When Stupid Rules
Eeeesh, I would venture to say that Glenn is a little upset? Glenn Jasper, the managing director of Ruder Finn Israel, wants to know why multi-million dollar Israeli companies can’t spend a “reasonable amount” of money on PR campaigns. Oh wait, he knows the answer. “It is simple,” he blogged. “They are stupid.” According to Jasper, stupid means (among other things) that “a company can spend tens of thousands of dollars on a single advertorial, because the CEO likes to see his/her face in a magazine, but won’t spend that kind of money on a PR campaign because there is no guaranteed ROI.”
I kind of agree with him though.
When Stupid Rules
February 21, 2010 | Written by Glenn Jasper
I often ask myself, how is it that many Israeli companies that receive tens of millions of dollars in funding … not to mention the tens of millions in profits, are unable to spend a reasonable amount per month on a PR campaign?
Today, I finally realized the answer. It is simple. They are stupid.
Stupid means that a company can spend tens of thousands of dollars on a single advertorial, because the CEO likes to see his/her face in a magazine, but won’t spend that kind of money on a PR campaign because there is no guaranteed ROI. Of course, it doesn’t matter that the advertorial they bought gave no ROI either. At least the CEO can show the picture to his army buddies, right?
Stupid means that a company embarks on a branding campaign that does not have market research as one of its preliminary elements. And when the branding firm – which the company paid $50,000 to develop the new branding, unveils a name that sounds ridiculously similar to another Israeli company’s name, and the color scheme does as well, the company is forced to accept it because, well, they paid $50,000, and it would be a shame to let that money go to waste.
Stupid means that a company believes it only has $1,000 per month for international PR, so it hires a second-rate freelancer to do the job, when that money would be better spent on Google Ads or, frankly, snacks for the staff. Any PR firm willing to accept $1,000 per month for international services can’t get the job done. I assure you of that.
Stupid means that a company spends $150,000 on a small booth at a gigantic trade show, but won’t spend a few thousand on a PR firm to secure them interviews while they are there.
Stupid means that a company produces items that are marketed for tens of thousands of dollars apiece – and bought by thousands of customers, but doesn’t have the money to commit to a momentum-building PR campaign that, over the course of a year, will cost the company the same amount as a single one of their products will cost a single customer.
Of course, there are also smart Israeli companies, and they are a pleasure to work with.
Smart means that a company gives its agency access to as much information as possible so the agency can decide which items may be newsworthy.
Smart means that a company provides its agency an efficient, but reasonable budget, so the agency will feel motivated to provide outstanding service.
Smart means that a company is just as interested in the constructive feedback a journalist gives when the answer is “no,” as they are in securing the “hit.”
Smart means that a company considers PR to be not only a marketing function, but a corporate function as well, since positive PR will impact all audiences positively and negative PR will impact all audiences negatively.
So here’s the kicker, which is also simple …
Over my five years here, I’ve found a direct correlation between a company’s ability to be smart versus stupid, and a company’s likelihood to be successful versus unsuccessful.
Article Source: Ruder-Finn Israel
- February 22nd, 2010
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