New PR Paradigm

Here’s the second installment from our CEO Emeritus, Charlie Weaver… from his recently-finished article that explores customer-created brands and the new battle for mindshare.

 

For some, public relations has become the new magic bullet. In their book, The Fall of Advertising & The Rise of PR, marketing strategists Al Reis and Laura Reis make a strong case for Public Relations as the lead marketing tool for those attuned to the new branding and communications realities.

The authors argue that traditional advertising has lost its communications function and, by extension, it’s role in development of mindshare. The primary purpose of advertising, they assert, is to defend a brand once it has been built by public relations and related third-party tactics.

It’s tough to argue with success. Many of the world’s most powerful brands have been built with little or no advertising. Google, Starbucks, eBay and dozens of other category leaders have risen to prominence on the strength of the new public-relations paradigm.

Or have they? While there is solid evidence that positive third-party media coverage played a strong role in propelling these and other brands into the public consciousness, it’s not time to transfer all your eggs into the PR basket just yet.

Pets.com Wimpers and Disappears

Take Pets.com, the ill-fated dot com start-up that set out to revolutionize the way people bought pet food. The venture capitalists ponied up $50 million. The technology gurus built a killer website. And the marketing team breathed life into the Pets.com sock puppet – a hit with consumers and an instant classic in advertising circles.

So what went wrong? Some would argue that this was a prime example of the growing inability of mass media advertising to connect in a meaningful way with its target audience.

It seemed that TV viewers, while entertained, could not be moved by the self-serving messages of an unknown brand. Yet Pets.com and its dot com contemporaries didn’t lack for PR either. Newspapers, consumer magazines and other media outlets overflowed with glowing reports of the dot com revolution and its power to liberate and empower consumers. Pets.com was one of the revolution’s early heroes and the recipient of lavish media coverage.

Trouble is, no one thought to check with the consumer. Brands like Pets.com, HomeGrocer.com, Jobster and TripHub didn’t fail from lack of effective PR, or because traditional advertising no longer worked, but because they didn’t have a viable value proposition and didn’t deliver a brand experience anyone cared about. They disappeared because they couldn’t convert mindshare into paying customers.

Linux Community

Then there’s Linux – the number one brand in the open-source software category and poster child for the PR model of mindshare building. However, the Linux brand wasn’t built by PR, but by a passionate and committed community of users and developers. PR followed mindshare, more than creating it.

Linux software grew out of a project at the University of Helsinki and was placed on the Internet where it was made freely available to programmers who could apply and modify it to suit themselves. It wasn’t owned by anyone. So there was no one to advertise it. And no one to send out PR releases touting it.

The power of The Linux brand, first popularized in the mid to late 1990’s, came from its ability to deliver a high-value functional brand experience consistent with the psycho-social and emotional mindsets of Linux users. They supported and defended the brand, first and foremost, because they passionately believe in it. Champions of the Linux brand were completely self-selecting – they themselves created the compelling experiences that gave the brand power. In the process, the lines between commerce and community virtually disappeared.

It wasn’t until after the Linux brand was embraced by the technology community, that companies like Red Hat and Novell refined it and built businesses providing related support and services. The brand came first, its commercialization second.
The same basic process unfolded with online brands such as social networking site MySpace and video sharing powerhouse YouTube.

Viral YouTube

From its May2005 launch, it took YouTube just six months to achieve national brand status, and under two years to command a $1.6 billion buyout from Google. Advertising had no role in YouTube brand ascendancy. And PR came along only after YouTube had been canonized by its user community and experienced by the millions who flocked online to get in on the fun.

Like Linux and MySpace, the YouTube brand was a viral marketing phenomenon—experience-driven, community-based, and pulled into existence by brand acolytes, rather than pushed by the brand’s originator.

LEAVE A COMMENT

To read the entire article “The New Mindshare: Rise of the Customer-Created Brand”

Subscribe with Bloglines

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: