PR Outcomes

Why Hyper-Growth and Emerging Industries Thrive on Purpose Driven Initiatives

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On the surface, it might seem that purpose-driven companies differ vastly from hyper-growth companies or emerging industries, but nothing could be further from the truth. Purpose-driven perspectives for hyper-growth and emerging industries is actually imperative to future success. Fast-growing brands and purpose overlap in critical phases in a company’s or industry’s growth. Because fast-growing companies and emerging industries are closer to their customers and in the earlier phases of culture-building, purpose is more clear, and it’s actually the perfect time to codify purpose so as scale occurs, the purpose isn’t lost.

 

What Do Fast-Growing Companies and Purpose-Driven Initiatives Have in Common?

Reaching for a bigger idea, for a better way, and for bold innovation is something ambitious and hyper-growth companies and purpose-driven initiatives share. The most ambitious entrepreneurs are driven by something bigger than themselves, or even riches. They’re driven to change the world with a big idea. Big ideas require a special blend of inspiration and persuasion to inspire early adopters.  It doesn’t matter whether the company is B2B or B2C, early adopters are critical, and so is an inspiration. Purpose-driven initiatives inspire and engage as well.

Purpose-driven approaches and ambitious companies also share the need to inspire trust, and that’s what PR does better than any other medium. PR is the tool the world’s most trusted brands lean on to improve their reputations and create a connection with their customers. PR lasts longer than a commercial, it’s more trusted, and it gives ambitious brands the opportunity to tell nuanced and deeper stories.

Isn’t Social Impact too Expensive for Growth?

While fast-growing companies have certain cultural requirements: creativity, flexibility, and drive, none limit purpose. This very question assumes that growth only happens when hustle culture dominates. We have many clients thriving in purpose without the debilitating effects of hustle culture. But even if your company is incubating a hustle culture mentality, when the stakes are higher than ever, people need a higher purpose that inspires them. So it’s important for companies in the growth stage to double down on brand and product purpose. In fact, purpose may be a matter of survival, and not just PR for hypergrowth companies. At least according to Larry Fink at Blackrock who has for years been advocating for brands to implement purpose in order to grow.

Further, purpose is an expectation of GenZ and Millenials, that companies embrace their social, cultural, and environmental responsibilities. Further, employees are increasingly choosing employers based on the company’s beliefs and values. So, recruiting the best talent will if not now, eventually, require companies and industries to double down on purpose.

One example of this is the emerging vertical of the cannabis industry. The cannabis industry is founded in activism, but when the industry codified as states legalized THC, the industry doubled down on purpose, taking on the social injustice of cannabis prisoners in the Last Prisoners Project. And the cannabis industry is exploding, so there’s a clear precedent for growth and purpose. Brands who take on purpose and a higher power super charge their hyper-growth.

Another example is cleantech an emerging industry with an inherent social impact. From a corporate storytelling perspective, the biggest issue cleantech companies face isn’t whether to incorporate social impact messaging, but rather, how to differentiate themselves from competitors who are also tapping into social impact.

Finally – according to the Fortune Return on Leadership survey, the world’s biggest companies experience productivity and profitability benefits by incorporating purpose and impact.

When Do Hyper-Growth Companies Need to Define Purpose?

Growth stage companies have an advantage: history doesnt’ hinder them. Existing companies often have to go through an intense reorganization to discover and fulfill purpose. For hyper-growth companies or emerging industries, the time to determine purpose is now. Elevating your company’s biggest aspirations in alignment with today’s social, cultural, and environmental challenges is a key growth strategy. Both private and institutional investors are analyzing a company’s social impact before they ever commit to investing, and this trend shows no sign of slowing down.

Larry Fink, CEO and chairperson of the multinational investment firm BlackRock, created a tectonic shift in 2018 when he said, “To prosper over time, every company must not only deliver financial performance but also show how it contributes positively to society.” In his 2021 letter to CEOs, he said, “It is clear that being connected to stakeholders — establishing trust with them and acting with purpose — enables a company to understand and respond to the changes happening in the world. Companies ignore stakeholders at their peril — companies that do not earn this trust will find it harder and harder to attract customers and talent, especially as young people increasingly expect companies to reflect their values.”

Defining, developing and implementing purpose is step one to ensuring a company’s strategic growth.

How Does Purpose-Driven PR Help Companies in Hyper-Growth?

A challenge many fast-growing businesses, especially those in emerging industries, face is brand building. Purpose is a considerable portion of a brand and while it gives internal and external stakeholders corporate structure, it also lends itself to authentic storytelling, which greatly aids in securing media coverage. For many companies in competitive emerging industries, PR is an important differentiator for those with industry-leading aspirations from brand domination to IPO.

 

With all the advantages of purpose-driven initiatives for fast-growing companies. The question is reall- can fast-growing companies afford NOT to define a greater purpose? We’ve been working shoulder to shoulder with our clients on purpose-driven communications and PR since 2008. From movements to politics to social impact, our success stories speak for themselves. Contact us today to get started.

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5 Ways PR Improves Recruiting

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Ever notice the best people always seem to go to the best companies? Why is that? Reputation matters and PR improves recruiting outcomes. The magical part is this: it doesn’t matter whether you’re recruiting for executives or recent graduates, a strategic PR plan makes attracting the right talent easier and even keeps your best employees.

  1. Strong Brand Values Attract The Right Candidates

    You want candidates to be a good fit for your company’s culture and values. This is one way PR improves recruiting, especially important for companies in emerging industries and hyper-growth companies who may not have the resources for fancy employment retention programs. Your PR should underscore your company’s values and contributions to society, your industry, and yes, your employees. And candidates who care about culture are more valuable employees. Brand values are an inside-out job. But you should celebrate those values with purpose-driven activations with recruitment in mind. Not every activation is worthy of the Wall Street Journal, but if that’s a goal, then make it newsworthy. Otherwise, this is where social media can be an outstanding messenger of your PR initiatives. But make no doubt about it, the best candidates do a Google search and check out your social profiles before they accept your job offer.

  2. Give Employees an Opportunity to Brag

    Everyone wants to work in a place where their co-workers are happy to be there. Here, activate your earned media with your employees. Every time you receive coverage, be sure to tell your employees and let them brag about the company to their friends and community. You can encourage sharing with recruitment bonuses, and other internal spotlights on employees who share your good news far and wide. Employee advocacy is a really effective way that PR can improve recruiting. There’s another benefit to encouraging employees to share content:

  3. Reduce Employee Turnover with PR

    Everyone wants to feel proud of where they work, and the more they talk about how proud they are, the more committed they become to that feeling of loyalty and pride. That’s a Captivation Motivation fact, it’s akin to sunk costs. The more we sink into something, the harder it is to walk away. So PR improves recruiting through increased employee pride, and that pride reduces costly turnover. It’s a lot harder to complain about your job on social media if you’re regularly posting about how much you love your company and job.

  4. Reputation Management Matters

    You definitely want someone monitoring your overall reputation. That includes everything a potential candidate might see from Glass Door to news coverage and even reviews. You also want someone to identify how certain audiences perceive your overall communications and what you can do to improve your communications. For example, if you’re emphasizing diversity, equity, and inclusion in your recruitment, but no one on your website reflects DEI values, it feels very shallow and unwelcoming to those candidates. Do your job descriptions match the education levels and pay ranges you’re hiring for?   If you’re hiring for people with college degrees, those job descriptions should look and feel differently than your job descriptions for roles that don’t require a college degree. Consider blind hiring initiatives that remove age, gender, race, location, and even college degree from the search qualifications.

  5. Appeal To The Ego

    When high-potential or high-level candidates see that news articles and media coverage of company executives, that’s a pretty compelling benefit for ambitious executives. It’s an outstanding way for your company to attract talent, even in the tightest recruitment markets. Plus, your that coverage adds benefits to your company’s brand values as well. Make sure your recruitment pages include executive coverage so potential employees can envision thier own name in the headlines too.

 

Using PR to improve recruiting outcomes is only one of the ways PR supports the most important business strategies, read more about the other 5 ways PR improves business outcomes.

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How B2B Service Companies Stay Competitive in Uncertain Times

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B2B services are high-stakes. Whether you’re a SaaS company, or provide other enterprise services like Recruiting, CleanTech, or HealthTech, the competition is stiff, and the TAM, while it might be valuable, isn’t likely huge. And with today’s high levels of uncertainty, for B2B companies, it’s more important than ever to make the decision-making process easier than ever, secure additional investment or prepare for IPO. So how do winning B2B service companies stay competitive during times of uncertainty?

 

Thought Leadership for B2B Competitive Advantage

B2B CEOs have a bird’s-eye view of their industry and marketplace trends – they have to, so they know how to steer the company. This often includes insights that are valuable to your target buyer. If you haven’t already, now is a great time to use executive visibility to increase brand awareness. Yes, your CEO can and should champion your company, but they can gain the trust of insiders and analysts by contributing to the conversation within your industry.

There have never been more media opportunities for CEOs with distinct points of view. The opportunities are endless, from podcasts to opinion pieces and contributed insights. Take the time to create a topic calendar, and remember that podcasts often book months in advance, and contributed content usually has an editorial process that can take three weeks or more.

If your Google search “Who is [executive name]” doesn’t return pages worth of positive, reputation-building content, now is the time to remedy that. Executive visibility is critical in B2B services.

Leveraging PR as Content

Getting the interview or coverage is great, but you can make that coverage work for you when you leverage your PR. Activating your PR coverage makes it more valuable to you and is a great way to support the journalist. And just like a lot of content, you can re-use your PR for a long time. There’s no shame in sharing it repeatedly on social media. Just use your content judgment about context, platform, and frequency.

 

Owned Content For Trust That Supercharges B2B Services

B2B service companies can stay competitive by leveraging PR; from case studies to reports and statistics, B2B companies make waves and even national news with trends and statistics. General business and industry journalists share something: their love for data. Put together notable data points that you can share in your owned content and use it as a jumping-off point for topical pitches all year long.

While B2B media coverage often depends on long lead times, creating your own content is not. Use owned content to share your own narrative and improve your company’s LinkedIn presence. While we’re at it, consider launching a blog on Medium or LinkedIn. Despite what people say, you can repurpose content on these platforms and they are great inbound links and another way to get your message out to the targeted audience.

 

Be More Than Press Releases

There’s more to PR than press releases. Don’t get me wrong – press releases have a role in the content eco-system, but they aren’t useful for securing media.

For quality B2B coverage, your storytelling must include at least two of these three elements:

  • Timeliness/trending news tie-in
  • Clear audience impact/relevance/newsworthiness
  • Statistics and data which add context or change long-held assumptions

Emerging industry media coverage has an advantage regarding newsworthiness, but be careful not to fall into the lazy PR trap of describing everything as “innovative.” Emerging industries really need to craft compelling stories, and brands that differentiate set the agenda. Look at Marc Benioff at SalesForce. Over the years, SalesForce has set a lot of agendas, from employee culture to event marketing with Dreamforce. Benioff knew that great B2B storytelling spanned an array of topics, and headlines drove trust, and investor confidence, and attracted top talent – he knew not every piece of coverage had to look like a sales piece in order to be effective.

For quality media coverage, you must be ready and able to share who your customers are and how they benefit. Your case studies are critical – while no journalist will write an article based on your case studies, ensuring your spokespersons can articulate the case studies in a brand-consistent, media savvy way will make news coverage even more beneficial.

 

Times of economic uncertainty can be times for groundbreaking growth for B2B companies. Whether your company is pre-IPO or you are raising venture capital, PR is your partner and you can leverage it during times of uncertainty to keep growing when others are flailing.

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What Does a PR Agency Do?

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Public relations is the art of influencing what others say about you without benefit to themselves to increase trust and reputation among stakeholders, such as customers, clients, investors, potential employees, or anyone else affecting a company’s success. Like marketing and advertising, public relations use a variety of media channels, including magazines, websites, and social media. They may include earned media, owned media, and occasionally paid content to communicate critical messages.  Ambitious companies employ PR tactics on an ongoing basis, but especially during pre-IPO and hyper-growth phases.

 

What Is the Main Role of Public Relations?

PR manages how the information and news about a company or business are advertised to maintain a brand image, especially in the case of a bad event or crisis.

PR occurs through press releases, journalist interviews, news conferences, posts on social media, and other events. It shapes the perception of your business in front of the general public, brings credibility and visibility, and tells your story through trustworthy media outlets in front of your targeted audience.

Importance of Public Relations

Public relations manage how customers, partners, and associates see a company or brand. It focuses on maintaining a positive reputation and corporate image a company while handling customer inquiries, shareholder requirements, and media requests.

Public relations is also essential to settle and clear any negative news regarding a company or brand and reduce the effect of public outcry to preserve a company’s image and reputation.

The ultimate goal of PR is to present a company or brand in the best light. It is different from marketing or advertisement in that it promotes a company’s image in an organic way that attracts public support.

PR has become a fast-growing industry in the United States. According to the (BLS) Bureau of Labor Statistics, the job outlook of public relations specialists is looking better than ever, with employment projected to grow approximately 8% from 2021 to 2031.

What Is the Meaning of a Public Relations Agency?

A successful PR agency can help businesses grow their brand awareness. A public relations agency uses owned and earned media relations to garner visibility and publicity for a business.

PR services include media relations, crisis and social media management, and public affairs. PR agencies help clients build positive relationships with their customers, the public, and stakeholders to achieve their business and sales goals.

Every company needs the right public relations agency to carry out these tasks. If the public relations department is creative, strategic, and persuasive enough, it can impact every aspect of a business.

With some research, you, too, can select a public relations firm to shape your company’s reputation and public perception.

What Are the Types of PR Agencies?

Different departments and agencies handling distinct company or business aspects compose a PR.

Media Relations in PR

Media relations, also known as media coverage, is the quintessential PR tool. Earned media builds a company’s credibility, brand awareness, and authenticity by forming solid relationships with media organizations. The media relations team works with press members and delivers company news and good content sources. This PR agency is also accessible to the media for public comments and news stories.

Investor Relations or IR

IR is a PR sub-discipline that oversees a company’s relationship with its shareholders, government authorities, and investors. This type of PR agency deals with investor events and financial report releases and handles the complaints received by investors. The core difference between PR and IR is that investor relations deal with the internal links of the company, whereas PR deals with the company’s communication with the public.

B2B PR

B2B PR requires precision and strategy. A B2B PR agency must be in touch with the crucial trends within a given industry. Whether that industry is drones, cleantech, or cannabis, emerging industries require nimble PR, while established value industries require a long-term perspective, reputation management, and solid corporate communication.

Production Relations

This division of public relations deals with the direct operations and marketing plans of a company. This type of agency is related to specific endeavors like new product launches or a particular campaign or managing a significant change in a product.

Content production is another key element of production relations. From YouTube videos to podcasts to contributed content for executives, content is today’s most relevant PR tactic.

Internal Public Relations

Internal PR is associated with the promotional communication of an organization to ensure that all employees are satisfied and engaged. This PR branch ensures that the employees are happy with their working conditions. It counsels employees and solves their issues and conflicts internally, so there is no chance of public disclosure of employee dissatisfaction.

Community Relations

Community Relations is also a subdivision of public relations. It concerns any work a company or business does to collect friendly and cooperative feelings from the community. This branch of PR focuses on building a brand image and reputation and tries to align itself with community members. It targets a physical community such as sporting clubs, work, and colleagues or a non-physical community like linguistic, religious, or mutual interest-based communities.

Consumer Public Relations

From CPG to consumer tech, customer PR services cover all interactions between an organization and its employees. It is a powerful domain of public relations as it’s dedicated solely to increasing the brand’s awareness and building its reputation as a reliable and trustworthy company. Consumer relations connect the company to its employees and handle critical aspects to enhance their relationship, such as conducting market research, understanding the concerns and priorities of its customers, and addressing their positive and negative feedback.

Government Relations and Public Affairs

Government relations is a branch of PR that helps a company or brand communicate effectively with governing bodies. Public affairs, on the other hand, tackles an organization’s interactions with the government, interest groups, legislators, and media. This type of PR agency targets building a solid relationship with politicians and key decision-makers to ensure their consumers receive fair treatment.

What Is the Difference Between a PR Agency and Other Departments of a Company?

The role of PR may overlap and sometimes intertwine with other company departments. Still, in the end, a PR firm helps enhance its strategies and align its goals accordingly to improve its client’s business or organization.

Marketing

Public relations and marketing work similarly, but their end goals are different.

The marketing department of a company is more focused on driving sales, ensuring that the company is heading toward financial success, and promoting its products and services. PR focuses on managing and building the brand image and reputation.

PR rarely makes a direct impact on sales. It is not concerned with driving sales but indirectly promotes the company through a reputation-building activities, which could vary from press release distribution to thought leadership, to industry events or word-of-mouth campaigns. On the other hand, marketing campaigns solely focus on driving sales and generating maximum profits from them.

Marketing will persuade people to buy a product, but a PR agency will convince them to trust and invest in the brand. Marketing and PR sometimes go hand in hand as PR will attract people and help them connect with a brand, and then marketing will convert these people into customers and drive sales.

Paid media is an essential tool that can assist businesses in generating more visibility and engagement for their brand through paid placements like PPC ads, social media posts, pop-ups, etc. The marketing department can interact with customers to understand a company’s sales trends, what products are in demand, and how to generate more revenue and profits. PR will interact with customers to know if they are happy with the products and services of a brand and ensure that any dissatisfaction is promptly addressed and managed.

Why Do Companies Need PR Agencies?

Companies and businesses are constantly juggling between setting up their email workflow, writing blogs, and handling other sales aspects of their businesses. Between these tasks, a PR agency can help a company schedule, organize, optimize, and successfully run events, marketing initiatives, and press releases.

A public relations agency can keep the press informed about a brand and its products and services and generate other opportunities for a company that increases its authority and visibility and enhances its relationship with its targeted audience.

PR can take a business to the next level by using earned media and publicity to shape the public’s perception of a company.

What Are the Main Duties of a PR Agency?

A PR agency will fulfill the following duties to enhance a brand’s reputation and garner goodwill for its business.

Do a Lot of Research on the Target Market

PR agencies know the value of customer interactions and feedback and how important it is to evaluate a company’s brand image. They also know that a good PR plan includes identifying reliable media outlets that will help them reach their target audience.

A public relations firm will ask its clients about their business goals and then research the journalists, media outlets, and podcast hosts that have helped similar companies reach their audiences in the past. They will look for particular journalists that will pitch your company’s ideas and help a company make a suitable investment in targeted campaigns.

Create a Plan That Aligns With the Company’s Goals

A PR agency will create a plan for strategic and creative practices to present a brand and its story to media outlets. These plans include pitch angles, internal PR goals like product launches, and external PR goals like special events. A PR agency might also discuss with the client how they plan on executing these strategic goals and what benefits they will bring to the company.

Put the Plans Into Motion

Once the client is satisfied with the PR plans, the agency will start working on them according to the business goals and scope. This step includes assembling press kits that include brochures, press releases, photographs, details and coverage of past press releases, fact lists, and other critical information regarding a company.

Create a PR Pitch

A PR pitch outlines the story and values behind a company or business and explains, in an engaging manner, why it should be published. A public relations firm will create a short and unique pitch that will catch the attention of media outlets so that a brand can reach its target market. The PR services intend to make the pitch as intriguing as possible so that journalists or podcasters are interested in publishing and featuring the story.

PR Outreach

PR outreach is a process in which the PR agency will pitch information about the products and services of a company to journalists, influences, and bloggers to get exposure and press coverage for a business.

Engage Influencers to Influence People

Public relations agency will advise their clients about their message to their consumers and how they should communicate it. They will also engage suitable influences to generate more visibility for the brand, negotiate contracts with them, and manage other aspects of their PR services.

What Are the Services of a Public Relations Firm?

The PR industry has dramatically changed over the past ten years. It is now a full-service business, thanks to the evolutions in technology and how cheaper, faster, and easier it has become to spread the news.

Even though technology has made sharing content more accessible and manageable, the competition among brands is more challenging than ever. That is where they bring a good PR agency into play.

Following are some PR services that you can expect from any good agency;

1. Enhancing Brand Image

A public relations agency will strive to protect and enhance a client’s image in the public’s eye. They constantly monitor the media outlets for negative news or stories regarding their client’s business and control any damage during a crisis.

PR agencies work actively to promote a client’s image among the general public so that its reputation is not damaged. A PR agency will message blog content, respond on social media, reply to people having positive or negative reviews about a brand, and engage with its followers. A bad reputation will damage a brand’s equity in the long run.

All these tactics ensure that a brand comes across as relatable and reliable.

2. PR Crisis Management

Sometimes, special interest groups can significantly damage the reputation of a company or brand by doing inaccurate reporting to media outlets or happen when negative reviews and events threaten a brand’s reputation. It is known as the PR crisis.

A public relations firm is knowledgeable in dealing with such negative publicity. The PR specialists know how to minimize the damage caused by a PR crisis and successfully restore their client’s brand image.

A good PR agency will try to avoid any crisis from happening in the first place. But if such a crisis does occur, it knows how to use all its strategies and resources to protect the company’s image and develop communication plans to clear any negative news and events.

3. Media Relations and PR

A good PR agency knows how important it is to maintain a strong presence on social media. Social media presence is an essential digital marketing strategy as it provides insights into the conversations regarding a brand or company among its customers and their positive and negative responses.

A public relations agency can increase the reach and visibility of a brand by responding to general feedback and queries and building long-term relationships with customers. A PR firm will also handle social media relations by writing short and engaging pitches to influences and journalists to help get more client coverage. They will pitch their client’s company to a suitable blog targeting the right audience for the brand.

 

5. Content Planning and Development

PR agencies are involved with generating media coverage that will garner a positive response from the public for their clients. Press releases are one to achieve this purpose. These written statements are distributed to media outlets to generate news about events, product launches, or other developments within the company.

For example, if a skincare brand wants to start a social media movement to embrace #beautyofmyownskin, a public relations agency will help them write a press release announcing a campaign to care for an individual’s skin and hopefully garner a positive response from the media coverage.

There are other ways PR contributes content.

Writing an Internal Copy

PR agencies help their clients communicate with employees through internal copywriting. The employees of a company are important stakeholders, and a public relations agency can help a company manage its relationship with this group of people.

A company must set a healthy communication channel with its employees to build their morale, celebrate its success and profit generation, and discuss effective strategies and changes.

Craft Compelling Copy for a Business

Copywriters are experts in telling a brand’s values and story most intriguingly and compellingly. PR agencies have great copywriters that know different strategies to write in a way that resonates with the target audience’s ideas and beliefs.

Good writers in a PR agency’s team can capture the core message of a client’s brand and then present it under a compelling headline and persuasive body that will communicate it efficiently to the public. Copywriters can also develop great ideas for other media channels and marketing strategies, such as social media posts and whitepapers.

 

Developing Internal Communications

PR agencies will help their clients develop better internal communications by writing tactful speeches on behalf of a company. Speed writing is handy during press conferences or events where company employees speak publicly.

Anyone giving a speech to represent a brand or company must take help from a PR agency as they will handle the strategic messaging to develop a vocabulary about the brand messaging and new products or services launch.

6. PR Agencies Can Also Be Event Planners

PR agencies know the value of events of a company and how important they are for marketing its products and services. A public relations firm will ensure that an event hosted by their clients in which media members participate runs smoothly and positively. To achieve this purpose, PR agencies will take it up to them to handle all aspects of the event plan, from communicating with stakeholders, attaining media coverage, arranging travel and lodgings of attendees, and creating valuable content and announcements for the event.

PR agencies will also develop word-of-mouth or viral campaigns which can generate press and awareness.

 

How Can a PR Agency Help My Company?

A public relations agency can impact your company in more than one way. Not only will it lift the burden of a company to deal with media management and brand awareness, but it will also help drive more sales and enhance the company’s reputation. Here are five ways a PR agency can help you and your company;

  1. PR agencies try to build authentic relationships between a company and its customers. They do so by understanding their client’s business plans and core principles and presenting them in such a way that it resonates with their target audience.
  2. A PR agency knows how to develop effective press releases and media news and how to present them to the world.
  3. PR agencies help businesses who need to learn how to communicate their message to the world build strategic plans to increase brand awareness and visibility through different media channels.
  4. PR agencies organize successful events and conferences that efficiently showcase new product releases and thus help companies generate more sales.
  5. They personalize their tactics and plans according to the needs of individual businesses. PR agencies have PR specialists on their teams that understand their client’s business goals and create new opportunities for them to increase their website traffic, social media presence, and media coverage.

Conclusion

A PR agency helps a company grow even when other marketing strategies fail to bring more visibility to the brand. Public relations agencies understand the needs of their clients and have multiple approaches to enhance the reputation and visibility of newly established businesses to a large group of companies.

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8 Essential PR Components for a Successful IPO

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I was on a webinar presented by Morgan Stanley and PwC about preparing for an IPO – and something struck me – there was optimism, and the organizations were signaling their faith in the return of IPOs, soon. 2023 has been an IPO graveyard, but as one host said, “One thing we know is markets change, and so it will also be for the low point of IPOs.” Their advice? Prepare now. Preparing for an IPO is a daunting task for any startup, and the focus is often on due diligence. Yet communications and PR are critical to public offering preparedness. What do pre-IPO companies need to do from a communication standpoint? 

 

Reputation Building 

Investors know that when you pitch them for your IPO, the company has a verified financial model and total addressable market (TAM). And founders know investors are looking for the next $1 billion brand. This makes your company’s reputation extremely relevant. So when you’re looking to stand out to investors, nothing shows social proof quite as well as media coverage. Media coverage can go on the road with you and helps you stand out to investors. Confident, media savvy CEOs give investors confidence; it shows you can handle a very different role as CEO of a public company. 

Thought leadership is vital to reputation building. During this growth stage, executive visibility is more relevant than ever. Since a solid thought leadership program takes time and strategy, we recommend starting a thought leadership program at least 24 months before a desired IPO. 

Create a Compelling Narrative

Many founders mistake the pitch to investors as the corporate narrative. The two are cousins, but different. The narrative should resonate with key stakeholders, investors, and the public, highlighting the company’s mission, accomplishments, and long-term vision.

Know the Difference Between IR and PR

IR (investor relations) and PR (public relations) have important but slightly different roles in a company’s growth pre-IPO phase. Investor relations focuses almost solely on analysts covering topics your potential investors care about. Meanwhile, PR is targeted towards a broader set of journalists, and the public at large. They can and should work together. For example, both should play a role in any press releases. IR will ensure due diligence is met and ensure the investor messaging is correct, while PR will want to ensure the brand message is consistent and the media targets get the information they need. 

Crisis Planning 

The best time to manage a crisis is before a crisis. Before you go public, and get caught up in all the details of going public, plan for a crisis. How you handle a crisis will affect your brand, and god forbid you to have a crisis during your roadshow or quiet period. Your crisis planning should include many scenarios, from the employee, to property, to product, and, yes, cyber security. Every one of these scenarios could require different stakeholder involvement and point persons. Your crisis planning should include table top exercises and the executive team should review crisis PR plans at least once yearly. 

ESG Planning 

 Investors want to be part of companies with the broadest investor audience, and ESG (environmental, social and governance) is part of that, especially since some brokerage firms and mutual funds are offering investment products that employ ESG strategies. Larry Fink, Blackrock CEO, and co-founder, said ESG is “capitalism, driven by mutually beneficial relationships between you, the employees, customers, suppliers, and communities your company relies on to prosper,”.

From a PR perspective, ESG and even purpose-driven brands have special sensitivities, and it’s important to have a coherent plan and PR strategy for these talking points for all your stakeholders, from investors to customers. ESG is not just for the “woke” – investors see the writing on the wall and have for some time. Also, buyers beyond GenZ see the importance of ESG. 

Audit Your External Communications 

Ensure your website and any owned media meet all regulatory requirements – including executive bios, blog posts, and social media. Look at this moment as your last chance to shower before prom. Your website and social media should also be robust and brand consistent. You want everyone to see you in your best possible light, and the most accessible way for new friends to get to know you is your website. 

Media Training 

The press is not the enemy, but they aren’t here to be your BFF either. Talking to the press live and learning to work with the media under various conditions, including in person with lights and mics, is a skill. While you may have undergone media preparedness before interviews, now is the time to take on a full media training program for your executives and spokespersons, including anyone who attends public events (like trade shows) on your behalf. 

Expect media training to take several days of intense hands-on training and review. Since all relevant stakeholders will be together, it is also a good time to review and practice your crisis plan too. Since media training is a skill, conducting this exercise well before IPO is recommended. 

The Big Show

Your company will never again go public. This is one of the few indisputably great news moments.  Someone (not the CEO) must ensure the moment is documented and promoted. Do not miss this once-in-a-lifetime opportunity. It’s true – not every company makes the front page of the Wall Street Journal when they go public, but it is news – and someone will care. Using this opportunity to connect with journalists is key; it’s a great time to fill up the trust bucket in the eyes of journalists. 

Prepare for the moment with some notable key messages and brand-worthy must-airs. Run through your must airs and make sure you are prepared to answer questions that might come your way. Have your day meticulously planned with your communications in mind and watch the accolades roll in. 

Effective pre-IPO PR planning is crucial for companies aiming to go public. By crafting an interesting narrative, engaging media and influencers, developing investor communication strategies, building a strong online presence, managing crises, leveraging thought leadership opportunities, and engaging internal stakeholders, companies can establish a positive brand image, attract investors, and generate enthusiasm around their IPO. 

This article has also been submitted by the author to Entrepreneur.com

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Cybersecurity and ESG in the Pre-IPO PR Roadmap for Startups

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It’s impossible to ignore the dismal status of IPOs right now. But investor advisors from PwC to Morgan Stanley are reminding startups – this will eventually change, and startups need to use this time strategically. As startups embark on their journey toward an initial public offering (IPO), they face many challenges and considerations.  Investors want to know that companies are reaching the widest audience and protecting their reputations, making cybersecurity and ESG  indispensable imperatives in the Pre-IPO PR roadmap.

While fundraising, growth strategies, and market positioning often take center stage, it is critical not to overlook two essential communication and PR components today’s investors are emphasizing their significance in building trust, mitigating risks, and ensuring long-term success.

Safeguarding Valuable Assets: Cybersecurity

In today’s interconnected world, cybersecurity is no longer an optional investment but a fundamental requirement for startups. As businesses increasingly rely on digital infrastructure, the risks associated with cyber threats have intensified. Investors, stakeholders, and customers are acutely aware of the potential damage from a data breach or a cyberattack. Therefore, startups must prioritize cybersecurity as an integral part of their pre-IPO roadmap, including the crisis communication plan.

Implementing robust cybersecurity measures shows a company’s commitment to safeguarding valuable assets, including intellectual property, customer data, and sensitive financial information. By conducting regular risk assessments, developing comprehensive incident response plans, and adopting cutting-edge security technologies, startups can instill confidence in their investors and inspire customer trust. A strong cybersecurity posture can serve as a competitive advantage, differentiating the startup from competitors and reassuring potential investors about the company’s ability to protect its digital infrastructure.

ESG: A Paradigm Shift in Investor Expectations

Environmental, Social, and Governance (ESG) factors have emerged as a defining criterion for investors, signaling a significant shift in market dynamics. Startups must recognize the growing importance of ESG considerations and integrate them into their pre-IPO PR roadmap to attract sustainable and responsible investment.Communicating ESG can be volatile, so it’s imperative to incorporate seasoned Pre-IPO PR pros.

Environmental Responsibility: Startups must demonstrate their commitment to minimizing their environmental footprint. Adopting eco-friendly practices, promoting energy efficiency, and embracing sustainable business models are crucial in aligning with investor expectations and addressing climate change concerns.

Social Impact: Investors increasingly demand that companies prioritize social impact and contribute positively to their communities. Startups can emphasize diversity and inclusion programs, ethical supply chain management, and social responsibility projects to showcase their commitment to social values.

Governance: Good corporate governance practices are essential for startups as they navigate the path to IPO. Establishing a robust governance framework, including transparent decision-making processes, strong internal controls, and effective risk management, not only safeguards the interests of shareholders but also signals a commitment to ethical business practices.

By embracing ESG principles, startups can attract socially responsible investors who value sustainable growth and positive impact. Integration of ESG considerations also mitigates potential risks, enhances the startup’s reputation, and fosters long-term resilience.

Regulatory Compliance and Risk Mitigation

In the pre-IPO phase, startups must proactively address regulatory compliance and risk management to instill confidence in potential investors and avoid legal pitfalls. Regulatory frameworks surrounding cybersecurity and data privacy constantly evolve, necessitating startups to stay abreast of legal requirements and industry best practices.

Compliance with regulations such as the General Data Protection Regulation (GDPR) or the California Consumer Privacy Act (CCPA) is crucial to avoid costly penalties and reputational damage. Startups must implement robust data protection measures, including encryption, access controls, and regular audits, to ensure the security and privacy of customer data.

Startups must conduct thorough risk assessments to identify potential vulnerabilities and implement risk mitigation controls. By proactively addressing cybersecurity and ESG-related risks, startups can protect their reputation, foster trust with investors, and secure their future as successful public companies.

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