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Belch: Advertising and<br />

Promotion, Sixth Edition<br />

V. Developing the<br />

Integrated Marketing<br />

Communications Program<br />

17. Public Relations,<br />

Publicity, and Corporate<br />

Advertising<br />

engaged in—for example, reducing air pollution, cleaning up water supplies, or, as<br />

shown in Exhibit 17-5, protecting turtles. (As you can see, the community can be<br />

defined very broadly.) Demonstrating to people that the organization is a good citizen<br />

with their welfare in mind may also be a reason for communicating to these groups.<br />

Suppliers and Customers An organization wishes to maintain goodwill with its<br />

suppliers as well as its consuming public. If consumers think a company is not socially<br />

conscious, they may take their loyalties elsewhere. Suppliers may be inclined to do<br />

the same.<br />

Sometimes sponsoring a public relations effort results in direct evidence of success.<br />

For example, the “Just say no” to drugs campaign was a boon to companies manufacturing<br />

drug testing kits, hospitals offering drug rehabilitation programs, and TV news<br />

programs’ ratings. 16 Indirect indications of the success of PR efforts may include more<br />

customer loyalty, less antagonism, or greater cooperation between the firm and its suppliers<br />

or consumers.<br />

Sometimes a public relations effort is targeted to more than one group. For example,<br />

San Diego Gas & Electric (SDGE), the public utility company for the San Diego<br />

area, has suffered from extreme negative attitudes among its customers due to its high<br />

rates. This problem was aggravated when a series of management blunders resulted in<br />

even higher rates and SDGE announced plans to build a nuclear plant in one of the<br />

lagoons near the ocean, resulting in protests from consumers and environmentalists.<br />

Stockholders and potential investors lacked trust, and employee morale was low.<br />

(Company cars with the SDGE logo on the doors were vandalized, and drivers were<br />

threatened to the point where the identifying logos had to be removed.)<br />

The public relations plan developed to deal with these problems targeted a variety<br />

of publics and employed a number of channels. TV spots showed consumers how to<br />

save energy, print ads explained the reasons for the energy purchases made by management,<br />

and PR programs were developed to foster more community interaction.<br />

These programs have led to much more favorable attitudes among all the publics targeted.<br />

(At least employees can put the SDGE logo back on their cars.)<br />

Relevant audiences may also include people not directly involved with the firm.<br />

The press, educators, civic and business groups, governments, and the financial community<br />

can be external audiences.<br />

The Media Perhaps one of the most critical external publics is the media, which<br />

determine what you will read in your newspapers or see on TV, and how this news will<br />

be presented. Because of the media’s power, they should be informed of the firm’s<br />

actions. Companies issue press releases and communicate through conferences, interviews,<br />

and special events. The media are generally receptive to such information as<br />

long as it is handled professionally; reporters are always interested in good stories.<br />

© The McGraw−Hill<br />

Companies, 2003<br />

Exhibit 17-5 Chevron<br />

demonstrates concern for<br />

the public<br />

571<br />

Chapter Seventeen Public Relations, Publicity, and Corporate Advertising

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