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O'Dwyer's Newsletter
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Internet
Edition, February 24, 2010, Page 1 |
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FLA.
CITRUS DANGLES $2.5M BIZ
Florida
has begun a review process for its $2.5M international PR
account to support its Department of Citrus that includes
work in the U.S., Europe and Scandinavia.
The
state issued an open RFP on Feb. 18 calling for pitches
by March 24.
GolinHarris
has worked with the department for more than a decade domestically
and abroad. It last won a review in 2007 to handle PR in
the U.S., Canada and Europe.
To
pitch, firms must have offices or existing affiliates in
the U.S., Canada, France, U.K., Belgium, Netherlands, and
Sweden.
A
strong consumer packaged goods background is sought, as
well as crisis management experience with overseas countries.
The
work ranges from media and community relations to events,
research and measurement.
The
Dept. of Citrus was set up in 1935 to protect and
enhance Florida citrus fruit and processed products
in domestic and foreign markets.
It
is funded by an excise tax on each box of fruit moved.
Download
the RFP at odwyerpr.com/rfps.
NYCS
SOUTH STREET SEAPORT FLOATS RFP
New
Yorks South Street Seaport is looking for a PR firm
to help it shed the tourist trap mentality by
developing a world-class signature brand that
pays homage to the ports past and plays up the cool
and hip events and retail spots to explore, according
to an RFP.
The
Seaport had a 14M pedestrian court in `08-`09, a big chunk
of those people were tourists or locals on one-time visits.
It
wants to be known as a place that has greater relevance
to the New York residents as new events and cultural
performances are staged on the Pier 17 stage.
The
PR firm also will tackle the perception that the Seaport
is inaccessible, though eight subway lines, bus and ferry
service are no more than three blocks away.
Proposals
are due Feb. 26. Christopher Amundson is handling questions
at [email protected]
and 646/822-6933.
Bill
Murray, COO
of NANA (PRSA), has cancelled as a speaker at the Ragan
Social Media conference Feb. 22-24 at Coca-Cola h.q., Atlanta.
He was to talk on the decline of traditional media and rise
of SM. Ann Subervi of Utopia Comms., chair of the Counselors
Academy, will substitute for him.
PUBLICIS
PROFIT SLIPS 10%
Publicis
Groupe said the first signs of recovery appeared
in the fourth quarter of 2009 as the French advertising
and PR conglomerate reported fourth quarter revenue of 1.26B
Euro, down 7.6% from 2008.
The
company said, in U.S. dollars, its 2009 revenue would be
$6.29 billion, down 8.9% from last year.
Profit
slid nearly 10% for the year over 08 to 403M Euro
(about $555M).
President
and CEO Maurice Levy called 09 a paradox
for Publicis as the ad market was slammed with a double-digit
downturn from 12-14%, while his company gained some market
share on new business and limited its decrease to 6.5%.
He
is banking the future on digital and emerging markets, both
of which will add up to 60% of Publicis revenue down
the road.
Levy,
who instituted a pay and hiring freeze, is ready to invest
in talent because he believes Publicis is poised to outperform
the competition this year and embark on a new phase of margin
growth in 2011.
He
did warn of dips and bumps ahead.
Publicis,
which owns PR units like MS&L and Publicis Consultants,
took a hit from General Motors bankruptcy last year,
but the company said the North American region held up on
a high proportion of digital services (34.6% of its revenue)
in falling 4.2% overall to 2.09B Euro.
Publicis
acquired Razorfish last year and owns Digitas.
Like
its competitors, Publicis worked to slash cuts last year
and personnel costs were down nearly 5% from 2008. The companys
Specialized Agencies and Marketing Services, which includes
PR, accounted for 44% of revenue last year, compared with
35% for advertising and 21% for media.
MICROSOFT
ADDS FLEISHMANS PEARSON
Fleishman-Hillard
senior VP Christina Pearson has moved to Microsoft in D.C.
as senior director of PR.
Pearson
joined F-H last April to handle healthcare public affairs
after working both terms of the Bush administration, finishing
up as Assistant Secretary of Public Affairs at the Dept.
of Health & Human Services.
She
previously handled media relations at the American Hospital
Association and started out as a deputy comms. director
for the Senate Finance Committee during the mid-1990s.
Pearson
also spent a year at Policy Impact Communications, the firm
set up by top GOP operatives Ed Gillespie and Haley Barbour.
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Edition, February 24, 2010, Page 2 |
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QG&A
ROLLS OUT TEAM TOYOTA
Quinn
Gillespie & Assocs. has registered Team Toyota as the
president of the embattled car company, Akio Toyoda, is
slated to face Congressional grilling this week over the
recall of millions of its cars for sudden acceleration/braking
problems.
Jack
Quinn leads the charge for Toyota. He is former counsel
to President Bill Clinton and chief of staff to Vice President
Al Gore.
Quinn
is buttressed by Kevin Kayes (ex-chief counsel to Senate
Majority Leader Harry Reid), Marc Lampkin (former deputy
campaign manager Bush/Cheney, key operative in the Florida
recount and ex-aide to now House Minority Leader John Boehner),
Elizabeth Hogan (veteran of the Bush White House Office
of Presidential Personnel and an organizer of the GOP National
Convention in New York) and Drew Cole (alum of former Sen.
Don Nickles staff).
QG&A
is charged with general representation of Toyota,
tackling financial regulatory reform and issues facing
the automobile industry.
Toyota
had planned to limit D.C. testimony to executives from its
U.S. operation. That changed Feb. 18 after Toyoda received
a formal invitation from Rep. Edolphus Towns (D-NY) to testify
before the House Committee on Oversight and Government Reform.
In
his letter, Towns cited growing public confusion
among Toyota's American customers about whether it is safe
for them to drive their cars.
The
Congressman is happy Toyoda has accepted the invite to help
understand the actions Toyota is taking to ensure
the safety of American drivers.
F-H
WINS OVERDOSE PR PACT
Fleishman-Hillard
on Feb. 8 won an 18-month pact with Ohio to create a public
education effort surrounding unintentional prescription
drug overdoses.
But
a Central Ohio newspaper has raised questions about F-H's
work for Purdue Pharma, the maker of the prescription painkiller
Oxycontin which was heavily fined ($700M) by the federal
government for its marketing of the drug.
The
Omnicom firm was awarded the $353,000 contract over two
other entities after an RFP process to conduct research,
create collateral materials, and build grassroots coalitions
in Buckeye State counties where overdose rates are particularly
high. A second phase, slated to begin in July, includes
a media relations and public service announcement push,
along with events and community outreach to businesses and
schools.
Drug
overdose deaths now surpass traffic fatalities in Ohio and
soared 304% from 1999 to 2007.
A
president of a county drug and alcohol board told the Lancaster
Eagle Gazette that F-Hs proposal was impressive
but wondered about a conflict of interest. If these
guys find themselves in a position where they need to take
a hard stance where they make their pharmaceutical company
contacts uncomfortable, are they really going to do that,
asked the official, Orman Hall.
F-H/Cleveland
senior VP Michael Murphy said the Purdue work was handled
by another office.
OBAMA
REBRANDS IRAQ MISSION
President
Barack Obama is rebranding Operation Iraqi Freedom
to Operation New Dawn to reflect his mission
of withdrawing the bulk of American forces that are occupying
Iraq, according to a memo from Defense Secretary Robert
Gates.
Effective
Sept. 1, the new moniker is to coincide with the change
of mission for U.S. forces in Iraq, says the memo
that was obtained by ABC, which then posted it on its website.
OND
is to be a strong signal that OIF launched by
President George Bush in 2003 with the invasion of Iraq
is over as the number of U.S. forces is scheduled to drop
to the 50,000 mark and given a new mission.
Gates
believes OND provides PA/propaganda benefits by presenting
opportunities to synchronize strategic communication
initiatives.
The
new banner, writes Gates, reinforces our commitment
to the Security Agreement, and recognizes our evolving relationship
with the Government of Iraq.
The
seven-line memo was sent to General David Petraeus, commander
of the U.S. Central Command.
SMOKY
MOUNTAINS REGION SEEKS PR
The
Smoky Mountain Convention & Visitors Bureau is accepting
proposals through the end of March to guide its marketing
and PR efforts over the next five years or so.
A
single RFP was issued by Blount County, Tennessee, on Feb.
16 noting proposals for both marketing and PR will be evaluated
individually and could be awarded together or to two separate
firms. Its average marketing budget for the past three years
has been in the $300-350K range.
In
the PR arena, the region wants to highlight its spring and
fall festivals in regional and national travel media, recruit
journalists for an annual media tour, as well as maintain
a government relations component to keep in contact with
Nashville and state tourism officials.
With
an expected contract to run from July 1, 2010, to June 30,
2011, the Bureau said it will offer four year-long options
at its discretion.
Deadline
for proposals is March 10. Download the RFP at odwyerpr.com/rfps.
R&R
WRESTS WATER CONSERVE ACCOUNT
R&R
Partners has won a competitive review process for Utahs
water conservation PR account worth $250K a year.
R&R
edged seven competitors, including Vanguard Media, which
was the long-term incumbent.
Utah,
the second driest state in the U.S. as most of it is desert,
set up the Governors Water Conservation Team, a public-private
group, following a severe drought in 2001 to address conservation
in the state.
R&R
is based in Las Vegas but has a Salt Lake City office.
A
key goal of the effort is to cut 25 percent of the states
water use. Slow the Flow is a tagline for a
website created as part of previous efforts.
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Edition, February 24, 2010, Page 3 |
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MEDIA
NEWS |
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FUENTES
TAKES SHOWTIME PR REINS
Johanna
Fuentes, VP of communications for the Bravo network, has
moved up the premium cable tier to Showtime Networks as
VP of corporate PR.
SN,
in addition to the Showtime cable networks, includes The
Movie Channel, Flix and a joint venture with the Smithsonian
Institution. It is owned by CBS Corp.
Reporting
to executive VP/comms. Richard Licata, Fuentes handles corporate
trade and business media relations for programming, marketing,
sales, new media and new business.
She
joined Bravo, part of NBC Universal, in 2006.
Fuentes
previously spent five years at CBS rising to director of
entertainment communications and handling campaigns for
events and network series like the Grammy Awards and "Survivor."
She
started out as an A/E at Arnold PR in Boston.
A
Bravo spokeswoman said the network has not named a replacement
at this time.
GINSBERG
MOVES TO TW
Gary
Ginsberg, who stepped down as IR and corporate communications
chief at News Corp. at the end of '09, is moving to Time
Warner as a corporate affairs and strategy advisor to CEO
Jeff Bewkes.
Ginsbergs
entrance follows the announced departure of TW corporate
communications executive Ed Adler.
Adler
has not yet been replaced and agreed to stay on through
a transition.
Ginsberg,
47, was a key advisor to CEO Rupert Murdoch as a member
of the seven-person Office of the Chairman at News Corp.,
where he worked from 1999-2009.
He
was said to be Murdoch's liaison with Democrats as Ginsberg
is former editor of George and was an advisor to John F.
Kennedy Jr.
The
News Corp.-owned N.Y. Post first reported Ginsberg's move
to TW.
OBSERVER
RIPS GOLDMANS PR CHIEF
Goldman
Sachs PR is basically a stiffly extended middle
finger, waved in the air for all to see, says a blistering
article in the New York Observer.
Written
by Max Abelson, the piece depicts PR chief Lucas van Praag
as Goldman's prickly British mouthpiece who
is among the reasons why the once-golden Wall Street firm
receives such lousy press.
The
global head of communications is branded as openly dismissive
of the press, ridiculing media critics as troublemaking
simpletons who are doing their readers a great disservice.
The
piece, headlined Goldman's Rococo PR Prince,
says van Praag has ripped Wall Street Journal coverage as
preposterous effluent.
A
former colleague admitted that van Praag is an amazingly
brilliant guy who, in the best of times, comes off as arrogant,
slightly pompous, flippant and condescending.
Goldman
has displayed none of Morgan Stanley or JPMorgans
persistent humility for the financial meltdown.
An unnamed business editor told the Observer: At a
time when people perceive banks to be elitist and beneficiaries
of the bailout at the expense of average homeowners, to
go around and stick your head out of the sunroof of your
Bentley and say f--- you to critics is counterproductive.
Van
Praag is a graduate of the University of Durham, Britains
third oldest university. He was a Merchant Navy officer
who then spent a decade at Bankers Trust and worked at Brunswick
Group in the `90s, where he was said to be a right-hand
man to the PR guru Alan Parker.
Van
Praag declined to talk to the Observer.
GOOGLE
TARGETS DISPLAY ADS
Google,
king of search advertising, has hired Barry Salzman as chief
of media and platforms for the Americas. He is to oversee
non-search advertising for Google, YouTube and the DoubleClick
exchange.
Salzman
had been at DoubleClick before Google acquired it in 2007.
Most recently, Salzman was COO of start-up ShopWiki and
CEO of YCD Multimedia, a digital out-of-home ad shop.
Salzman
reports to Henrique de Castro, Google's VP-global media
and platforms.
CISION
REVENUE DOWN 35% IN Q4
Sweden-based
Cision said North American revenue fell nearly 17 percent
in Q4 2009 compared with '08 while continued malaise in
its European units and the global recession made for an
intense 2009.
Cisions
board also announced a rights issue to raise 250M SEK (about
$34.8M U.S.) in capital from shareholders.
Revenue
for the fourth quarter, reported in Swedish Kroner, was
down more than 35% in 2009 across its global operations
compared with Q4 of '08 315M SEK, or about $43.8M,
vs. 487M SEK. Loss widened from 17M to 30M SEK. In North
America, revenue slipped about 17% to 187M SEK.
The
company, which markets the CisionPoint software suite, has
been implementing a cost-cutting and revamp plan that included
the divestment of five loss-producing units in Europe and
Scandinavia. It has pared 822 employees since Q4 of 08
to stand at about 1,630 staffers. Further restructuring
is planned in 2010 mostly in the U.K., Germany and Nordic
region.
CEO
Hans Gieskes said Cision remains cautious about
the near-term and noted Q4 of 2009 was similar to Q3 in
that the company was "significantly impacted"
by the global recession. He was cheered by organic growth
(minus goodwill, restructuring and other one-time costs)
of 20% in North America for Q4, down from 23.4% in Q4 of
'08.
For
the year, revenue fell more than 17 percent from 08-09
to 1.5 billion SEK.
The
company remains bullish on so-called media intelligence
in the long-term however, noting the value of brands continues
to increase making monitoring and PR software crucial for
companies in traditional and new media.
(Media
news continued on next page)
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MEDIA
NEWS/CONTINUED
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GALLOWAY
CALLS IT QUITS AFTER 50 YEARS
Joe
Galloway, military and political columnist for McClatchy
Cos. is retiring after a 50-year stint that began at the
Victoria (Texas) Advocate.
After
becoming state bureau chief for United Press International,
Galloway was dispatched to Vietnam in 1964, where he made
his mark as a war correspondent.
He
also covered coups, intrigue and natural disasters in Laos,
Sri Lanka, Indonesia, India, Pakistan, East Timor, Afghanistan
and the USSR.
Galloway
is co-author of We Were Soldiers Once
And Young
along with the sequel, We Are Soldiers Still,
covering his return visit to Vietnam.
Galloway
has been writing a weekly opinion column for McClatchy since
2003. He has been a fierce critic of the U.S. invasion of
Iraq.
Galloway
wrote in his farewell piece: I will still write an
occasional op-ed piece when the bastards in Washington,
D.C., blast across the line into moron territory, and there's
always another book waiting to be written.
Quoting
Kenny Rogers line, Youve got to know when
to hold em, know when to fold em, Galloway
adds, After 50 years, its time to fold em
and move on with the rest of my life.
FAIR
WANTS PR OFF THE AIR
Fairness
and Accuracy in Media is circulating a petition to press
cable news channels to identify the corporate ties of pundits
who pontificate on affairs of the day.
The
move follows a report in The Nation (March 1) that
found at least 75 registered lobbyists, PR pros and corporate
officials appeared on CNN, Fox News, Fox Business Network,
MSNBC and CNBC to promote the financial or political interests
of a client without being identified.
The
petition calls for clear guidelines regarding conflicts
of interest for contributors and guests and that
you enforce those rules to ensure that viewers arent
being exposed to corporate PR masquerading as analysis.
The
Nations Sebastian Jones takes special umbrage
with MSNBC for allowing former Public Strategies Inc. exec
Richard Wolffe to serve as fill-in host for Keith Olbermann
on Countdown. That seat was later taken by former
Vermont Governor Howard Dean, who does consulting work for
drug companies.
FAIR
also takes issue with loophole-riddled guidelines such as
MSNBC disclosing corporate ties on its website rather than
on-the-air.
DC
ENTERTAINMENT PUTS TEAM IN PLACE
DC
Entertainment president Diane Nelson has named Jim Lee and
Dan DiDio co-publishers of its flagship DC Comics unit in
her drive to integrate its characters throughout Time Warner
properties.
Lee
had been editorial director and artist for comics featuring
Batman and Robin. Starting his career at Marvel Comics,
Lee worked on the X-Men franchise.
DiDio
was senior VP/executive editor of DC Universe, developing
story lines for Superman, Wonder Women and others.
GASPARINO
MOVES TO FOX BUSINESS
Charlie
Gasparino has left CNBC for a senior correspondent post
at Fox Business Network, which reaches less than half as
many households.
Kevin
Magee, executive VP at FBN, praised Gasparino's in-depth
reporting and ability to break news.
Gasparino
was senior writer for Newsweek and has been on-air
editor for CNBC for the last four years.
He
is author of The Sellout: How Three Decades of Wall
Street Greed and Government Mismanagement Destroyed the
Global Financial System.
PARADE
ADDS COLUMNS
Parade
is adding Back Page to its editorial line-up
to spotlight the best untold stories unfolding across
our nation, according to executive editor Lamar Graham.
BP
will feature a rotating line-up of writers including CNN
political commentator David Gergen, Late Late Show
host Craig Ferguson, Cleveland Plain-Dealer columnist
Connie Schultz and Tuesday with Morrie author
Mitch Albom. It launched Feb. 21.
Our
Towns is also new at Parade, which debuted Feb. 7
with a piece about the weekly bluegrass breakfast at the
Prairie Winds Café in Molt, Mont., a place of less
than 20 people.
Future
pieces will deal with the challenges and triumphs
that happen every day in cities big and small, according
to Parade, which has more than 74M readers.
NYT
PUTS 'T' IN ARABIC
The
New York Times Co. is launching T Qatar, a bilingual
English/Arabic magazine to deliver the latest style news
and trends to the middle east region. The venture is a partnership
with Oryx, a publisher of Qatar Today and Woman
Today.
The
T Qatar publication is pitched as the right platform
to connect buyers of the best.
Gloria
Brown Anderson, VP-international editorial development of
the NYT News Services, says T Qatar will be able to
reach new segments of readers within the Middle East, bringing
the magazine's global perspective on style to Qatar's burgeoning
fashion and design community. T Qatar will run bimonthly
this year and monthly in the next.
GILLESPIE
DEPARTS CBS
Joe
Gillespie, who was responsible for CBSNews.com
and its CNET operation, is exiting the company, according
to a report in All Things Digital.
The
Wall Street Journal unit posted a memo from Neil
Ashe, chief of CBS Interactive, explaining the reorganization
that will result in Gillespies end of month departure.
The
tech & news and business units are being combined under
Greg Mason, who joined CNET in 2000.
The
new entity includes CNET, CBSNews.com,
CBS MoneyWatch, BNET, ZDNet and TechRepublic to concentrate
on capitalizing on the natural synergies between the
content and audiences.
Gillespie
is pursuing new opportunities.
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24, 2010, Page 5 |
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NEWS
OF PR FIRMS |
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EX-GOV
PR HANDS SET UP SHOP
Two
former Foreign Service officers and veteran D.C. PR hands
have set up an Arlington, Va., firm to handle PR, marketing
and communications in what they describe as an increasingly
risky political and media environment that demands greater
openness and accountability.
The
firm, led by Donald Hamilton and Gregory Lagana, is dubbed
LaganaHamilton.
Hamilton,
a U.S. Information Agency veteran, was communications director
for Ambassador Paul Bremer and worked with the Coalition
Provisional Authority in Iraq for a year. He also handled
comms. for Drug Czar William Bennett and later was deputy
director of the Oklahoma City Memorial Institute for the
Prevention of Terrorism.
Lagana
served as director of press and public affairs for Latin
America at the State Department and was deputy director
for Central American affairs. He was also associate director
of global comms. in the Bush White House from 2001-05 and
later served as senior VP for comms. for government contractor
DynCorp. International.
Info:
laganahamilton.com.
MS&L
BEEFS UP CHICAGO
MS&L
has added Joan Cetera (senior VP/consumer home & wellness
leader) and Jeff Bodzewski (VP-corporate branding) to its
Chicago office.
Cetera,
who was at Ogilvy PR Worldwide, will handle relationships
with Procter & Gamble, Delta Faucets and Daisy (Wasa,
Crispbread). In a 13-year career, Cetera worked with Microsoft,
Chase, McDonalds and Jim Beam Brands. Her resume includes
stints at Edelman, JSH&A and Golin/Harris.
Bodzewski
will look after corporate relationships with DeVry and Kellogg
School of Management and bolster MS&Ls word of
mouth marketing practices. He had been at Ketchums
Zocalo Group doing WOM duty for Capital One, Midas and Infiniti.
Joel
Curran is in charge of MS&Ls Midwest operation.
BRIEFS:
...Hill &
Knowlton opened
a Bogota, Colombia, office on Feb. 2, the firms eighth
in Latin America. ...Insight
Circle PR,
a Capitola, Calif., firm that works with start-up and emerging
growth tech companies, and Principor
Communications,
a D.C., public affairs shop, have formed a partnership to
serve clients looking to raise their D.C. profile and influence
policy decisions as the Obama administration and Congress
play an active role in the marketplace. ...Mary
Beth West Consulting,
Maryville, Tenn., has aligned with digital agency Blue
Media Boutique,
Knoxville, for a joint venture to provide social media consulting
for clients marketing comms. The two firms have collaborated
on projects since 2008 and are formalizing an agreement
with the deal announced this month. ...The South
Florida PR Network
has added media directory publisher Gebbie Press and Galindo
Publicidad, a translations vendor, as sponsors. Info: sfprn.com.
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NEW
ACCOUNTS |
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New York
Area
Ketchum,
New York/World Triathlon Corp., which owns the Ironman Triathlon
event and brand, as global AOR for PR. The works covers
several events as well as corporate initiatives and brand
licensed products with companies like Timex, Ford and Foster
Grant. WTC comms. director Blair LaHaya said the groups
business model has changed significantly in the last year
and it is looking to build a global comms. strategy.
Susan
Magrino Agency, New York/Raffles Paris, Le Royal
Monceau, to handle U.S. PR for the luxury hotel that has
received a complete renovation and redesign.
East
Warschawski,
Baltimore/City of Baltimore and the United Way of Central
Maryland to develop a website for The Journey Home, a push
to end homelessness in the next 10 years.
Crossroads
PR, Raleigh, N.C./xTuple, open-source enterprise
resource planning software, for PR targeting analysts, media,
bloggers and other influencers.
E.
Boineau & Co., Charleston, S.C./Silverman Consultants,
advisers to jewelry businesses, for PR, including national
media relations, marketing comms. and Internet marketing.
Midwest
Zeno
Group, Chicago/Zhu Zhu Pets, as AOR for the toy maker.
Zeno guided the China-made Zhu Zhu line of toys by St. Louis-based
Cepia through a crisis last Christmas when a consumer group
questioned the safety of the product before later backing
off the claims. The toys were among the best sellers for
the 2009 holiday season. Zenos New York and Los Angeles
offices will assist with the work. Natalie Hornsby, VP of
marketing at Cepia, said the firm understands its position
as a highly entrepreneurial company embracing
the challenges and opportunities that comes with our products
success.
West
Duo
PR, Seattle/Dream Dinners, meal assembly chain with
115 U.S. locations, as AOR; SousVide Supreme, for PR and
social media support after launching the appliance designed
to make the sous vide cooking technique accessible,
and the Fremont Fair, Seattle neighborhood festival that
draws more than 100,000 annually.
Bob
Gold & Associates, Los Angeles/Olympusat, Spanish-language,
faith and family, and emerging TV network developer, for
PR representation of its 10 Hispanic TV networks.
j.
simms agency, San Diego/Liquid Living Magazine,
bi-monthly lifestyle publication, for branding, marketing
and sales as it launches at the 2010 Nightclub & Bar
Convention and Trade Show in Las Vegas in March.
International
Hanmer
MS&L Communications, India/Aditi Technologies,
software and application development services, for PR following
a competitive pitch process with seven agencies.
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NEWS
OF SERVICES |
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EX-CLIENT
SUES PR VENDORS FOR FRAUD
TechRadium,
a Texas-based company which provides mass notification and
emergency alert services, has sued PR services companies
News USA and Global Media Fund for fraud alleging the vendors
misrepresented their capabilities, used inflated readership
figures, and fell short of promised news coverage goals.
In
a suit filed in U.S. District Court for the Eastern District
of Virginia on Jan. 28 and alleging three counts of fraud,
the client said it signed a contract in April 2005 with
the two companies after meeting with their respective presidents
Rick Smith of News USA and Don Rose of GMF.
Smiths
attorney, Jonathan Schraub of Sands Anderson in McLean,
Va., said he has seen the suit but it has not been served.
Substantively, the suit is silly, he said. To
say its factually untrue is an understatement.
Schraub said he wouldnt get into the details of the
suit but said News USA has nothing to do with
the claims. The plaintiff doesnt even know who
to sue, he said. The whole thing is wrong.
A
voice mail left for Rose at Global Media Fund has not yet
been returned. [Smith sued Rose in 2007 in civil court for
fraud and breach of contract over $400K in receivables.
The matter was settled before it went to trial. Its
unclear whether the two companies still work together.]
TechRadium
alleges that the companies misrepresented their capabilities,
networks and size of their operations, according to the
suit.
The
suit says that the defendants placed only 20% of the articles
called for under TechRadiums contract and knowingly
used inflated placement, circulation, readership and
advertising rates.
TechRadium
says that less than $2M worth of newspaper and radio features
were placed, while the contract called for distribution
of $10,000,000 worth of nationally syndicated newspaper
or radio features. In exchange, the client was to pay $9.9M
in shares and $100K in cash.
The
client also questioned the placements that were attained.
In fact, GMF failed to place many feature articles
on TechRadium in nationally syndicated newspapers,
claims the suit. Instead, GMF placed features in local
newspapers and advertising papers that were extremely unlikely
to attract clients for TechRadium.
The
suit claims damages in excess of $75K and charges two counts
of fraud and a single count of breach of contract. TechRadium
seeks actual, consequential and punitive damages, as well
as attorney fees.
BRIEFS:
AllPublicists.com,
an online database of PR pro profiles and feedback from
clients, said it dropped its membership fee Feb. 17 to become
a free resource. The service relies on a 10% commission
on awarded business to offset its operation costs. ...Front
Row Analytics
estimated the value of media exposure for Cowboys Stadium
from the 2010 NBA All Star Game on Feb. 14 at $1.28M. Eric
Smallwood, VP of project management at Front Row Marketing
Services, said a naming rights partner would have received
that amount in media exposure.
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PEOPLE |
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Joined
Stephanie
Koze, senior VP and deputy practice leader at MS&L,
New York, to Porter Novelli, as executive VP to manage its
Shire Pharmaceuticals Group account. Koze is a former senior
VP at Edelman and was a VP at Chamberlain Healthcare PR.
Jonathan
McGrain, former comms. counsel at Catinat and director
of marketing and comms. at VinaCapital Investment Management,
to PHH Corp., Mt. Laurel, N.J., as senior VP of corporate
comms. Earlier, he was senior VP, marketing and comms.,
at Clayton Holdings.
Maris
Segal, co-founder of marketing and public affairs
firm Prosody Creative Services, to Widmeyer Communications,
New York, as a senior VP. Shell oversee the D.C.-based
firms PreK-12 education practice in the Big Apple.
Matthew
Della Croce, senior VP for MWW Group, to Allison
& Partners, as managing director of its corporate communications
practice, based in New York. Hes counseled clients
like DHL, NASDAQ, Sun Microsystems, and Deloitte & Touche,
and handled transactions and deals including Cendant/Orbitz,
DHL/Airborne, JP Morgan/Chase and UPS IPO.
Kevin
Borland, founder and managing partner of Roundtable
Strategies, to Peritus PR, Louisville, as a senior strategist.
He previously managed DCI Groups tax, trade, health
and financial services practice group and was director of
government affairs for Polar Air Cargo.
Jennifer
Swint, founder and president of Nine Dot Strategies,
to APCO Worldwide, Washington, D.C., as a senior VP and
business development director for North America. She was
previously president of the Atlantic Media Co.s Atlantic
Live and director of National Journals Policy
Council. She is a former executive VP and director of administration
at Powell Tate and spent five years at John Adams Associates.
LaVonne
Turner, a freelance comms. consultant, to Marx Layne
& Co., Farmington Hills, Mich., as senior A/E. She was
previously with the Intl Assn. for Organ Donation
and DGM & Associates.
Kevin
Horsley, a veteran U.K. and Switzerland communications
pro, has moved to Gibbs & Soell as managing director
of its Switzerland operation, Gibbs & Soell GmbH. Horsley
oversees the agencys client service and day-to-day
operations from Zurich. He held senior positions and consulted
at companies like Clariant International, F. Hoffman-La
Roche and Perkins Engines, part of Caterpillar Inc. He ran
his own B2B and consumer shop with clients like Audi UK,
Rand Worldwide and TRW Aeronautical Systems. Horsley started
out his career with 12 years in journalism in the U.K.
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Edition, February 24, 2010, Page 7 |
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WOODS
IS SORRY, PR PROS CRITIQUE
Tiger
Woods, in his first public remarks since a November PR meltdown,
apologized for his irresponsible and selfish behavior
and said he is embarrassed for being unfaithful
to his wife.
What
I did was unacceptable and I am the only person to blame,
he said.
Woods
did not take questions from the few reporters present and
the board of directors for the Golf Writers Association
of America boycotted the "press conference."
The
golf pros mother, the commissioner of the PGA and
friends attended the statement at Sawgrass Country
Club Ponte Vedra Beach, Fla. His wife was not present, media
reported.
Woods
said he could return to golf as early as this year but his
immediate plans are to return to rehabilitation.
Reaction
from PR pros on Twitter trended from critical to negative,
with a few statements of support.
Tigers
apology was fine, if you consider the strategy his handlers
have employed, tweeted Kevin Mercuri, who heads Propheta
Communications in New York. He came out of the bunker,
apologized then reentered.
Christina
Bello, a senior A/E at Euro RSCG Worldwide PR, asked Where
was Tigers PR team when he needed it? Woods needs
a lesson in public speaking 101! Outright painful.
Farrell
Kramer, a New Jersey PR pro, said Woods conference
was too much, too late. Kramer said Woods reignited
the story by waiting so long to speak.
MWW's
Mike Sacks said Woods spoke like a robot and
came off hollow. But shaming the media
for harassing wife/kids was a good move, he added.
Several
pros said Woods came off as stiff. But the reaction wasnt
all negative. I think Tiger delivered much more than
expected with that statement, said Rachel Kay, who
heads her own boutique firm. Good move.
Adam
Dalezman, an assistant A/E at Beckerman, reflected other
PR pros who have seen and heard enough of Woods and his
private life: Can Tigers family issues now remain
within his family?? I don't care anymore. I just want to
see him return to golf already!!!
ESPN
called Woods watery-eyed and contrite.
WERLE
TAPPED AS AVEDA PR CHIEF
Estee
Lauder Cos. has recruited Christopher Werle as VP-global
communications for its Aveda hair, skincare and makeup line
that is made from pure plant and flower-based ingredients.
He takes the post at Blaine, Minn.-based Aveda on March
1.
Werle
was executive VP-consumer products at Weber Shandwick and
group marketing manager at Microsoft in charge of games/home
and retail division.
He
reports to Dominique Conseil, global president of Aveda,
salon and pharmacy channels and Marianne Diorio, senior
VP-global brand communications at Estee Lauder Cos.
The
New York-based cosmetic giant reported a robust 62 percent
rise in Q2 net to $256M on an 11 percent increase in net
to $2.3B.
CEO
Fabrizio Freda expands to accelerate corporate momentum
via stepped up investment for more effective advertising,
merchandising and sampling programs.
CALIF.
GROWERS TAP FIRM FOR OUTREACH
AdFarm,
a PR and advertising agency focused on the agricultural
sector, has defeated nine other firms with California operations
in a competitive pitch process to help reconnect
Golden State consumers with growers.
A
coalition of agriculture groups led by the Western Growers
Association issued an RFP in December for the three-year,
$357,500 account and received 10 proposals.
Managing
director Bob Wilhelm, based in St. Louis, and Kathryn Pinke
in AdFarm's North Dakota outpost, lead the account, according
to a WGA official.
Also
vying for the work were Nuffer, Smith, Tucker (San Diego),
Precision PR (Sacramento), Fleishman-Hillard (Sacramento);
Saint Somewhere Marketing (Jamul), DVBE Communications;
Huntington Marketing (San Marino); Brown Miller Communications
(Martinez); Stacey Doss Doherty PR (Irvine), and The Communications
Department (Watsonville).
The
group, which calls itself the California Agricultural Communications
Coalition, was looking for a firm with experience in handling
diverse coalitions and guiding, crisis, consumer, and traditional
and new media.
IRL,
IZOD GO TO GH FOR MAINSTREAM PR
The
Indy Racing League and key sponsor IZOD have brought in
GolinHarris to broaden PR efforts beyond the sports media.
Amy
Konrath, director of media relations for the IRL, told ODwyers
that GHs focus will be national, non-sports media
outreach to get exposure for IRL drivers in mainstream press.
She said IRL and IZOD jointly issued an RFP for the work
and noted the league last worked with Dan Klores Communications
to promote the May 2009 Indianapolis 500.
We
are excited about what GolinHarris will be able to do for
us off the sports pages, said IRL commercial division
president Terry Angstadt, in a statement provided by Konrath.
Our goal is to make all of our drivers stars in the
mainstream landscape, and the hiring of GolinHarris is one
of the first steps in doing so.
The
IRL runs two racing series: Izod IndyCar Series, which includes
the Indy 500, and the Firestone Indy Lights. A third, a
revival of the U.S. F2000 National series, is in the works
for 2010.
RAIL
EUROPE RIDES WITH HAMMOND
Lou
Hammond & Associates won marketing communications agency
of record duties for Rail Europe, the New York based promotion
entity for railroad travel in Europe, following a competitive
pitch process.
Three
firms pitched for the account. New York-based Nike Communications
was the incumbent.
Rail
Europe has been based in the Big Apple since the 1930s and
is part of the French and Swiss national railroads marketing
European travel on 35 railroads to North Americans. It claims
to assist more than one million visitors each year.
In
a statement, RE president and CEO Frederic Langlois said
the entity wanted an agency with a track record in trade
and consumer media. He said LH&A allows the rail organization
to reach and influence a wide audience.
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Edition, February 24, 2010,
Page 8
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PR OPINION/ITEMS
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Tiger
Woods belated performance last Friday was a bad day
not only for Tiger but for PR.
Friday
is the day of choice for those releasing bad news. Saturday
readership plummets.
Best
day for those wanting attention is Monday.
So
crude is the PR advice surrounding Tiger that we believe
they actually thought a Friday was the best day to bury
this story (as though a hurricane could be buried).
Reaction
is mostly negative to this fake press conference
and deservedly so.
Tiger reading from a script reeked of insincerity. He was
over-programmed, like much of PR these days.
Amazing
is the charge that the media was spreading lies about what
happened in the early morning hours after Thanksgiving when
the Tiger story was nothing but lies about that night.
The
claim was made that Woods was only in a minor
car accident.
How
minor is an accident where the driver winds up unconscious
on the road after smashing into four objects and driving
in his bare feet?
Massive
stonewalling ensued which is a form of lying. The cops whiffed,
never analyzing Tigers blood and taking part in the
coverup.
Tiger
should have faced the press a couple of days after the accident
and confessed all. Stonewalling was the advice he got and
is about par for the course these days for much of PR which
has morphed into marketing.
There
was a monumental failure in intelligence-gathering by Nike,
Accenture, Pepsi and other big sponsors.
Had
their PR people been in touch with the right
press, the right nightclubs, the right sports hangouts (instead
of cringing under their desks), they would have learned
years ago about Tigers philandering. They would have
waved off their employers from having anything
to do with Tiger.
For
the first time, an audience saw Tiger without a display
of the Nike logo, which his contract called for him to wear
even when promoting other products. That
harsh contract no doubt won a lot of points for some marketer
at Nike.
The
PR/press gap is wider than we have ever seen it and the
victims are not only PR clients but the public.
Some PR Firms
Shun Rankings
The annual ODwyer
PR firm rankings will be published next week.
Many of the firms had
declines in 2009 but are putting out their figures anyway.
They know that many companies shopping for PR use the rankings
as their initial guide.
If you Google healthcare
PR or beauty PR firms or any such combination
for any of the 12 specialties ranked by ODwyer, the
ODwyer rankings will come up near the top.
They are the only rankings
that we see appearing on Google. They have become the gold
standard for PR firm measurement over the past 39 years
because client companies know they are based on tax documentsthe
top page of the firms income tax return and the W-3
showing total payroll.
PR has migrated to the
specialties in the past couple of decades. Those who talk
about PR in general dont realize that when companies
start shopping for PR they can go to firms with practices
in the appropriate area.
PR has become specialized
like law. You go to a real estate lawyer, maritime lawyer,
criminal lawyer, divorce lawyer, corporate lawyer, copyright
lawyer, telecommunications lawyer, etc., depending on the
need.
Most PR, meaning
dealing with the public forum and press, has moved from
corporations and institutions into the agencies where a
lot of special practices have sprung up. The ODwyer
rankings have helped to define these practice areas over
the past 20 years and win business for the firms taking
part in them.
Such areas as healthcare,
tech, financial/IR, food, beauty/fashion, sports/leisure
and travel require lifelong career specialization.
Firms in the ODwyer
rankings are those that are seeking more business and have
the staff to handle it. Firms that dont need the rankings
and dont help to support them will not be in them.
The
Ragan Communications social media conference at Coca-Cola
h.q. in Atlanta this week will not have one of its
featured speakersBill Murray, COO of NANA (nee PR
Society), who pulled out the week before the conference.
He was to have talked about the decline of traditional media
and the rise of SM. Ragan execs said no particular reason
was given except that he couldnt talk.
We dont approve of major speakers at a conference
pulling out at the last moment. Reclusive Murray has never
addressed any New York PR group and basically hasnt
talked to us since his first couple of weeks in office in
2007.
The
conference at Coke is dramatic because First Lady
Michelle Obama has just launched a drive to rid schools
throughout the nation of sweetened drinks.
Atlanta is close to being
the fat capital of the U.S. The South in general
is by far the fattest area in the nation, according to the
fat map published by the Centers for Disease
Control.
Were hopeful that
Coke officials will talk to reporters at the conference
about Michelles campaign and other issues.
One is the use of high
fructose corn syrup in Coke and other sodas.
Nutritionists claim that
sugar made from corn syrup is harder to digest
than cane and beet sugar.
President Obama is having
a hard time putting across his health insurance plan but
an even greater impact on the health of America could result
if Americans change eating habits that have made about two-thirds
of them overweight.
Nutritionists say that
non-hereditary diabetes could be wiped out if over-use of
sugar of all types and obesity were curbed.
BevReview, taste-testing
Pepsi Throwback sweetened with beet and cane
sugar vs. Pepsi made with corn syrup, declared that the
latter tasted like swill when compared with
the former.
Pepsi/corn syrup starts
out a bit watery, with a bit of chemical flavor, while
Pepsi Throwback is cleaner, producing a consistent
cola taste from the first sip, while it passes over your
tongue, and eventually the aftertaste as it goes down your
throat, says BevReview.
The website estimates
that nine of ten people would prefer Pepsi Throwback, which
was only being marketed for a couple of months to this week.
Soda companies switched
to corn syrup decades ago because it is cheaper than cane
and beet sugar.
Another Coke issue is
its deficient Online Social Media Principles
that tell Coke allies to identify themselves on SM at
the outset but dont get around to this advice
until the third page.
--Jack
O'Dwyer
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