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PR Fuel: An Ethics Test
For a public relations firm, Seyferth Spaulding Tennyson is
not saying very much these days.
The Grand Rapids, Michigan-based outfit has found itself
embroiled in a scandal in a town of less 5,000 on the shores
of Lake Michigan. Seyferth Spaulding Tennyson's client that
is involved in the mess is Meijer Inc., a family-owned
grocery and goods retailer that is one of America's largest
privately owned companies.
According to The Traverse City Record-Eagle, Meijer hired
Seyferth Spaulding Tennyson in the spring of 2006 to
spearhead a campaign aimed at recalling the board of Acme
Township. The public relations firm reportedly billed Meijer
over $30,000 to help launch and manage a pro-recall group.
The failed recall was aimed at removing local officials who
opposed Meijer's plans to build a store in the community.
"The firm's secretive efforts included flooding the
Record-Eagle with letters to the editor and opinion page
'Forums' that were written by the firm but attributed to
local residents," Brian McGillivary reported in the
Record-Eagle. "Additionally, Seyferth Spaulding Tennyson
invoices show it conducted 'research' on the Record-Eagle's
publisher and editor."
Seyferth Spaulding Tennyson's charges included $47.50 to
scan online news coverage of the recall effort; $62.50 to
stategize on a petition drive; and, $93.75 to gather
information in response to a letter written by former
Governor William Milliken.
Though no charges have been filed, it is illegal for
corporations to make campaign contributions and Meijer
stands accused of violating election laws. News of Seyferth
Spaulding Tennyson's involvement came to light after a local
official countersued Meijer. Only one Meijer official, the
director of real estate, has been publicly named in the
scandal and high-ranking company executives have publicly
stated that they were unaware of the company's involvement.
Meijer has vowed to cooperate with the Michigan Secretary of
State, launched its own probe and says it will take
corrective action.
On the other hand, Seyferth Spaulding Tennyson has not
commented on the issue. Ironically, the firm's co-founder,
Ginny Seyferth, had given an interview to The Grand Rapids
Press before the Meijer story came to light. The story was
about women entrepreneurs and Seyferth spoke about her
experience launching a firm in an area where most companies
looked to Chicago or New York for their public relations
services.
As I read the coverage of this burgeoning, local scandal, I
kept wondering whether Seyferth Spaulding Tennyson knew that
it was doing something wrong. The firm has been in business
for more than two decades and its recent clients include the
American Cancer Society, City of Detroit, Georgia-Pacific,
McDonald's and Staples, so I suspect that they are good at
what they do. I won't draw any conclusions from this, but
the evidence does not look good.
My own experience in public relations relates to consumer
and business-to-business oriented companies. I've never done
PR work on a political campaign, though I was on the
receiving end of plenty of pitches and sorties from
political PR firms and lobbyists when I was a journalist. To
get an expert perspective, I emailed a long-time friend and
well-connected lobbyist some of the stories regarding
Seyferth Spaulding Tennyson and Meijer.
"This isn't anything new," responded my friend, who has
worked on national political campaigns. "What's probably the
most interesting aspect of this story is that Meijer's
higher ups were not involved. Typically you're not going to
have someone junior running this type of program."
Disregarding the fact that "this isn't anything new," did
the PR firm in question do anything wrong?
"I don't think you can get away with this stuff like you
could in the old days," my politically savvy friend said,
pointing out how many companies and organizations have been
busted for "astro-turfing."*
"Ethically, it's wrong. But when has ethics gotten in the
way of public relations?" he said.
Was it ethically wrong? According to The Public Relations
Society of America ("PRSA"), it was. As T. Michael Jackson,
senior counsel of Jackson & Associates, pointed out in a
Record-Eagle editorial, the PRSA's guidelines on ethics
state that an example of Improper Conduct Under the
Disclosure of Information Provision is when "a member
implements 'grass roots' campaigns or letter-writing
campaigns to legislators on behalf of undisclosed interest
groups."
Seeking more input, I spoke to a friend who once did some PR
work for Wal-Mart.
"Yes, we would have done something like this if they asked
us to," she told me. "Anything to please the client."
Would she do it now?
"No, but that's because I have my own firm and I don't have
any interest in getting involved in something that can
blow-up in my face. But I'm sure that plenty of firms
wouldn't have an issue with it. Someone would do it because
the money is just too good," she said.
That begs the question: Would you have taken on the Meijer
job? What if you could have done so knowing that you could
never get caught?
Please email me at bensilverman (at) gmail.com and let me
know your thoughts, and whether I can print your name and
affiliation.
___
*Ed. note: For more on "astro-turfing," see these previous
PR Fuel columns:
http://www.ereleases.com/pr/pr_Thumbs_All_Around.html
http://www.ereleases.com/pr/pr_Giving_Up_on_WalMart.html
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Ben Silverman is currently the Director of Development and a
Contributing Editor for Indie Research
(http://www.indieresearch.com), an independent investment
research service. Previously, Ben was a business news
columnist for The New York Post and the founder/publisher of
DotcomScoop.com. He can be reached via email at
bensilverman@gmail.com.
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