PR more sought-after during the downturn

Hong Kong - Client spending might have nosedived in recent months, but the PR industry is perceived by marketers as a more cost effective solution when compared to advertising.

The Council of Public Relations Firms of Hong Kong (CPRFhk) has revealed results from its benchmarking survey which shows that more than 600 local and MNCs in Hong Kong use PR firms on a regular or retained basis.

The findings also found that an additional 400 companies turned to PR firms for individual projects or launches in 2008.

David Croasdale (pictured), chairman for cPRFhk, said the influence of public relations in the overall communications mix is definitely growing.

"This study takes stock of where the industry is and where it is going," he said.

The study also revealed that the PR business is better positioned in the area of social media such as blogs, discussion groups and online video.

Croasdale said compared to advertising agencies that specialise in paid advertising, PR firms have the advantage to exploit social media as it primarily involves communication and conversations.

The survey showed the most active sectors were in technology, consumer goods, property and finance with consumer marketing and corporate communications most in demand.

The survey, which the organisation intends to run as an annual exercise, polled 25 member firms of the cPRFhk and covered all aspects of the industry such as billings, staff costs, overheads, strength of practice areas and numbers of clients per firm.

cPRFhk contracted Aha! Research to conduct the survey.