PR in the UK Boardroom

Huntsworth recently commissioned Ipsos-Mori to conduct a survey on the state of PR in the UK boardroom. More specifically, they were interested in finding out how much more PR is being used than 3 years ago.

The results were published towards the end of February and here is a summary of the findings:

• Nearly one-third of organisations will increase their PR expenditure this year –of which just under half will increase expenditure between 3-10%

• Two-fifths of organisations spent up to £100K on PR last year and 6% spent more than £½ million

• Just under half spent up to £100K on digital communications last year and 4% spent more than £½ million

• Approximately half of organisations have a separate budget for digital communications –of which just over two-fifths expect this budget to rise

• Roughly two-thirds will increase their digital communications spend by more than 20%

• Approximately half of the respondents believe PR to be a more effective tool than it was a 3 years ago

And here are selected comments from senior executives stating PR is a more effective tool that it was 3 years ago:

• “I feel that PR is more effective as it is more closely integrated with the marketing industry. PR has been more effective now that there has been a reduction in spending on advertising”

• “We've become more PR savvy. Experience has shown us that you can really support the brand with PR”

• “We measure our performance against strict criteria so all our PR has been linked closely to our business objectives. There are always improvements with PR especially in building a relationship and understanding with external stakeholders”

• “Due to fragmentation of target audience. People now get information from many sources. There is a rise in internet sources. Press and radio are not as effective as they used to be. Also PR is used as a cost effective tool. People are bombarded with advertising and they pay more attention to editorial”

• “As the mobile communication world becomes more saturated, the products become more complicated. It's a key factor being able to communicate”.

• “PR is an effective tool as it gives us access to channels we would not otherwise have. We have only started using it within the last 3 years”

• “To reach end users that you normally wouldn't be able to reach. Due to the level of web connectivity and communication this is easier. People will read a good quality website and they are attracted to good quality websites, therefore increasing the improvement”

• “It helps us get out more detailed messages that would be difficult to do in advertising”

• “It provides us with the means of reaching our audience and communicating our aims and values”

Around one-third of organisations will increase their PR expenditure this year? Far from being in a recession, then, the industry appears to be growing if this survey is to be believed.

I think that just from these quotes we can see how senior executives are aware of PR aware, and some even showed a deeper understanding of its usefulness and effectiveness, especially in terms of relationships and interconnectivity.

Although there is still a paradox on the cost front – why does PR cost less than advertising but as more effective in building a brand?

The report can be downloaded from here.