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14-1 Copyright 2009 Pearson Education Canada Inc.

CHAPTER 14

Public Relations and

Event Marketing andSponsorships


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Learning Objectives

Identify the role of public relations and eventmarketing and sponsorships in achievingorganizational objectives.

Describe the various types of public relations

activities Identify the steps involved in the public

relations planning process

Continued


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Learning Objectives (cont.)

Assess the usefulness of a variety of publicrelations tools

Evaluate public relations and event marketing

and sponsorships as a communicationsmedium

Identify the unique considerations involved inthe planning and evaluation of event

marketing programs


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The variety of activities and communications

an organization undertakes to monitor,

evaluate, and influence the attitudes,

opinions and behaviours of groups or

individuals who constitute their publics.

Public Relations


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Public relations is distinguished

from advertising in two ways:

1

.A

dvertising is focused on productimage; public relations is more

focused on corporate image.

2. Advertising is controlled and paid

for by a sponsor(the company themedia story concerns); public

relations is controlled by the

media.

Public Relations versus

Advertising


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Publicity

At the product level, publicity is used tomarket goods and services.

Publicity is one aspect of public relations

It is the communication of newsworthy informationdesigned to familiarize the public with the featuresoradvantages of a product, service, or idea.

Typically, publicity attends:

Launching new products

Opening a new store

Technological breakthrough

Achievement of some milestone


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The Publics

PR is sensitive to two different publics:

Employees, distributors,

suppliers, shareholders,

and regular customers

Media, governments,

prospective shareholders,financial community, and

community groups

InternalPublics

External

Publics


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The role of PR generally falls into sixareas:1. Corporate Public Relations

CorporateA

dvertising Advocacy Advertising

Crisis Management

2. Reputation Management

3. Product Publicity

4. Product Placement and Branded Content

Continued

The Role of Public Relations


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The Role of Public Relations

(cont.)

5. Buzz Marketing (word-of-mouth)

6. Media Relations

7. Community Relations & Public Affairs

Lobbying

8. Fund Raising


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APR plan is dictated by the situation. It can:

be proactive and carefully set out in advance

and be implemented with precision or

be reactive and only undertaken because of

some unforeseen circumstance occurring

The success or failure of a

PR plan canimpact on the bottom line

Public Relations Planning


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Public Relations Planning

PR planning usually involves five steps:

Evaluate

Effectiveness

Situation

Analysis

Establish

Objectives

Develop the

PR Strategy

Execute Plan


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The tools available to execute public

relations programs are diverse. Some

are used routinely while others are

used periodically. Press Release

Press Conference

Publications Posters and Displays

Web Sites

Blogs

The Tools of the Trade


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Credible source of

information

Can influence sales

positively

Helps to build

relationships

Lack of control

Costs associated

with waste

Advantages Disadvantages

Advantages & Disadvantages of

Public Relations


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Event Marketing

Integrating a variety of

communication

elements to support an

event theme.

Financial support of an

event in return for

advertising privileges.

Event

Marketing

Event

Sponsorship


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Culture

& the Arts

Cultural sponsorships are aimed

at a class target audience.

SportsThe largest sponsorship

segment (70%), sports reaches

a mass target audience.

Entertainment Music plays a major role inentertainment sponsorships.

Primary Types of Sponsorship

Cause-RelatedPartnership between a company

and a non-profit entity for mutual

benefit


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Sports Sponsorship

Sports sponsorship are dominated bysome of the largest manufacturers,service companies, and retailers

Ford, General Motors, Molson, Labatt, RBCFinancial, BMO Financial Group, Visa,MasterCard

82% of the North American executives perceiveevent marketing to be strategic and efficientbusiness tool.

A key indicator of success is the effect theassociation with a sponsored event has onconsumer awareness of brand or company.


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Level of Sports Sponsorship

From grassroots (local) levels to global

events, sponsorships can pay dividends

for companies.

Local

Regional

National

International

Global


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Sports marketing is extremely competitive

so companies look for advantage by any

means. Some recent strategies include:

Ambush Marketing

Venue Marketing and Sponsorship

Athlete Sponsorship

Sport Marketing Strategies


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Entertainment Sponsorship

Sponsor concerts and secure endorsementsfrom high-profile personalities in the hope thatthe celebrity-company relationship will pay off inthe long run.

Coca-Cola uses entertainment sponsorships as avehicle for developing pop-music and youth-lifestyle marketing strategies.

Festivals (film, comedy, music) offer

opportunities to reach a cross-section of adulttarget audiences.

Montral International Jazz Festival attracts GM,TD Canada Trust, Loto Quebec, and Bell.


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Cultural and Arts

Sponsorships

Art and cultural event opportunitiesembrace dance, film, literature, music,painting, sculpture, and theatre.

Effective for companies who prefer to reach amore selective and upscale audience (e.g.,Mercedes).

Primary benefit that companies gain from

sponsoring the arts is goodwill from the public.


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Cause Marketing Sponsorship

Partnership between company and anon-profit entity for mutual benefit

The relationship between the parties has

significant meaning to consumers

CIBC Run fro the Cure (partners are CanadianBreast Cancer Foundation and CIBC both tryingto raise funds to help find a cure for breast

cancer)


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Fit between the event and the sponsor

is essential. It is important to:

Select events offering exclusivity

Use sponsorships to complement otherpromotional activity

Choose the target carefully

Select an event with image that sells

Establish selection criteria

Strategic Considerations for

Event Marketing


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Measuring the Benefits of Event

Marketing and Sponsorship

The following indicators are used tomeasure the benefits of sponsorship:

Awareness

Image

New Clients

Sales

Specific Target Reach

Media Coverage


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Advantages

Target marketing

capability

Face-to-face

access to customers

Public image

enhancement

Disadvantages

Cost of big events

Advertising clutter at

events

Ambush marketing

(potentially)

Effectiveness hard to

measure

Advantages & Disadvantages of

Event Marketing & Sponsorship

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