How Would You Advise Your Client?

The Associated Press reports that the Supreme Court refused to disturb an Illinois Supreme Court ruling that sided with Philip Morris USA regarding light cigarettes. In a fraud class-action lawsuit the Court ruled that it was okay for Philip Morris to characterize cigarettes as light even though they were more toxic than regular cigarettes.  The smokers that filed the claim said the term light inferred that the cigarettes were better than regular cigarettes and Morris should be held liable for any health-related issues because they didn't tell them that the light cigarettes weren't any healthier.


This move, to some, paints Philip Morris USA as the bad company.  Why wouldn't they agree to pay the suit?  Others say that the smokers knew the risks of cigarettes, light or not.


If you were PR counsel for Morris, how would you respond to this?  Would you advise the company to let it die?  Would you tell them to issue a statement?  If so, what would it say? Would you work with them to send information to their shareholders?  Would you advise that they now need to start putting a label on their light cigarettes? Or would you do all of the above (or something not listed)?

Let me know what you think.

Customer Service 101

Everybody loves Illinois Senator Barack Obama.  He has the nation in an uproar right now, and everyone wondering, will he enter the presidential race in 2008.  I have stayed away from the Barack bandwagon, until recently.  During a recent interview with Oprah Obama stated that he didn't take private jets because he wanted to stay grounded in reality.  He said he wants to always stay connected to the needs of the people he serves because he never wants to "represent Washington to his constituents".  He wants to always "represent his constituents in Washington."  WOW!  Immediately I became an Obama fan because he proved to me that he understood the power in understanding your customer.

Customers are the center of every business in every industry.  They are the reason businesses exist...and the reason they cease to exist.  When executives fail to place priority on understanding their customers, they put their companies in precarious situations.  On the flip side, when they pay attention to customer needs they increase consumer loyalty, build trust and an emotional connection to the company brand.  In a recent Washington Post article Steve Pearlstein shares examples of how the customer-focused approach has proven successful for several companies (and he takes time to point out the simplicity and advantages of attending to internal customers as well).

The lesson.  Focus on customer needs - external and internal.  As PR professionals we must demonstrate the benefit in this simple strategy.

 

I Told You So

I told you so.  I told you that getting back to the basics was the best way to improve revenue; lower costs; manage business and industry trends and issues; and make customers happy.  Seems like I am not the only one that thinks so.  WOMMA (Word of Mouth Marketing Association...and yes, that is a real thing) thinks so too.  Check out what they have to say http://www.womma.org/pages/2006/11/womma_offers_un.htm.


The lesson.  Stop wasting time and get back to the basics.  Engage your customers face-to-face.

The Perfect Brand: Classic Simplicity with a bit of Emotion

Mercedes, Ralph Lauren and Lexus have mastered branding.  Yes, they have a long history in their perspective markets, but longevity is  not the key to their successes.  What is?  These companies have brand managers that undersatnd that the best brands are classic and simple, and they connect with customers' emotions and desires.

The lesson. Companies seeking longevity and top market share should create brands that are classic, simple and connect with customers' emotions.

Classic - Classic brands are timeless and appeal to people at all levels.  They do not follow the fads and trends of any one era. Classic brands stand the test of time, connect with generations.

Simplicity - Wikipedia defines simplicity as the property, condition, or quality of being simple or un-combined. It often connotes beauty. Simple things are usually easier to explain and understand than complex ones. Brands should be just that...easy to understand and explain...simple.

Emotional - Most successful brands create feelings of power, respect, honor, prestige or other desirable emotions in customers.  Make your brand emotional.

Diversity Is More than Good PR

This article was written for PR News, and published in the July 31, 2006 edition.

According the most recent US Census statistics, Hispanics represent 14% of population and African Americans account for 12%, followed by foreign-born citizens (11%) and Asian Americans (4%). The growth in the Hispanic and foreign-born population is expected to continue. Population projections suggest the racial groups classified as minorities will collectively become the majority in the United States. The bottom line? The racial, ethnic and cultural landscape of the United States is changing and diversity is here to stay. Many companies and organizations recognize these changes and have implemented diversity programs designed to recruit diverse talent and increase general awareness of the varied backgrounds of employees. However, this is not enough. Organizations seeking to maintain a competitive edge in this highly diverse, global economy must create an organizational climate that supports diversity at all levels. For the past six years DiversityInc. Magazine has recognized 50 companies that have made diversity a business priority. For example, in 2000 FleetBoston Financial , now Bank of America , was recognized for moving its commitment to diversity beyond mere awareness (a progressive notion at the time). The company had seven diversity resource groups that allowed employees of similar backgrounds to come together to support one another. In addition to support, the company’s groups raised money to provide grants to community organizations that aligned with their missions. The grants were administered through FleetBoston’s philanthropic arm, FleetBoston Financial Foundation . Diversity was, as one executive said at that time, “a business priority for the company.” Since that time, DiversityInc. has improved its selection methodology and this year more emphasis was placed on companies with strong commitments from their CEO. Verizon Communications/Wireless , WellPoint , and Toyota North America were among this year’s top 50 companies for diversity. These companies, and the other 47 named to the list, know that they must manage diversity as they manage other sectors of their operations.

GETTING SERIOUS

Diversity has to be more than just a policy; it has to be a part of the corporation’s culture. Creating a culture that supports diversity requires more from organizations than developing awareness. It requires senior management, human resources and public relations staff to manage diversity with a focus on employee development. It requires employees to commit to the organizations core diversity values and principles. It requires everyone to demonstrate a commitment through action.

To achieve this, organizations must consider the following:

  • Create an environment where employees feel that diverse perspectives are valued. Companies must integrate diversity into the daily environment where differences become noticed, appreciated and sought after.
  • Create an environment where employees feel safe in acknowledging their differences and where others see the value in them. The benefit? Employees feel valued and appreciated, which translates into demonstrated commitment from employees.
  • Implement diversity management training for senior and middle managers. Many diversity programs begin – and end – with a statement of commitment from top-level management. With this approach, diversity is never fully integrated into the daily work of management or line staff. Organizations seeking to make diversity more than just a program should provide senior and middle managers with processes for incorporating diversity into their daily work. Additionally, managers should receive training that helps them strategically create workgroups that benefit fromemployee’s varied heritages.
  • Put diversity to work. Most companies do a great job of recruiting diverse talent, but they fail to make diversity work for them. Having a diverse workforce goes beyond representation. It includes incorporating the varied cultures and traditions of employees in the strategic planning, decision-making, and implementation processes. Doing so will increase the quality of products, services and communications. In the end, employees will recognize the sincere commitment of the company to diversity and make a personal commitment as well. When employees make a commitment to diversity it translates into better products and services. It also shows a sincere commitment to diversity, which enhances relationships with customers.