In today's market, to gain a competitive edge, companies need to be agile and one step ahead of the game. While success is often referred to as ‘a great amount of sales in economic theory’, it should actually be viewed as the growth of a brand, institution or company.
A company’s growth is strongly dependent on the company’s reputation. In most cases, it is also dependent on customers and investors opinions concerning their actions, operations and social engagement. This implies that a good reputation leads to company growth. However a key question is; how is this achieved in a system as complex as ours today?
Part of that assessment includes taking a look at the key terms of a ‘good reputation’.
A good reputation is how people consider, or label you — good or bad.
With so many companies vying to be the best in their respective sectors/industries, one of the most important considerations for any business is their reputation and being prepared to be held accountable to those who have a vested interest in the company.
Without potential customers or investors knowing they exist or what they spend their time on, a reputation can not be built. So the key to developing a positive reputation is creating a good image, positive public opinions on the company's operations and treatment of (potential) investors/stakeholders, internal and external.
A highly qualified tool to do so is public relations. It aims to generate increased brand awareness, and improved and up-to-date social media management/engagement. There is also an opportunity to promote the great work that your company does through press coverage. It is also a chance to shout about your key messages and strategic priorities.
Public relations results in quality long-term relationships with strategic partners. It also creates trust.
But why is public relations important? Here are five key points below.
Public relations:
Builds brand awareness
A fundamental part of a company’s success is the degree of brand awareness. It familiarises customers with a specific brand or product. As customers' decisions are often based on feelings, the popularity of a brand and the customer's advantage due to that often plays a role in their buying behaviour. Therefore a result of high brand awareness is increasing sales, which helps the company grow.
Keeps positive communication
Some basic strategy of public relations is to keep the world informed! This means keeping contact with important customers and investors. Press coverage as well as interviews and social media engagement can be used as a way of keeping your audience informed about what your company is doing. Showing possible investors what a company has to offer is just as important.
Creates a good image
It’s important to ensure the company's core values are represented. Investors, customers and employees should know who they work with and what they stand for. PR can achieve this through other means such as tailored campaigns, expert opinions and key partnerships.
Is cost-efficient
Public relations is much more cost effective than advertising or marketing. While it includes aspects of both branches, PR focuses on free editorial coverage. This saves a lot of costs, which can then be invested in other parts of the business, which in turn adds to a company’s growth.
Can help with SEO
When confronted with difficult decisions, people tend to want a second opinion. This process often starts by searching the internet. In our case, for a specific brand. We are all aware that the first websites or brands we see draw the most attention. People tend to only concentrate on the first few results they are given. This means, if the website of a company is not listed at the top of a search engine, it is unlikely that customers will visit it. Meaning minimal brand awareness. SEO plays a critical part in helping a company raise its awareness and also helps push your PR activity.