Agencies prepare for better second half with new strategies.
Major agencies are quite optimistic about a quick turnaround of the local public relations industry in the second half of this year. In fact, many have already revised their strategy and are getting ready to cope with the upcoming trends such as digital marketing and green communications.
Waraporn Kulsawatpakdee, managing director of Integrated Communication, said the local PR industry had experienced a significant 15-per-cent growth despite the political unrest and prolonged protests over April and May.
"Though many marketing events were hit badly by the unrest, we opted for other communications services and media alternatives, such as news release and digital marketing," she said.
Waraporn said that many industries, such as consumer products and real estate, showed positive performances in the first six months of 2010, which is why the advertising and PR budgets were not slashed.
"We [Integrated Communication] achieved 20 per cent growth year on year in billings in the first six months," she said, adding the firm was aiming for a growth of more than 15 per cent, to Bt150 million, in billings this year.
"PR agencies need to adjust themselves to cope with the trend of online technology. In addition to offline communications, online communications will also become a new service offered by all major PR agencies," she added.
She explained that PR agencies were responsible for creating good online content and adopting online strategy as an active communications tool.
"PR agencies have to prepare for the general election, likely to be held next year, which will stimulate a surge in the budget for promotion activities. Government agencies themselves have set high PR budgets for the country's agenda.
"Even the private sector will launch more PR campaigns to promote loyalty via Customer Relationship Management [CRM] campaigns. Public relations strategies will be used to strengthen the relationship with a focused group of customers. It needs to be fast and measurable," Waraporn explained.
Hasan Basar, managing director of a leading local PR agency Bangkok Public Relations, said the firm helps all its clients come up with a plan for the entire year. As a result, most of the activities that cannot be conducted during the first half need to be scheduled for the second half.
"This means that while there is a degree of events being crammed in the second half, it is still possible to plan and execute effectively since we can see what is coming ahead. Our business does not fluctuate significantly thanks to our long-term clients, and
this year, I expect to see around 10-15 per cent increase in our business, compared to last year," said Basar.
"This June, we took on board a new client, Central Pattana/CentralWorld, which we expect will keep us fairly busy in the second half," he said.
Nimitz Modrakee, founder of 124 Communications, said the local PR industry was back on track after experiencing a slowdown earlier this year due to political difficulties.
"Overall, the economy is becoming more stable with improved political situation and fewer number of untoward incidents. As a result, the PR industry is turning around quickly," he said.
Nimitz said the trend of PR agencies was moving toward strategic communications for energy-saving and environment-friendly initiatives.
"Both public and private enterprises will focus on the environment and green communications trend as they want to create the image of green enterprises," he said.
Nimitz recently bought back the PR subsidiary that was restructured after the entry of new partners, led by Kunakorn Sethi, managing director of film-production house Prommitr Production, who owned a major stake in the company and named it "365".
Nimitz said he bought the PR subsidiary with 36 members of staff, and now runs it under the name 124 Communications Consulting. Its new offices are at Kromadit Building on New Petchburi Road.
"With growth potential in the local PR industry, we believe our sales will grow by more than 10 per cent this year," he said, adding that 124 Communications had Bt89 million revenue from PR last year.