Ruder Finn study shows PROs frustrated by pricing of digital and social media campaigns

May 26, 2009

Research also reveals that print is still king in the eyes of in-house PROs

More than three-quarters (78 per cent) of in-house PR officers feel that digital PR services are inconsistently priced, according to new research released today by Ruder Finn UK.

In-house PROs are also unconvinced of the ROI that social media provides, with almost half of those surveyed (47 per cent) claiming it offered the lowest ROI verses other types of media with print nationals and broadcast media recording the highest ROI figures (40 per cent and 34 per cent respectively).

Print is king?

The research showed that traditional media still carries a lot of influence with in-house PROs. Around three-quarters (73 per cent) of those surveyed said they would rather see coverage in the print edition of a national rather than the online equivalent, whilst 40 per cent said that national coverage provided them with the highest ROI compared with broadcast, trade, online and social media.

“There has been a lot of noise around digital communications - mostly from those that are directly involved in it – yet it would seem that many in-house PROs are yet to be convinced about the ROI it offers and are concerned about the fluctuating pricing models,” said Nick Leonard, managing director Ruder Finn UK. “As an industry we need to build credibility with in-house PROs by developing robust pricing and ROI tools that demonstrate the true value of social media through integrated and measurable campaigns.”

Despite this, the research did show a willingness on the part of in-house PROs to experiment and utilise digital channels. Almost half (49 per cent) of respondents had commissioned their own research into the digital media most likely to influence their target audience and 70 per cent of respondents had embraced a new media channel without fully realising its true potential.

Speed is of the essence

Half of respondents had changed the way their organisations handle approval processes, to enable them to be more responsive to the faster “time to story” demanded by online and social media.  This is something set to increase further over the coming 12-18 months, with 60 per cent of PROs claiming that they still are missing out on media opportunities because their organisations can’t move fast enough.

“There are undoubted benefits that come with social media and it is encouraging to see in-house PROs showing an interest in using these channels,” continued Nick Leonard.

“Digital campaigns need to be part of an overall communications strategy, not a bolt on activity that is not measured in the context of the rest of the marketing campaign.  PROs need to work with their HR/training department to make sure organisations know how to use the tools available to them but also need to factor in a strategy for when something goes wrong, as we saw recently in the cases of the Dominos Pizza video and the #amazonfail rumours.”

Ruder Finn surveyed 100 in-house Public Relations Officers (PROs) for the research, as well as conducting 20 more in-depth interviews with communications staff from across sectors, including technology, pharmaceuticals, charity/NGO, global health and the public sector.

Ruder Finn has the largest interactive communications division in the PR industry and recently launched the UK arm of the Ruder Finn Innovation Studios, originally established in 1999. The UK will be headed by Ged Carroll, director of digital communications.  The new division will span digital communications, social media, website and community development and training and education. Developing the robust ROI tools will be a key part of Carroll’s remit over the following months.

For a full copy of the report findings, please contact Paul Allen on pallen@ruderfinn.co.uk +44 (0) 207 462 8902 @pauliea

or Ged Carroll on

gcarroll@ruderfinn.co.uk +44 (0) 207 462 8919 @r_c

About Ruder Finn

Ruder Finn is a leading independent communications, counselling and services agency with 60 years of experience. Ruder Finn maintains offices in Chicago, Los Angeles, New York, San Francisco, Washington, London, Paris and Jerusalem. Asia Pacific offices include Sydney, Beijing, Guangzhou, Hong Kong, Shanghai and Singapore. The Agency also works with leading independent affiliates in major markets throughout the U.S., Europe and Latin America.

 

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