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| EXPERT OPINION BY PAUL HOLMES |
 The relationship between institutions and their stakeholders is undergoing major change. The rise of digital and social media has increased the volume of information—and misinformation—about corporations and other organisations that is available to ordinary citizens, and it has changed the balance of power, allowing engaged consumers, employees, investors and others to share their experiences and actions with others and mobilise around issues of concern. READ MORE
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| GRAYLING EXPERT PANEL |
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 Michael Murphy, Global CEO
The global PULSE findings reflect many of the trends that we are seeing from our clients around the world. Despite the challenging economic conditions, there are many new opportunities, both in traditional as well as emerging markets, with clients increasingly looking for more flexible, entrepreneurial and cost effective...
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 Guy Taylor, CEO Asia Pacific and Middle East
With the mature markets of the world locked in to resolving major economic issues and second guessing who will be the next US President, no wonder that many firms are exploring new opportunities for growth. Inevitably the lucrative high-population markets of China, Indonesia and India remain...
READ MORE |
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 Sarah Howe, Lead Consultant, Grayling Future Planet
It is no surprise to see a healthy increase in CSR communications spend, however, our goal in future PULSE surveys is to shed both greater light on the nature of this spend and to ensure that the key nations of today are keeping pace with tomorrow's leading economies. The companies that are embedding...
READ MORE |
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 Victor Benady, Managing Director, Digital
On the face of it the growth in social media spend comes as no great surprise given that projections suggest that there will be in 30% increase in users over the next two years resulting in a quarter of the World's population being on social media, the majority of them on Facebook...
READ MORE |
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 Jan Simunek, Regional Director, Central Eastern Europe and South Eastern Europe
Over the last 20 years, the PR sector has changed significantly in the CEE region. Initially, in the early to mid-90s, all of the knowledge and know-how came from Western Europe, but many of the first PR agencies to spring up were offering a very basic type of media relations...
READ MORE |
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 Bettina Gebhardt, Managing Director and Head of Consumer Brands, Grayling Germany
The results of the first PULSE survey reflect the fact that more and more companies focus on consumer and retail PR to set themselves apart from competitors. To be appealing for young people and to create...
READ MORE |
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 Find the Grayling PULSE at:
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 News Highlights |
Kapsch Appoints Grayling as Global PR Partner
06 June 2012 - Kapsch Group, a leading Austrian technology company, appointed Grayling for an international communications mandate covering the company's three subsidiaries… READ MORE |
Grayling wins three EMEA SABRE Awards
01 June 2012 - Grayling took home three EMEA SABREs following the Awards ceremony hosted in Brussels on 31 May… READ MORE |
Grayling appointed by London City Airport for European PR programme
29 May 2012 - Grayling appointed by London City Airport following a comprehensive pitch process, to raise its reputation in three key end-of-route markets; Germany, Spain and Ireland, coordinated by a central hub team based in London… READ MORE |
Ryder Cup Europe selects Grayling
23 May 2012 - Grayling appointed by Ryder Cup Europe to manage international communications programme in the run-up to the next home staging of The Ryder Cup… READ MORE
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Grayling appointed by London City Airport for European PR programme
29 May 2012 - Grayling appointed by London City Airport following a comprehensive pitch process, to raise its reputation in three key end-of-route markets; Germany, Spain and Ireland, coordinated by a central hub team based in London… READ MORE |
Grayling consolidates its fast growing Middle East operations with the opening of a new office in Doha, Qatar
17 May 2012 – Grayling opened its new Doha office, firmly placing its stamp on this important market… READ MORE
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| EXPERT OPINION BY PAUL HOLMES |
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 The relationship between institutions and their stakeholders is undergoing major change. The rise of digital and social media has increased the volume of information—and misinformation—about corporations and other organisations that is available to ordinary citizens, and it has changed the balance of power, allowing engaged consumers, employees, investors and others to share their experiences and actions with others and mobilise around issues of concern.
In this environment, the need for sound public relations counsel is increasing. On the corporate front, organisations need advice on avoiding conflict with their key stakeholders, and managing confrontation when it does occur. In the marketing realm, meanwhile, the need for dialogue rather than simple message delivery has seen public relations move into a more central role in brand strategy.
Under the circumstances, some of the most significant findings in this inaugural Grayling PULSE survey confirm what many industry observers would instinctively assume.
For example, almost six out of 10 respondents report that their public relations budgets are either increasing or holding steady, despite the difficult economic environment. (It is equally unsurprising that budgets are more likely to be growing in Asia and the emerging markets of Latin America, Africa, and the Middle East, while Europe is less likely to see dramatic budget increases.)
At the same time, almost half of those surveyed say that public relations has increased visibility at the senior management or board level (while only 4 percent say visibility is decreasing).
Examining the numbers a little more closely, it is apparent that the greatest growth is being seen in digital and social media. In part, that's a natural result of the fact that many companies are still taking their first, tentative steps in the social realm, and so by definition any spending is new spending.
But it is also a consequence of the fact that public relations is uniquely well-suited to take the lead in digital and social media. The values that are important in this new media environment—transparency, authenticity, engagement, dialogue—are the values that have always underpinned good public relations practice.
In the past, the transparency and authenticity of public relations efforts have been judged by reporters and editors, and engagement and dialogue has occurred primarily between PR professionals and these "gatekeepers." But while the audience now is broader, including bloggers and ordinary citizens, the process and the discipline remains the same.
And while it makes sense that PR people are taking the lead when it comes to digital and social media conversations, it is increasingly clear that they are also heavily involved in the content creation realm, developing a wide variety of content (from detailed white papers and annual reports to widgets and apps to flash mobs and guerilla marketing campaigns) to engage people online and off.
All of this means that public relations professionals need to be more proactive in their storytelling. But other findings from the inaugural Grayling PULSE survey make it clear that the need to react and respond quickly—often in real time—has never been greater.
The survey sees growth in corporate reputation management, corporate responsibility, and crisis management activities, a reflection of the unprecedented scrutiny that companies and other organisations operate under in this new age. Public expectations have never been higher, and institutions need to be ready to respond to any gap—perceived or real—between those expectations and their behavior.
So the Grayling PULSE survey supports a bullish view of the public relations industry, despite the tumultuous times. But it also meets a genuine need for more timely and relevant information about the status of the profession.
For despite its rapid growth in recent years, the public relations industry is not exactly rich in data. While spending on advertising, for example, is generally a matter of public record, many companies remain remarkably coy when it comes to discussing their investment in public relations.
The Grayling PULSE survey may not provide precise dollar-and-cent (or pound, or euro) information about public relations spending, but it does provide incredibly valuable insight into some of the trends in spending, and over time the ability to track those trends will help public relations practitioners—client and agency leaders—make better decisions about their own investments.
The baseline information in this first Grayling PULSE survey will provide a benchmark to measure changes in both spending and organisational status, and over time will help identify correlations between PR investment and PR success. That makes it a valuable addition to the body of knowledge about our practice at a time when it is more necessary than ever before.
Paul Holmes, Editor The Holmes Report www.holmesreport.com |
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| GRAYLING EXPERT PANEL |
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Michael Murphy, Global CEO
The global PULSE findings reflect many of the trends that we are seeing from our clients around the world. Despite the challenging economic conditions, there are many new opportunities, both in traditional as well as emerging markets, with clients increasingly looking for more flexible, entrepreneurial and cost effective solutions in order to meet their communications needs. Importantly, the visibility of the importance of communications in the boardroom and its impact on commercial success continues to grow strongly.
Going forward, we hope that the quarterly PULSE report will provide our clients and others in the industry with invaluable benchmarking data to help them with their own communications planning. We also hope to prompt debate around important issues facing our industry and provide insights which can be acted upon collectively by Grayling teams and our clients around the world.
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Guy Taylor, CEO Asia Pacific and Middle East
With the mature markets of the world locked in to resolving major economic issues and second guessing who will be the next US President, no wonder that many firms are exploring new opportunities for growth.
Inevitably the lucrative high-population markets of China, Indonesia and India remain central drivers behind increasing spend on marketing communications, and indeed on PR. Between these three markets they represent no less than 40 per cent of the world's 7Bn population, so no wonder that brands and firms alike are keen to polish and protect their image. Add other Asia-Pac or ASEAN countries to this (even Myanmar has a population of nearly 50m!), and no wonder this report reveals a solid opportunity for PR in this region.
The increased investment in communications by companies of all sizes reflects not only the economic buoyancy of the markets but also the increasing sophistication of the markets whereby consumers wish to interact with brands in a more content-driven way going beyond advertising-led means.
What we will see in the future is a greater focus on this sort of content vs. the traditional media relations services characterised by the inimitable 250 word press release. Whilst this will still have a role to play, greater emphasis will need to be placed on content if we are to satiate the appetite of audiences and clients for creative solutions. PULSE suggests that companies in APAC are moving in this direction, with a sizeable 23.8% of companies in the Consumer and Retail sector reporting an increase in PR spend and in the Technology, Media and Telecoms sector a 16.7% increase in investment was reported.
Another feature that this edition of PULSE clearly reflects is the increasing willingness of board rooms to acknowledge the role of communications and its value in relation to commercial success. The latter is probably not surprising, as surely it's the Board's responsibility to ensure all expenditure is invested wisely, what we all need to flag is the fact that PR, per se, is the foundation of effective marketing communications. With 17% of APAC organisations surveyed reporting an increase in PR investment this quarter - more than any other region - is a strong indication that this is being recognised.
For more about Grayling's APAC offices click here
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Sarah Howe Lead Consultant, Grayling Future Planet
It is no surprise to see a healthy increase in CSR communications spend, however, our goal in future PULSE surveys is to shed both greater light on the nature of this spend and to ensure that the key nations of today are keeping pace with tomorrow's leading economies. The companies that are embedding CSR into the heart of their organisations and innovating on long-term sustainable business models are making wise and strategic investments in CSR communications already.
"My worry is that too many companies are applying their tried and tested principles of "traditional" communications and PR – often far too tactical - to the CSR and sustainability space and this will deliver very limited returns. At Grayling Future Planet our aim is to meld innovative and strategic communications advice with practical application. Our mantra is that a more sustainable world will only ever become a reality if you employ the power and practical principles of business innovatively. A few companies are leading the way now – Unilever stands out of course - but we need more.
For more about Grayling Future Planet click here
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Victor Benady
Managing Director, Digital
On the face of it the growth in social media spend comes as no great surprise given that projections suggest that there will be in 30% increase in users over the next two years resulting in a quarter of the World's population being on social media, the majority of them on Facebook. Best in class companies and brands realise that the social media juggernaut is unstoppable and are putting the medium at the heart of their global communication strategies recognising that, whilst developed markets are showing signs of reaching a plateau, growth in developing markets is phenomenal.
But what of those whose investment remains the same, is in decline or doesn't exist at all? That's where these figures are most revealing. The fact is that a significant majority are way behind the curve and failing to capitalise or even manage this unstoppable seismic shift. While consumers are embracing social in all aspects of their lives, businesses and brands are still way behind. According to recent research by the CMO Council, only 17% of companies have fully integrated go-to-market strategies. Over half are dabbling (although a healthy number of those are looking to step things up a gear, which goes some way towards explaining the strong growth in investment) and the remaining 27% are, at best, thinking about it or struggling with it.
There is a common misconception that to expose a brand or business on social media is to open it up to uncontrollable negative forces that will do irreparable damage, but this negates a couple of important facts. First of all, with the right governance and policies in place, negativity (which is actually rarer than the scaremongers would have us believe) can quickly and powerfully be transitioned to advocacy, although of course one needs to be prepared and needs to walk the talk. Secondly, and most importantly, sticking one's head in the sand and ignoring the single most significant revolution in communication will ultimately mean that one's brand might as well not exist as its consumers increasingly turn to online for their research, recommendations and branded content. There is also a notion that social media isn't measurable in terms of solid business focused KPI's, another misconception that is holding many back.
Social media isn't a dark art nor the reserve of hyperbole spouting gurus. However it is a discipline that aggressively mutates in ways that few can predict and that requires deep consumer insight and thoughtful strategic planning on a rolling basis. Waiting to see what will happen next is a hiding to nothing and businesses need to take action now. With the right 'inside out' strategy in place any organisation can benefit from the social revolution and make itself future fit for at least another couple of generations. With that in mind, I have no doubt that we will continue to see growth in investment and it would come as no surprise if future editions of PULSE make today's figures look like a drop in the ocean.
For more about Grayling's Digital offering click here
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Jan Simunek
Regional Director, Central Eastern Europe & South Eastern Europe
Over the last 20 years, the PR sector has changed significantly in the CEE region. Initially, in the early to mid-90s, all of the knowledge and know-how came from Western Europe, but many of the first PR agencies to spring up were offering a very basic type of media relations and sales support services and levels of professionalism were mixed. Gradually, as international consultancies like Grayling became established, and as international investors started to use communications to build their businesses and protect existing investments, the market developed and became far more mature. The PR sector is continuing to develop but we are now operating in a more competitive environment.
Some of the recent trends that have been seen in the communications industry in Western Europe have taken a few years to hit our region. Over the past 18 months, we have seen a steady growth of new mandates related primarily to corporate reputation management, issues and crisis management and public affairs. Our clients are also far more sophisticated than they were 15 years ago; they expect consultancy rather than simply service delivery. They expect us to challenge them, to demonstrate creativity on an ongoing basis, to create content for them and for us to offer strategic advice proactively. They also expect us to have deep relationships that we can leverage with journalists and stakeholders. As everywhere, there is also increasing pressure from the client side to demonstrate added value and to find more accurate ways of measuring the impact of campaigns. More and more, people need to be able to establish the return on their investment.
We have also seen far greater emphasis recently on communications as a tool to support business development. This also reflects the findings of the first edition of PULSE: top management are committed to, and directly involved in, communications activity because they can see the direct impact that it can have on their bottom line. This is partly about brand building and reputation management, but it is also about shaping the regulatory environment in which they are operating and improving relationships with key stakeholders. It is mainly for this reason that Grayling has shifted its strategy across the region to offer integrated PR and Public Affairs services (as well as digital) in all markets, with a particular focus on top level strategic consultancy. To protect their business interests, this is what clients are demanding.
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Bettina Gebhardt
Managing Director and Head of Consumer Brands, Grayling Germany
The results of the first PULSE survey reflect the fact that more and more companies focus on consumer and retail PR to set themselves apart from competitors. To be appealing for young people and to create long-term ties with a brand the use of social media channels is essential. Moreover, a clear commitment of companies to sustainable production becomes more and more important. This offers agencies like Grayling the chance to specialise even more and to support clients with high quality and cost-effective PR consumer & retail solutions.
For more about Grayling Germany click here
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