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PR Fuel: When Expanding, Go Local
Why did a Los Angeles-based retailer hire a New York-based
boutique public relations firm to handle the launch of its
stores in a Southern city?
That's the question my friend, a Southern public relations
professional who lost out on the account, brought up in a
recent conversation.
"I got the impression that the company thought we were all
hicks down here," my friend said. "Clearly, they don't
understand the culture or the media landscape in the area."
My friend brought all of this to my attention because she
was gloating.
"The store is empty, and I should know because it's two
blocks from my office. [The retailer] has received two small
media mentions. I would have gotten them on local
television, some exposure in the newspaper, and probably a
few radio spots. You have to go local if you're going to
succeed in a town like this," my friend said.
I can't argue with my friend's logic. Hiring a local PR firm
in this instance would have made sense because the retailer
does not have a national presence, thus it's unlikely that
the vast majority of its new market's population is familiar
with the company. It's not like when Krispy Kreme expanded
throughout the country, causing a media sensation. In that
case, the company already had national brand recognition and
its PR simply snowballed from one area to the next.
Hiring a local PR firm when expanding into a new region
makes sense for a number of reasons, including:
1. Every state, city, town and county has its own
personality, but there's one thing that people typically
have in common: They're provincial. I've lived in rural
areas, the suburbs and the city, and the level of
provincialism has been the same everywhere. At heart, people
are "locals" wherever they live, and that means a distinct,
collective personality has evolved. It makes sense for a
local, rather than an out-of-towner, to come up with a
strategy to promote and market to this personality.
2. A good deal of public relations is about relationships.
Local PR people have relationships with the local media.
They know the television and radio producers, and they know
the reporters and editors. An out-of-town firm may have
contacts in the area, but it's doubtful it will have strong
relationships built by face-to-face time with the local
media. The out-of-town firm is not there to watch the local
news, listen to the local radio or hear people talk about
what is in the local newspaper. The firm may discount the
power of one local media outlet while believing another is
more powerful because the firm is looking in from the
outside. Would you ask a New Yorker what the best local
media outlet in Dallas is?
3. Because journalists are locals, they're also provincial.
They may question why an out-of-town company expanding to
their area is not utilizing local service providers such as
PR firms. They may wonder why they're suddenly being called
by a PR firm in Chicago working for a Seattle-based company
opening a store in Orlando. Again, it's about relationships,
and journalists don't see much need in cultivating
relationships for PR people if it's a one-shot deal.
4. Local PR firms can act more quickly if there are problems
because they're already on the ground. They can tap their
resources more easily to resolve problems, saving time
because they don't need to search for the right contacts to
remedy a situation. I was at an event a number of years ago
in Baltimore and a New York-based PR firm was handling the
details. The DJ hired to work the event failed to show up
and the PR people were on the phone to New York. The PR
people in New York were calling back to other people in
Baltimore looking for a DJ. By the time the situation was
fixed it was too late and the event had pretty much failed.
A Baltimore-area PR rep I was hanging out with got a good
chuckle out of all of this. "I could have had a DJ here in
20 minutes," he said.
5. It's typically cheaper to hire a local PR firm. There are
little to no travel costs and fewer long distance calls to
be billed for. The locals already have relationships with
the local media, so you can bet they won't be spending as
much money on wining and dining journalists whom they
already know. The locals also know where to obtain services
more cheaply, something that is particularly true when
you're looking to rent out some kind of space for an event.
And, of course, pricing for PR services varies from
area-to-area. Chances are the locals are going to be cheaper
than the alternatives of a national firm or an out-of-town
boutique.
6. Locals know more people in the area. I know that sounds
simple, but imagine a restaurant or store opening. You want
to pack people in to create a buzz. PR people help you bring
people in by inviting friends, family and professional
contacts. If I had to do PR for a nightclub opening in
Seattle I could invite about five people I know. Do it in
New York and I've got the place packed.
Expanding a business to a new region can be an exhilarating,
exhausting and scary process. By hiring a local PR firm, you
can at least have the peace of mind that someone intimately
familiar with the market is in charge of one of the most
important facets of the expansion.
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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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