Recession, product publicity and the internet
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Steve Jobs of Apple knew the power of product publicity when he introduced the Macintosh at Macworld 1984. His presentation itself was as creative and newsworthy as the new computer he was introducing. I recall that he removed the Mac from a bag, placed it on a table, plugged it in, put in a floppy disk and then the Macintosh introduced him with a very entertaining narrative in a monotone computer voice. That was brilliant! It captured the attention of the audience and the media and led to several interviews that provided the “news coverage” which launched the Macintosh; without spending a dime on advertising.
In good economic times and bad, product publicity is the best way to get widespread exposure for your products and services. It is especially valuable during a recession. I was a direct witness to this in 1982, 1991, and 2001. And the lead article in the January 19, 2009 issue of BtoB’s ‘Marketing in a Recession’ feature was titled, “Frugality first. To survive this economy, marketers must focus on spending only where there is real ROI.”
Why is product publicity especially valuable during a recession? There are several reasons, all of which are true during good economic times, but become amplified during the bad times when companies are trying to save money. During a recession, we’re all faced with the dilemma: It is a great time to advertise, but money is tight! That is where product publicity – with its 10 plus times better ROI than advertising can help.[1] This assertion is based upon the Microsoft Corp. method for evaluating the return-on-investment of publicity.
Product publicity is non-sponsored content which appears in media outlets; both in-print and online. In other words, product publicity is editorial content that is selected by an editor or web host to inform their readers and visitors.
Many people don’t realize the difference between product publicity and advertising. Publicity is news, editors are telling their readers about you in the editorial section of the media. This is why readers are reading the magazine or visiting the Web site in the first place, for the news. With advertising, you buy space in-print and online to “show off your own products” and with publicity, the editor is “showing your products to their readers for you.” For this reason, aside from a referral from a respected colleague, publicity is the most respected and, therefore, the most effective marketing technique.
During a recession, media outlets, like most other companies, are faced with budget cuts and staff reductions. Historically though, they have always been budget conscious. This has been an opportunity for my company, Venmark International, because we have become recognized as a source of information for many media outlets. Our first experience with this took place in March 1977, when Drake Lundell the editor of ComputerWorld, phoned me and asked, “Who are you?” I replied, “I’m Steve Stroum, a product publicist. Lundell said, “Why haven’t you called on me like every other flak? “Because I’m not like every other flak, I wanted to become recognized for the quality of my work.” “You have,” said Lundell, “would you like to come over and meet my staff?” I did, and Lundell introduced me to his reporters at ComputerWorld as, “the president of Venmark, a high quality source of information about companies we otherwise might not know about.” Years later, Russell Kratowicz, P.E., Senior Editor of Plant Services Magazine wrote, “In short, when I see the characteristic “editor-friendly” Venmark press release, I know it is worthwhile for me to read it because I know it contains information that I cannot afford to ignore. These two examples illustrate how important product news releases are to editors and web hosts.
Today, with many publications shrinking in size and their corresponding web sites attracting more visitors, having reliable product news sources is more important than ever. So, unlike the advertising sales pitches of yesteryear when the salesman would declare, “Place an ad with me and I’ll get you a ‘freebie,” meaning free editorial coverage, publicity stands alone more than ever in the marketing mix. Sophisticated marketers no longer look at it as “free advertising.”
If we understand the role of product publicity, then it should be obvious that product publicity generates sales leads. But it also generates tremendous web site traffic. For companies who do not dominate their markets, a recession is a fabulous time to promote products because, like you, your prospective customers are willing to take a look at another vendor or make a change. During good times companies are busy and will resist change unless there is a reason. However, a recession provides a reason, or incentive, which makes the hassle of examining alternatives less of a problem. As a potential new vendor, you may have to cut your margins to attract business, but you can gain market share. And when the economy recovers, you can adjust your pricing accordingly. In the meantime, you will have added new customers to your business during a recession.
The growth and influence of the internet has amplified the importance of having a consistent product publicity program for your company. An effective product publicity program can drive traffic to your web site and help uncover the keywords and marketing concepts that yield the best sales leads. Today, for example, with our industrial B2B clients, we are illustrating how effective their products are at solving maintenance problems, or how they are used in maintenance applications, because most capital equipment purchasing is on hold right now.
Through web analytics, you can also determine what products and accessories generate the most sales. We have experienced situations where publicizing one item can lead to sales of another item; even more sales than publicizing the other item itself!
Search engine optimization is another important byproduct of an effective product publicity campaign. The more exposure your company’s products receive on quality web sites, such as those hosted by media outlets, the better your “link popularity” and the likelihood your products will show up on the first page of a prospect’s Google search. As Dave Lydon, President of Meller Optics, Inc., said, “I searched for Meller Optics on the Web and couldn’t believe the listings! The consistent publicity program we’ve had for over 25 years now has the additional payoff of increasing our visibility on the Web and improving our search engine ranking.”
In a Playboy Magazine interview back in 1985, Steve Jobs said, “The most compelling reason for most people to buy a computer for the home will be to link it into a nationwide communications network. We’re just in the beginning stages of what will be a truly remarkable breakthrough for most people—as remarkable as the telephone.” Mr. Jobs was absolutely correct all those years ago. His vision has become reality. Companies need to realize that “Content is King” and if they understand what media outlets are looking for, then they can take full advantage of their product publicity opportunities. In the process of helping the media, of course, they can help themselves weather this recession.
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Steven M. Stroum is the founder and president of Venmark International, an industrial and technical product publicity firm located in Wellesley, Massachusetts. He was appointed one of 18 Small Business Advisors to the Governor of Massachusetts, toured South Korea as an Ambassador for the International Rotary Foundation, was a member of the Norbert Weiner Forum at Tufts University to study the impact of technology on society, and was listed in "Who's Who in the East." www.venmarkinternational.com
For more information contact:
Venmark International
Steven M. Stroum, President
148 Linden St., Suite 105
Wellesley, MA 02482
781-237-5860 FAX 781-237-5862
e-mail: sstroum@venmarkinternational.com
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© Copyright 2009- Steven M. Stroum
