Excerpts from the Council of PR Firms 1/19/2011 Blog
Well, the fourth quarter survey results are in, and they’re even better than what was reported about the rebound in business and growing optimism in the future when compared to the Council of PR Firm’s 3rd third quarter survey! And the survey says…
Fifty-five firms responded to the survey (49.1% of them had revenues between $3 million and $10 million, and 27.3% had revenues between $10 million and $50 million). More than 80 percent of firms reported that their final 2010 revenues had exceeded 2009 numbers. That was even higher than the roughly 70 percent in the October survey who had expected a year-over-year increase. And the picture gets rosier. Two thirds (67%) of firms reported double-digit revenue growth in 2010. Six in ten firms (58.2%) expected PR budgets to be higher in 2011, and only two percent expected them to decline in size.
The Council’s Chair, Weber Shandwick’s President Andy Polansky, weighed in on the results:
“We’re enthusiastic about the market dynamics right now. Our industry continues to transform itself to better partner and engage with clients across the full spectrum of marketing and corporate communications services, and we are seeing more and more that PR is leading the charge for these efforts. This is particularly true in the digital and social media space. The survey results reflect renewed optimism and the opportunity for continued growth.”
New business pipelines seem to be opening wider. A full 56.4 percent of firms reported that new business prospects were stronger than a year ago, with the vast majority firms (76.4%) citing social media as one of the strongest expected growth areas. Other areas where firms were expecting the most new business growth included consumer marketing (listed by 58.2% of firms), issues and crisis management (30.9%), and corporate communication (27.3%).
Why is the PR industry doing so well in the marketplace? Clearly we’re able to deliver the kinds of solutions that clients want. But we’re also doing more to quantify this value; over half of respondents reported that they had enhanced measurement of return on their clients’ PR dollars during the past year. Nowadays, this is an important discussion to be able to have with all clients.
Overall, we have every reason to feel energized and optimistic as we kick off a new year. Public relations is a dynamic, growing industry that is fueling job growth!
*The Council of PR Firms is the trade association that represents the interests of public relations firms operating in the U.S.
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