Why is Public Relations more effective than Advertising?

This post is for those start-ups or entrepreneurs who are spending a sizable chunk of their marketing budget on advertising but not focusing on Public Relations. It is also for the sceptics who say – Can you show me the ROI on the PR spend?

Dear reader, I would like to draw your attention to the old saying – Advertising is what you pay for, Publicity is what you pray for.

The main difference between Advertising and Public Relations is that, advertising falls under ‘Paid Media’, whereas PR is ‘Earned Media’.

“A 2015 Nielsen report states that Earned and Owned media fare better when it comes to consumer trust than Paid Media.”
It shows that earned media written by a credible third-party is the most effective, in impacting and influencing customers.

Owned media like the company website or own content and collaterals comes next in terms of effectiveness.

Advertisements stand the lowest in terms of credibility.

In other words, the more a brand actively engages in media outreach, it will see greater consumer impact than relying on advertisements or even content marketing.

1. When it comes to advertisements, the company has complete creative control over the content and the frequency. In PR, the media mention depends mostly on the media professional. A company can insert a clear call to action in an advertisement, it is recommended for effectiveness; in PR it is not permitted.
2. When it comes to PR, the chance of the company getting mentioned in media increases tremendously with a well-written, no-nonsense article or a release note. It also depends on the quality of the interaction or credibility of the news or quote. Media is not obligated to publish the press releases that are diligently created and shared by the PR team of the company.
3. An advertisement has a longer shelf life as it can be repeated multiple times based on the budget, while ‘news’ has one-time value. Today’s consumer is discerning and understands that the company is selling to him. An editorial article has huge credibility.
4. While the role of the advertising professional is to plan and buy ad space, the role of the PR professional is to connect with and build rapport with media professionals.

Advertisements are meant to sell, PR creates awareness & credibility among the target audiences – Tweet that.

This is not to say One or the other is bad. This only indicates that credibility is an important factor of communication.