OTHERWISE KNOWN AS SEXY PR

CONSUMER RELATIONS

The Consumer Class

Who they are They eat highly processed food They desire bigger houses and better

cars They continue to take on more and more

debt They work hard to acquire more and

more stuff

Where they are Today nearly HALF of global consumers

reside in developing countries – 240 million in China and 120 million in India.

The Consumer Challenge

What does that look like? Sometimes it looks like the

Oscar Meyer Weiner Mobile – being creative & gimmicky

Paying attention to societal sensitivities and maximizing trends

Protecting one’s reputation

#1 Challenge: Differentiating one’s product from the rest

#1 Solution: Good Consumer PR

Some Examples

The Tour de France was a one-time publicity stunt imagined by newspaper publisher Henri Desgrange to promote his newspaper. He had NO IDEA it would still be going strong 100+ years later.

The Miss America Pageant was a stunt – launched in 1921 – to attract business and tourists to Atlantic City

On April 1, 1996, the NYT ran a story “Taco Bell buys the Liberty Bell” stating it would hence be known as the “Taco Liberty Bell” but still accessible to the public for viewing. More than 650 print and 400 broadcast outlets covered the prank. Revenue increased $500k that day, and $600k the next day. It pays to be funny.

Some more examples (the more boring kind)

In 2006, in response to concerns over child nutrition, Disney ended the use of its name and Toy Story characters with food that didn’t meet nutritional standards. It negatively affected licensing agreements – but positively impacted PR/reputation.

In 2008, during the Olympics, GE launched its “EcoMagination” campaign live from Beijing featuring wind turbines, LED lighting and recycling water systems.

PR can help cut through the clutter and distinguish one company from the next. Consumer PR helps attract, win

and keep customers.

Consumer Relations Objectives

Keeping old customers Most sales are made to established customers. Respond early and

often. Attracting new customers

Products are usually very similar – new customers make decisions on how they have been treated and brand impressions.

Marketing new items or services Know what customers want and need. Speak to that.

Expediting compliant handling Consider the feedback loop and your response plan.

Reducing costs An educated customer is the best customer.

OR it could be simplified a little:

MAKE MORE MONEY

Consumer Generated Media

Consumers place trust in other consumers.

Increasingly it is vital to understand and manage CFM (Blogs, Social Media, Comments on articles, Online discussions, etc.)

Handling Consumer Complaints

Be honest Be helpful Respond quickly – even if you don’t know the answer It’s worth some financial loss to regain trust/goodwill

The Consumer Movement

1872 – Congress enacted the Criminal Fraud Statute to protect consumers against corporate abuses

1887 – Congress established Interstate Commerce Commission to curb railroad tycoons

Early 1900s – Journalistic “muckrackers” encouraged legislation to protect consumers (Food & Drug Act and Trade Commission Act)

1927-1938 – Consumers were safeguarded against abuses of manufacturers, advertisers, and retailers (Food, Drug & Cosmetic Act)

1965 – Ralph Nader and activists got GM to stop production of the Corvair 1960s – JFK advocates that consumers have their own bill of rights:

The right to safety (protection from marketing of goods hazardous to health or life) The right to be informed (protection from misleading advertising or labeling) The right to choose (protection from monopolies and assurance of competitive

prices) The right to be heard (consumer interests to receive full consideration in

government policy)

Consumer Activists Online

The Internet keeps companies honest. Period.

Speaking of Consumer Activists

The Catalyst

The Response

Speaking of Consumer Activists

Ask and you shall receive @askicanything

In Conclusion…

Consumers aren’t going anywhere. And in our increasingly complicated world,

consumers will have more and more concerns and more and more of a voice.

Dealing with consumers (getting them to consume a specific product or addressing concerns, etc.) is a huge aspect of public relations.

The smartest companies (and PR counselors!) will tie their products/services to larger societal causes.

Unsolicited Advice #8

You will be judged by your grammar. In fact, you probably already have been.

By me.

Toward – not towards There/Their/They’re – not interchangeable

Commas – They aren’t just really long periods Its vs. It’s – “It is” not the same

You can affect something (verb) or have an effect on something (noun)