The Big PR Issues in 2011

Arun Sudhaman, The Holmes ReportPRCA Briefing

20 January 2011

Context2009: 8 percent drop in PR agency fee income worldwide

2010: single-digit growth

UK hit hard by public sector slowdown

Growth from crisis, corporate, healthcare and digital.

Optimism

Global: 7.7 from 7.56

UK: 7.45 from 7.16

North America: 7.74 from 7.06

Western Europe: 7.13 from 7.57

UK concerns

45% economic conditions

27% attracting talent

18% competition from other marketing disciplines

12% measurement

UK attitudesClients CEOs take reputation seriously? 7.94 Only the US is higher.Media Respect the role of PR? 6.33 Lowest worldwideGrowth 21% CSR 16% Word of mouth

5 issues to watch

1. DigitalBeyond social media Into owned and paid media Development – content, apps, websites… Location-based/mobile Social business

Implications Collaboration & acquisition Clients: Who ‘owns’ social media? Business models & ROI

2. CollisionMarketing & PR Fuelled by social media Client-side integration Marketing budgets hold sway

Implications Bigger budgets? Competition & collaboration Insight & planning Measurement and evaluation

3. Crisis

Molehills become mountains Fuelled by social media Greater consumer activism Social responsibility More regulatory oversight

Implications PR & PA counsel PR becomes the story

4. Emerging marketsThink global Growth opportunities Transnational organisations Globalisation of PR activity Issues not borders

Implications Local insight Ethics Talent

5. Ethics

Uncomfortable questions Spin is dead Foreign governments ‘Journalism’

Implications Nowhere to hide Ethical policy Industry reputation