I could relate to Margie Zable Fisher’s recent blog, “The Top Ten Reasons Why PR Doesn’t Work”. Number 2 on her list is “The scope of work is not detailed and agreed upon by both parties.” We are often caught in this chicken or the egg syndrome when ramping up a new PR client. Companies won’t hire PR firms without knowing the cost of their services. Yet, how can you estimate costs before taking on an account? This would be like telling a builder to estimate the cost of designing a skyscraper without telling him the size, type of building or even where it will be located (OK, so maybe not exactly like it, but you get my point.)

One of the main things that companies get when engaging a professional PR firm, is creative ideas. However, these creative ideas come as the final step in a planning process that begins with market analysis, then continues with a thorough evaluation of competitive messaging, available media, product/service advantages, the company’s unique selling proposition, etc. All this adds up to a lot of up front work. Without it, a PR firm doesn’t really know the potential for PR or what tactics to recommend, and without that information, how can you say how much it will cost?

What is the solution? I’m not sure. I guess it comes down to setting realistic expectations about PR programs up front and getting companies to first buy into investing in a PR plan. By the time the plan is delivered, they will know a lot more about your firm to justify a monthly ongoing budget. The two organizations will have worked together, and both will have a much better understanding of the specific PR tactics that will be used and how much is needed to fund them.

Related posts:

1. The Marketing Budget… How much is too much… How little is not enough?
2. Marketing budget cuts call for new approach
3. Do you have good business karma? (part 1)
4. Lesson from a Kid
5. No one plans to fail

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About the author:

Chris Henneghan is one of Schubert’s longest-standing employees, starting with the agency in 1987. She now serves as the Social Media & Public Relations and Client Services Director. Chris is a Notre Dame grad and enjoys tennis, golf, hiking, and reading.

Follow Chris on Twitter: @chrishenneghan