Exam 18: Public Relations, Influencer Marketing, and Corporate Advertising

A petroleum company undertakes an extensive research effort designed to analyze its internal workings and identify opportunities to present itself in a positive light.This research is referred to as message content.

Scenario 18-5 An old adage states that all publicity is good publicity. However, Professors Jonah Berger of the Wharton School, and Alan Sorensen and Scott Rasmussen of Stanford found that there is such a thing as bad publicity. The colleagues studied the relationship between bad publicity and its impact on music albums, books, and movies.In 2010, they published their findings in an article in Marketing Science.After studying cases involving the late Michael Jackson, Russell Crowe, and various authors, the colleagues concluded that negative publicity can increase product sales. Michael Jackson sold more albums after receiving negative media attention, and films starring Russell Crowe received higher rankings following an incident in which he allegedly threw a cell phone at a hotel employee. These high-profile stars actually thrived after receiving substantial amounts of negative publicity. However, in many lower profile cases, negative publicity hurt sales and product reception. The three colleagues conducted an analysis of The New York Times' reviews and book sales and found that negative reviews hurt sales of books by well-established authors, but helped sales of books by relatively unknown authors. After conducting their study, the authors found that conventional wisdom is wrong: not all publicity is good publicity.But they did show that negative publicity can sometimes be positive; it all depends on existing-product awareness.(Ned Smith, "Can Bad Buzz Be Good?" Business News Daily, November 1, 2010) -(Scenario 18-5) The text states that we have entered a "new era" for public relations. What is one factor that contributes to this belief?

A leading sporting goods company calls a press conference to announce that the winner of the National Football League's Most Valuable Player Award has signed a contract to endorse the company's products.The advantage of using a press conference rather than other tools is that it

Influencer marketing involves individuals or groups who

Scenario 18-5 An old adage states that all publicity is good publicity. However, Professors Jonah Berger of the Wharton School, and Alan Sorensen and Scott Rasmussen of Stanford found that there is such a thing as bad publicity. The colleagues studied the relationship between bad publicity and its impact on music albums, books, and movies.In 2010, they published their findings in an article in Marketing Science.After studying cases involving the late Michael Jackson, Russell Crowe, and various authors, the colleagues concluded that negative publicity can increase product sales. Michael Jackson sold more albums after receiving negative media attention, and films starring Russell Crowe received higher rankings following an incident in which he allegedly threw a cell phone at a hotel employee. These high-profile stars actually thrived after receiving substantial amounts of negative publicity. However, in many lower profile cases, negative publicity hurt sales and product reception. The three colleagues conducted an analysis of The New York Times' reviews and book sales and found that negative reviews hurt sales of books by well-established authors, but helped sales of books by relatively unknown authors. After conducting their study, the authors found that conventional wisdom is wrong: not all publicity is good publicity.But they did show that negative publicity can sometimes be positive; it all depends on existing-product awareness.(Ned Smith, "Can Bad Buzz Be Good?" Business News Daily, November 1, 2010) -(Scenario 18-5) Publicity often increases the awareness of a particular brand. The concept of creating an event or experience that yields conversations that include the brand is referred to as

What has led to the growth and popularity of green marketing? What cautions should potential advertisers take before launching into it? A number of corporations, manufacturers, and service industries have issued "green" messages.Name as many as you can, with a few words to describe the promotion if possible.

How do proactive and reactive public relations strategies differ? Describe the steps necessary to implement each strategy.

The section of the public relations plan that specifies precisely what means will be used to implement the plan is the program rationale.

Scenario 18-4 In the summer of 2010, basketball star LeBron James found himself in the middle of a PR nightmare when he decided to turn his decision regarding his future team into an hour-long spot on ESPN, which interestingly enough was entitled, "The Decision." Almost immediately, fans and critics alike began to express their distaste for the way the multi-millionaire handled the situation. Many fans' opinions of the star were greatly altered and James' positive public image appeared to be shattered. Perhaps even worse than the damage to his image, the Lebron James "brand" began to take a hit when his jerseys were pulled from many retailers' stores and websites, and thousands of fans vowed they would never buy James' line of shoes ever again. Several months later, James began the process of repairing his public image. James, who endorses Nike products, came out with a controversial commercial some believe was intended to evoke sympathy. However, many others felt the commercial mocked the negative reaction expressed over "The Decision," and was intended to rebrand the star as a bit of a rebel. Either way, LeBron James appears to have a long way to go before he can once again be recognized as one of the most beloved players in the NBA. -(Scenario 18-4) LeBron James was widely criticized for his decision because he refused to make it during a traditional press conference. Press conferences are often a good way to announce important decisions, scientific breakthroughs and new product details because they

Promoting goodwill.This is an image-building function of public relations.Industry events or community activities that reflect favorably on a firm are highlighted.

When marketers are considering cause-related advertising, it should be stressed that this type of advertising works best when the company involved

Influencer programs directed at professionals virtually run themselves, because these individuals are accustomed to freely dispensing bits of information and giving their opinions without a thought.

The British beef industry was rocked by reports of mad cow disease in its herds.To deal with the concerns raised, the industry had to adopt a proactive public relations strategy.

When adversity strikes, public relations personnel step out of the picture so that company executives can control and monitor communications.

In the early 1990s, Jacquelyn Ottman wrote a book that predicted a new marketing revolution, which didn't really occur at the time, but is growing and becoming quite popular now.What is it?

Public relations has been around for a long time.An early version of influencer marketing involved a technique still used today.It was very big in the 1800s, when P.T.Barnum got people talking by

The text lists six main objectives of public relations efforts.List three of these objectives.Then give an example by identifying a company that sells a product you purchase or provides a service you use.Explain how this company could try to achieve each of the four objectives.

There are three broad types of corporate advertising-professional, peer-to-peer, and word-of-mouth.

What common goal do corporate image advertising, advocacy advertising, and cause-related advertising share? Outline the unique features of each of these types of corporate advertising.