuals may be taxed at 35% on anygifts exceeding $13,000 in a year ($26,000for a couple). JUNE 2011 WWW.ODWYERPR.COM 17


REPORTGlobal PR networks grow abroad, shrink in U.S.The effects of the recession now seem safely behind the “big four”global PR networks, with each reporting member expansions innew global markets, as well as big revenue gains for affiliatedagencies. With all this PR growth happening overseas however, thenumbers reveal another trend affecting each of the networks: aslow but steady disappearance of North American partners.By Jon GingerichIn 2011 the public relations industry hasbe<strong>com</strong>e, by design, a global endeavor.A May study <strong>com</strong>missioned by thePublic Relations Global Network (PRGN)found that half of all U.S. PR executivespolled said they work with foreign PRpros on a regular basis. About four in 10— or 43% — now claim to have someglobal marketing capacity. More than halfof the rest said they plan to have oneimplemented within the next five years.Indeed, if there’s one take-away trendvisible in each of the “big four” global PRnetworks besides economic recovery, it’sall the unexpected dots they’ve been puttingon the map in the last year. China.Russia. India. South Africa. Chile. Beirut.These are countries where just severalyears ago PR existed either only fornational emergencies or it simply didn’texist at all. And yet, each is now the stageof a <strong>com</strong>munications wildfire, with globalnetworks scrambling for a foothold inthese <strong>com</strong>munications “brick” markets.Meanwhile, as new markets open up, itappears member numbers in the mainstay<strong>com</strong>munications market — the UnitedStates — have dwindled.World<strong>com</strong>, the world’s largest globalPR network, grew in each of its five globalmarkets in 2011 except the UnitedStates. The global giant revealed remarkableexpansion abroad, adding agencies inLatin America (two), Africa (one), India(one), and the Middle East (one). At thesame time however, World<strong>com</strong> lost twomembers at home. IPREX, the secondlargestnetwork, experienced more growthin a single market — Europe — than anyother network, adding five European partnersin the last year and growing in itsAsia/Pacific market as well. The networkmanaged to lose seven U.S. partners duringthis time. PRGN also grew in Europeand Asia, adding two and one new partners,respectively. Partner numbers inNorth America however, fell by two.Pinnacle Worldwide, which doubled itspresence in South America and added a<strong>com</strong>pletely new market to its roster —South Africa — meanwhile managed tolose three U.S. firms.If the PRGN study is any indication,<strong>com</strong>munications in the U.S. is hardlybe<strong>com</strong>ing more insular. So, why the dropoff?Have we simply decided we nolonger need global networks to functionon a global scale?According to World<strong>com</strong> Group ChairMatt Kucharski, the perceived decline inNorth American partners is the result ofconcurrent phenomenon, the <strong>com</strong>monlogical fallacy of confusing correlationwith causation. In the U.S., the recessionsaw a mass shake-out of PR firms thatmay not have been doing so well. At thesame time, the <strong>com</strong>munications world isseeing a mass emergence of talent anddemand in new global markets, as thirdandsecond-world economies pick up andtake on first-world <strong>com</strong>munications concerns.It’s not that global PR capabilitiesare falling in the U.S. It’s just that they’regrowing very quickly everywhere else.“It’s not that the North American marketis declining, it’s that you’re seeingother markets catching up from a maturitystandpoint. The Asian markets areexperiencing a natural evolution in thefield. You’re seeing growth in thoseemerging markets,” Kucharski said.World<strong>com</strong> blazes aheadKucharski, who is Senior VicePresident of Padilla Speer Beardsley inMinneapolis, said World<strong>com</strong>’s growthserves as a bellwether for PR firms. MostWorld<strong>com</strong> partners were able to hold ontotheir clients through the recession andeven saw a significant uptick in 2010.Indeed, World<strong>com</strong> Public RelationsGroup hasn’t shown any signs of slowingdown. With 95 total member firms in2011, <strong>com</strong>prising 107 partner offices in 91cities across six continents, the global networkhas continued to blaze ahead intonew markets, adding a total of five foreignagencies in the last year.Total <strong>com</strong>bined revenues for agencypartners was $264 million in 2010, a giantleap from 2009’s $214 million —accounting for the greatest financialgrowth of any of the “big four” networks.Revenues for World<strong>com</strong>’s NorthAmerican partners were $154 million in2010 (versus $126 million in $2009), $29million for Asian partners (versus $21million in 2009), and $81 million forEuropean partners (versus $68 million in2009).Kucharski said World<strong>com</strong> has nowbeen turning its attention to potential partnerqueries in the Middle East, EasternEurope, and Asia Pacific, areas that areeach exhibiting strong growth.“Our expansion is not <strong>com</strong>e-one, <strong>com</strong>eall.You don’t want to bring in partnersjust for the sake of numbers because sooneror later they’ll end up crossing over toomuch,” he said. “Almost anyone in thisday and age can create a PR network withan Outlook folder and a Linkedin account.We have a very deliberate membershipstrategy, and it’s really all about looking athigh growing markets where there’s a bigdemand and need for clients. The evolutionfrom network to partnership is notjust about dots on a map. We’re actuallylooking for shared business opportunities.”PREX continues surgeWith 67 member firms in 71 differentoffices, IPREX is the second largest of the“big four” global PR networks. Foundedin 1983, the network celebrates its 30thanniversary in 2013.Total revenue for partners of networkwas $173 million in 2010, a healthy stepforward from $167 million in 2009.Revenue for 2008 was $117 million and$98 million in 2007, showing there’s beenno direction but up for IPREX members,even in the face of recession.In terms of member numbers, IPREXwas the only network to experience a netloss in 2010 (they lost a total of fourfirms). However, in total office numbersthey’ve increased by 13, from 83 officesin 2009 to 96 by the end of 2010. IPREX’stotal partner labor force was also up, from1,240 employees in 2009 to 1,275 in2010.Kathy Tunheim, Global President ofIPREX, said revenue growth for the networkwas consistent around the globe;revenues went up even when partner numberswent down.“We’ve grown nicely in a couple differentways, fueled particularly by growth inEurope, Asia and the Middle East,”Tunheim said. “Our total number of partner<strong>com</strong>panies has stayed relatively flatbut the number of market offices has goneContinued on next page18JUNE 2011 WWW.ODWYERPR.COM


up by 13. It’s an organic growth. It tells usthat growth is happening internally, fromexisting partners.”In May, IPREX had its annual meetingin Washington, D.C. Tunheim said onemarket of interest that repeatedly came upwas Russia.“We’ve spent some time in the last coupleyears trying to find partners there. Theenergy industry especially being what itis. South Africa is another area where wehave an active search under way. We havea strong interest in building the capacitythere,” she said. “Growth is important forus but we don’t want to look at things simplygeographically. We want to be securinglocal insights and access to partners inimportant, existing markets. We’re notinterested in adding partners simply forthe sake of having a lot of partners. We’relooking for strong offices with good overallrevenues.”PRGN makes big gainsFounded in 1992, the Public RelationsGlobal Network is the newest of the “bigfour” networks. PRGN’s <strong>com</strong>bined revenuesin 2010 were $110 million, ahealthy recovery from 2009’s recessionresultingslip to $100 million, which itselfwas a fall from their <strong>com</strong>bined total revenuesof $110 million in 2008.For their 2011 role call, PRGN nowboasts 43 total independent member firmsin 65 different offices, which accounts forabout 900 PR professionals and approximately1,000 different clients worldwide.This is a slight gain from their previousroster of 42 partners, which the networkheld for the past two years.PRGN President Francine Robbens saida network <strong>com</strong>prised of independentagencies is designed for fast recoverybecause its constituents have long establishedcontacts in their respective markets.When the markets recover, business follows.“We are all doing our own thing, operatingwithin our own markets. We knowthe culture, we know the media landscape.We have a bit more long-term vision,”Robbens said. “The multi-nationals haveone brand and one culture they’ve importedinto various markets, along with theirChief Executive.”Robbens is also the President of PublicRelations Partners, in Brussels, Belgium.PRGN’s heavy public affairs offeringsmakes Brussels a likely hub for the network,a city that holds an estimated28,000 lobbyists. Brussels was also hometo PRGN’s most recent semi-annual meeting.“Lobbying and public affairs is a typeof specialization where we have found agreat deal of success with our peers,” shesaid.Robbens also said the network is currentlylooking into China and Indonesia aspotential places for future growth.“We are still also looking at our presentmarkets, and that means GDP is important.We need to be in those importantmarkets, we need to establish very clearlines,” she said. “We are entrepreneurs.We want to be independent and we areoperating in our individual and culturalenvironments, but we know the marketsare global. It’s for the best that we want tobe part of a network.”Pinnacle reboundsPinnacle Worldwide, which was foundedin 1976, will be celebrating its 35anniversary this September. The oldest ofthe global PR networks, Pinnacle took abeating in 2009 with the recession, as thenetwork lost about a dozen firms between2008 and 2009.This year however, Pinnacle appears tohave officially rebounded. The networktouted 31 total member firms for 2011 —up three total firms from last year — in 36different offices. Like each of the “bigfour” networks, Pinnacle lost severalNorth American partners last year butmanaged to double its presence in SouthAmerica.Pinnacle also recently announced analliance with 27 and More, a PR networkbased out of Kronberg, Germany.According to Pinnacle Executive DirectorJohanna Mouton, this partnership usesanother network’s preexisting resources toallow Pinnacle an increased presence inEurope, as well as Australia and China.“It’s kind of a new direction we wantedto move into. We’re partnering on a globalinitiative, we’re <strong>com</strong>bining resources tobe able to meet our partners’ needs. Byaligning ourselves with this other networkit’s enabled us focus our intentions on thatincreased global capacity,” she said.Pinnacle President Donna Vandiver saidthe network’s partners, which recentlyheld its annual meeting in Las Vegas,reported upticks in RFPs and overall <strong>com</strong>municationsinterest. She said that whilePinnacle has several areas of expansionaryinterest in foreign markets, its number-oneconcern remains increasing membershipin the U.S.“We’re seeing an increased interest inmembers ship, and we have increased ourmembership drive. We’re getting requestsfrom our international offices and we’resending out requests as well. We’re basicallylooking for best in class firms,” shesaid. “But we’re primarily focused on theU.S., and our membership drive isfocused primarily in the U.S. Any otherplace where we think we need additionalcoverage is secondary.” JUNE 2011 WWW.ODWYERPR.COM 19


Global PR Partners 2011North America (United States / Canada)Bitner Goodman — Fort LauderdaleBitner Hennessy — OrlandoBlissPR — ChicagoBlissPR — New YorkBrickell & Partners — Virginia BeachCarreño Group, Inc. — HoustonCASACOM — MontréalCerrell Associates Inc. — Los AngelesCorporate Ink — BostonDeveney Communication — New OrleansDonoghue & Associates, Inc. — CalgaryEnterprise Canada — Toronto, Niagara RegionHermanoff Public Relations — DetroitHolt & Germann Public Affairs L.L.C. — TrentonIW Group, Inc. — Los AngelesJohn Adams Associates Inc. — Washington D.C.Katcher Vaughn & Bailey Public Relations — NashvilleLiggett Stashower —ClevelandLinhart Public Relations — DenverM. Silver Associates — Fort LauderdaleM. Silver Associates — New YorkMarina Maher Communications Inc. — New YorkMBS Value Partners — New YorkMcGrath/Power Public Relations & Comms. — San JoseMcRae — AtlantaMichael A. Burns & Associates — DallasMorgan&Myers — MilwaukeeNuffer, Smith, Tucker, Inc. — San DiegoOff Madison Ave — PhoenixPace Group Communications Inc. — VancouverPadilla Speer Beardsley Inc. — MinneapolisPadilla Speer Beardsley, Inc. — New YorkPetersGroup Public Relations — AustinPublic Communications Inc. — ChicagoRichmond Public Relations — SeattleRLF Communications — GreensboroRoberts Communications — RochesterSandy Hillman Communications — BaltimoreSchneider Associates — BostonSimon Public Relations Group — PhiladelphiaSt. John & Partners — JacksonvilleStanding Partnership — St. LouisStrategic America — Des MoinesStryker Weiner & Yokota Public Relations — HonoluluSturges Word Communications — Kansas CityTech Image — ChicagoThe Bohle Company — Los AngelesThe Pollack PR Marketing Group — Los AngelesTravers Collins & Company — BuffaloWordsworth Communications — CincinnatiEuropeBusiness Press S.p.A. —Milan, ItalyCBO Communication by Objectives — Milan, ItalyCoxit Public Relations — Oslo, NorwayCunha Vaz & Associates —Lisbon, PortugalGlaubicz Garwolinska Consultants — Warsaw, PolandGrupo Albión — Madrid, SpainHBI Helga Bailey GmbH — Munich, GermanyInstiCOM bvba — Brussels, BelgiumIvRM Communications — Bussum, The NetherlandsJanev&Janev Ltd. — Sofia, BulgariaJBP Public Relations Limited — Bristol, EnglandKaizo — London, EnglandKeima — Paris, FranceKestrel World<strong>com</strong> — London, Englandkomm.passion GmbH – Düsseldorf, GermanyKutadgu Communication Consulting Ltd. — Istanbul, TurkeyL&W Communication AG — Zurich, SwitzerlandL&W Communication GmbH — Vienna, AustriaLF Channel — Barcelona, SpainLigaris — Paris, FranceMedial Kommunikation AB — Stockholm, SwedenMedita Communication — Helsinki, FinlandPR Net Baltic — Vilnius, LithuaniaPR Net Baltic — Tallinn, EstoniaPR Net Baltic — Riga, LatviaPRAM Consulting — Prague, Czech RepublicPrimeTime Kommunikation — Copenhagen, DenmarkPróbako Communications — Budapest, HungarySpona Communications Ltd. — Zagreb, CroatiaWinningtons Financial PR Limited — Bristol, EnlgandWisse Kommunikatie — Arnhem, The NetherlandsYucatan — Paris, FranceAsia-Pacific Connections Pte Ltd — Singapore, MalaysiaA-World Consulting Ltd. — Hong KongAZ. WORLDCOM JAPAN —Tokyo, JapanCommunications Plus — Seoul, South KoreaFortune PR — Jakarta, IndonesiaPhillips Group — Brisbane, AustraliaPhillips Group — Sydney, AustraliaShanghai Glocal Strategy Consulting — Shanghai, ChinaTOCS — Tokyo, JapanTQPR Sdn Bhd — Kuala Lumpur, MalaysiaTQPR Co., Ltd. — Bangkok, ThailandTQPR Co., Ltd. — Ho Chi Minh City, VietnamWrights PR — Melbourne and Sydney, AustraliaYA Corporation Communication Group — Moscow, RussiaArvizu, Comunicacion Corporativa — Mexico City, MexicoC Square Group — San Juan, Puerto RicoGrupo Albión Colombia — Bogotá, ColombiaInfomedia Consulting — Buenos Aires, ArgentinaLatinMedia Comunicaciones Limitada — Santiago, ChilePLANIN — Rio de Janeiro, BrazilPLANIN — São Paulo, BrazilLange 360 — Cape Town, South AfricaMajlis PR & Communications — Dubai, UAEPR Leaders — Lebanon, BeirutRada Research & Public Relations Co. — Cairo, EgyptAsia / PacificLatin America /South AmericaM. East /Africa


Global PR Partners 2011North America (United States / Canada)Barkley — Kansas CityBeuerman Miller Fitzgerald — New OrleansBorshoff — IndianapolisBridgeman Communications — BostonCarolyn Grisko & Associates — ChicagoCasey & Sayre — Los AngelesCBR Public Relations — OrlandoThe Communications Group, Inc. — TorontoCommunications Pacific, Inc. — HonoluluCrown Communications — CharlotteDesautel Hege Communications — SpokaneEisbrenner Public Relations — DetroitEric Mower & Associates — Albany, Buffalo, Rochester,and SyracuseFahlgren Mortine Public Relations — ColumbusFineman PR — San FranciscoFlowers Communications Group — ChicagoFrench | West | Vaughan — RaleighGable PR — San DiegoGreat Communicators, Inc. — MiamiJSH&A Public Relations — ChicagoJohnstonWells Public Relations — DenverLandau Public Relations — ClevelandLaurey Peat & Associates — DallasMakovsky & Co., Inc. — New YorkPeak Communicators Ltd. — VancouverPreferred Public Relations — Las VegasRountree Group Communications Management — AtlantaSaxum — Oklahoma CityScheibel Halaska, Inc. — MilwaukeeSusan Davis International — Washington D.C.Tunheim Partners, Inc. — MinneapolisVehr Communications, LLC — CincinnatiVox Public Relations Public Affairs — Eugene/PortlandEuropeAbchurch Communications Limited — London, U.K.ACA <strong>com</strong>municatie — Amsterdam, The NetherlandsArenalia Comunicacion — Barcelona, SpainThe Communications Business — Edinburgh, ScotlandConsilio Kommunikasjon — Oslo, NorwayThe Desk — Paris, Francedcp — Belfast, Northern IrelandFutura PR — Ljubljana, SloveniaJugaste, Liiva and Seimann OU — Tallinn, EstoniaLead Communication SRL — Milan, ItalyMadison Consulting — Zagreb, CroatiaManifesto — Helsinki, Finlandm/e brand <strong>com</strong>munication — Düsseldorf, GermanyNewCap — Paris, FranceOperate A/S — Copenhagen, DenmarkPowerAxleSpain — Madrid, SpainPaver Smith & Co. Limited — Liverpool, United KingdomPoliticsDirect — London, United KingdomQuintela & Reis, Lda. — Lisbon, PortugalReliant Communications S.A. — Athens, GreeceSpotlight PR — Stockholm, SwedenSurrey House Corporate Communication — Surrey, U.K.Walsh Public Relations — Dublin, Irelandwbpr — Berlin, GermanyWhyte Corporate Affairs S.A./N.V. — Brussels, BelgiumChayun Public Relations — Seoul, KoreaConcept Public Relations — Mumbai, IndiaPead PR — Auckland, New ZealandRantau PR — Selangor, MalaysiaTrainTracks —Tokyo, JapanWilkinson PR — Sydney, AustraliaNettResults — Abu Dhabi, United Arab EmiratesItem Comunicação Ltda. — São Paulo, BrazilMGH Communication Management — Buenos Aires, ArgentinaAsia / PacificS. America M. East


Global PR Partners 2011North America (United States / Canada)ABOA — AtlantaAnne Klein Comms. Group — PhiladelphiaBailey Gardiner — San DiegoBond PR — New OrleansCFM — Portland and Salem, OR, Washington, D.CColes Marketing — Indianapolisde La Garza PR — HoustonGogerty Marriott — Washington, D.C.Griffin & Associates — AlbuquerqueHanser & Assocs. — Des Moines, OmahaHoggan — Vancouver, B.C.Levenson Brinker PR — DallasLVM — New YorkMorrissey & Co. — BostonNorthstar PR — MinneapolisPotomac Communications — SeattleRed Sky — BoiseReputation Partners Chicago — MilwaukeeStrategic Objectives — TorontoThe Vandiver Group — Kansas City, Los Angeles, Nashville, St. LouisGabrielle Shaw Communications — London, U.K.MZ Communictions — Wöllstadt, GermanyReputation Partners — Prague, Czech RepublicCrabtree — Auckland, New ZealandFBI — Tokyo, JapanVirtusio — Manila, PhilippinesAlkance — Santiago, ChileBasso Dastugue — Buenos Aires, Argentinade La Garza — Mexico City, MexicoSPMJ — São Paulo, BrazilGabrielle Shaw Communications — Capetown, South AfricaAsia / Pacific EuropeAfrica Latin America /South AmericaNorth America (United States / Canada)Adam Friedman Associates LLC — New YorkBuchanan Public Relations — PhiladelphiaThe Castle Group — BostonContemporary Communications Ltd. — Vancouver, B.CCooperKatz — New YorkDye, Van Mol & Lawrence — NashvilleFaintail Communications — Toronto, OntarioThe Fearey Group — SeattleGround Floor Media — DenverThe Harrell Group — DallasHMA Public Relations — PhoenixAthenora Consulting — Brussels, BelgiumCabinet Privé de Conseils (CPC) — Geneva, SwitzerlandCoast Communications — Stockholm, SwedenCometis — Wiesbaden, GermanyCROS Public Relations — Moscow, RussiaCullen Communications — Dublin, IrelandEvident PR — Amersfoort, NetherlandsIndustrie-Contact — Hamburg, GermanyMulti Communications — Warsaw, PolandPublic Relations Partners — Brussels, BelgiumSCR — Barcelona and Madrid, SpainSound Public Relations s.r.l. — Milan, ItalySPIDER PR — London, United KingdomYESwecan PR — Paris, FranceEuropeJMC Marketing Communications — Kingston, NYLandis Communications Inc. (LCI) — San FranciscoL.C. Williams & Associates — ChicagoThe Ledlie Group — AtlantaPacifico Integrated Marketing Communications — San Jose, CAStevens Strategic Communications, Inc. — ClevelandVPE Public Relations — Los AngelesXenophon Strategies, Inc. — Washington, D.C.Currie Communications Pty Ltd. — Melbourne and Sydney AustraliaCosmo Public Relations Corporation — Tokyo, JapanMileage Communications Pte Ltd. — China and SingaporePerfect Relations — Delhi, IndiaAspire Communications — Bangalore, IndiaGuerra Castellanos & Asociados — Mexico City, MexicoIDENTIA — Buenos Aires, ArgentinaLVBA — São Paulo, BrazilMirabal & Associates — Mayaguez, Puerto RicoHWB Communications Pty Ltd — Cape Town, South AfricaAsia / PacificAfrica L. America /S. America


ProfilesO’Dwyer’sGuide to:<strong>INTERNATIONAL</strong> PR FIRMS6.11COSMO PUBLICRELATIONSCORPORATIONAzabukaisei Bldg.1-8-10, AzabudaiMinato-ku, Tokyo 106-0041Japanwww.cosmopr.co.jpMs. Kumi Sato, President andCEOMr. Paul Hasegawa, ChairmanMr. Ryuji Kondoh, AccountDirectorCOSMO is one of Japan’sforemost independent strategic<strong>com</strong>munications consultanciesand a founder of the PublicRelations Society of Japan. For50 years, COSMO has used itsglobal experience and domesticexpertise to deliver <strong>com</strong>municationssolutions for multinationaland Japanese <strong>com</strong>panies.COSMO develops integratedcampaigns involving media outreach,crisis and issues management,advocacy and publicaffairs, key opinion leaderresearch, corporate positioning,consumer <strong>com</strong>munications, corporatesocial responsibility,cross border consulting and thedevelopment of editorial materials.Over the years, COSMO hasbeen at the forefront of socialand political developments,contributing to progress in theareas of healthcare, food andfood sciences, and services.COSMO continues to be recognizedinternationally, withCEO Kumi Sato being namedPR Agency Head of the Year atthe Asia-Pacific PR Awards2010, and COSMO recentlybeing named JapaneseConsultancy of the Year 2011by the Holmes Report.The July issue of O’Dwyer’s will profilePR firms that specialize in travel andtourism. If you would like your firm to belisted, contact Editor Jon Gingerich at646/843-2080 or jon@odwyerpr.<strong>com</strong>FEINTUCHCOMMUNICATIONS245 Park Ave., 39th FloorNew York, NY 10167212/808-4900info@feintuchpr.<strong>com</strong>www.feintuch<strong>com</strong>munications.<strong>com</strong>www.ecpglobal.<strong>com</strong>www.jumpstartglobal.<strong>com</strong>Henry Feintuch, PresidentFeintuch Communications isa strategic relations firm. Weenjoy decades of experience indeveloping and implementingsuccessful public relations programsfor organizations of alltypes and sizes. Our specialtypractices include healthcare andlife sciences, advertising andmedia, technology, financialservices and energy.The firm is a member of ECPGlobal, an international allianceof premier independent <strong>com</strong>municationconsultancies whichare particularly adept at coordinatingmultinational projectsand programs.For start-ups and multinationalstargeting the U.S., ourJumpStart Global Advisors subsidiaryprovides a set of turnkeyservices that allow them to enterthe market quickly and efficiently— everything from entityformation, legal, accounting,administrative, HR and recruitmentto business development,public relations and broad marketinginitiatives to generateinquiries.IPREXwww.iprex.<strong>com</strong>executive@iprex.<strong>com</strong>David Watson, ExecutiveDirectorWith 70 partners operating100 offices, employing 1,300staff and generating revenue of$175m, IPREX is one of theworld’s largest partnerships ofindependent PR firms. Foundedin 1983, we have significantFeintuch Communications and JumpStart Global Principal HenryFeintuch offering market entry tips in Singapore to SMEs at aninternational conference hosted by IE Singapore.experience of managing clientprojects and programs in multiplemarkets.For clients, IPREX offerssome of the most successfulindependent PR firms on theplanet. With six meetings ayear, IPREX people work welltogether because we know eachother, while our suite of programmanagement models isdesigned to cater for an exhaustiverange of client requirements.Our internal managementsystems enable us to makethe specialist skills and experienceof partner firms availablethroughout the organization.For partners, IPREX offers aglobal team of peers, alwaysready to share knowledge andexperience, and always availableto meet a client’s challenge.To learn more, contact IPREXat executive@iprex.<strong>com</strong>.IPREX partners gather in Washington, D.C. during the annual globalpartners meeting in 2011.ADVERTISING SECTION JUNE 2011 WWW.ODWYERPR.COM 23


PROFILES OF <strong>INTERNATIONAL</strong> PR FIRMSMAYO Communications President Aida Mayo (left), with LA CountySupervisor Don Knabe (center), who received the “Keeper of theFlame Award” and George McQuade, V.P. MAYO Communications,which did the media campaign for the Annual ITEP Dinner.MAYOCOMMUNICATIONS7248 Bernadine Ave., 2nd FloorWest Hills (Los Angeles), CA91307818/340-5300Fax: 818/340-2550publicity@mayo<strong>com</strong>munications.<strong>com</strong>www.mayo<strong>com</strong>munications.<strong>com</strong>Aida Mayo, PresidentGeorge McQuade, VicePresidentMAYO CommunicationsInternational is based in LA withoffices in New York, San Diegoand Bern, Switzerland.Founded in 1995, MAYO hasbeen offering high-tech, corporate,maritime industry, governmentand nonprofit clients socialmedia and global branding servicesfor more than a decade.Earlier this year theInternational Trade EducationPrograms (ITEP) honored 4thDistrict Los Angeles CountySupervisor Don Knabe with the“2011 Keeper of the FlameAward” at the 11th AnnualScholarship Awards andFundraising Dinner in SanPedro, CA. ITEP takes financiallystrapped and disadvantagedhigh school students and offersthem training and hands on maritimeindustry, ports security andteam building leadership skillsto prepare them for future jobs.MAYO Communications hassigned an international clientbased near Sacramento, CA —Sun Born Natural Products,which for the first time inAmerica offers Herbal ChiBalm. Herbal Chi Balm, a specializednatural product used forrelief of pain from physicalexertion, minor injury, and usedfor sports training has gainedmore ground. The balm formulacontains 100-percent pureorganic unrefined Shea Butter,and lavender oil along with 20hot and cold Chinese herbs.World Class Sprinter and previousOlympic runner PatrickJohnson, and former SamboWorld Champion, National JudoChampion, and 11 time MartialArts Hall of Fame award winnerGrandmaster Jody Perry supportBalm. Both athletes use theproduct on a regular basis.Doctors and celebrities are alsotesting it for use before and aftertherapy and workouts.MWW GROUPOne Meadowlands PlazaEast Rutherford, NJ 07073201/507-9500Fax: 201/507-0092mkempner@mww.<strong>com</strong>www.mww.<strong>com</strong>Michael W. Kempner, Founder,CEO, and PresidentMWW Group is one of thenation’s ten largest independentpublic relations firms and isknown for its results-drivenapproach to public relations. Theagency is internationally recognizedfor its work in consumermarketing, digital <strong>com</strong>munications,corporate <strong>com</strong>munications,media relations, investor relations,public affairs and governmentrelations, technology andhealthcare. Our strategic PR programshave consistently engagedkey stakeholders and consumersfor clients ranging from leadingglobal brands to entrepreneurialstart-ups, and span numerousindustries.In the past year, MWW Groupwas named “Midsize Firm of theYear” and “Strategic PR Agencyof the Year” by the HolmesReport, “Digital Firm of theYear” and “Team of the Year” byPR News. Headquartered in EastRutherford, NJ, MWW Groupservices national and multinational<strong>com</strong>panies through its ten fullserviceoffices in major businesscenters around the world.OGILVY PUBLICRELATIONSWORLDWIDEThe Chocolate Factory636 Eleventh AvenueNew York, NY 10036202/729-4308christopher.graves@ogilvy.<strong>com</strong>www.ogilvypr.<strong>com</strong>Christopher Graves, GlobalCEOOgilvy PR is a global, multidisciplinary<strong>com</strong>municationsleader operating in more than 80markets across 50 countries. Weblend proven PR methodologieswith cutting edge digital innovationsto craft strategic programsthat give clients winning andmeasurable results. Founded in1981, the <strong>com</strong>pany serves a fullspectrum of corporations, industrytrade associations, governmentagencies and not-for-profitclients through seven practicegroups: consumer marketing,corporate, healthcare, publicaffairs, social marketing, technologyand 360° digital influence.One key to our success hasbeen the ability to foster strongworking relationships acrossoffice locations worldwide, sothat the right skills and experienceare brought to bear onevery client program. This crosspractice, cross office approachallows us to most effectivelyserve clients whose businessesare multinational in scope.Clients such as Ford, DuPont,Grohe, FM Global, Bulova, LGElectronics and Unilever haveexperienced the value in workingwith Ogilvy PR across multipleregions. More informationis available at:www.ogilvypr.<strong>com</strong>PUBLIC RELATIONSGLOBAL NETWORK(PRGN)East1991 Crocker Road, Suite 500Cleveland, OH 44145440/617-0100 ext. 201Fax: 440/614-0529estevens@stevensstrategic.<strong>com</strong>www.stevensstrategic.<strong>com</strong>Edward Stevens, APR,President, Stevens StrategicCommunications, Inc.West1388 Sutter Street, #901San Francisco, CA 94109415/561-0888 ext. 2308Fax: 415/561-0778david@landispr.<strong>com</strong>www.landispr.<strong>com</strong>David Landis, President,Landis Communications, Inc.Connected Thinking.Globally. More than 1,000clients across six continentsdepend on the <strong>com</strong>binedresources of the PublicRelations Global Network(PRGN) to deliver targeted publicrelations campaigns in morethan 80 markets around theworld. With revenues of morethan $110 million (U.S.D.),PRGN is among the world’s topfive public relations networks.PRGN harnesses the resourcesof 42 independent public relationsfirms, 65 offices and morethan 900 <strong>com</strong>munications professionals.Visit PRGN onlineat: www.prgn.<strong>com</strong>.ROGERS & COWANPACIFIC DESIGN CENTER8687 Melrose Ave., 7th FloorLos Angeles, CA 90069310/854-8117inquiries@rogersandcowan.<strong>com</strong>www.rogersandcowan.<strong>com</strong>www.rogersandcowan.co.ukTom Tardio, CEONikki Parker, EVPRogers & Cowan is the leadingentertainment marketingand PR agency with offices inLos Angeles, New York andLondon. Our International Filmteam works with filmmakers,24JUNE 2011 WWW.ODWYERPR.COM ADVERTISING SECTION


PROFILES OF <strong>INTERNATIONAL</strong> PR FIRMSproducers, financiers, distributors,film <strong>com</strong>missions andfilmmaking talent from aroundthe world to spearhead theirinternational publicity campaignsthroughout the lifetimeof their project. We provideclients with extensive knowledgeof the U.S. and internationalfilm industries and have closerelationships with leading distributorsand media around theworld. Our team offers strategiccounsel on the development andexecution of corporate PR campaignsto position our clients’within the film industry, manageinternational PR of theatricalfilm releases and promote foreignproduction facilities.Additionally we managemedia activities for our clientsprojects at major film festivalsand markets, including Cannes,Venice, AFM, Mifed and MipTVas well as execute media andentertainment influencer outreachcampaigns to build awarenessand participation at filmfestivals and markets such asEdinburgh, Zurich, Krakow,Aruba, Bahamas and Marche duFilm.WEBERSHANDWICK919 Third AvenueNew York, NY 10022212/445-8000www.webershandwick.<strong>com</strong>Harris Diamond, CEOJack Leslie, ChairmanAndy Polansky, PresidentJill Murphy, Chief BusinessDevelopment OfficerWeber Shandwick is a leadingglobal public relationsagency with offices in 74 countriesaround the world. Thefirm’s reputation is built on itsdeep <strong>com</strong>mitment to clientservice, creativity, collaborationand harnessing the powerof advocates — engaging stakeholdersin new and creativeways to build brands and reputation.With a global network thatincludes strong public affairsteams in the world’s leadingpolitical, media and financialcenters, Weber Shandwickworks with governments andmultilateral institutions onglobal issues such as development,foreign policy, climate,security and defense. The firmalso advises multinational corporations,foundations andNGOs in support of their globalagendas.The majority of WeberShandwick’s multinationalclients work with the firm in atleast five markets and acrosspractice areas, relying on theagency for consistency of messageand local insights. WeberShandwick therefore enablesclients to drive global, integratedcampaigns and engage audienceswith the appropriate scale.Weber Shandwick is a unit ofThe Interpublic Group ofCompanies (NYSE:IPG), whichis among the world’s largestadvertising and marketing servicesorganizations.WORLDCOMPUBLIC RELATIONSGROUP500 Fifth Avenue, Suite 1010New York, NY 10110800/955-WORLD (9675)(US and Canada)212/286-9550212/286-9003coo@world<strong>com</strong>group.<strong>com</strong>Daisy M. Guthin, APR,World<strong>com</strong> Chief OperatingOfficer and Owner of GuthinMyers Public Relations inRochester, New York.Turn to page 39 of this magazine to obtain acopy of the OʼDwyerʼs ranking form.orVirginia Sheridan, Chairman,Americas RegionMatt Kucharski, Group ChairDaisy M. Guthin, APR, ChiefOperating OfficerWorld<strong>com</strong> Public RelationsGroup is the world’s leadingpartnership of independentlyowned public relations firmswith 112 offices in 93 cities in46 countries on 5 continents,more than 2,000 employees, and<strong>com</strong>bined revenues of morethan US $264 million in 2010.Through World<strong>com</strong> thestrongest, most capable independentfirms serve national,international and multi-nationalclients while retaining the flexibilityand client-service focusinherent in independent agencies.World<strong>com</strong> firms’ clientshave on-demand access toindepth <strong>com</strong>munications expertisefrom professionals whounderstand the language, cultureand customs of the geographicareas in which theyoperate. World<strong>com</strong> is an invaluablesource for the local advantage,worldwide. Virginia Sheridan, Chair ofWorld<strong>com</strong>’s Americas Regionand President of M. SilverAssociates in New York.Matt Kucharski, APR,World<strong>com</strong> Group Chair andSVP of Padilla Speer Beardsleyin Minneapolis.ADVERTISING SECTION JUNE 2011 WWW.ODWYERPR.COM 25


REPORTHispanic social media efforts not doing enoughWhile social media PR has boomed over the past year, recent outreach efforts to woo the 50-million-member Hispanic market have lagged significantly, according to a new study.By Greg HazleyFewer than half of respondents to aHispanicize survey said their socialmedia programs target Hispanicmarkets, a finding few in the Hispanicmarketing sector have found surprising,despite the sector’s expectation to surpass$1.3 trillion in buying power by2013.David Henry, CEO of Latino-focusedagency TeleNoticias, said the importanceof marketing to the Hispanic sectordoesn’t translate to actual work beingconducted “and dollars being spent.”The Hispanic PR Association andHispanicAd.<strong>com</strong> conducted the studywith Survey.<strong>com</strong> finding that while 92%of respondents said they are engagedwith social media programs, only 45%are targeting the Latino market.The 45% <strong>com</strong>pares with 67% whosaid their <strong>com</strong>pany has a traditionalHispanic PR program.One hurdle could be the perceivedeffectiveness of digital outreach toPR BriefsPUBLICIS ACQUIRESROSETTA FOR $575 MILLIONPublicis Groupe has acquired Rosetta, thelargest independent digital agency, for $575M incash and earn-outs.Princeton-based Rosetta, which counts clientsin the healthcare, consumer products, tele<strong>com</strong>munications,and financial services sectors, isexpected to generate $250M in revenues from itsnine-office network (New York, Cleveland, LosAngeles and San Jose).The firm has more than 1,100 staffers servingclients such as Johnson & Johnson, Hewlett-Packard, Marriott, Allergan, Valvoline, T-Mobileand Bristol Myers Squibb.Publicis CEO Maurice Levy said in a statementthat the Rosetta addition will accelerate his goalof be<strong>com</strong>ing the “human all digital agency.”The deal bolsters Publicis’ digital exposure tofrom 28 percent to 30 percent of overall revenues.That digital number is expected to hit 35 percentin 2014. The digital group includes Digitas,Razorfish and Publicis Modem.Levy believes Rosetta stands apart from thepack due to its <strong>com</strong>bination of “savoir-faire in consultingand strategic services with an expertise intechnology and creative agency services.”Chris Kuenne founded Rosetta in 1998. He nowreports to Jean-Yves Naouri, COO of Publicis.Hispanics. Fifty-sixpercent said theyview Hispanicsocial media programsas effective,<strong>com</strong>pared to 64%of mainstreamefforts.The current environmentis expectedto change however.Nearly 70%said they viewHispanic socialmedia programsequally as importantas mainstreamefforts and mostsaid they expectgreater budget allocationsfor Latinooutreach through social media channelsin the near future.Mobile use greaterThe differential in outreach is notablebecause recent data suggests thatHispanics are more engaged in certaintypes of digital media than other demographics,like Caucasians or Asians.Nielsen NetView Ratings data inFebruary showed that that Hispanicswere among the top users of YouTube,outpacing white and black viewers.Hispanics were the top users ofMySpace and at virtually the same levelof white users on Facebook.According to the Hispanicize survey,outreach is slightly greater in theHispanic sector than the mainstreamwhen it <strong>com</strong>es to mobile. Respondentscited mobile as 17% of Hispanic socialmedia efforts, while it is only 15% ofmainstream campaigns.One of the largest gaps between mainstreamSM and the Hispanic market isLinkedIn, where 46% cited its use inmainstream outreach, <strong>com</strong>pared to only21% for Latinos.The 2010 census found that the U.S.Hispanic population hit 50 million,according to the Department of Labor,which notes one in every six Americans— one in four children — is a Latino.Hispanics account for more than halfof the U.S. population boost over the lastThe number of social media programs for non-Hispanic audiencesoutnumber Hispanic programs by a two to one margin, according tothe 2011 TeleNoticias-LatinoWire Hispanic Social Media Survey.While Hispanic social media programs are currently lagging, thestudy showed they are poised for growth.decade.Engaging Hispanics onlineNM Incite, a Nielsen <strong>com</strong>pany, offersfour key tenets for engaging Hispanicsvia social media.First is understanding the audience.NM research identified five main groupsof Hispanics, including Spanish-dominantspeakers to English speakers.Working off that realization, NM saidsecondly that marketers should choosetheir language wisely.Third, culturally irrelevant contentfrom brands is the biggest <strong>com</strong>plaintamong Latino bloggers, according toNM.Generally speaking, Hispanics want ameaningful and authentic connectionwith the products they use,” wrote NM’sChris Corales & Elizabeth Martinez.“Hispanics also expect brands to do theirpart in protecting, empowering andinspiring their <strong>com</strong>munity.”Finally, marketers are urged to payattention to influences in the Hispanicmarket by following <strong>com</strong>munities likeLatism or MyLatinoVoice.Tom Mulgrew, VP of agency relationsfor Business Wire, pointed out that theHispanicize survey shows that socialmedia is “very much in the formativestate” and not a part of overall strategic<strong>com</strong>munications plans. He added: “Ithink we can expect that to change in the<strong>com</strong>ing years.” 26JUNE 2011 WWW.ODWYERPR.COM


Multicultural market research: an evolving historyBy Michael HalberstamIremember our first multicultural/bilingualSpanish project in 1983.My <strong>com</strong>pany had been around less thana year and a local client called and askedme if we could do a telephone survey ofHispanics in Los Angeles. The objectivewas to glean Hispanics’ opinions of howthey shopped for groceries. That surveywas conducted on paper and pencil andtook around 15 minutes per interview.Prior to the start of data collection we hadto find and train a group of bilingualSpanish speaking interviewers, locate asample of telephone numbers and get atranslation for the questionnaire. We struggledas Hispanics were not surveyed regularlyat that time and were cautious aboutphone calls from strangers. I had projectedit should take about one hour to find,screen and <strong>com</strong>plete each interview. Ittook two hours to <strong>com</strong>plete each.Although we lost money I began to see thepotential of doing marketing researchamong smaller, less acculturated groups inthe U.S.That first project utilizing bilingualSpanish and English interviewers was agreat learning experience. We <strong>com</strong>pletedthree more surveys that year amongHispanics, doing better each time, finallymaking money on the last project. As thecalendar turned to 1984, we entered thenext phase of what became one of our corestrategies and <strong>com</strong>petencies. That summera different client approached me and wantedto do a bilingual project with car buysamong the Korean market, again here inLos Angeles. I remember thinking “Howcan we possibly get this done?” “Wherecan I get telephone numbers for Koreanhouseholds?” Who knew there was aKorean White Pages telephone book forLA? I quickly realized that there was awhole world I didn’t yet understand. Butthe more I learned the more curious andintrigued I became. Why not include theemerging groups in our capabilities?In the 28-plus years since that first bilingualproject the market research industryhas undergone seismic shifts and titanicchanges. No longer are projects <strong>com</strong>pletedwith paper and pencil. In the late 1980’swe installed Computer Assisted TelephoneInterviewing or CATI stations. Paper andpencil was all but gone by 1995. In 1998and 1999, respectively, we added webinterviewing and IVR. These new modesof data collection for marketing researchallowed multicultural/multilingual populationsto answer surveys quickly and easily.As the century ended more and more bilingualfocus groups moderators and multiculturalspecialists emerged pushing theboundaries of the, then nascent, multicultural<strong>com</strong>munity.With each release of a decennial censusmore and more large corporations, advertisingagencies, PR firms, politicalgroups, governments and even universitieshave <strong>com</strong>e you recognize the growth,importance and spending power of theseemerging minorities. Recently, EthnicTechnologies, a premier multiculturalmarketing research <strong>com</strong>pany released thefollowing statement in May of 2010: “The2010 U.S. Census Bureau drew attentionto ethnic groups by allocating the majority(estimated $145 million) of its $300million budget to multicultural audiences.For the first time, the census websitewas available in a bilingual formatEnglish/Spanish and included guides in59 other languages. Because of the dramaticgrowth the census showed, multiculturalexperts expect marketing gearedtowards them to increase as <strong>com</strong>paniesbe<strong>com</strong>e more aware of the economicopportunities and clout of targeting thesevarious ethnic segments. As marketers weneed to be prepared for the increasedinterest is these fast growing segments ofthe American population.” They couldn’tbe more right.This is the third decennial census sincewe’ve been conducting multicultural marketingresearch surveys. After each releasewe see a measurable increase in bids and“live” projects that include languagesother than English. The most <strong>com</strong>monthese day are Spanish, Mandarin, Korean,Vietnamese, Armenian, Farsi, Cantonese,Hindi, Tagalog, Somali, Russian, Hmong,Portuguese and Oromo. There are severalindustries that have been at the marketing,advertising and research forefront for over20 years. They include healthcare, financial,tele<strong>com</strong>munications, gaming andautomobiles. Jumping on board in the pastdecade have been fast food and consumerpackage goods. My belief, as well as thebelief of many in marketing, is that the2010 Census will be the defining data setthat pushes many <strong>com</strong>panies to finallyexplore how they can enter this lucrativearena.Special care must be undertaken tounderstand a nationality, ethnicity orminority group before implementing a survey.As an example, certain questionsdon’t translate well to other cultures.When interviewing in some Asian culturesa numeric scale works much better than averbal scale. For many languages the timeit takes to <strong>com</strong>plete an interview is longerthan to do so in English. A 20 minute interviewin English will take 24 minutes inSpanish. It is imperative to work with anad agency, PR firm or research <strong>com</strong>panywho can guide you through these intricacies.In the 1980’s and 90’s there were fewto chose from. Today there are quite a fewexcellent, dedicated <strong>com</strong>panies to choosefrom.Market research, as a tool to help marketers,has been moving ahead quickly aswell. Today my <strong>com</strong>pany has conductedprojects in 67 languages using many differenttechniques. We still use telephone,in-person, focus groups and the Internet tocollect data in a representative manner.However, as we speak we are celebratingour second year conducting surveys inpersonon tablets and are finishing developmenton smart phone mobile apps thatwill allow for multilingual surveys to beconducted in real-time as consumers areshopping. Mining data from SocialNetworks is on the horizon as well. We’vegone from paper and pencil to bilingualmobile apps for smart phones in less than20 years. As the populations of the USchange rapidly, the market research industryhas done the same. All to the benefit ofthe consumer.Michael Halberstam is President ofInterviewing Service of America in VanNuys, CA. News briefsAT&T CALLS IN GIBSONAT&T has hired the Gibson Group to work its proposedmerger with T-Mobile, which is under spiritedattack by Sprint Nextel for creating what it calls awireless sector “duopoly” with Verizon.Joe Gibson is a veteran Capitol Hill hand whoworked at the House Judiciary Committee as chiefminority counsel to Rep. Lamar Smith, who nowheads that panel.Smith (R-Tex.) said the proposed AT&T/T-Mobiledeal raises important questions about <strong>com</strong>petition inthe tele<strong>com</strong> industry and the effect on American consumers.Gibson served as Smith’s chief of staff during hiscampaign to be<strong>com</strong>e Republican leader on theCommittee.He also played a role in crafting theTele<strong>com</strong>munications Act of 1996 and served in theJustice Department as deputy assistant attorney generalin its office of legislative affairs. He is the authorof two books “Persuading Congress,” and “A BetterCongress: Change the Rules, Change the Results.”JUNE 2011 WWW.ODWYERPR.COM 27


FEATUREThe why, how and what of multicultural marketingThe terms “multicultural marketing” and “marketplace diversity”strike fear in the hearts of many marketing managers. Their fear iswell founded: these professionals may have been wildly successfulat targeting mainstream customers but are now facing anincreasingly diverse body of consumers and have little experienceto serve them.By Anne M. BrumbaughThe fact is, professionals shouldn’tconsider multicultural segmentationand marketing because it’s the feelgood-flavor-of-the-dayor the “right thingto do.” There are many reasons why it’sgoing to be good for your bottom line.Why multicultural marketing?The 2010 census projects that whitenon-Hispanic Americans will be<strong>com</strong>e aminority majority (i.e., plurality) by 2042.I predict this will occur closer to 2035 asmore people intermarry, have children,travel and work here and abroad, andchoose to identify with more than one ethnoracialgroup on the census and otherpolls. Some white non-Hispanics seem tobe on the edge of panic that this day willbe some cultural Armageddon. My advice:embrace it, or at least get over it. If youdon’t, your customer base will shrink.Ethnoracial minority groups that have,for one reason or another, fallen into thelower tail of the socioeconomic distributionare making great strides. Not onlywill there be more consumers of diversebackgrounds, but they will have moremoney. They will not be buying theupscale homes and fancy sports cars withextra piles of money that wealthy whitenon-Hispanic Americans (allegedly) have,but they will be buying more and buyingbetter than they ever have in the past. Andthey will remember <strong>com</strong>panies that targetedthem with respectful, value-addedofferings on the way up.Multicultural marketing is where your<strong>com</strong>petition is going. Both nature andbusiness abhor a vacuum, and underservedmarkets will not remain underserved forlong. If you don’t get with the programand learn how to target diverse consumers,your <strong>com</strong>petition will. It may not be yourbiggest, closest <strong>com</strong>petitor, but rather asmall shop that’s willing to end run youbut good with a little extra effort, creativity,and heart. The customers are there andthe money is there. Go for them beforesomeone else does.White non-Hispanic consumers willremain the largest ethnoracial group evenafter be<strong>com</strong>ing a “minority.” The thing is,some of them will be gaining an appreciationfor the range of ideas, assortment ofgoods and services, and spice of life that amore diverse America brings to them, andthey will want to patronize firms thatembrace that. Multicultural marketing iswhere the mainstream mindset is going.Terms like the “New Mainstream,”“Cultural Creatives,” and “DiversitySeekers” reflect an evolving ethos amongcurrent majority white non-Hispanic consumerswho value diversity in their lives.Companies that don’t update their appealsto be more inclusive toward everyone maylose these folks as well.Here’s a piece of wisdom fromEconomics and Marketing 101: if all yourconsumers are the same, seeking the samesource of value for the same reasons, youcan’t differentiate and you end up playinga price game in a <strong>com</strong>modity market. Onthe other hand, the more diverse your consumersare, the more opportunity you haveto differentiate — do more, do different,and do better than your <strong>com</strong>petition in theeyes of your consumers. Unfortunately,it’s going to take more money, moreknowledge, and more effort than it has inthe past, but if misery loves <strong>com</strong>pany, atleast everyone’s in the same boat. If youcan figure out how a particular consumersegment is different, cater to that point ofdifference, and then deliver on it, you’regoing to thrive in this new, multiculturalmarketplace.How to implement multicultural marketingOnce you’ve <strong>com</strong>e to the realization thatyou need to consider multicultural marketing— targeting different consumer segmentson the basis of ethnic, racial, orother cultural group membership — youneed to figure out how to get ready to doit. If you want to do a mediocre job, simplyread an oversimplified demographicprofile of your target group on the Internet,reinforce marketing stereotypes that mayor may not hold true for the group, replacea few white characters in your ads withmembers of that group, and translatedirectly your existing <strong>com</strong>municationsinto their languageOn the other hand, if you want to knowhow to do a really good job — one thatresonates with your subcultural target andhas a positive ROI — you need to do a littlebackground work first.As members of the dominant culture,we white Anglos have a difficult timeknowing if, when, and how the beliefs,values, and behaviors of other culturalgroups differ from ours. We may erroneouslyassume that members of anotherculture behave just like we do, or that theybehave <strong>com</strong>pletely differently from howwe do. Successful multicultural marketingstarts by checking both types of assumptionsat the door. Research, particularlyqualitative, is absolutely essential forunderstanding the consumer beliefs about,motivations toward, uses of, and propensityfor different product categories andbrands among diverse cultural segments ofwhich we are not members. Assume nothing,research everything.Learn the culture of your target. Readthe literature of your target — be sure toinclude a biography or two, fiction, andnon-fiction of different historical periods.Take a history, sociology, or anthropologycourse to learn the culture’s ethos — whatmakes its people tick. Identify what popularmedia your target consumes (televisionshows, online content, magazines,radio, news, etc.) and consume them yourselfto learn what the current issues withinthe <strong>com</strong>munity are. You’re doing all thisnot to learn how to market to them per se,but rather to understand their values andbeliefs.Marketing to diverse consumersrequires a diversity of thought, and you getthis diversity of thought from havingdiverse employees. That doesn’t necessarilymean that if you would like to targetsubcultural segments X, Y, and Z, youhave to have employees from subculturalsegments X, Y, and Z (though it doesn’thurt). It does mean, however, that youhave to have different types of people inyour firm with a diversity of experiencesand backgrounds so that they can questionassumptions, tap into a broad network ofconnections and resources that a narrowemployee base might not have, and generatebetter ideas than a homogenous groupcould.There is substantial heterogeneity withinany segment, and failure to acknowledgeit could be disastrous. UnderstandContinued on next page28JUNE 2011 WWW.ODWYERPR.COM


diversity within diversity. An AfricanAmerican mom with three kids and a minivanis probably more like her white soccermom counterpart than she is like a blackCaribbean hip hop artist when it <strong>com</strong>es topurchasing an SUV, and a fifteen year oldHispanic boy is probably more like thatsame hip hop artist than he is like his ownMexican grandfather when it <strong>com</strong>es tochoosing clothing. Individuals in ethnoracialsubcultures differ substantially withregard to how much they identify withtheir subcultural groups, and these differencesinfluence how they respond to targetedmarketing efforts.Too often when firms decide to target aparticular cultural subsegment, they namesomeone within their organization of thatsame subsegment to lead the effort (withoutregard to his or her marketing acumen),fund the effort from ad hoc sources(without regard to how much money it willactually require), and expect immediateresults (without regard to how long it islikely to take). Though firms seem reluctantto redeploy their best assets on cultivatinga new, unknown, smaller, riskiersubsegment than they are used to, successfulmulticultural marketing requires thatthey do so. Commit money and talent. Ifyou’re not going to <strong>com</strong>mit theseresources to the effort, you may not beready for multicultural marketing yet.What is multicultural marketing?By now you know why it’s imperativethat you consider doing some multiculturalmarketing, have thought a bit abouthow you might approach doing so, andmight even know whom you might targetfirst. But what do you actually do to “do”multicultural marketing? Just throwing afew brown-skinned people in your ads,translating your website into Spanish, andsaying you’re <strong>com</strong>mitted to servingminorities are not enough. Irrespective ofyour specific target market, here are somegeneral guidelines for increasing yourprobability of success with any diversecustomer base.Avoid stereotyping and ghetto-ing.Obviously, intentionally depicting minoritygroups in an unfavorable light is notonly bad marketing, but also, well, justplain bad. However, well-intentionedmarketers might unintentionally do so. Irecently reviewed a piece targeting collegestudents. The firm obviously attempted tobe inclusive across a range of ethnoracialgroups. In the collage, there were picturesof white-only groups of students studying,rowing crew, and graduating.Additionally, there was a picture of ayoung Asian woman playing the cello, oneof several black males playing basketball,and one of a group of blacks partying.Seriously? Each individual picture wasfine and the emphasis on whites appropriatestatistically speaking. Taken together,however, the collage unequivocallyemphasized stereotypes of Asians as overachievingstring musicians, blacks as athletesand not-so-serious students, andwhites as privileged elite. That no singlepicture showed a diverse mix of students iswhat I call “ghetto-ing” — segregatingeach group into its own photo space.Firms need to acknowledge prevailingstereotypes and think critically about howto offset them with positive, counterstereotypicalimages of ethnoracialminorities. Even if contrived, a single pictureof a diverse group sends a far strongersignal of inclusion than a photo collectionof different groups depicted separately.Unless your firm has a long-standingrelationship with a minority group it wouldlike to target, it needs to invest in grassroots activities to earn the right to be ableto target that group in order to be truly successful.Members of minority groupsknow when they are being pandered to, anda firm that has a poor or non-existent trackrecord with the group will have a muchmore difficult time than a firm that hasinvested in philanthropies, <strong>com</strong>munityactivities, and local organizations affiliatedwith the group. Firms need to demonstratethat they are deserving of the minoritygroup’s consumer spending in order for itstargeting efforts to be wel<strong>com</strong>ed.In addition to having a diverse employeebase, your firm needs to cultivate relationshipswith vendors and partners experiencedin doing marketing research, socialmedia, advertising, distribution channelmanagement, and product developmentwith members of your intended target market.The survey questions you ask of onegroup may be irrelevant for another. Howmembers of one group incorporate a socialmedium into their daily lives and identitiesmay be different from how another groupdoes it. While two groups appear to bothshop at the same distribution outlet, whateach buys there may be very different.Thus, it is not enough to be aware of potentialdifferences, but to partner with folkswho can explore and utilize them effectively.Most marketing phenomena operate onan S-shaped response curve. This meansthat for a low level of spending, you get no(zero, zip, zilch) results. You might as wellnot spend a penny. Then at some point(“critical mass”), increased levels of spendingactually move the needle and you see aresponse among consumers (brand awarenessfor ad spend, unit sales for promotionspend, engagement for social mediaspend). For a while, greater spend yieldsproportionally greater out<strong>com</strong>es up to asecond point, at which effectiveness againdrops off (“point of diminishing returns”).Too often firms fail to spend enough on targetingefforts to move the needle at all —the budget for a specific subsegment issimply too low to have any effect.Managers skeptical of the effort in the firstplace are validated when the targetingeffort fails, and managers who had theimpossible task of targeting the subsegmentwith insufficient resources see theirunits disbanded. It is crucial to research theresponse function for a specific segment,identify its sweet spot on the curve, andfund the effort fully to that spot.Finally, be accountable. It is absolutelyappropriate to require accountability fromthe unit tasked with targeting a minoritygroup. In a form of reverse discrimination,some firms are reticent to hold unitsresponsible for marketing to minority segmentsto the same standards as held formainstream audiences. This underminesthe credibility of the units and hurts overalltargeting effectiveness. Ample resourcesshould be allocated and expectations forROI set beforehand, as is done with anybusiness function. Only then can midcoursecorrections in strategy and implementationbe made, improving the functionof both the unit and firm.Whether it titillates or terrifies you, fillsyou with anticipation or dread, makes youexcited or exhausted, ready or not, the multiculturalmarketplace is here. Before yourun off and stick your head in the sand orworse, make a grave mistake, take a stepback and heed the advice herein. Youshould take away three themes from allI’ve described herein. First, educate yourself— about cultures, best practices, differentpopulations, etc. You are much lesslikely to do something horrible if you learnabout diverse others with genuine curiosityand respect. Second, surround yourselfwith smart, diverse people, the kind whowill question assumptions, thereby reducingthe likelihood of failure and generatingmore and better ideas. Finally, do themath: count what resources it will actuallytake to be successful in a multicultural marketingeffort, calculate what an appropriateROI would be, and hold the effort accountable.Go for it!Anne M. Brumbaugh, is Founder andOwner of Anne Brumbaugh Marketing inCharleston, SC. Dr. Brumbaugh holds anMBA with a specialization in marketingand a PhD in business and consumerbehavior, and teaches marketing courseson contract in top-ranked MBA programs.This article is <strong>com</strong>piled from a series ofblogs she originally wrote forwww.charlestonpr.<strong>com</strong>. JUNE 2011 WWW.ODWYERPR.COM 29


ProfilesO’Dwyer’sGuide to:<strong>MULTICULTURAL</strong> PR FIRMS6.11D. Michelle Flowers-Welch, Founder and CEO of FlowersCommunications Group (left), and Rashada Whitehead, President ofFlowers Communications Group.COMUNICAD, INC.1530 Wilson Blvd, Ste. 860Arlington, VA 22209703/807-0500info@<strong>com</strong>unicad.<strong>com</strong>www.<strong>com</strong>unicad.<strong>com</strong>Gloria Rodriguez, CEOComunicad is a full servicemarketing <strong>com</strong>municationsagency with expertise in theHispanic market, headquarteredin Washington, DC with offices inLos Angeles, Austin and Miami.We have extensive experiencewith <strong>com</strong>munity and grassrootsprograms and understand theimportance of developing anddelivering a message that resonateswith the U.S. Latino <strong>com</strong>munity,taking into considerationgeographic location, country oforigin, and every other nuancethat can influence how a messageis received.DAE71 Stevenson Street, Suite 750San Francisco, CA 94105415/341-1280Fax: 415/296-8378hello@dae.<strong>com</strong>www.dae.<strong>com</strong>DAE was founded twentyyears ago by three young menwho recognized that the growingAsian-American market wasn’twell served by advertising andmarketing. They had years ofsolid success behind them atgeneral market agencies. Andthey saw that both consumersand advertisers deserved different,and better, work. That’s thevision that led to the creation ofDAE, and it’s still our visiontoday. Just like our founders,we’re still a pretty small agencyled by folks with major brandexperience, in both the US andin Asia. It’s experience and dedicationfor our craft that showsin everything we do. And, morethan ever, we make it our businessto know and understand ourconsumers, our <strong>com</strong>munity, andour culture — the culture wedon’t just share in, but help createand perpetuate. We do workthat matters and are proud of it.For more information contacthello@dae.<strong>com</strong> or visitwww.dae.<strong>com</strong>.FLOWERSCOMMUNICATIONSGROUP303 East Wacker Drive, Ste. 1000Chicago, IL 60601312/228-8800www.flowers<strong>com</strong>m.<strong>com</strong>rwhitehead@flowers<strong>com</strong>m.<strong>com</strong>Rashada Whitehead, PresidentFlowers CommunicationsGroup (FCG) is one of thenation’s leading multicultural<strong>com</strong>munications agencies.Known as a great place to workand great people to work with,we develop and manage consumer-focusedintegrated campaigns,on behalf of our clientpartners that reach and respectethnic audiences.Celebrating our 20th yearanniversary, FCG continues tolead in the areas of media relations,social media, consumerengagement and creative services.With expertise in theAfrican-American, Hispanicand multicultural new and traditionalmedia markets, ouragency has its pulse on thefuture of <strong>com</strong>munications witha fresh perspective on trends,ideas, culture and news. We’re 20years and blooming. To find outmore, visit www.flowers<strong>com</strong>m.<strong>com</strong>and join the conversation.IMAGES USA<strong>MULTICULTURAL</strong>MARKETINGCOMMUNICATIONS1320 Ellsworth Industrial Blvd.Atlanta, GA 30318404/892-2931Fax:404/892-8651www.imagesusa.netRobert "Bob" McNeil, Jr.,President & CEORicki Fairley-Brown, Partner &CMOJohn Lockyer, Partner & CFOIMAGES USA is a leadingfull-service multicultural marketing<strong>com</strong>munications agencyheadquartered in Atlanta,Georgia. Founded in 1989 byRobert (Bob) McNeil, IMAGESoffers marketing expertise toclients wanting to reach, motivateand influence African-American, Hispanic and Asianconsumers. The agency's clientroster includes Amtrak, ChoiceHotels, KFC, Sara Lee, AARP,Brown-Forman, Susan G.Komen, Teach for America, andScientific Games. The agencycurrently ranks No. 4 onAdvertising Age’s list of TopAfrican American advertisingagencies, No. 20 on TopHispanic advertising agencies,and No. 286 on Top U.S. advertisingagencies and has wonover 100 creative honors. Formore information on IMAGESUSA, including award-winningwork and recognitions, visit usat www.imagesusa.net orwww.multiculturalmarketing.<strong>com</strong>.The July issue of O’Dwyer’s will profilePR firms that specialize in travel andtourism. If you would like your firm to belisted, contact Editor Jon Gingerich at646/843-2080 or jon@odwyerpr.<strong>com</strong>30JUNE 2011 WWW.ODWYERPR.COM ADVERTISING SECTION


PROFILES OF <strong>MULTICULTURAL</strong> PR FIRMSINTERVIEWINGSERVICE OFAMERICACorporate Headquarters15400 Sherman Way, 4th FloorVan Nuys, CA 91406818/989-1044halberstam@isacorp.<strong>com</strong>www.isacorp.<strong>com</strong>Michael Halberstam, PresidentFounded in 1982, InterviewingService of America (ISA) hasbe<strong>com</strong>e one of the largest marketresearch data collection and processingfirms in the US. To date,we have conducted Quantitativeand Qualitative multicultural andmultilingual research projects in67 languages, worldwide.Industries served includeAutomotive, CPG, Healthcare,fast food, entertainment, radioand TV advertising, public relationsand universities. We areacknowledged as experts in theAsian and Hispanic American<strong>com</strong>munities having won threeawards for our research. ISA hasoffices around the USA, Canadaand India with three telephonecenters and two focus group facilitiesin Los Angeles. We are theco-owners of the Asian AmericanMarketing Report, a one-of-akind,ongoing syndicated surveythat <strong>com</strong>pares the Chinese,Korean, Vietnamese, Filipino,Indian, Hispanic and AfricanAmerican <strong>com</strong>munities with thegeneral population.OPEN CHANNELSGROUP101 Summit Ave., Suite 208Fort Worth, TX 76102817/332-0404Fax: 817/531-1520tonya@openchannelsgroup.<strong>com</strong>www.openchannelsgroup.<strong>com</strong>Tonya Veasey, Malizy Scruggsand Chris Turner, PrincipalsOpen Channels Group (OCG) isan emerging, forward-thinkingpublic relations agency specializingin multicultural <strong>com</strong>munications.The OCG team values collaborativepartnerships with itsclients to connect with the diverse<strong>com</strong>munities and customers theyserve. OCG is one of the largestminority-owned public relationsagencies in Texas. Services: multicultural<strong>com</strong>munications, publicparticipation, media relations,<strong>com</strong>munity outreach, social mediaand message development. Clientsinclude: AECOM, Bell HelicopterTextron, Cook Children’s HealthCare System, Fleishman-Hillard,HNTB Corporation.PR NEWSWIRENew York Headquarters350 Hudson Street, Suite 300New York, NY 10014800/853-5905www.prnewswire.<strong>com</strong>www.hispanicprwire.<strong>com</strong>www.hdnweb.<strong>com</strong>margarita.hernandez@prnewswire.<strong>com</strong>multicultural@prnewswire.<strong>com</strong>Margarita Hernandez, SeniorAccount Manager of MulticulturalMarketsPR Newswire’s Multiculturaldivision is the leader in innovative<strong>com</strong>munications and marketingservices, enabling organizations toconnect and engage with USHispanic, African American,Native American and US Asianaudiences. The division includesHispanic PR Wire, the premiernews distribution service for U.S.Hispanic media, which guarantees100+ online placements with everydistribution. It also includes,Hispanic Digital Network, thenation’s first and largest Internetadvertising network of 80+ U.S.Hispanic newspapers, magazinesand radio websites. ThroughMultiVu Latino, clients can enjoy afull-service of broadcast and multimediaservices targeting U.S.Hispanic media and consumers.Combining the world’s largestmulti-channel, multi-cultural contentdistribution and optimizationnetwork with <strong>com</strong>prehensiveworkflow tools and platforms, PRNewswire enables the world’senterprises to engage opportunityeverywhere it exists. PR Newswireserves tens of thousands of clientsfrom offices in the Americas,Europe, Middle East, Africa andthe Asia-Pacific region, and is aUBM <strong>com</strong>pany.RL PUBLICRELATIONS +MARKETING +SPORTIVO11835 W. Olympic Blvd.Ste. 1155ELos Angeles, CA 90064310/473-4422Fax: 310/473-5833roxana.lissa@rlpublicrelations.<strong>com</strong>The Target 10 executive team (from right to left): Bob Friedman,Amanda Shy, Matt Tumminello, Aaron Weigum, and Matt Wagner.www.rlpublicrelations.<strong>com</strong>27 West 24th St., Ste 901New York, NY 10010212/206-8668Fax: 212/206-8778melissa.smith@rlpublicrelations.<strong>com</strong>Roxana Lissa, CEOMelissa Smith, Executive VPMario Flores, Partner andManaging Director, SportivoRLPR has carved out a niche inthe Hispanic PR industry for creativity,service, strategy andresults. We specialize in helpingbrands relevantly connect with thediverse Hispanic population in theU.S through creative programsrooted in strategy and insight. Asa premiere, independent bicoastalHispanic PR agency in the U.S.,founded in 1996, RLPR has beenproviding stellar client serviceand delivering breakthrough PRcampaigns for leading <strong>com</strong>paniesfor 15 years. We believe that creativity— founded on a <strong>com</strong>prehensiveunderstanding of the marketplaceand solid <strong>com</strong>municationprinciples — is one of the keys tobreakthrough <strong>com</strong>municationsplans that are effective and memorable,for such clients as Nike,Got Milk?, Verizon Wireless,Heineken, Fresh & Easy, NationalHoney Board and Union Bank.TARGET 10248 W. 35th St., Suite 504New York, NY 10001212/245-6040www.target-10.<strong>com</strong>Matt Tumminello, PresidentTarget 10 is one of the leadinggay and lesbian marketing and<strong>com</strong>munication agencies in thecountry. We specialize in creatingmeaningful and lasting relationshipsbetween gay consumersand our clients through campaignsthat connect rationally, emotionallyand with the right sensibility.Using market insights and strategicexpertise, we uncover themost powerful and distinctiveways that clients can connect withgay consumers and motivate themto action.At Target 10, we understandthat one size does not fit all andthat our clients have differentneeds that require custom solutions.We want to understand thetotal business picture at the startof any assignment and work collaborativelywith our client partnersto establish a clear, measurableplan against a <strong>com</strong>mon goal toachieve the desired results.By respecting gay consumerswith smart, savvy marketing,Target 10 succeeds at what welove most — making our clientspopular with gay consumers. Margarita Hernandez is SeniorAccount Manager ofMulticultural Markets at PRNewswireADVERTISING SECTION JUNE 2011 WWW.ODWYERPR.COM 31


OPINIONScrap the annual meetingBy Fraser SeitelFraser P. Seitel hasbeen a <strong>com</strong>municationsconsultant, author andteacher for 30 years. Heis the author of thePrentice-Hall text, ThePractice of PublicRelations.It is time once again for that annualritual where 14,000 public <strong>com</strong>panyCEOs making tens of millions of dollarsare dragged kicking and screamingto drone on about the “past year’sprogress” and face a host of irreverentand irrelevant questions from tens ofshareholders gathered in convocation atthe Securities and ExchangeCommission-required “corporate annualmeeting.”I say “tens of shareholders,”becausethat, alas, is whattoday’s annual meetingstypically draw— a grab bag ofattendees, generally<strong>com</strong>posed of lessth a n - i n t e r e s t e demployees who workin the building andare more or less obligatedto attend, oldpeople with little elseto do, and a dwindlingposse of aging“corporate gadflies,” whose intentionsin altering corporate governance areabout as pure as Donald Trump’s inchallenging the President’s birth certificate.Occasionally, one might alsoencounter a disgruntled ex-employeewishing to mix it up with the folks whohave done him wrong. But even theserecalcitrants are be<strong>com</strong>ing harder tofind.The people who really matter — institutionaland individual shareholders —rarely attend the annual boondoggle.So here’s the point. Where once theannual meeting may have been justifiedin exposing secretive <strong>com</strong>panies to atleast one day of open disclosure, intoday’s environment of the Internet andround-the-clock business journalism,the annual meeting — at least as it iscurrently <strong>com</strong>posed — no longer makessense.It has be<strong>com</strong>e a colossal waste of corporateshareholder money and corporateexecutive time that reveals little andproves nothing. Clearly, the traditionalannual meeting should be replaced witha more efficient 21st century substitutethat fulfills SEC requirements and doesn’twaste everybody’s time and money.Here’s why annual meetings nolonger make sense:• Canned speech.Annual meetings invariably beginwith the CEO — and, if you’re reallyunlucky, the CFO — rehashing the“Letter from the Chairman” from thejust-distributed annual report. Rarely isfresh material included in these reports,because, frankly, most shareholdersdon’t read the letter. And even morefrankly, the annual meeting speech,delivered as it is before precious few ofthe shareholders, just ain’t worth it.So the result is recycled material,generally delivered in an uninspiredmanner by corporate officers goingthrough the motions.• Cooked votes.After the speeches, it’s time for theshareholders to vote for directors standingfor reelection, the outside auditors,and several shareholder resolutions.These are important pieces of business,but they’ve already been decided,through proxy, by the time the meeting<strong>com</strong>mences.Most of these proxy votes are cast byinstitutions, which control the vastmajority of votes. And rarely, if ever, ismanagement’s will challenged. So thevote is “cooked,” and the meeting votingis a charade.• Worthless questioning.The idea that shareholders get anopportunity to grill management is certainlya noble one in theory. It justdoesn’t work in practice.Annual meeting question periods aregenerally dominated by a small groupof wingnuts, who thrive on their annualmoment in the limelight by terrorizingchairmen with inane accusations andincessant babble. In the old days, gadflieslike the Gilbert brothers, Lewisand John, would put managementthrough its paces with pointed questions,based on their own knowledge ofaccounting.Today, the Gilberts have passed on,and 21st century gadflies are led by theimpenetrable Evelyn Y. Davis, the agingand certifiable loony toon, who hasmade corporate CEO’s lives miserablefor 40 years. (A friend of mine once hadto stop his chairman from taking aswing at the diminutive Davis, so thoroughlyhad she annoyed him).The point is that encouraging publicityseekers like Davis to spread theirwings once a year would seem to be theProfessional Developmentlast thing shareholders should be puttingon their tab.So what to do to rescue the annual ritualand bring it into the Internet age.Former Lockheed Martin ChairmanNorm Augustine has suggested thatshareholders should submit seriousquestions about the <strong>com</strong>pany; the outsideauditors should review them andselect a number to convey to management;and then management shouldrespond to shareholders with itsanswers on the Net.Another alternative, attempted byseveral <strong>com</strong>panies, is a “virtual meeting,”at which holders submit questionsto management over the Net. Whilesome object that this negates the “spontaneity”of the in-person meetings, sucha format for most <strong>com</strong>panies, if only forthe cost savings alone, makes greatgood sense.Of course, some in-person annualmeetings serve a purpose — Exxon’s ofa few years ago, when Rockefellerdescendants spoke in favor of separatingthe chairman and CEO. But theseworthwhile meetings are clearly theminority.In most cases, the annual meeting isas outmoded as the buggy whip. Thewhole concept ought to be scrapped forsomething that reflects the new mediaand a new day. News BriefsU.S. BUDGET NEEDS‘SHOCK TO THE SYSTEM’Politicians must reflect courage, ingenuity andresolve to bring back more than 17 million U.S. jobslost over the last decade, PR counselor RobertDilenschneider told PRSA’s Westchester/FairfieldCounty Chapter May 19.Dilenschneider, the former Chief of Hill &Knowlton, said he sees the potential for a “renaissance”in the U.S. and the recreation of a middleclass with a new emphasis on quality and craftsmanshipif urgently needed tax dollars will fundprojects through the country.“Business needs tax incentives, support fromWall Street, which will surely criticize them, and thebest possible advice they can get to plan <strong>com</strong>petitivelyfor their own operations to make this happen,”he said at the Hyatt Regency Hotel event.Dilenschneider said the country first has to getits “budget in order,” which will take a “substantialrevisiting” of entitlement programs like Medicareand Social Security.“There has to be some shock to the system,” hesaid, noting the debt ceiling “will require seriousdebate” in Congress. “We should all applaud publicofficials with the courage to present us with somepretty unappetizing choices.”Dilenschneider sees hope that 64% ofAmericans are saving more and spending less and61% say they’ve re-thought their priorities in life.32JUNE 2011 WWW.ODWYERPR.COM


Congress should petition US propaganda effortsBy Wes PedersenThe U.S. is wasting millions of dollarson propaganda to sway mindsin the Middle East.The latest stab at Pentagon PR is anoutrage, and should help trigger aCongressional probe into the cost-effectivenessand basic worth of America’spropaganda effort.This particular Defense Dept. contractis for help in theU.S. AfghanCommand. It callsfor PR to help theWes Pedersen is aretired Foreign ServiceOfficer and principal atWes PedersenCommunications andPublic RelationsWashington, D.C.Command “takeaggressive actions towin the battle forpublic (Afghan) perception.”That’s boilerplatecopy from almost 10years ago. Here’swhat’s new: the contractis written so itcould continue until2016.That is twoyears after our troops are supposed toleave.The Command is not retrenching PRwise.It wants to expand its 24/7 efforts tomonitor native-language radio, TV andprint to include Internet and, apparently,cellphone transmissions. (Big Brotherpotential with the latter?)Meanwhile, the U.S. Embassy and theU.S. Agency for InternationalDevelopment (AID) are spending millionsfor their Afghanistan MediaDevelopment and Empowerment project.One PR shop that has profited from U.S.largesse is The Moby Group, founded onan AID grant and now an Afghan <strong>com</strong>municationsconglomerate. Its TV programsinclude Afghan versions of U.S.reality shows and “American Idol.”Has any of this effort actually helpedthe U.S.? Probably not, especially consideringthat, for all practical purposes,we lost Afghanistan years ago.The same is true of Iraq. Considerexcerpts from a new report, “Iraq’s NewsMedia After Saddam,” released by theCenter for International MediaAssistance of the National Endowmentfor Democracy:“Despite massive infusion of cash fromthe U.S. government for media development– more than $500 million by mostestimates — the country’s media developmentdoes not look promising on severalfronts …“(Many of the Iraq media) havebe<strong>com</strong>e mouthpieces for ethno-politicalfactions with the potential to inflamesectarian divisions that have led thecountry to the brink of civil war.”As things now stand, the WhiteHouse and NATO have made the job ofany official U.S. publicist almostimpossible throughout the Middle Eastand much of the rest of the world.The White House is ensnarled inefforts to explain away discrepancies inits early story of its execution of binLaden. Failing in that task, it has gonesilent until some sensible story can bepatched together.Doubts are growing louder and widernow in the Middle East that we willever give them a script they canbelieve.U.S. public affairs offices throughoutthe region are sweating; trying toassure local media friends we really arenot the clumsy PR oafs everyone thereassumes us to be.As for Libya, NATO, and PresidentObama early on, have denied that ourGuest Columnstrikes on Gaddafi’s <strong>com</strong>pound wereaimed at killing Gaddafi.We have lied big time on Libya. TheWhite House has lied. NATO has lied.The deadly onslaughts against theGaddafi <strong>com</strong>pound were all clearlyaimed at Gaddafi himself. One killed aGaddafi son and three of the leader’sgrandchildren.Our insistence that we are not tryingblast the head of a still sovereign countryinto hell are recognized as phony byanyone who can add one and one.With all that as pathetic background,it is clear that our propaganda warrantre-examination. We have too many officialfeet in the PR fire in the MiddleEast, obviously. Congress ought to takea prompt look at our PR programsthere, and probably around the world.In the process, anyone making such astudy should ask this question: Do wereally need a huge propaganda establishmentworking the overseas crowdanymore? We certainly no longer needheavy <strong>com</strong>munications equipment.Social media, in all their guises, canswamp the world with official messagesin seconds. JUNE 2011 WWW.ODWYERPR.COM 33


OPINIONBuffet flunks crisis management 101By Richard NicolazzoCndor is one thing, but appearing outof touch with the fact set is another.How else to explain the reputational hitthat Warren E. Buffett’s BerkshireHathaway <strong>com</strong>pany has suffered in recentweeks?Buffett, known as the “Oracle ofOmaha” and one of the richest men on theplanet, may be a brilliant investor, butwhen it <strong>com</strong>es to crisismanagementskills, he probablyneeds a seriousrefresher course.By now, the storyis well-documented.On March 30, DavidL. Sokol, 54, longRichard E. Nicolazzoconsidered a leadingis managing partner of candidate to succeedNicolazzo &Associates, a strategic<strong>com</strong>munications andcrisis management firmheadquarteredBoston, Mass.inBuffett, suddenlyresigned fromBerkshire Hathaway.It seems that Sokolpurchased thousandsof shares inLubrizol, a lubricant <strong>com</strong>pany, twomonths before Berkshire announced a $9billion deal to acquire the outfit. As onemight expect, when the Berkshire dealwas announced, the shares shot up 27 percentover a two-week period. Sokol madea cool $3 million on paper.Like most alleged insider cases, the circumstancesof the stock purchases remainmurky. If we’ve learned one thing fromall the Wall Street shenanigans, it’s that ittakes time and research to unravel thetimeline and understand what really happened.This emerging crisis should haveimmediately set off an alarm for Buffett to“hold his fire” when the news storiesabout the resignation began to break. Inmy view, that is crisis management 101.Instead, what happened? In a statementthe same day, Buffett said, “Neither Davenor I feel his Lubrizol purchases were inany way unlawful. He has told me thatthey were not a factor in his decision toresign.” Buffett went on to say thatSokol’s “contributions have been extraordinary.”For a man with such acclaimed businessacumen and successful track recordof strategic investment decisions, thisunfortunate episode was an unfathomablerookie mistake for Buffett. How couldsomeone with his stature simply acceptSokol’s word that there was no self-dealinginvolved? Did Buffett really think thatSokol would say he was guilty of insidertrading?If he was practicing disciplined crisismanagement, what Buffett should havesaid was:“Sokol has resigned from BerkshireHathaway. We will immediately begin a<strong>com</strong>prehensive review of the circumstancessurrounding his resignation,including recent stock trades, and reportour findings to the public and authoritiesas soon as possible. We will also cooperatewith any regulatory investigation thatmight ensue.”Buffett has since explained himself, butI’m not buying it. In a business column onMay 3 in the New York Times, Buffett wasquoted as saying, “I felt that if I’m layingout a whole bunch of facts that are goingto create lots of problems for him for yearsto <strong>com</strong>e, that I also list his side of theequation in terms of what he’d done forBerkshire.”The Times column also quoted MarioGabelli, a nationally-acclaimed investorand major shareholder in Berkshire, assaying the Sokol episode was “irrelevant”and derided it as “a good story for themedia.” Gabelli also said he, like Buffett,simply cares about the <strong>com</strong>pany’s cold,hard numbers.While I agree that financials are alwaysparamount, I disagree that this episodemeans nothing to the reputation of Buffettand his <strong>com</strong>pany. What Sokol did may notultimately be proven to be “technically”wrong, but anyone with a sense of fairplay realizes that it does not pass the smelltest.Unfortunately for Berkshire, the Sokolmess erupted just a month before theannual meeting, a time when senior executivesat any <strong>com</strong>pany are most exposed.Instead of quieting down, negative mediacoverage ticked up several notches, withboth sides contradicting each other.On April 27, a report issued by the audit<strong>com</strong>mittee of the Berkshire Board accusedSokol of misleading the <strong>com</strong>pany abouthis personal stake in Lubrizol:“His misleading in<strong>com</strong>plete disclosuresto Berkshire Hathaway senior managementviolated the duty of candor he owedthe <strong>com</strong>pany … Sokol may have failed hisfiduciary duty under the law of Delaware.”What a stark turnaround from Buffett’sinitial <strong>com</strong>ments.Guest ColumnThings got even uglier when Sokol’slawyer, Barry W. Levine, got involvedand disputed many major assertions in theaudit report: “… Sokol had told Buffett‘twice, not once’ about his ownership ofLubrizol shares before Buffett began discussionswith the <strong>com</strong>pany.”A more stunning revelation was theaudit report stating that, “Buffett and the<strong>com</strong>pany did not have the full story inMarch.” This begs the question: Whywould Buffett make the statements hemade without knowing all the facts?I believe Buffett’s apparent knee-jerkreaction to this issue and the subsequentfallout has tarnished his pristine reputation.I continue to be shocked at the apparentlack of crisis management planning insome of the world’s largest <strong>com</strong>panies. Itwasn’t that long ago that Tony Hayward,the disgraced BP chief, said publicly,“The <strong>com</strong>pany’s contingency plans wereinadequate and we were making it up dayto-day.”Berkshire Hathaway, a <strong>com</strong>pany thatgenerated nearly $18 billion in cash fromoperations last year and currently hasmore than $38 billion to spend on futureacquisitions, erred badly in <strong>com</strong>municatingits reaction to what has be<strong>com</strong>e amajor scandal.What happens next isn’t clear, butaccording to published reports, theSecurities and Exchange Commission isalready investigating Sokol’s trading. Infact, we now know that Buffett called theSEC himself and laid out the pattern oftrading.Berkshire Hathaway may face lawsuitsfrom shareholders who want Sokol to forfeithis trading profits because of the negativepublicity and damage to the <strong>com</strong>pany’sreputation. And the audit report saidthe <strong>com</strong>pany is considering whether topursue “possible legal action againstSokol to recover any damage the <strong>com</strong>panyhas sustained, or his trading profits.”In the final analysis, the lack of a coherentand well-planned crisis <strong>com</strong>municationsstrategy is what’s most surprising.Buffett is fond of saying: “Lose moneyfor my firm, and I will be understanding.Lose a shred of reputation for the firm, andI will be ruthless.”Still, even in his latest interview withthe Times, Buffett has not publicly takenSokol to the woodshed. It may be the onlyway to truly end this chapter and move on.Betrayal cannot go unanswered. 34JUNE 2011 WWW.ODWYERPR.COM


Facebook flap shows difference between PR, journalismBy Bill HueyBill Huey is presidentof Strategic Comms., acorporate and marketingconsultancy inAtlanta, and author of"Carbon Man," a novelabout greed.The Burson-Marsteller/Facebookflapdoodle has almost run itscourse, except that Burson continuesfiring wildly at its own foot by fiddlingwith its Facebook page to deletenegative <strong>com</strong>ments.Everyone got what they deserved, and,fortunately for Burson-Marsteller, theInternational Monetary Fund chief’s sexualescapades camealong over the weekendto wipe theFacebook story offthe Big News agenda.Which makes thepoint that someoneis almost alwaysgoing to do somethingworse than youdid, so don’t panicwhen a crisis arises— especially if noone was killed ormaimed.The two high-profileformer journalistsat Burson-Marsteller who perpetratedthe dastardly plot will be spared theaxe because they are new hires and “willbe given additional ethics training,” the<strong>com</strong>pany said. How’s that again?Additional ethics training to formerjournalists about not trolling for journalistsunder a false front? Where will thisend?Nevertheless, it is time for lessonslearned. One of the most salient lessons— and one that the PR business neverseems to learn — is that PR and journalismare different pursuits. That PR isnot just journalism practiced in a corporatesetting, and firms that hire marqueeor even second-tier journalists inhopes of bolstering their cred are simplybarking up the wrong tree.How are PR and journalism different?In an extended rant on Slate,“Press Box” columnist Jack Shafer saidflatly that PR people push lies, whilereporters are guardians of the truth:“Every reporter approached by PRfirms knows that the primary focus ofPR firms is to push lies. If PR peoplewere being paid to push the truth,they’d be called reporters,” Shaferwrote.Of course, as an editor who oncebought into a <strong>com</strong>pletely fabricatedstory called “Monkeyfishing,” aboutalleged fishing for monkeys in Floridafrom a reporter who repeatedly bamboozledhim when asked for more factualdetail, Shafer should know the difference.PR and journalism are differentbecause their aims are different. Ignorethat fundamental fact and you are askingfor trouble. But PR firms have doneit repeatedly over the years, luringquondam journalists to the so-called“dark side” and touting them as someone“who has an intimate, first-handknowledge of the news business andcan shape <strong>com</strong>pelling stories that movepeople to action,” or similar nonsense.Sometimes it works out. Reporters,after all, are highly adaptive creatures,and some of them learn to appreciatethe difference between their old careeras journalists and their new career asstrategists and advisors.But just as often, the skill sets don’tPEOPLE IN PRDuke exec to Purduein PA shuffleJulie Griffith, VP of governmentaffairs and foundation relations forDuke Energy, has been named VP ofpublic affairs for Purdue University as theIndiana school shuffles its <strong>com</strong>munity andgovernment relations with economicdevelopment operations under its office ofengagement.Griffith takes up thepost June 20, subject tothe expected approval ofthe board of trustees,reporting to presidentFrance Cordova. Theschool said it has madethe changes to fosterstronger ties to the stategovernments, non-profits,private entities andcitizens.Julie GriffithGuest Columntravel well. The new hires remain stuckin the journalism mode, pontificating toeveryone within range about “news values”and how to make news, or tellingwar stories about the time they interviewedsome flavor-of-the-month bigshot and told him straight to his face thathe was lying, etc.You know the type because you’veprobably encountered them. They simplydon’t understand that they are nolonger in the news business, and theirnew employers are either too dense ortoo timid to explain it to them.Of course, despite mountains of evidenceto the contrary, you might thinkthat PR and journalism are more similarthan they are different. If you are convincedof that, try putting out some jobfeelers to the New York Times or Time orone of the networks and see what happens.And don’t let that one-way door hityou in the face. The VP/government affairs slot had beenvacant since 2008. The office of engagementhad been led by Victor Lechtenbergsince 2004. He plans to retire in June 2012and Perdue said he will take on an interimassociate VP role with plans to advise theVP of PA and university president.She exits Indianapolis-based Duke after14 years, the last 11 in the VP slot. Griffith,a Ball State grad, also led Indiana governmentaffairs, as well as <strong>com</strong>munity andeconomic development for Duke. CNBC blogger to MDCAsh Bennington, a journalist andblogger on CNBC, has joinedMDC Partners as Director ofStrategic Technology and Innovation.He is to run the MDC Ideas unit, an inhousethink tank to find opportunities insocial media, convergenceand business analytics.Bennington will serveas the ad/PR <strong>com</strong>bine’s“technology evangelist”and help identity investmenttargets in the digitalsector.Ash BenningtonCEO Miles Nadalsays Bennington is totravel the globe, scoutingfor <strong>com</strong>pelling opportunities for MDC<strong>com</strong>panies and clients.At CNBC, Bennington reported on technology,economics, finance and banking.He will continue to do pieces forCNBC.<strong>com</strong> and serve as contributor toCNBC. Prior to CNBC, Bennington wasassistant VP at Credit Suisse and VP for e-<strong>com</strong>merce at BB&T.Sloane & Co., Kwittken & Co. andAllison & Partners are MDC’s PR units. JUNE 2011 WWW.ODWYERPR.COM 35


WASHINGTON REPORTMcHale steps down as PR ChiefJudith McHale, the former Discovery CommunicationsChief who has served as the U.S.’s image chief at the StateDept., is planning to step down, according to theWashington Post.McHale, as Undersecretary of State for Public Diplomacy andPublic Affairs, has traveled extensively since being nominated tothe post in April 2009 by President Barack Obama and played arole in repairing the U.S. image abroad in the wake of two warsand the financial crisis. Educational programs were key to heroutreach efforts.“This is not a propaganda contest — it is a relationship race,”she told the Center for a New American Security in Washington,D.C., in June 2009. “And we have got to get back in the game.”She spent 20 years at Discovery, stepping down in 2006 aspresident and CEO, and is a former general counsel for MTVNetworks. First lady’s press secretary exitsFirst Lady Michelle Obama’s Press Secretary, KatieMcCormick-Lelyveld, is stepping down to return to the privatesector in Chicago.Hannah August, a regional <strong>com</strong>munications director at theWhite House, will take over for McCormick-Lelyveld, who hasnot announced her new job but said she will not work for theObama-Biden campaign.“Katie has been with me since the very beginning and I’verelied on her intelligence, grace, quick wit, humor and friendshipthrough the campaign and at the White House,” Obama said in astatement.August, who has covered the South and women’s issues for theWhite House, was a Press Secretary at the Justice Dept. andComms. Deputy at the Democratic Senatorial CampaignCommittee.Obama said Deputy Press Secretary Semonti Stephens was promotedto Deputy Communications Director. FCC hires FCC <strong>com</strong>missionerComcast is hiring Federal Communications CommissionCommissioner Meredith Attwell Baker as Senior VP-Government Affairs at NBCUniversal after her term expiresat the end of June.Baker, one of two Republicans of the five FCC Commissioners,voted in favor of the Comcast-NBC venture and was critical of thenearly one-year time the FCC spent on reviewing the merger.She faces a lifetime ban on lobbying concerning theComcast/NBCU agreement and a two-year ban on courting FCCofficials.Kyle McSlarrow, President of Comcast/NBCUniversal’s D.C.operations, praised Baker for her “exceptional relationships inWashington.”Baker reports to McSlarrow and will work closely with RickCotton, executive VP/general counsel and assume the duties ofBob Okun, who is launching a government affairs firm.Before the FCC, Baker worked on tele<strong>com</strong>munications andinformation policy issues in the Bush II Administration. She guidedthe national roll-out of digital TV.She also held posts at Williams Mullen Strategies, CovadCommunications and the Cellular Tele<strong>com</strong>munications IndustryAssn. Leslie takes foreign aid postWeber Shandwick Chairman Jack Leslie has been tappedfor a U.S. advisory <strong>com</strong>mittee intended to link the federalgovernment and private sector over foreign aid.LeslieLeslie was named as a member of the U.S. Agency forInternational Development Advisory Committee on VoluntaryForeign Aid by USAID administrator Raj Shah. He’ll adviseUSAID on its efforts to promote democracy, good governance andeconomic group, the organization said.Leslie said he is “honored” and looks forward to workingtoward “strengthening global development policy and results.”The <strong>com</strong>mittee was set up after World War II to coordinatehumanitarian and development assistance oversees with the federalgovernment and private groups.Leslie, a member of the Council on Foreign Relations whoreceived Senate confirmation in 2009 after a presidential appointmentto an African development post, is one of 27 members of the<strong>com</strong>mittee.He started his career as an aide to Sen. Ted Kennedy (D-Mass.)before moving into political and PR consulting. Coal group names Comms. chiefEvan Tracey, who founded and heads political ad and issuetracking firm Campaign Media Analysis Group, has takenthe top PR slot at the American Coalition for Clean CoalElectricity.Tracey took the post of Senior VP, Communications, at ACCE,the three-year-old Alexandria, Va.-based trade group which representsthe top U.S. coal producers, utilities and railroads. He startedJune 1.Tracey, a regular media pundit, founded CMAG in 1997. Thefirm was acquired by TNS, which itself was acquired by WPP in2008.ACCCE counts about 40 members like Caterpillar, GE Energy,CSX, Southern Company and American Electric Power. Thegroup took a PR hit in 2009 when a campaign with HawthorneGroup and subcontractor Bonner & Associates was exposed forsending fake letters to lawmakers in the name of non-profitgroups.Lisa Camoosa Miller is VP of Media Relations for ACCCE. Shejoined in 2009 from the National Community PharmacistsAssociation. 36JUNE 2011 WWW.ODWYERPR.COM


Monitor files $3M Libya pactThe Monitor Company Group, which faced heat for its representationof Col. Gaddafi’s Libya in the aftermath of therebel uprising, has just retroactively filed its contract effectiveMay 1, 2006, showing fees of $3 million and expensescapped at $2.5 million.Filed May 6 with the Justice Dept., Monitor says its effort wasto “take advantage of improved diplomatic relations betweenLibya and the U.S. in the wake of the Bush II Administration’smove to remove designation of the African nation as a terror-supportingstate.Libya, which was responsible for blowing up Pan Am 103 overLockerbie, Scotland, “suffered from a deficit of positive PR andadequate contact with a wide range of opinion-leaders and contemporarythinkers,” according to Monitor’s proposed “programof action.”The Cambridge, Mass.-based <strong>com</strong>pany drew up a list of potentialvisitors to Libya including Jim Woolsey (former CIA director),Robert Spencer (Jihad Watch director), George Soros(investor and Open Society Institute chairman), Daniel Pipes(founder of Middle East Forum), San Nunn (ex-U.S. Senator andCEO of Nuclear Threat Initiative), William Kristol (Editor of theWeekly Standard) and Tom Friedman (New York Times columnist).On the media relations front, Monitor promised “operationalsupport for publication of positive articles on Libya” in outletssuch as The Economist, Washington Post, Wall Street Journal,NYT, Financial Times and Foreign Affairs.Monitor is currently reviewing its ongoing relationship withInternational PR NewsLibya and promises the Justice Dept. to “supplement this descriptionas appropriate.” Racepoint bolsters PR savvy forJordan EmbassyThe Monitor Company tapped Larry Weber’s RacepointGroup to handle <strong>com</strong>munications in its effort to upgrade“Jordan’s narrative in Washington” under its $77,000 a-weekcontract with the Hashemite Kingdom.The goal is to transform Jordan’s Embassy from the traditionalrole as a “bricks and mortar” building where diplomats serve as“sole conduits for relations between sovereign governments” to a“high-performance” outpost positioned “strategically as a key nodein a network of relationship involving state and non-state actors,”according to the Cambridge-based Monitor’s action plan.The D.C. upgrade is to serve as a template for key Jordanianembassies in London, Brussels and Paris.Weber heads the Racepoint team that includes Peter Prodromou,head of its global corporate, PA and reputation practices, and AnnePotts, senior VP.Racepoint, which is headquartered in Waltham, Mass., is to“identify members of Congress that make relevant decisions anddescribe the sphere of influence around each member and the leversto direct their attention to support Jordan.”Racepoint is to work with Jordan’s Embassy’s PR staff to“engage each point in the circle of influence around Senator Kerry,bringing third party validation and a halo effect to achieve desiredout<strong>com</strong>es.” FARA News NEW FOREIGN AGENTS REGISTRATION ACT FILINGSBelow is a list of select <strong>com</strong>panies that have registered with the U.S. Department of Justice, FARA Registration Unit, Washington,D.C., in order to <strong>com</strong>ply with the Foreign Agents Registration Act of 1938, regarding their consulting and <strong>com</strong>munications work onbehalf of foreign principals, including governments, political parties, organizations, and individuals.Bavarian U.S. Offices for Economic Development, New York, N.Y., registered April 14, 2011 for Bavarian Ministry for Economic Affairs,Infrastructure, Transport and Technology, New York, N.Y., regarding furthering trade, business and business relations between entities in theUnited States and the State of Bavaria (Germany) by acting as a liaison office between parties involved in such activities.Development Counsellors International, New York, N.Y., registered May 10, 2011 for APEV Romania, Bucharest, Romania, regarding providingan assessment of the current U.S. wine market and opportunities to favorably position Romanian wines particularly among the growingaudience of Millenials.Hecht Spencer & Associates, Inc., Washington, D.C., registered April 27, 2011 for Government of Japan, Embassy of Japan, Washington,D.C., regarding rendering government relations and political consulting services to the principal in connection with U.S. government positions,actions, legislation and treaties concerning Japan and Japanese nationals, including corporations.Lobbying News NEW LOBBYING DISCLOSURE ACT FILINGSBelow is a list of select <strong>com</strong>panies that have registered with the Secretary of the Senate, Office of Public Records, and the Clerkof the House of Representatives, Legislative Resource Center, Washington, D.C., in order to <strong>com</strong>ply with the Lobbying DisclosureAct of 1995. For a <strong>com</strong>plete list of filings, visit www.senate.gov.American Continental Group, Washington, D.C., registered May 4, 2011 for Demand Media, Inc., Bellevue, Wash., regarding Internet <strong>com</strong>merceand the Domain Name System and Trademark Policy.Lugar Group LLC, Washington, D.C., registered May 3, 2011 for Google Inc., Washington, D.C., regarding technology issues.Nixon Peabody LLP, Washington, D.C., registered May 4, 2011 for The Eastman Kodak Company, Washington, D.C., regarding entertainment,technology and scientific applications.Orion Advocates, Washington, D.C., registered May 11, 2011 for Renewable Bag Council, Washington, D.C., regarding bag taxes/bans affectingpaper bags.TwinLogic Strategies, LLP, Washington, D.C., registered May 16, 2011 for Pandora Media Inc., Oakland, Calif., regarding music licensing issues.JUNE 2011 WWW.ODWYERPR.COM 37


PR Buyer’s GuideTo be featured in the monthly Buyerʼs Guide,Contact John OʼDwyer, john@odwyerpr.<strong>com</strong>CAMERA-READY RELEASESMEDIA & SPEAKER TRAININGSATELLITE MEDIA TOURSNorth American Precis Syndicate, Inc., 415Madison Ave., 12th flr., New York, NY 10017.800/222-5551. freeproposal@napsnet.<strong>com</strong>;www.napsinfo.<strong>com</strong>. Dorothy York, President.GET 100 to 400+ placements fromU.S. dailies and weeklies. We cover10,000+ newspapers. We send in avariety of formats including CDs,repro proofs, e-mail and RSS Feedsvia our www.napsnet.<strong>com</strong> Web sitefor editors.Complete satisfaction with the resultsof each release or another one free.NAPS is used by most Fortune 500<strong>com</strong>panies, nearly all the 100 largestnational advertisers, all top-20 PRfirms, over 100 associations andmany government agencies.Impact Communications, 11 Bristol Place,Wilton, CT 06897-1524. (203) 529-3047;cell: (917) 208-0720; fax: (203) 529-3048;JRImpact@aol.<strong>com</strong>. Jon Rosen, President.BE PREPARED! Impact Communicationstrains your spokespeople tosuccessfully <strong>com</strong>municate criticalmessages to your targeted audiencesduring print, television, andradio news interviews. Your customizedworkshops are issue-drivenand role-play based. Videotaping/critiquing. Groups/privately. Faceto-face/telephoneinterviews/newsconferences. Private label seminarsfor public relations agencies. Makeyour next news interview yourbest by calling Jon Rosen, ImpactCommunications. Over 25 yearsof news media/training expertise.NewsWatchTV, 10875 Main St., Suite214, Fairfax, VA 22030. 703/359-5480.info@newswatchtv.<strong>com</strong>; NewsWatchTV.<strong>com</strong>.Ed Tropeano, President.Guaranteed Nationwide Placementfor Your SMT.Since the 1990s, NewsWatch, anational 30 minute news program, hasbeen helping clients reach nationalaudiences for their broadcast campaigns,including Satellite Media Toursand Video News Releases. A placementon NewsWatch means 100%guaranteed airings on more than 60full-power broadcast stations, includingall of the top 20 U.S. markets. In total,NewsWatch airs in over 190 marketsreaching more than 100 million householdsacross the country. That meansguaranteed, verifiable results that willexceed even the most demandingclientʼs expectations.Public Relations DirectorIdentified is seeking an extremely talented,experienced and dynamic individual to lead ouroverall <strong>com</strong>munications efforts, including: publicrelations, social media and marketing <strong>com</strong>municationsefforts.The position reports directly to the CEO andwill have significant freedom and responsibility.Compensation (salary and equity) will be <strong>com</strong>mensuratewith that responsibility. The rolepresents a unique opportunity to join a startupwith a developed product, strong early traction,and significant financial and technicalresources.Candidates should have, at either an agencyor a startup itself:Mandatory qualifications:· Significant experience managing public relationsfor startup and technology <strong>com</strong>panies· At least 5 years in PR agency or corporateenvironments· Proven track record of telling a <strong>com</strong>pany'sstory through a variety of <strong>com</strong>munication channels(employee, social, media, influencer, etc.)· A desire to collaborate with all departmentsto identify <strong>com</strong>munications support needs· Prior experience with reaching consumertech and/or youth audiences.Responsibilities include:· Help evolve Identifiedʼs messaging & brandidentity based on projected road map· Identify and execute <strong>com</strong>munications strategiesand tactics reaching core target audiencesthat support business goals and build brandPR JOBS - http://jobs.odwyerpr.<strong>com</strong>awareness.· Build media relations program focused onconsumer, tech and business media· Create a cross platform (social, media andcorporate) <strong>com</strong>munications plan for up<strong>com</strong>ingJuly/August <strong>com</strong>pany launch. Heavy emphasison media relations· Produce speaking opportunities to supportbroader corporate goals· Develop or oversee creation of thought leadershipprogram, including: industry reports and<strong>com</strong>mentary, by-lined articles, case studies, etc.· Input on corporate collateral developmentand sales materials.· Incorporate social media collaboration asneeded.Send resumes directly to brendan@identified.<strong>com</strong>and lena@identified.<strong>com</strong>with ʻDirector of Public Relations &Communicationsʼ in the subject line.38JUNE 2011 WWW.ODWYERPR.COM


Boost your new business efforts.Join OʼDwyerʼs rankings, now open year-round.The 2011 ranking of PR firms, in which 151 firms took part including virtually all the major firms, is closed. Butyour firm can be an O’Dwyer ranked firm—a prime new business tool—by filling out the form below and e-mailingit to jackodwyerpr.<strong>com</strong>. Send top page of latest in<strong>com</strong>e tax return and W-3 for 2010. Your ranking will beposted on odwyerpr.<strong>com</strong> and you can use it in new business pitches. There is no charge for a ranking. Clientshave <strong>com</strong>e to rely on firms in the O’Dwyer rankings.Letter from the CPA of the PR firm as follows: (This form may be photocopied and used by CPA)To the Board of Directors of ____________________________________________________ (city, state)_____________________________:We have performed the procedures enumerated below, which were agreed to by you solely for the purpose of ranking the PR firm namedabove with O’Dwyer’s based on 2010 results. This engagement to apply agreed-upon procedures was performed in accordance with thestandards established by the American Institute of Certified Public Accountants. The sufficiency of the procedures is solely the responsibilityof the PR firm. We make no representation regarding the sufficiency of the procedures described below either for the purpose for which thisreport has been requested or any other purpose. Our procedures were as follows:A. Net fee in<strong>com</strong>e is defined as basically charges for PR counseling and time spent preparing and placing stories in media. Mark-ups forout-of-pocket expenses and mark-ups and/or profits from collateral activities such as graphics, video production, printing, public opinionresearch, etc., are included as actual amounts. Such amounts do not exceed the limit of 7.5% of total fees. We <strong>com</strong>pared fee in<strong>com</strong>e, asdefined above, to the appropriate fee billing records and found that for the 12 months ended Dec. 31, 2010:Net fee in<strong>com</strong>e for 2010 was: $ _________________________________Net fee in<strong>com</strong>e for 2009 was: $ _________________________________Percentage gain (loss) was: ____________________________________B. Gross billings for calendar 2010 aggregated _____________________________ (total in<strong>com</strong>e plus reimbusables).C. We determined from the payroll records that __________ employees were employed full-time as of Dec. 31, 2010 (employeeswho worked at least 35 hours a week and had F.I.C.A. taxes withheld).D. Wages paid as reported on enclosed form W-3 for 2010 totaled: $ __________________________.E. Enclosed is the first page of the latest Federal in<strong>com</strong>e tax return of the PR firm signed and dated by both us (the CPA) and__________________________________ (CEO of PR firm).F. The PR firm named above is (is not) owned, affiliated or in any way related to an advertising agency or individual owners of anadvertising agency or any other <strong>com</strong>pany. The name of the parent or affiliated <strong>com</strong>pany is _____________________________(tell what industry the parent <strong>com</strong>pany is in).G. Net fees of the PR firm named above in one or more of 12 PR specialties are given below to rank the firm in that specialty category.We are providing names of accounts to show the firm’s expertise in these areas. (fees of specialties cannot exceed total fees of firm.)H. List branch office fees/staff on a separate sheet for: New York, Chicago, Los Angeles, Washington, D.C. area, Boston, Connecticut,Philadelphia, Pittsburgh, Atlanta, Southeast, Florida, Ohio, St. Louis, Minneapolis/St. Paul, Midwest Cities, Austin, Dallas, Houston,Seattle, Western Cities, San Francisco, Sacramento and Silicon Valley.Agriculture ______________________ Financial PR/IR __________________ Professional Services _________________Beauty & Fashion _________________ Food & Beverage _________________ Sports/Leisure ______________________Entertainment/Cultural _____________ Healthcare _______________________ Technology/Indus. ___________________Environmental/PA _________________ Home Furnishings _________________ Travel/Hospitality ____________________We were not engaged to, and did not, perform an audit, the objective of which would be the expression of an opinion on any of the accounts or itemsreferred to above. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have <strong>com</strong>e to ourattention that would have been reported to you. This report is intended solely for the use of the specified user listed above and should not be used bythose who have not agreed to the procedures and taken responsibility for the sufficiency of the procedures for their purposes.Signed by outside CPA __________________________________ Signed by CEO of PR firm: _________________________________Agency contact for this form: _____________________________ phone: _________________ e-mail: __________________________GENERAL RULES UNDER WHICH ENTRIES ARE EDITED:Only long-term (six months or more) clients should be listed and they should be active in 2011. PR operations which are units of advertising agencies orpartly owned by ad agency employees must indicate this. Affiliates or joint ventures of PR firms should not be listed. A PR professional’s name may appearonly once. At least one full-time person must be listed at each branch. Staff listed at h.q. cannot also be listed in branches. Firms billing more than $1million should list at least six PR executives or staff. Only firms that list accounts will be considered for the rankings. Firms that participate in the categoriesmust show at least three accounts in the particular specialty.JUNE 2011 WWW.ODWYERPR.COM 39


socialactivationsocialstorytellingsocialnetworkingrfrelate@ruderfi nn.<strong>com</strong>The Americas • Europe • Asia Pacific • Middle Eastwww.ruderfinn.<strong>com</strong>

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