It’s often difficult for an agency to hire an in-house PR specialist. And assigning PR responsibilities to an existing employee has its drawbacks. This document by Henry Stimpson examines the advantages and disadvantages to hiring an out-sourced PR consultant.
Just about every company — insurer, consultant, hospital, or zoo — wants to get more coverage in the news media as part of its marketing plan. Having your organization’s products, services, and people featured in relevant media builds credibility and works hand-in-glove with other marketing efforts.
Who produces the most public relations (PR) bang for the buck? Is it a staff PR person, a traditional PR agency, or is there a better choice? Today, more organizations are using out-sourced public relations professionals — independent contractors who work with a small cadre of clients. Why hire independents? The advantages include responsiveness, experience, dedication, and lower costs for more results.
With out-sourcing, a company doesn’t pay an employee’s salary and benefits, nor the hidden costs of office space, phone lines, computers, furniture, and support staff. A company might not be able to justify hiring a full-time PR person, but it can justify buying the services of a highly skilled professional without the obligations of employment.
In-house PR staff often get pulled into time-wasting activities. Internal meetings, memos, and e-mail can be so pervasive that a staff PR pro might have little time or energy to court the media. An independent doesn’t have those distractions. Additionally, having multiple clients gives an independent an advantage with the media. Often, I’ve spoken with a reporter regarding something that Client A was doing. The reporter wasn’t interested, but was very interested in Client B’s new service. This kind of give-and-take benefits both reporters and clients.
Outsourcing is also more cost-effective than hiring a traditional agency. Most independent PR consultants have low overhead, working either from a small office or at home. You’re buying the individual’s brainpower, experience, and skills instead of subsidizing a fancy office and perks. Traditional PR agencies make their profits by marking up their employees’ time. In most of them, people just a few years out of college do the bulk of the work. The agency pays them modestly, as befits their experience, but bills companies at top rates.
For clients, it’s a gamble. You don’t know whether your young account executive is capable or not. And if you do get a capable person, you’re likely to be disappointed in a few months or a year when the individual leaves for greener pastures, leaving you to educate a new person about your business and industry.
Most independent PR people accumulate many years of successful experience before launching their own businesses. The out-sourced PR person can and should show the client a solid track record. Responsiveness is another plus. You can get short shrift in a traditional agency if you’re one of its smaller clients. Because an independent PR person has a handful of clients, each becomes a big fish in a small pond meriting prompt attention.
They don’t require a big staff. In the old days, you needed a fleet of typists and helpers. Today, communication technology — e-mail, fax, computers, and the Internet — lets one person accomplish a lot. Of course, no individual can do everything. When they need more bodies, an independent PR pro can simply rent the necessary resources, such as media-distribution companies, clerical help, graphic designers, and photographers. Additionally, many independents work with other PR people, who can provide specialized expertise.
HOW OUTSOURCING WORKS
The ability to hire an independent PR pro for a project is one of the advantages of outsourcing. You can start and stop as desired. Ideally, however, there should be an ongoing program because companies need continuous PR. For a continuing relationship, a set monthly fee is the most satisfactory arrangement for both the client and the service provider. Unlike hourly billing, this gives the client predictable costs and shows the PR pro that the client is committed.
An out-sourced PR person does the same things that a staff professional or traditional agency does, from advising you on overall strategy and creating a PR plan. To implement the plan, the PR pro will establish and maintain personal contact with reporters and editors at relevant media; develop and pitch story ideas; write and place news releases, articles, and case histories; set up interviews with your company’s executives and experts; and perhaps plan events and press tours.
The out-sourced PR person might also produce your newsletter, Web site, annual report, brochures, or other marketing materials. Does geography matter? It’s perhaps slightly preferable to have your out-sourced PR person nearby, but getting the right one is more important than proximity. Most of the time you can do everything by phone, fax, and e-mail.
Are there any drawbacks to out-sourcing your public relations functions to an independent professional? If you have a qualified, capable consultant, there are only two. First, the individual might not be readily available during vacations. With a little planning, that shouldn’t be a problem. Second, your out-sourced PR person might get run over by a truck someday or decide to take off for
Tahiti
forever. Not much you can do about that, but it’s a pretty small disadvantage considering the advantages of out-sourcing.