Procter & Gamble finds 275% ROI on PR
For my inaugural post, I thought I’d lead off with a zinger.
An interesting post from Don Bartholomew of MWW Group (a top ten PR firm) summarizes Procter & Gamble’s statistical modeling efforts to determine the ROI of public relations. The study examined the marketing mix (advertising, direct, PR, etc) for six brands over a one to three year period. According to Bartholomew, P&G used multivariate analysis that relates changes in the marketing mix to changes in business results.
P&G Findings:
- PR drives sales, often on a par with advertising
- PR delivers stellar ROI, much greater than advertising
- PR provides a halo effect over other marketing tactics
- Overall, P&G found about a 275% ROI for public relations
- PR delivers high ROI on relatively low levels of spending
Measuring the value of PR is an age-old question that is receiving a lot of attention. Many more posts on this topic to come.
