PR Technique - Apr08

The benefits of a strong corporate reputation

Creating credibility throughout all aspects of marketing & communications - established brands usually have strong corporate reputations but it doesn't mean that you can't start young.

As a communications professional who consults with clients in various industries and across the region, it is noticeable that organisations often forget the importance of developing and maintaining a strong corporate reputation. While marketing teams often deflect this responsibility to the corporate communications department, the benefits of nurturing corporate reputation are felt in every division - notably the bottom line.

In this age of increased media and corporate scepticism, consumer education and access to information via the internet, as well as cultural attention towards social and environmental issues, it is crucial that companies begin their conversations with potential consumers based on their reputation rather than their products. Audiences of all kinds are far more likely to be engaged by an organisation that has a robust corporate image. Commitments, activities and impactful communication on a wide variety of topics - from quality to social, humane, community and environmental issues - can significantly bolster the marketing efforts of an organisation.

Several international brands are active in this area and can serve as an example to others, particularly some of the healthcare companies. For instance, look at the continued loyalty that Johnson & Johnson gets from mothers across different generations. It's timeless, and absolutely priceless. On a different level, DHL is an outstanding case in point. In the region, companies such as The Home Depot, The Coca-Cola Company, Philips and Sunkist (MS&L clients), have all invested in defining their Asia-specific commitments. They have developed sustained regional and local corporate responsibility programmes, and communicate these activities well to audiences. The value that each of these companies and their brands extract from these efforts are seen immediately, and can be felt in years to come. Their investment in these Asia-specific corporate reputation activities is no doubt a testament to the return seen on similar corporate programmes across North America and Europe in previous years.

Areas in which a dynamic and continued corporate PR programme empowers companies include the ability to 1) attract passionate and skilled talent - an HR challenge for many in the region given our relatively small pool in Asian countries; 2) gain the attention of stakeholders in the geographies in which they are operate, opening up opportunities for future growth; and 3) raise their worth in the eyes of potential investors, a key factor in creating shareholder value.

Business leaders who seek to integrate reputation-building communication across corporate and marketing divisions can reap much greater returns. The resulting collaboration pools resources and activities that share common objectives and ensures that the company is communicating consistently and effectively to all audiences. Ultimately, the messages and a strengthened corporate reputation support all company efforts - from new brands to expansions, as well as crisis management. Even in times of a dreaded economic slump, a robust corporate profile can make all the difference in continued consumer engagement.

TIPS FOR BUSINESS AND COMMUNICATION LEADERS:

- Engage a PR agency that has this know-how and determine the long-term communication goals together

- Leverage heritage, performance, current activities and future commitments to communicate a sound corporate resume

- Work collaboratively across divisions in your organisation - HR, corporate affairs, marketing - involve them to make your strategy work seamlessly

- Be absolutely clear on the key messages

- Always train and prepare spokespersons

- Review, update, and realign your communication and programmes regularly

Karen Flynn

Regional Account Director

Manning Selvage & Lee