|
 |
Internet
Edition, May 15, 2002, Page 1 |
|
ORBIS SQUARES OFF AGAINST
PRN
Orbis Broadcast Group
alleges that PR Newswire breached a contract when MultiVu-a
company PRN established last month to provide VNRs and other
electronic publicity tools- hired Tim Bahr, who was president
of OBG's healthcare group, and five other staffers, according
to a lawsuit filed May 6.
OBG, says its complaint,
entered into a "co-marketing agreement" with PRN
on April 12, 1999. The one-year pact was extended, and finally
terminated by both parties on May 12, 2001. OBG claims a
provision of the agreement said neither party could use
the other's "propriety information," and charges
that PRN breached that by hiring former staffers. It wants
at least $5 million in damages.
Orbis also maintains
that it entered into a noncompete agreement with Bahr-who
earned a $300K salary plus other compensation-that would
expire one-year following his termination. Bahr left Orbis
to head MultiVu on April 22. OBG is asking for damages of
at least $5 million for Bahr breaking that alleged noncompete
pact.
Five Orbis staffers joined
MultiVu. They are producers Margaret Higgins, Danielle Addair
and Christiane Arbesu, and sales executives Irene Mitchell
and Benjamin Fugitt. OBG named each as a defendant.
Bahr told this NL he
could not comment on the case. Rachel Asche, a PRN spokesperson,
e-mailed the following statement from Charlie Morin, her
company's CEO. He said: "Orbis Broadcast Group filed
a lawsuit on May 6, 2002 in New York Supreme Court against
PR Newswire, its multimedia and broadcast company, MultiVu,
and certain employees. We are confident that we will prevail."
The defendants are to
appear in Court on May 21.
ACKERMANN LANDS $500K DFW
AIRPORT
Ackermann PR has won
a two-year $500,000 contract to position Dallas Fort Worth
International as a "safe and secure airport,"
said Cathy Ackermann. She cited Burson-Marsteller, Ketchum,
Fleishman-Hillard and Vollmer PR as key contenders for the
account. DFW sent proposals to more than 135 firms, and
19 shops submitted pitches.
Burson-Marsteller
has named Heidi Sinclair as global technology practice
leader based in the London office of the WPP Group unit.
Albert Durig,
who chaired B-M's Latin American high-tech practice, will
succeed Sinclair as U.S. technology practice leader.
IRS FILES $20M ACCOUNT WITH
WS, FCB
Weber Shandwick and Foote,
Cone & Belding beat out a dozen firms for a $20 million-a-year
Internal Revenue Service campaign to boost tax compliance
and encourage more taxpayers to file electronically. April
Delancey, an IRS spokesperson, would not name the other
finalists, but Grey Global Group, BBDO and Young & Rubicam
are said to have been in the running for the account that
could run five years depending on funding. The Minneapolis
office of WS, which is headed by Sara Gavin, will lead PR
duties. That office boasts of electronic payment and tax
administration expertise having worked for various financial
services companies and the Minnesota tax authority.
FCBi (interactive marketing), Analytici (database) and Montemayor
y Associatos (Hispanic outreach) are the other Interpublic
units that are involved in the work. FCB heralds its collaborative
pitch with sister companies as an indication that its "Model
of One" philosophy is a viable one in the age of communications
conglomerates. Atlanta-based Agency I.D. assisted the IRS
in its five-month agency search.
SQUIBB'S DESALVA HEADS GCI'S
HEALTH
GCI Group has tapped Bristol-Myers Squibb Foundation director
Anna Maria DeSalva to head its North American healthcare
practice.
DeSalva, who began in BMS's international PA department
in 1996 and took over the Foundation's philanthropic work
in 2000, formerly was a VP in Ketchum's healthcare and pharmaceutical
practice. Her earlier career included stints at Ogilvy Adams
& Reinhart and the Cooney/Waters Group.
DeSalva will oversee GCI's pharmaceuticals, clinical trial
recruitment, biotechnology, consumer health, medical devices
and provider care clients.
EISNER GETS $933K TO PITCH
SCHOOLS
Eisner Communications beat out six firms for a two-year
$933,000 pact to pitch the quality of Baltimore's 180 public
schools to parents and students, as the school board faces
enrollment slumps due to competition from private institutions
and Edison Schools.
The firm will play up a reform program for the district,
which is bolstered by a partnership with the State of Maryland
and includes a redesign of Baltimore's high schools funded
by $20.75M from the Bill and Melinda Gates Foundation and
other groups.
|
|
Internet
Edition, May 15, 2002, Page 2 |
|
PM WANTS ANTI-TOBACCO ADS
PULLED
Philip Morris is calling
on the Florida Department of Health and its ad firm, Crispin
Porter & Bogusky, to retract "inaccurate, misleading,
and false" ads which are being run as part of the state's
"Truth" anti-smoking campaign aimed at kids.
Those ads, which do not
mention PM by name, make false claims about the tobacco
company's international marketing in Africa, China and Venezuela,
PM said in a letter to Debra Bodenstine, director of the
FDH's Health Awareness and Tobacco division. A copy of the
letter - which was signed by PM's U.S. and International
general counsel and cc'ed to CP&B and 28 Florida TV
stations - was provided to this newsletter.
PM alleges that the ads,
which are funded by Florida's $11.3B settlement with the
tobacco industry, use "brand-specific imagery and language
in a way that leaves no doubt that they are directed"
at PM.
A PA staffer for PM said
the letter clearly outlines the tobacco company's position
and referred to it for comment. She said PM's PR firm, Burson-Marsteller,
is not involved in the Florida fracas.
KLORES CUTS 'IRON MIKE' TYSON
Dan Klores Comms. has dropped heavyweight boxer Mike Tyson
from its client roster following "Iron Mike's"
latest verbal explosion. In Hawaii training for a rematch
with champ Lennox Lewis, Tyson's "trash talk"
has gone into overdrive during various media appearances
that were arranged by DKC.
The fighter has called himself "angelic," though
admitted that most people view him as "scum."
Of the upcoming June 8 fight in Memphis, Tyson promises
to take not only Lennox's title, but also his soul. The
ex-champ vows to smear Lewis' "pompous brains all over
the ring."
MUCHA NAMED DISNEY PR CHIEF
Zenia Mucha was named chief spokesperson for The Walt
Disney Co. after serving in that role for its ABC broadcast
unit and TV network. She becomes SVP of corporate comms.
based in Los Angeles.
Mucha was a high-profile spokesperson for both New York
Governor George Pataki and former Senator Al D'Amato. She
replaces John Dreyer, a 25-year veteran at Disney and chief
spokesman for 10 years, who is leaving to "pursue other
opportunities."
C&W SPREADS 'GOOD NEWS'
ABOUT SUICIDE
Cohn & Wolfe is helping the American Foundation for
Suicide Prevention spread the good news that the number
of people killing themselves is dropping-thanks to the increase
in the use of antidepressants. The firm also reps GlaxoSmithKline,
maker of Paxil, a leading depression treatment.
AFSP released data last week showing that America's suicide
rate is down 14 percent over the past decade. The number
of self-inflicted deaths in the U.S. fell below the 30,000
mark last year for the first time since 1985.
Sheri Jaffe handles the AFSP account. She said C&W
is handling the AFSP's "Lifesavers Dinner: on a pro
bono basis. When asked if C&W is still doing work for
Paxil, Jaffe said, "We work in a number of areas for
GlaxoSmithKline." She stressed there is no connection
between work for the Foundation and for GlaxoSmithKline.
EDELMAN LISTING DRAWS 1,548
VISITORS
The listing for Edelman PR Worldwide on the O'Dwyer website
drew 1,548 visitor sessions in April, making it the tenth
most popular place on the site. Visitors spent an average
of two minutes and 15 seconds on the Edelman listing. The
listing is the same as the one that appears in O'Dwyer's
Directory of PR Firms.
In second place among agencies was the listing for BSMG
Worldwide, which drew 675 visitor sessions. It was the 31st
most popular segment on the site. Viewers spent an average
of two minutes and ten seconds on the BSMG listing.
Ruder Finn was in third place among the big firms, drawing
676 viewer sessions lasting an average of two minutes and
four seconds.
Hill and Knowlton's listing drew 639 visitor sessions;
Ogilvy PR Worldwide, 598 sessions; Porter Novelli, 585 sessions;
Burson-Marsteller, 581 sessions, and Fleishman-Hillard,
578 sessions.
The news portion of the O'Dwyer website was the most popular
area of the site, garnering 37,485 visitor sessions. In
second place was the index to the O'Dwyer's PR Buyer's Guide,
listing 1,500 PR services and products in 58 categories.
It had 6,169 visitor sessions.
In third place was an editorial by O'Dwyer editor Kevin
McCauley on President Bush "finally springing into
action" on the Israeli/Palestine dispute following
the Passover massacre at Netanya. It garnered 5,234 visitor
sessions and drew comments from 28 readers. In fourth place
was the PR firms database on the website including rankings,
geographical listings, and specialty listings.
'GREEN PR MACHINE' UNDER
SCRUTINY
Conservative activist Amy Ridenour plans to expose the
"distorted facts, misinformation" and acts of
terrorism committed by environmental groups to capture the
world's attention and fill their coffers. That's the message
from her non-profit National Center for Public Policy Research,
which launched envirotruth.org, a website that plans to
inject "badly needed balance in the debate about the
environment." It will provide details about the "jihad"
that environmental organizations are waging against corporate
America.
Ridenour, who runs the Center with her husband David,
formed the Center in 1982 to provide the conservative movement
with a "versatile and energetic organization capable
of responding quickly and decisively to late-breaking issues."
|
|
Internet
Edition, May 15, 2002, Page 3
|
|
MEDIA
NEWS/JERRY WALKER |
|
AP BEEFS UP ENTERTAINMENT
COVERAGE
The Associated
Press is offering more entertainment coverage than ever
before, and in all new formats-video, audio, print, photos
and online.
"Members,
subscribers and clients are clamoring for stories and pictures
on everything from the business side of film and TV production,
to reviews of arts and inside stories of the newest stars,"
according to the current issue of AP World magazine.
Split Up
The AP's
arts and entertainment department has been split into two
sections.
Dolores
Barclay, who is arts and entertainment editor, was charged
with focusing on the arts side- literature, theater, architecture,
design and fine arts, including the work of theater critic
Mike Kuchwara and books/publishing writer Hillel Italie.
Julia Rubin,
who was named entertainment editor, oversees the entertainment
side-movies, TV, music, and the increasing convergence of
them all.
Rubin, who
is based in New York, also helps oversee both spot and enterprise
coverage, and a staff of nine, including a Los Angeles operation
she co-manages with bureau chief Sue Cross that includes
entertainment writer Anthony Breznican; full-time movie
writer and reviewer Dave Germain, and TV writer Lynn Elber.
Her staff
also includes the dean of Hollywood coverage, Bob Thomas,
and business writer Gary Gentile, who also focuses on the
entertainment industry, and Frazier Moore who shares coverage
of TV's entertainment side with Elber.
Large Stringer
Network
In Washington,
D.C., Michael Weinfeld oversees a stringer network and four
full-time reporters- Rosalie Fox covering Hollywood; Oscar
Gabriel covering urban entertainment; Margie Szaroleta covering
rock and pop, and Natalie Windsor covering country music.
In New York,
Carol Deegan, celebrity editor, oversees the "People
in the News" package, which has been doubled, as well
as editing features such as "Five Qs," with its
different artist or celebrity each week.
AP Digital,
under Ruth Gersh, is producing and marketing a premium multimedia
package for the Internet, stocked with copy that flows in
from Rubin's shop.
An "Entertainment
Briefs" package has been added and spot news reports
are regular offerings on the A-Wire-anything from a movie
star's divorce to reports from TV writer Dave Bauder on
the machinations of the TV industry.
Cameron
Bloch and Benny Snyder handle spot entertainment art and
deliver photos for the weekend arts and entertainment packages.
TV Coverage
Expanded
Chris O'Hearn,
who is head of content operations for Associated Press TV
News (APTN), has started a virtual 24-hour entertainment
operation with three feeds per day that make use of APTN's
dozen full-time entertainment producers and a global network
of freelancers.
Nick Thomas
is APTN's new entertainment editor.
No PR Deals
No matter
how popular entertainment journalism gets, and no matter
how cutthroat the market becomes, the basic foundation of
the AP-accuracy and reliability in a timely fashion-will
never be compromised, according to Deegan, who has been
an AP editor for 20 years.
The same
standards that govern anything filed to any wire apply equally
to entertainment. That means no anonymous sources, no "told
a close pal," and certainly no "let's just get
this out and we'll verify it later," she said.
It also
means no deals with PR people. When music writer Nekesa
Moody tried to get an interview with Sean "P. Diddy"
Combs, his publicists said she could as long as she did
not ask him about his tax problems.
No conditions, Moody tells the PR people, otherwise, no
interview. The PR people relented and the interview proceeded
as scheduled.
J&J TO WRITE SCRIPTS
FOR TV FILMS
Johnson & Johnson, New Brunswick, N.J.-based healthcare
company, has made a deal with TNT, an Atlanta-based cable
network, to put more family-friendly movies on TV.
J&J will submit scripts for films that will air under
the name of "Johnson & Johnson Spotlight Presentations"
on AOL Time Warner's TNT.
J&J's movies will highlight heroic characters with
"positive and uplifting" messages.
At least two original movies a year are expected to air
under the new arrangement. The first is "Door to Door,"
which is slated to run on TNT in July. The movie is about
a door-to-door salesman born with cerebral palsy.
NEW HOLIDAY MEDIA LIST IS
FOR SALE
The fourth edition of "The Gift List" is available
for purchase.
The comprehensive media list of editorial contacts can
be used by publicists for pitching December holiday gift
guide editors as well as new product editors in general,
according to editor Amy Bernhard.
The list, which is priced at $369, will be shipped to
customers in two waves: the magazine list in mid-June, followed
by short leads list in late September.
Info.: 818/790-0775; www.giftslistmedia.com.
USAToday.com,
McLean, Va.-based website, has expanded its travel coverage,
including more business travel news, tips, online travel
tools and new columnists.
The site is located at www.travel.usatoday.com.
703/854-3400.
(Media
news continued on next page)
|
|
Internet
Edition, May 15, 2002, Page 4 |
|
MEDIA
NEWS/JERRY WALKER
|
|
NEW MAG FOR 'FULL-FASHIONED'
WOMAN
Ceslie Armstrong, who was editor of the now-defunct Mode
magazine, is editor-in-chief of Grace, a brand new
magazine that hit newsstands May 14.
Like Mode, Grace will cater to the full-figured
woman. In the U.S., this demographic includes 68% of the
women that wear a size 12 or above.
The launch of GraceStyle.com
coincides with the debut of the first issue of Grace, which
will publish as a quarterly before shifting to a bimonthly
schedule in 2004.
The magazine will run features and columns that spotlight
the latest in fashion, beauty and style for the full-figured
woman.
Grace will also have sections devoted to travel, food,
wine, pop culture, home design and entertaining.
Armstrong is located at 276 Fifth ave., #503, New York,
NY 10011. 212/684-1820.
D.L. Blackman & Co., based in New York, is handling
PR for Grace Media.
REAL ESTATE MAGAZINE GETS
MAKEOVER
National Real Estate Investor magazine has been
changed to include more in-depth articles, news and trends
impacting the commercial real estate industry.
The magazine has been divided into three sections:
-Developments-information of the latest news and trends
in real estate finance as well as in the office, hotel,
multi-family, retail and industrial submarkets.
-Feature story-an in-depth look at an important issue
emerging in the industry, a profile of a major player in
the real estate market or the dissection of an important
industry trend.
In May, the focus is on the problems facing aging shopping
malls and what the industry is doing to combat this situation.
-Strategies-practical advice from industry colleagues,
case studies about how to tackle the tough problems and
updates on finance and property management, techniques and
discussions of regulatory issues.
NREI is published in Atlanta by Primedia's real estate
group. Matt Valley, editor of NREI, can be reached at 770/618-0215.
PLACEMENT TIPS
The Wall Street
Journal's new "Personal Journal" section,
which covers health, travel, personal finance, leisure &
arts, and autos, is published Tuesdays, Wednesdays and Thursdays.
The section has 15 reporters assigned to the section.
They are:
Health-Andrea Peterson (212/965-4134); Eleena Delisser,
(965-4133); "Health Journal" columnist-Tara Parker-Pope
(965-4124); health & science columnist-Mike Waldholz
(212/274-7910); "Work & Family columnist-Sue Shellenbarger
(503/636-6851); Columnist-Tom Herman (274-7774);
"Getting Going" columnist-Jonathan Clements (274-7984);
personal finance reporter/columnist- Lynn Ainof (617/654-6708);
personal finance reporter-Ron Lieber (965-4136); Travel
reporter- Michelle Higgins (965-4137);
Senior special writer-Sefanie Ilgenfritz (965-4130); senior
special writer-Jesse Pesta (965-4132); reporting assistant-Anne-Marie
Chaker (965-4135); reporting assistant-Jane Spencer (965-4123);
news assistant-Lorraine Farquharson (965-4121).
Ed Felsenthal (965-4127) is managing editor of the section;
Eben Shapiro, deputy editor; Hilary Stout, health editor,
and Neal Templin (965-7979), is personal finance editor.
To reach staffers by e-mail, send to [email protected].
Slate.com's
new editor Jacob Weisberg is expanding the online
magazine's cultural coverage.
He wants to publish articles that help people sort out
what's important in the realm of culture. He indicates much
of the arts writing would be in the form of thematic pieces
rather than reviews.
Slate has just added TV coverage by Harvard Univ.'s Virginia
Heffernan, and Weisberg hopes to provide more coverage of
music and food, as well. Politics, economics and business
also will continue to be important mainstays in the mix.
Weisberg will be based in the magazine's New York bureau.
Nightclub & Bar
Magazine, which covers promotions, marketing strategies
and new product information, is adding sections spotlighting
Latino and gay/lesbian nightclubs. The expanded coverage
will feature reports on beverage, food, music and entertainment
trends at these clubs.
Amy Lorton is editor of the magazine, which is based in
Oxford, Miss. 662/236-5510 ext 35.
PEOPLE
Greg Moore,
previously managing editor of The Boston Globe, has
joined The Denver Post as editor, replacing Glenn
Guzzo, who resigned.
Barbara Durkin,
40, who had covered the healthcare beat for Newsday
since 1998, died May 1.
Alan Richman,
a food columnist for GQ, was awarded the M.F.K. Fisher
Writing Award, which is the highest award given to a journalist
by The James Beard Foundation.
John Koten
is stepping down as editor of Worth magazine after
nine years, and Jane
Berentson, who has been executive editor, is also
leaving.
Leonard Apcar,
49, was named editor-in-chief of The New York Times
on the Web, succeeding Bernard
Gwertzman, 67, who plans to retire.
|
|
Internet
Edition, May 15, 2002, Page 7 |
|
PAYROLL COSTS
SOAR AT PRSA
Payroll
costs rose 14.4% at PRSA in 2001 to $4,015,889, or 43% of
revenues of $9,151,830.
Payroll costs in 2001 were 27% higher than the 1999 payroll
costs of $3,159,512.
Average
payroll costs of groups in the $5-$10M range is 29% of revenues,
according to the American Society of Assn. Executives.
PRSA said
there were a few "one-time extraordinary payments as
a result of severance and compensation issues."
Former COO
Ray Gaulke left at the end of 2000 with about four years
to go on his contract which was at the approximate rate
of $250K yearly. Terms of a settlement were not revealed.
Dorothy
McGuinness, a 31-year veteran who was head of chapter operations
and development, left after her job was eliminated in late
2001. PRSA said she received "severance."
Catherine
Bolton, executive director, was hired in 2000 at $200,000
plus benefits and received a raise to $215,000 in 2001 and
$236,000 in 2002. Pension (about $26,000), health and other
benefits are paid.
Publication
Salaries Up
Helping
to boost payroll costs was a 50% jump in publication salaries
from $385,113 to $579,240.
PRSA said the quarterly Strategist was brought in-house
and there is now a common production and editorial staff
with the monthly Tactics.
Professional
fees for publications were reduced from $114,650 to $73,661.
Printing/postage
costs for all PRSA publications were $508,420 in 2001. No
breakout is given.
Advertising
income of S&T declined 22.6% to $566,933 and subscription
income dropped 18% to $56,565.
The 2001
audit, unlike previous audits, does not break out the printing
and postage costs for S&T but only provides the figure
of $1,803,052 for all publications. Costs of S&T were
$1,368,549 in 2000. Indicated loss on S&T is about $750K.
Tactics,
Strategist Allocation Now $49
The portion
of dues allocated to S&T has been raised from $25 per
member to $49 ($958,979 total) because $49 is "closer
to the actual cost" of the publications, PRSA said.
Spending
on computer equipment in the past several years has totaled
$1,072,435 or about $25,000 per staffer. A CPA noted PRSA
only spent $381,672 on furniture and equipment and that
this cost is normally greater than the cost of computers.
He called the amount spent on computers "ridiculous
by any standards."
The travel
budget was cut 28% from $717,477 to $469,998.
Professional
fees were cut 42% to $645,996 topped by a 45% decrease in
such fees for accreditation from $207,147 to $113,326. The
APR program, which had a net cost of $441,467 in 2000, cost
$135,511 in 2001.
Cash and
investments as of Dec. 31, 2001 totaled $1,517,193 vs. $1,274,697
as of Dec. 31, 2000.
PRSA officers
and staff have been asked for current financial information
but have refused to supply it. The Society in 1997 gave
quarterly reports.
PRSA COUNSELORS ACADEMY DRAWS
169
"Economic conditions" resulted in an attendance
of only 169 at the PRSA Counselors Academy meeting in San
Antonio, Tex., May 5-7, said Tom Gable, chair of the Academy.
The record attendance was 382 in 1997 at St. Pete Beach,
Fla. Previous high was 375 at the 35th annual meeting in
1995 in Key West, Fla. This included 283 counselor members.
Major PR operations formed their own association in 1998.
The top 15 or so member firms each pay $50,000 a year in
dues (.065% of fees). The individual Academy members pay
dues of $180.
Keynote speaker Terry Paulson, psychologist and author,
said that with technological breakthroughs and competitors
coming from all directions, leaders must continue to push
for a strategic, service-driven focus that will generate
and sustain commitment to a common mission.
PR Is of
"Strategic Importance"
"It is clear that the strategic importance of PR
in inventing the future can be critical," he said.
PR people and other leaders must "move beyond traditional
functions to become strategic enablers for the firms they
represent," he said.
Mike Herman, president of Epley Assocs., was chair of
the conference.
Speakers included Richard Lederer, author of books on
language and humor including his Anguished English
series, and Mitch Javidi, Digiton Corp., who led a session
on strategic planning.
Joann Killeen, president of PRSA, attended the conference
but did not speak. Gable said she was not asked to address
the group.
Other Speakers
Other speakers included CPA Rick Gould; Marie Raperto,
The Cantor Concern; Larry Moskowitz, Medialink; and Bob
Evans, editor-in-chief, Information Week, and senior
VP, CMP unit of United Business Media, owner of PR Newswire.
The conference committee included Tom Hoog, non-executive
chair of Hill and Knowlton/USA, who will be chair of the
Academy in 2003; Art Stevens, Publicis Dialog; Judith Rich,
Rich Relations; Jennifer Grace, H&K/USA; Steve Cody,
PepperCom, and Betsy Buckley and Dennis McGrath, McGrath-Buckley
Communications.
Other "top 50" PR firms represented were Manning,
Selvage & Lee; Magnet Communications; Padilla Speer
Beardsley, and PepperCom.
Sponsors were Epley Assocs., Medialink, VMS, Burrelle's,
DWJ Television, Vocus, Bacon's Business Wire, and Elliance.
|
|
Internet
Edition, May 15, 2002, Page 8
|
|
PR OPINION/ITEMS
|
|
PR pros lost a lot of power
when they lost the power of the purse-their expense accounts.
Many corporate and agency
PR people in the 1970's and 80's had virtually unlimited
tabs that they used to entertain editors in a variety of
ways, including lunches, dinners and shows. Agency events
included open houses at which dinner was served, golf and
tennis outings, "nights on the town," etc.
One corporate PR exec
had a $5,000 monthly budget and no one questioned how he
used it. Another PR pro for a blue chip spent as much as
he wanted to. The company was happy as long as he got plenty
of mentions, he said.
Using
company money, PR pros were able to build individual power
bases that also benefitted their employers. The contacts
they built up made it easier for them to switch jobs or
start firms.
The press, which came
under heavy fire in the 70's for being too hostile to business,
declared much of this largess to be unethical. Reporters
also felt it was hypocritical to be "on the take"
while being increasingly confrontational with business.
However, the pendulum
has now swung too far the other way. Some PR pros spend
their entire careers "telemarketing"-never entertaining
or socializing with reporters at all.
Lacking any contact base,
PR pros are susceptible to being replaced after a year or
two with cheaper recruits. This is just what profit-minded
parent companies want these days.
The
time has come to reverse this trend. Journalists
or their companies can often afford to reciprocate in entertaining,
so that neither side is beholden to the other. Whoever heard
of a salesperson who could not entertain clients?
PR pros are operating
under the most difficult conditions ever. They are lumped
together with hard-selling advertising and marketing people,
where they are the "ugly ducklings." They are
severely limited in what they are allowed to know and say
and are deprived of funds for building contacts. A national
campaign is needed to improve conditions.
Thankfully, voices to this
effect are rising in the industry and we hope they become
a chorus.
Ted
Pincus, founder of the Financial Relations Board
and long the most outspoken person in IR, said PR and IR
people, as well as lawyers, accountants, and investment
bankers, must stop being "lapdogs" for companies
like Enron. The professions "must overcome the yellow
streak of spinelessness," he said, and PR must once
again take up its role as "corporate conscience."
Shelley Spector,
founder/president of the National Assn. of Independent PR
Agencies (120+ PR firms nationwide), said PR pros must stop
being "compliant communicators" and must "have
the guts to disagree with employers and risk their jobs."
Brian
Kilgore, editor of BAK's Report, Toronto, noted the
near silence of the elected heads of PR Society of America,
Int'l Assn. of Business Communicators, and Canadian PR Society.
Their biggest failure, he said, is their refusal to "stand
up and be counted in front of audiences that are important
to their members."
The
U.S. PR profession can no longer afford to sit idly by while
its national trade group, PR Society of America,
with a $9 million budget, fails to do any fighting on behalf
of the people in the field who are buffeted by a multitude
of pressures. High on this list is job insecurity at all
levels. Following are ten proposals for the reform of PRSA
(see report on PRSA's finances on page 7):
1. Decouple office-holding,
Assembly membership, from APR.
2. Publish Strategist
or Tactics or both via the Internet in PDF, saving
$250K.
3. Poll members via e-mail
(first poll since '97).
4. Bolster PRSA's PR
staff from one to 4-5. Stop short-changing PR in PR's own
h.q.!
5. Research and publicize
stands on major issues.
6. Stop spending anything
on APR above income.
7. Publish finances quarterly
including balance sheet.
8. Provide single e-mail
link to entire Assembly.
9. Explain $1 million
spending on computers.
10. Revamp rules for
Silver Anvils contest.
Only
if readers pressure PRSA leaders will any change take place.
These include president Joann Killeen ([email protected]);
president-elect Reed Byrum ([email protected]);
secretary Judith Phair ([email protected]),
and treasurer Del Galloway ([email protected]).
One
area ripe for the "corporate conscience" treatment
of PR is IR, which has become too company and client-oriented.
Phony "pro forma" earnings reports abound. SEC
chairman Harvey Pitt is under fire for being too soft on
companies. The Wall Street Journal and Financial
Times of London are suggesting he resign. NIRI has a
new high-sounding code but it does not have the word "public"
in it. IR people generally avoid the press. NIRI, although
it has a treasury of $4.6 million (and soon to add $1M+
more via exhibits at its national conference), has no on-staff
PR pro...PR Newswire,
facing competition from flat rate services like www.internetwire.com
and www.primezone.com,
enters VNR field but now faces lawsuit.
--Jack O'Dwyer
|
|
|