A couple days ago, an article began circulating about how a survey found profitability at public relations firms dropped nearly 21% in 2008. – Which of course is no surprise considering the recession we’ve all been living in for the past year and a half. However, what troubles me is the idea that when companies find the need to cut costs, PR is one of the first things to go. Why?

In a down economy, you need PR -  more than ever! While I understand sometimes PR doesn’t translate directly to your bottom line, it does contribute – maybe even more than you realize. And here’s three reasons why you need it:

{Perception is Reality}

As PR pros, it’s our job to spread information to your publics (get it, public relations?)…we get the right information to the right people so that they can then become aware of, form opinions about, and make decisions regarding your company and its products/services. So if you cut PR and we stop sending the messages, which messages are people getting? None? Negative ones? Who knows! Either way, you can’t control the message if you’re not the one sending it! People are talking everywhere online, and with social media, news travels fast. Wouldn’t you rather the news about your company be positive?

PLUS + sticking with your PR people and continuing to send the right messages to your publics shows that your company is alive and kicking…regardless of the economy! Don’t you think consumers want to associate with a company they know is weathering the storm?

{There’s Less Competition}

We all know the sad truth of a poor economy – companies are going out of business everyday, and my client that works in bankruptcy law is busier than ever. But if you’re not filing for Chapter 11, you need to keep your name out there! Where do your competitors stand? Have some fallen off the map? If so, looks like the marketplace is more wide open than ever before. If your competitors have decided to cut their PR budgets (or worse), there’s more chance for you to steal market
share.

PLUS + when the economy finally turns around – your company will be on top and in a better position than it’s ever been before. How’s that for a silver lining?

{It’s Cost-Effective and ROI is Huge}

There are a lot of little tactics that fall under the PR umbrella, and many of them are very low-cost (especially compared to traditional advertising methods). For example: press releases, social mediums, blogs, speaking opportunities, etc, etc, etc. All of these things require RELATIONSHIPS…which in essence are much cheaper than say a 12-month billboard ad. Good PR = a very nice ROI…and there are so many little, inexpensive things you can do to keep your name out there and your image looking good.

So sure, you might have to cut back a bit when the economy is down, but keep spending some money with your PR people. Believe me, it’ll cost you more if you cut them out entirely.