Using Evidence and Applying Relevant PR Concepts - Essay Example

?Using Evidence and Applying Relevant PR Concepts, Assess the Effectiveness of the Promotional Tactics and Strategy Used By ONE Organisation in the Last 12 Months Table of Contents Introduction 3 PR Strategies of Coca-Cola in Last Twelve Months 4 Public Relation Principles 6 Effectiveness of the Promotional Tactics and Strategy Used By Coca-Cola over the Last 12 Years 7 Public Relations Practices and Professionalism 7 Digitalisation and Convergent Media 8 Governmental PR in Respect of Coca-Cola 9 PR for NGOs and Campaigning Organisations 9 PR and Politics 10 Public Relations and Advertising of Coca-Cola 11 Media Promotion 12 Ethics in Public Relationship 12 Conclusion 13 References 15 Bibliography 18 Introduction Every organisation manages its relationships with its customers by a practice. This practice process is generally referred as Public Relationship (PR). It is actually a mutually beneficial communication process which connects an organisation to its customers. With the introduction of public relationship, an organisation exposes its functions and its various operations to the targeted customers. Hence, a strong level of dependency between the exposure of an organisation and its sales exist in the modern day context. It has often been studied in this context that if a company fails to effectively connect with the public interests, it shall also have to witness a significant maximization of its profits. Public relationship, in the modern day context includes various common activities in terms of communication with the employees, promoting an organisation through the receipt of awards, working with the media as well as addressing on-going issues in the conferences (Davis, 2002). In the modern day context, communication has been acting as the backbone of modern day PR strategies. As an example, the promotional tactics and strategies of the global beverage giant, Coca-Cola can be elaborated. Coca-Cola has been renowned as a brand which has been quite innovative in its PR initiatives. Recently, the company completed its 127 years of inception which was celebrated with extensive advertising campaigns throughout the globe, directly aiming at the enhancement of its brand recognition and customer loyalty. It currently operates in more than 200 countries and manufactures approximately 3500 products and more all over the world. The overall brand value of Coca-Cola is further recognised to be US$ 16 billion which further remarks that the organisation is an absolute profit making company. It strictly follows PR process which has apparently helped it to survive and maximize its sales in the increasingly competitive era of the 21st century. Focusing on its positive and negative effects, the British Institute of Public Relations (BIPR) stated PR as “the deliberate planned and sustained effort to establish and maintain mutual understanding between an organization and its publics”. It ensures that not only organisations understand the public, but the targeted audiences are also capable of understanding the message conveyed through the process [1] (The Coca-Cola Company, 2013). Emphasising on this particular understanding, the paper intends to assess the PR strategies undertaken by Coca-Cola since the past 12 years on the basis of theoretical underpinnings and practical evidences as well. PR Strategies of Coca-Cola in Last Twelve Months When analysing the performance of the company since the recent 12 years, it can be apparently witnessed that Coca-Cola has been using a vibrant number of PR strategies to gain an increasing proportion of market share and thereby obtain a leadership position within the targeted market. Its recent PR strategies include an ad campaign focussing on health issues, campaign against child obesity, makes soda personal and its sponsorship in some of the very famous television series all around the world. For instance, on the official website of American Idol, the name of the award has been specified as “Coca-Cola & IDOL® prizes”. By sponsoring the shows like American Idol, Coca-Cola has apparently been able to win a substantial degree of public interests. The participants who participate on these shows as well as the viewers are often observed to get strongly influenced by the brand, Coca-Cola [2] (The Coca-Cola Company, 2013). For gaining customers’ faith and trust, Coca-Cola has also been focused on executing health campaign in lieu of celebrating its 127th anniversary. As can be effortlessly observed, at present, all government owned organisations as well as corporate entities have been focused on conveying social messages taking the assistance of media exposure at an extensive rate. It is in this context that Coca-Cola has evidently obtained the virtues of such media exposure through its PR strategies as one of the targets of the promotional campaign. Another PR campaign organised by Coca-Cola can be identified to be executed in the Essence Festival 2013. On opening the site of Coca-Cola a messages can be seen like “YOU COULD WIN A TRIP TO THE 2013 ESSENCE FESTIVAL”. It motivates and influences its existing as well as potential customers to purchase the brand and therefore build a sustainable brand loyalty [2] (The Coca-Cola Company, 2013). In its PR initiatives, Coca-Cola can also be observed to have taken the assistance of social media differentiating its brand from the company entity with two Twitter accounts namely @CocaCola and @CoaColaCo which are principally used to obtain valuable feedbacks from the public and also keep the stakeholders informed regarding the organisational progress and its brand value. Additionally, it uses 100 % recyclable bottles to maintain environmental values which have been further conveyed through its PR strategies indicating its environmental concerns and therefore building customer loyalty [2] (The Coca-Cola Company, 2013). It is worth mentioning in this context that the relationship between the brand and the mass media has been conceptualised in various ways by Coca-Cola. With reference to Coca-Cola’s health campaign, it can be stated that the calorie contains have been reduced from its products over time and scaled down the size of its cans wherein the advertisements announces that being healthy means drinking of less soda. Apart from Twitter, the brand has also been taking the advantages of FaceBook, another renowned social media with its application, Sharing Happiness which has already been liked and shared by 50 million users. From a managerial perspective, this particular strategy can be identified as a tactic to involve public, i.e. the stakeholders in the promotional processes executed by Coca-Cola through its ad campaign [2] (The Coca-Cola Company, 2013). Public Relation Principles In its performance, Coca-Cola has been focused on certain principles which can be apparently observed with respect to its PR strategies. For instance, Coca-Cola considered deceit as an important principle of PR and strictly avoids making any disclosure of untrue or ambiguous information to the public. In lieu of the PR initiatives, the public contacts performed by Coca-Cola are based on mailing addresses, phone numbers, contact names and email addresses of the company officials and also that of the customers (in certain instances) which are again subjected to confidentiality which is considered as one of the top priorities by the company. Evaluating its PR strategies and performances, it can be observed that Coca-Cola has been highly inclined towards extensive stakeholder engagement wherein the company has been keeping its stakeholders updated regarding all the information about the company through press releases. This has further enabled the company to obtain trust of its employees and stakeholders which are mandatory for preserving stakeholders’ loyalty towards the brand which in turn can contribute towards its sustainability. In Coca-Cola, the PR managers are also observed to be strategically focused towards maintaining a good relationship with the journalists that shall result in the conveyance of the intended message to the stakeholders without any ambiguity or distortion (Schlesinger, 1990). One of the recent PR initiatives in alignment with its Human Resource Management (HRM) notions considered by Coca-Cola can be identified with the career opportunity offered by the company where the students studying PR in the United States have a very crucial edge or opportunity to join the organisation before their completion of the graduation at a competitive salary package. Furthermore, in Coca-Cola, all PR relations greatly deals with the use of the PR tools such as web broadcasts, press releases, speeches, direct mails, personal interviews and seminars. Timing is another important PR parameter considered by Coca-Cola. Apart from the aforementioned principles, Coca-Cola attempts to render significant consideration towards leadership, collaboration, integrity, accountability, passion, diversity and quality [2] (The Coca-Cola Company, 2013; Davis, 2000). Effectiveness of the Promotional Tactics and Strategy Used By Coca-Cola over the Last 12 Years Public Relations Practices and Professionalism With reference to the above described PR strategies performed by Coca-Cola, it can be observed that high degree of professional commitment is deciphered by the organisation. For instance, almost all of its strategies to involve its stakeholders have been concentrated on transparency of the data or information conveyed and precision as well as unambiguity of the message. Due significance have also been rendered towards the selection of the media options to convey the messages through its PR initiatives focusing on customer conveniences as well as media reachability. In the similar context, the organisation has also been emphasised on delivering adequate significance with respect to other external environmental factors including culture, socio-economic aspects, political interventions and environmental concerns. Hence, it can be stated that the PR practices by Coca-Cola were effective in terms of professionalism. Apparently, the tactful and well-planned PR initiatives undertaken by Coca-Cola has assisted the brand to obtain and preserve a competitive position in the global beverage industry where availability of substitutes and switching costs of buyers are perceived to be against the market players. It is worth mentioning in this context that such PR initiatives have also assisted the organisation in differentiating its brand from its close substitutes to a large extent, thereby ensuring long run efficiency of the company from marketing perspectives [2] (The Coca-Cola Company, 2013; Moloney, 2013). Digitalisation and Convergent Media With reference to the term ‘digitisation’, it means going digital from the analogue sources of presentation which can be identified as a strategic measure often considered as vital for Coca-Cola. The entire range of latest technology, especially the online sources, has been considered as quite valuable for Coca-Cola in creating precise, unambiguous and noise free interaction with the targeted public. For maintaining more efficient and more effective relationships with the stakeholders, corporate and government organisations are exposing themselves through internet which can also be observed as a principle strategy of Coca-Cola in its PR initiatives. On the other hand, convergent media indicates websites and online social media and multimedia reporting wherein, Coca-Cola intends to consider the usage of social networks such as Twitter and FaceBook extensively. Professionals working in convergent media deals with the digital networks and interactive media. It also includes interactive multimedia designing, writing for media contents, video storytelling, principles of visual designing and the creation of sound environments. It is worth mentioning in this context from a critical perspective that with the introduction of digitalisation and convergent media Coca-Cola has been able to reach the minds of its customers and persuade greater loyalty from the targeted groups [2] (The Coca-Cola Company, 2013; Miller, 2002). Governmental PR in Respect of Coca-Cola The relationship between the PR agencies and the modern day organisations has been long and strong, which has been further noted as quite beneficial for both the groups. However, it can be observed that Coca-Cola focuses on inculcating this particular segment in its organisational structure rather than outsourcing the service satisfying a few priority advocacy policies. For instance, the company generates operating revenues by satisfying the US income tax policies. Coca-Cola is also accounted as a major contributor in the local as well as global employment, tax and investment growth. In addition, the brand follows different environmental policies during its operations such as low energy consumption in its manufacturing and distribution process with the use of best possible mix of energy resources [3] (The Coca-Cola Company, 2013; Cottle, 2003). PR for NGOs and Campaigning Organisations An interesting relationship can be observed between the process of PR practiced by Coca-Cola and the operations of Non-Governmental Organisations (NGOs) for the overall development of the community by satisfying the stakeholders’ interests. In practice, the PR department of Coca-Cola exhibits media relations department and communications department. These departments can also be observed as present in NGOs which further assists Coca-Cola’s PR initiatives to be strategically linked with community welfare services performed by NGOs maintaining a good relationship with its stakeholders, briefing journalists, writing press releases, briefing journalists and organising an event. Apart from the original foundation in the US, there are lots of different Coca-Cola owned social-welfare foundations operating mostly in Africa, Latin America, Asia and Europe (Global Hand, 2013). Such initiatives can be further observed to have assisted the organisation in creating superior brand loyalty and sustainability for the organisation. PR and Politics To attract its ultimate customers, Coca-Cola also focuses on publicity stunts endorsing celebrities to promote its brand image rendering due significance towards the inculcation of propaganda. It is a form of a communication to influence the public towards a cause (Mullen, 2010). It often acts as a one way communication model where an active sender conveys a message and a passive receiver accepts the information wherein the behaviour is affected by the message content (Etang & Pieczka, 2006). Illustratively, to demonstrate the effects on global warming and climate change, propaganda in January 2013 was organised with the joined collaboration of Coca-Cola and WWF (Global Hand, 2013). PR and Media Pressure groups in relation to media are also considered as one of the crucial and phenomenal tactics performed by Coca-Cola. Pressure groups can be identified as a group of people who intend to stay together and protest for a cause of the society often performing in opposition of corporate entities. In its recent practices, the company has also been witnessing a significant influence from pressure groups as community members have been protesting against beverages (McNair, 2004). With such negative influences, the company intends to configure its PR practices in a tactful manner which can create a balance between the community interests and the profitability interests of the company by a substantial extent. It can further be observed that to restrict negative influences from pressure groups, the company follows extensive policy measures in terms of Integrated Marketing Communications (IMC) systems which further entails its PR principles, social media, owned assets, paid advertising and promotion among others in combination. In a marketing campaign, a personal relationship manager should use the tools of IMC properly which is apparently considered by Coca-Cola in its PR practices. As its IMC tactics, creating emotional attachments with the community by taking endeavours such as collecting funds for the earthquake and various other community welfare approaches have evidently helped the company to obtain increased customer loyalty. Another focus would be on entertainment and fun on the basis of some values like tradition, sharing, happiness and fun with Coke can also be observed as few of its IMC practices which have been quite effective to yield greater success of the brand in the competitive scenario of the 21st century (Theaker, 2004). Public Relations and Advertising of Coca-Cola Organisations use advertising campaign as a marketing tool to sell its products, services and ideas to the public in general. Today, adverting has become a vital marketing tool which is quite significant to hold a sustainable and mutually beneficial relationship with the public over the long-run. Coca-Cola uses different advertising campaigns to build better public relationship. Its very recent advertisements include “obesity-concerns all of us”, “haan haan main crazy hoon (India)” and “believe in a happier tomorrow”. Media Promotion Social media is an effective tool for the marketing and promotion practices for any organisation. With due significance to this particular fact, Coca-Cola has been concentrated on using Twitter, FaceBook and MySpace along with various blog sites to reach the public in masses and build its brand image in a sustainable manner. To be illustrated, Coca-Cola in partnership with its media agency of record, Starcom Media Vest Group, carefully examines each of the proposals to be published online. Such an exposure can be observed to reward the company with increased customer recognition and enhanced relationship with its customers. Ethics in Public Relationship Ethics, often denoted as ethical considerations play a vital role in the PR activities performed by Coca-Cola (Global Alliance for Public Relations and Communication Management, n.d.). With ethical concerns in its PR initiatives, the company tends to provide employment opportunities globally. Apparently, in its official website, the company has provided with adequate job openings throughout North America, Eurasia & Africa, Europe, Latin America and Pacific regions which has further increased public commitment and faith on the brand. Additionally, every financial year, Coca-Cola spends a percentage of its turnover on the promotional strategies to build a strong customer relation which further signifies the importance of PR for the organisation that has further been quite advantageous for the global brand to create a sustainable recognition in the midst of such intensely competitive industry framework (Cottle, 2008). Conclusion With reference to the above study concentrated on the PR strategies performed by Coca-Cola in its recent endeavours for the past 12 years, it can be evidently observed that the brand has been quite successful in inculcating almost all the major issues witnessed and studied in the modern day in relation to such tactics. From of its inception to the present age, Coca-Cola’s planning and business strategies have been flexibly developed with relation to the PR framework on a gradual basis sparing ample scope for innovation, sustainability and competitiveness. Undoubtedly, the strategies practiced by Coca-Cola in its PR initiatives illustrates some of the industry best practices wherein the effective inclusion of various notions with relation to modern day marketing concerns can be observed. However, it is to be mentioned in this regard that only the implementation of PR strategies is not sufficient in today’s modern day phenomenon; it should be successful enough to influence the target public. PR strategies are today subjected to various attributes with the strong governmental intervention and influences of pressure group in the mixed economies of the world. In this context, only the appropriate tools should be used wherein due consideration must be provided towards a variety of aspects including customer conveniences, ethical soundness, technical appropriateness and persuasiveness. Contextually, one of the key reasons for the company’s success in initiating PR strategies can be identified as its due consideration all these aspects with equal importance. However, such measures are also quite likely to develop the entire business process concentrating on the PR initiatives of the organisation to be quite complex which in turn shall raise certain risks in terms of managerial dilemmas. To mitigate this particular limitation, as can be observed with reference to the strategies adopted by Coca-Cola, it is highly essential to consider the various external factors prevailing in the local, national as well as international levels. Long run effectiveness, foresee-ability as well as strategic focus on the organisation play a pivotal role in mitigating these limitations substantially. Nevertheless, it can be affirmed in this context, based on the above described evidences that the PR strategies adopted by Coca-Cola have been quite effective in rewarding the company with its desired brand reputation along with customer loyalty and public recognition. References [1] The Coca-Cola Company, 2013. Investors Info: Stock Information. Investors. [Online] Available at: http://www.coca-colacompany.com/our-company/ [Accessed May 12, 2013]. [2] The Coca-Cola Company, 2013. Solving Childhood Obesity Requires Movement. Coming Together. [Online] Available at: http://www.coca-colacompany.com/opinions/solving-childhood-obesity-requires-movement [Accessed May 12, 2013]. [3] The Coca-Cola Company, 2013. Public Policy Engagement. Investors. 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