As a business owner or leader, you probably already know that collaborating with a Public Relations (PR) firm is the best way to boost your organization's outreach and credibility.
It will be beyond what you can dedicate your time and effort to in-house and beyond the simple desire for publicity. When done correctly, it can be beneficial in more ways than one.
It is also essential for your organization to be ready to take this action. PR is a powerful tool, so most business owners rush to collaborate with a PR firm. On the contrary, some business owners wait too long before deciding on a PR firm because they do not want to risk it and play safe. Understanding the power of PR before harnessing it to your and your business's advantage is necessary.
Differences between PR and advertising:
Before we go into the details, it is crucial to understand the difference between advertising and PR. Simply put, advertising is paid media, while PR is earned media, even though both approaches need a comprehensive strategy.
While marketing and advertising allow you to purchase placements, traditional PR focuses on trying to secure media placement in particular regions. With paid media, you can typically gain a variety of results.
Both strategies are incorporated at a Public Relations Firm in New York because they complement each other. Developing brand equity and position with PR can increase brand recognition, leading to sales.
Building brand equity is crucial as it can greatly extend the value of your paid media expenditures. A simple example of a traditional media campaign could look like this: In the absence of brand recognition and trust, organization A may spend a huge amount of money on a combination of print and digital campaigns with the intention of selling N products. This would cost M/person to convert into a sale.
The combination of paid media and PR will allow you to build anticipation, brand recognition, and trust with your consumers, which will, in turn, lower the total cost of M/person and increase the number of sales.
If your advertising establishes a solid base of social proof beforehand, you may also find it simpler to attract the attention of news and publication outlets you want to work with to secure media coverage. Combining two strategies and having faith in the PR process is the sequence of events.
What is a PR agency?
A PR agency helps your organization achieve the desired public perception of your brand. An exceptional PR strategy is indispensable if you need to build awareness and enhance your brand's credibility.
Strategic communication is an area in which PR specialists excel. They have several responsibilities, including creating and distributing press releases, coordinating with the media, and guiding you in dealing with probable issues that can harm your brand's reputation.
Irrespective of a business's size, hiring and investing in a Public Relations Firm in New York is valuable. Whether it is about establishing your business as a thought leader or improving your reputation, a PR agency is extremely beneficial.
Is your company ready for PR?
While everything sounds great, not every brand should employ PR efforts. The previously discussed process can take a while to begin, and for brands that do not fit the criteria of “ready for PR,” it may take much longer.
To be ready for PR, brands should have a vibrant and unique story that inspires both the audience and the PR firm. Publications will be drooling over your press release if it contains an intriguing tale, as it will readily facilitate coverage.
Suppose there needs to be an intriguing narrative. In that case, investing your money into a paid media campaign is recommended, which is yet another viable way of achieving brand equity and recognition.
What does PR cost?
Now that you know PR and the value of a PR agency, the next step is ascertaining the cost and creating your budget for PR. You must understand that the prices vary based on the location, but generally, you will get what you have paid for.
Traditional PR firms usually charge retainer fees based on the amount of time spent and the seniority of the account representative. The starting range of monthly retainers is between $2500 and $6000.
The charge can be as high as $25000 to $50000 monthly, depending on the scope of the task and the value provided, in the case of top-notch PR firms. On average, the monthly cost can be $10000 for most agencies.
When estimating the expenses, it only makes sense to consider what you are paying for. A PR agency possesses a wide range of local and national contacts that can be utilized for your brand. Additionally, a PR agency would conduct several PR programs for your organization. PR specialists are valuable since they are creative, sensible, and possess good research, planning, and writing skills.
Factors that affect the cost of a PR agency:
A few factors impact the cost of hiring a PR agency. These are:
Scope of services: Your organization's level of assistance influences the cost of hiring a PR agency. Most organizations employ a PR agency for the complete package, including brand management, crisis management, media relations, and crafting and distributing press releases.
You can opt for specific tasks if you need to minimize the expenses. For example, you can hire a PR agency to handle media relations, and you take care of press releases internally.
Location: Although several PR specialists work remotely, prices vary mainly based on the area. Agencies in rural locations charge less than average, while those in cities usually charge more.
Payment terms: Most brands prefer to hire through a monthly retainer. This indicates that they will have to pay only for a fixed number of hours every month, regardless of whether you use the hours.
You can also choose to purchase additional hours if needed. When a PR agency is retainer-based, it implies that it extends its services in times of need during crisis management.
Experience of the team: Another factor to consider is the experience level of the PR team. PR costs correspond precisely to the agency rate card of the person or group handling your account.
The hourly or daily rate for professionals hired by the agency is listed on the agency rate card. For example, the hourly rate is higher for an account manager than an account executive but lower for an account director.
Therefore, it is ideal to partner with an agency whose regular clientele has the same spending capacity and size as yours.
Once you have decided to work with a PR agency, you must know it takes time, as PR is an ongoing process. Crafting pitches, developing angles, and arranging interviews takes time and effort. When all of these come together, you can obtain the fruits of your investment.
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