It’s 11pm. It’s the end of the semester, and I have no idea what ROI in PR means. To be honest, it just kind of hit me when I was finishing up my budget draft for my CAP 220 class. I knew return on investment was important to people when making business decisions but it all came together when I started looking at it through the lens of Public Relations.
After writing my budget draft for class tonight, I realized that people need to see what their getting when entering into any type of deal. The whole purpose of PR is to prosper a business, and if the people in charge can’t see what they will accumulate from the deal, whats the point?
From the Journal of communication Management, findings from K. Murray relay, “CEOs do not expect or look for a simple return on investment (ROI) for public relations expenditure; that public relations is used regularly to enhance and protect reputation; (Murray 2005 para 1).
This quote stuck out to me because I realized that the ROI in PR is so much more vital to businesses. Where an advertisement shows that a company paid somewhere to boost their business, PR offers many different avenues to enhance companies. For example, a PR firm could get front page coverage on a press release, completely boosting business for their client. This is a huge return on investment for both parties. Although investments are often associated with risks, companies must consider the advantages of working with a PR department over any other area.
Not only is ROI important for the people investing in the PR firm or individual helping their case, but it is even more important for the PR people to value what they are doing on their end. Public Relations is a two-way street, especially in any type of firm. While the firm would be doing a work to help the business, that business’ reputation is now an example of the firm’s work. This drives PR professionals to do a lot of research and a lot of planning.
Nada Giuffrida states that “data-driven PR is essential” and explains the importance in “understanding overall goals of the client’s business” (Giuffrida 2016 para 1). When professional and client are on the same page, PR flourishes. The client seeks to enhance their relations to the public and their business, while PR professionals are equipped with limitless skills to achieve success in any desired area. It should be kept in mind that while advertising companies can be beneficial, PR departments usually carry the capabilities to do PR, advertising, marketing, and beyond.
In the article “How to Prove Your PR’s ROI with the Right Reporting, Melissa Toso explains the necessary four steps when dealing with clients in PR: 1. Define your goals across teams. 2. Match your metrics to your goals. 3. Define “success” 4. Communicate your success in a comprehensive report (Toso 2016 p 1). Once again, it is made clear for client and professional to be on the same page. After reviewing the meaning of ROI and the resources within this blog, I’ve realized that not only does PR consist of pushing businesses in the right direction, but it really relies heavily on the trust between professional and client. Within these investments, the two rely on each other for the sake of their reputation, livelihood, and the success of their goals.
It is vital to consider how the process of ROI in PR will effect all parties involved. After all, PR is based around careful planning. When considering who to entrust your business personality to, or who to get the word out on your new project, keep in mind the various skills and necessities that are PR.
Giuffrida, N. (2016, May 10). How to Measure the Return on Investment of PR Work. Retrieved April 9, 2017, from https://www.hallaminternet.com/measure-pr-roi/
Murray, K., & White, J. (2005). CEOs’ views on reputation management. Journal of Communication Management, 9(4), 348-358. Retrieved from http://search.proquest.com.ezproxy.gvsu.edu/docview/232910259?accountid=39473
Toso, M. (2016, March 25). How to Prove Your PR’s ROI with the Right Reporting. Retrieved April 09, 2017, from http://www.prnewswire.com/blog/how-to-prove-pr-roi-with-the-right-reporting-17057.html