BM Announces 4.2 Percent Growth in Revenue over 1997
Touting revenue of $258.4 million for 1998, Burson-Marsteller attributes its 4.2 percent growth over 1997 to strong performance in its U.S. and Latin America operations. That's welcomed news for a firm that was forced to close some smaller offices in Asia due to the economic turmoil there.
Overall growth was also flat in the European market; however, revenue in the U.S. jumped 15 percent and 16 percent in Latin America. The United Kingdom was also a hot market, leading to a 24 percent jump in that region. (BM, 212/614-4082)
On the Radar Screen
The press release announcing the move to Malibu of TV and video production company MTA and PR and marcom firm Tellem Worldwide (which MTA acquired in 1997) was one of the worst we've come across.
We had no idea what the subject of the press release was - the relocation as well as MTA employees telecommuting - until we got half way though the first page.
The release reads "What do road rage, bald tires and smog have in common? A two hour commute to Los Angeles. What do landslides, sparkling ocean and clear air have in common? New offices for MTA and Tellem."
But the bad taste doesn't stop there. The release contains a quote from one of the company's execs: "When I heard that a bikini a day keeps the doctor away, I knew that I had to work in Malibu."
We provide it as an example you might want to pass on to media relations underlings as a lesson in what not to do.
Market Research
Tracking sales volume and leads are common ways to assess ROI, but most marketing execs aren't satisfied with how they determine marketing ROI, according to a Ketchum probe that looks at what nearly 500 marketing execs are doing to measure return on investment.
Three out of four (78 percent) feel they need to do a better job in the ROI area and only slightly more than 10 percent are content with the progress that's been made in the field. Justifying PR continues to receive endless industry attention.
Although impressions aren't viewed as a definitive ROI tool, more than half of the execs surveyed still depend on impressions as a measurement component. The opinion poll also indicates that 90 percent perform ROI assessment - 61 percent track sales spikes and 60 percent look at lead gens.
The findings are part of a "Marketing ROI: Answering the Age-Old Question: What Have You Done for Me Lately" report by Mark Deasy, Jerry Thompson and Lloyd Corder.
Other findings:
- Not everyone has a measurement plan - only 61 percent are working from a plan with predetermined measurable goals;
- Evaluation isn't consistent - only 17 percent analyze every project, with 11 percent never evaluating anything; and
- Standards aren't universal: 44 percent couldn't define what is considered "good" marketing ROI. (Next week, look for the "Hottest Marketing ROI Tools" provided by the authors).
(Ketchum, 412/456-3882)
Business News
- Weber Public Relations Worldwide, Cambridge, promotes Elizabeth Boineau Lapham from senior VP and acting GM of the agency's Atlanta office to executive VP of Weber/RBB. She is transferring to the agency's Miami office to manage Weber's long-standing client, Florida Power & Light, and the AT&T business. (Weber, 617/520-7009)
- The New York arm of Brown Radman Wolper, a Denver-based marcom firm, has been bought by KCSA Worldwide. Deborah Radman, chairman and CEO of BRW, will be a managing partner of KCSA's Public Relations Group. (KCSA, 212/682-6300)
- PR NEWS is putting together its "Annual Directory of PR Services." For inclusion of your company or services, contact Senior Editor Debra Murphey at 301/340-7788, Ext. 2098.