New Roles For the Old News Release [Abbott Media Group]

Long gone are the days of your PR firm or your own organization simply sending out a press release to the local TV and print media, sitting back, and thinking that the job of promoting product, service, or individual has been completed.

That's because the news media are no longer the sole audience of the news release; and understanding this new truth is vital to keeping this communications tool fresh.

Stephen Abbott of Abbott Media Group is skilled in using tried and true tools and techniques such as the news release, but putting them to work in new ways.

AMG understands that news releases today can play several functions in the promotions process,. Releases sent to the media aren't necessarily to ensure immediate coverage. In fact, it's unrealistic to assume that everything sent will be published.

In Abbott's political campaigns, frequent releases have served the purpose of showing that a campaign is active, has hired staff, is raising money, is engaging with voters, and is seriously contesting the race. 

From these roles, it becomes clear that releases from political campaigns have several audiences. 

It's not just local news media, which may or may not be covering local politics, but also political leaders, local business leaders, elected officials, and of course, voters, especially those who are engaged in the process early on. 

Sometimes several releases, specifically targeted to these Publics, make more sense than a single, standard release.

Releases written for business can play a similar role by simply reminding local news media and others that the business is active in the community and open for business.

Releases sent to internal Publics - sush as repeat, regular clients - also have a reassuring effect, and can communicate best practices within a business organization, as well as communicating new policies and procedures to everyone, not just to a select few.

Effective internal Communications  like this can also build a sense of rapport and togetherness within organizations,  reduce gossip and misunderstandings, as well as lower employee turnover.

They can also be employed to convey the new or long-held mission and vision of a group or company. 

These reminders, written in news-worthy, fresh ways, help solidify the reputation of the group or company within a community, and help clarify the purposes towards which they're striving. They can also clear up misconceptions that could damage reputations or cloud the purpose of a company in the public's perception in the long term.

News releases, of course, continue to fill the traditional role of introducing new products and services to current and future clients and customers. 

They still must primarily be sharing something NEW, and be News Worthy in order to be considered for print and digital distribution. 

But they also can demonstrate to clients that a business has the expertise in the field in which they operate, and that they are capable of bringing the latest technology and techniques to bear on their behalf.

Frequent news releases posted on a company or campaign website are an easy way to provide fresh content for visitors. Web content that is frequently changing and updated ranks higher in searches, and encourages future traffic to the site.

Finally, news releases can play a vital role in conveying to relevant Publics within the community that a business is engaging actively with it, playing a positive role by giving back through charitable giving and social involvement. 

This has the effect of building positive feelings towards the business, enhancing its reputation and making future business transactions with them more likely.

AMG and Stephen Abbott understand how to fully employ all the aspects of news releases, and use them to the fullest effect on behalf of clients. 

Contact AMG today for more information. www.abbottmediagroup.com.

The Robinhood PR Disaster - What They Must Do To Make It Right [Abbott Media Group]

When the lists of 2021 PR disasters in business is written next January, Number One on that list will likely be the Robinhood app debacle of this week that left their reputation in tatters.

THE SITUATION:

The Robinhood app, which allows average investors access to the stock market, buying trades without fees, abruptly froze users' ability to buy shares of some hot-selling stocks, among them GameStop and AMC.

Of course, they were "hot" because the internet, specifically the Reddit online chat boards, had made them so, deciding that these stocks - and they companies they represent - shouldn't actually fail (as the hedge funds had decided they should, and were "shorting" their stock in anticipation of their immanent deaths.)

This caused both stocks to rise "to the moon," as many on Twitter put it, and cost the hedge funds BILLIONS because their bets now were suddenly wrong.

Enter Robinhood, which had tweeted early on in its life, "Let the people trade." That slogan became one of bitter irony when, on Wednesday, upon rumored pressure from Wall Street hedge funds and even the Securities and Exchange Commission, they froze the ability to buy further stocks in these two hot properties (but still allowed sales.)

They posted a message which said, in part, "In light of current market volatility, we are restricting transactions for certain securities to position closing only, including $AMC and $GME."

While other brokerage firms reportedly did the same - including TD Ameritrade and other big names - Robinhood received the brunt of the online firestorm that soon erupted. And in the age of Twitter, the reaction was a tsunami of anger and criticism.

What Chris Buskirk, a contributing writer for the New York Times tweeted was typical:

"$AMC was struggling due to COVID lockdowns. Hedge funds shorted the stock to force bankruptcy.

Small investors saw an opportunity & bought $AMC driving it’s price up. $AMC raised $900 million, saved the business & 1000s of jobs. But they’re the bad guys for saving the company?"

One investor said, "There is no free market. There is only a manipulated market that is built to enrich hedge funds. The "capitalists" on Wall Street are being exposed as a bunch of cry babies who aren't actually that smart. If they were so good, why not compete in the free market??"

The cynicism did not end with investors. Politicians were also    quick to express outrage at Robinhood.

New York Democratic congresswoman Alexandria Ocasio-Cortez called for hearings in Congress about Robinhood and its actions. 

"This is unacceptable. We now need to know more about @RobinhoodApp’s decision to block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit. As a member of the Financial Services Cmte, I’d support a hearing if necessary."

U.S. Senator Ted Cruz (R- Texas) agreed with the liberal Democrat, tweeting simply, "Fully agree." (Prompting an outburst from Occasio-Cortez, in which she said she would work with other Republicans but not with Cruz, who allegedly, "almost had me murdered three weeks ago." During the Capitol Hill riot.) Whatever.

Republican Congressman Madison Cawthorn was also blunt, tweeting:

"Part of Free Market Capitalism is having a Free Market. Wall Street is pressed because normal, working Americans outplayed them."

Regardless of party differences, this rare demonstration of bipartisanship seems to indicate they will at least be some hearings in the app's future.

For its part, Robinhood tried to stop the bleeding, posting a policy U-turn Thursday afternoon (4:15 pm ET) posting on Twitter and on the app that they would restore the ability to both buy and sell these hot stocks. Vlad Tenev, the Bulgarian entrepreneur who co-founded Robin Hood, tweeting:

"Starting tomorrow, we plan to allow limited buys of these securities. We’ll continue to monitor the situation and make adjustments as needed."

But things continued to spiral out of control for Robinhood. On Thursday, a class action lawsuit was filed in federal court (the Southern District Court of New York) against Robinhood on behalf of its clients, legitimately claiming loss a millions of dollars due to the inability to buy these stocks as they rose drastically on Wednesday morning, and while hedge funds were not similarly restricted.

Late Friday, Robinhood kept digging a hole for itself, releasing a list of 50 stocks for which they were restricting buys. This prompted the investment site  Seeking Alpha to predict the new restrictions "could lead to big exodus" from the app.

As Inc. columnist Jason Aten wrote: "It takes a long time to build a brand, but not long at all to destroy it. In Robinhood's case, it took less than a day."

PR SOLUTIONS:

So, how does Robinhood regain its reputation as a fighter for the little guy investor? Or can it?

I believe it can, but it must demonstrate in the coming months that it did not respond to pressure from Wall Street, or even the White House which many speculated had occurred.

It has already begun the work it must do, including dispelling rumors that it acted to stop trading on behalf of a hedge fund, Citadel - something which would likely mean the death of the app, if true.

Tenev tweeted,

"As a brokerage firm, Robinhood has many financial requirements, including SEC net capital obligations and clearinghouse deposits. Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment. 

To be clear, this decision was not made on the direction of any market maker we route to or other market participants."

(The California-based Sequoia hedge fund sought to squash such rumors late Thursday afternoon, tweeting, "Sequoia did not pressure Robinhood to halt the trading of any stocks. This rumor is completely false.")

Over the next few weeks and months, Robinhood needs to act decisively and speak out clearly to restore confidence and trust in its product, and, frankly, the system it works with. Speaking for an entire market is definitely a tall order, and usually not one public relations would need to take on.

But given the tremendous lack of trust that has accrued in such a short period of time (just a few days!) It's one the app must take on.

Hopefully they have a PR team that is instructing the Robinhood application's board that it cannot hide behind technicalities or even the SEC, and preparing them for the Congressional grilling that surely awaits them.

The Robinhood app must take strong, clear actions, and their PR team must then explain those actions in a confident way to investors and customers alike. 

Then, maybe six months from now, the Robinhood app just might still exist.

New Roles For the Old News Release [Abbott Media Group]

Long gone are the days of your PR firm or your own organization simply sending out a press release to the media, sitting back, and thinking that the job of promoting product, service, or individual has been completed.

That's because the news media are no longer the sole audience of the news release.

Stephen Abbott of Abbott Media Group is skilled in using tried and true tools and techniques such as the news release, putting them to work in new ways.

AMG understands that news releases today can play several functions in the promotions process,. Releases sent to the media aren't necessarily to ensure immediate coverage. In fact, it's often unrealistic to assume that everything sent will be published.

In Abbott's political campaigns, frequent releases have served the purpose of showing that a campaign is active, has hired staff, is raising money, is engaging with voters, and is seriously contesting the race. And it must be understood that releases from political campaigns have several audiences. Not just local news media, which may or may not be covering local politics, but also political leaders, local business leaders, elected officials, and of course voters. Sometimes releases specifically targeted to these Publics make more sense than the single, standard  Release

Releases written for business can play a similar role by simply reminding local news media and others that the business is active in the community and open for business.

Releases sent to internal Publics also have a reassuring effect, and can communicate best practices within a business organization, as well as communicating new policies and procedures to everyone, not just to a select few. Effective internal Communications also build a sense of rapport and togetherness within organizations, reducing gossip and misunderstandings, as well as employee turnover.

They can also be employed to convey the new or long-held mission and vision of a group or company. These reminders, written in news-worthy, fresh ways, help solidify the reputation of the group or company within a community, and help clarify the purposes towards which they're striving. They also clear up misconceptions that could damage reputations or cloud the purpose of a company in the public's perception in the long term.

News releases, of course, continue to fill the traditional role of introducing new products and services to current and future clients and customers. They still must primarily be sharing something NEW, and be  News Worthy in order to be considered for print and digital distribution. But they also can demonstrate to clients that a business has the expertise in the field in which they operate, capable of bringing the latest technology and techniques to bear on their behalf.

Frequent news releases posted on a company or campaign website are an easy way to provide fresh content for visitors. Web content that is frequently changing and updated ranks higher in searches.

Finally, news releases can play a vital role in conveying to relevant Publics within the community that a business is engaging actively with it, playing a positive role by giving back through charitable giving and social involvement. This has the effect of building positive feelings towards the business, enhancing its reputation and making future business transactions with them more likely.

AMG and Stephen Abbott understand how to fully employ all the aspects of news releases, and use them to the fullest effect on behalf of clients. Contact AMG today for more information. www.abbottmediagroup.com.

Creepy #PR Job Ad Seeking "Youthful" Female To Be The "Face" Of A Company Is All That's Wrong With PR [Abbott Media Group]

A recent job posting illustrates EVERYTHING that's wrong with PR today, or at least the growing perception of PR as a damaged profession with a reputation problem.

The ad, on the popular job search site "Glassdoor," read:

"We are looking for a youthful, energetic, personable, presentable, female for an overseas Public Relations position," it began, "The candidate will be the face of our Asia operation. Please send details and photo if possible."

It's signed - rare for an ad even on Glassdoor - by the male president of this company, which I've blacked out to avoid holding him up to public ridicule. Both his first and last name were included in the original ad.

This is wrong on so many levels. Aside from being an illegal job ad (gender-specific, which is forbidden by employment law) it's a bit creepy for a male president/CEO to be asking for a photograph - akin to a dirty personal ad in the back of a magazine or on the old "Backpage" or Craigslist personals, it sends a horrible message about the profession. One plausibly may wonder if he hopes to travel with her.

The ad's descriptions are equally troubling.

"Youthful, energetic" is "code" for "no one over 30 need apply. Age discrimination sucks, but it's a reality in the business world. And tolerated.

"Personable," well, of course a PR person will be personable - someone who is likable and generally likes people. Though that's a child's definition of "public relations," and every store clerk or auto show platform model can't be said to be in "public relations," just because they interact with the public - though that's a vital component for business success, for sure.

The final two descriptors, "presentable, female," are at the heart of the problem with this ad. "Presentable" seems to be a code word for "pretty." Now, there's nothing wrong with being pretty, or presentable, so long as the latter means how a person presents oneself, in dress, demeanor, and especially verbally and in writing. If THOSE were the criterion used by the CEO here, that would ELEVATE the profession, not demean it or raise ludicrous stereotypes as this ad does.

Let's also mention that the ad apparently breaks the terms of service Glassdoor has published on its own site, which state, "You may not post any job ad that ... gender, race, religion, sexual orientation, age, disability, or any other ground(s) prohibited by applicable law."

CEOs of corporations should never use the tactic of pushing a "pretty face" in front of a news conference, so stakeholders and the general public will more easily forget the bad news about a company or CEO. That plays to the basest of negative stereotypes about PR.

This amounts to putting supermodels on catwalks wearing corporate logos. Corporations should be educated by real PR pros that this won't motivate any but the creepiest of men to patronize their businesses and buy their products and services. And it won't be enough to distract the media from a company's missteps.

A bit of a disclaimer. A search for the company on Google on July 7, 2018 at 8 pm (Central) produced no results. A Linkedin profile mentioning his name and company produced a blank page. It's unclear whether the ad, posted on July 7, 2018, is for a legitimate operation. If so, shame on the company's president. If not, shame on Glassdoor for facilitating this gross person's fantasy.

----------------
Stephen Abbott is the principal of Abbott Media Group. He's not "pretty" nor "young." He's a male over 50, and has over two decades of actual experience building brands and reputations. Abbott Media Group can be found online at www.abbottmediagroup.com.

Is Print #Media Dead? (Not Another Obituary) [Abbott Media Group]

Is print media dead? I just read yet another post online saying just that. It's not difficult to draw that conclusion, given the decades-long slide into oblivion by many major and minor players in the field of print journalism.

Print publications large and small have long struggled with rapidly diminishing ad revenue, fewer eyeballs, and stiff competition from online media sources.

Public Relations consultants for business and political clients have more and more utilized and relied upon online media and social media to the detriment of print publications.

In politics, especially, print media has shot itself in the foot by failing to consistently offer balanced and responsible journalism. Given the slash and burn nature of the economics of the newsroom, it's not surprising that coverage has suffered. But there's literally no reason why this must necessarily result in shoddy, unbalanced coverage of political candidates or mere "horse race" and process stories.

In business, too, pay-to-play (stories for payment) have become the norm in many cash-starved papers. I recently went to the press release submission page of a prominent Florida newspaper, only to find that it offered publication for a "subscription." Whatever that is it's not journalism. It sure isn't "earned media."

So print media, if it's not dead, exactly, may be on life support. There's actually no solution to this problem except a complete re-dedication to journalistic excellence in the print media profession.

Papers, however cash-strapped they may be, must recommit to sending out reporters to actually cover the business community, political leaders, elections, and the people and places that are committing hard news within the readership area. Fluffy feel-good stories and police blotter stories have their place, but over-reliance on these tends to cheapen journalism.

I have seen political candidates who either have gotten perfunctory coverage, or none at all, because the newspaper had a favorite candidate or party, and decided on its own to filter out all candidates who did not meet their standards or biases of its editors. If they believed this would prompt ad sales, this has actually had the opposite effect, in many cases.

Many political campaigns, for example, have simply ignored the dead tree media and have focused almost entirely on new, online media, especially social media, which is becoming increasingly popular among voters as a source of both news and political information.

Businesses and the consultants representing them are also less enamored with the negative changes in print media, and are turning to alternate ways of reaching out to present and future clients and customers. And of course, ad revenues spiral ever more downward as a result.

And instead of "pay to play," which is ethically revolting as well as defeating the idea of earned media, news releases that are sent on behalf of candidates and businesses (and are actually timely and news-worthy) should actually prompt news stories that are balanced and fair.

Does Print have a future? Sure. But it can only have one if it re-dedicates itself to the fundamentals of journalism, including fairness, balance, and equality of access by all parties involved in an issue.

"#MostUsedWords App" Launches #PR Offensive After Criticism [Abbott Media Group]

Not that giving all one's personal data to a third party has ever been safe, and not that Facebook "quizzes" have ever been safe, either, but the firestorm around the new Facebook app "Most Used Words" really struck a chord with the 17 million Facebook users gave it permission to use its data.

And after the Comparitech blog did a breathless take-down of the Korean-based Vonvon, creator of the App, on its site Sunday, Nov. 22 in which it called it a "privacy nightmare." Comparitech specifically attacked the App's "oxymoronic privacy policy And called the company and the App a "shady data dealer" but not the only one to "masquerade behind a viral quiz mill."

The "nightmare" angle spread like a virus, shared across Facebook, becoming a trending topic there and also on twitter, where many accused the App of "stealing" personal data.

By Tuesday, the company had already sprung into action.

It posted updated language on its website that it was, as of Tuesday, Nov. 24, acting to "proactively" address the concerns by "significantly" reducing "the magnitude of access privilege" required by the App. It also clarified that the App does not collect users' email addresses, "so there is no way we can spam you." It also note

It's CEO Jonghwa Kim also took to the battle to Comparitech itself, sending a rather predictable legalistic and threatening message to the firm (noting that he was "deeply concerned about your false accusation") but also mentioning the positive steps it had taken, and explaining that the information collected, "is never stored in our databases." Comparitech published his letter as an update to the original post.

As for emails, Kim notes bluntly that, "As we do not store any personal information, we have nothing to sell. Period." He swears that the App never deals with Third Parties.

The company has been in existence for less than a year, but says it has more than 100 million unique users from US, UK, France, Brazil, China, Japan, Korea, Thailand, etc. and operates in 15 languages.

THE BOTTOM LINE:

It remains to be seen whether this coverage will damage this Korean startup. It also remains to be seen whether this App is any more damaging or dangerous than any other Facebook App.

But the PR response by Kim and his company seems on point, and an effective demonstration of how crisis management is done: directly address both the alleged technical and ethical problems, then let people know.


By Stephen Abbott, Principal of Abbott Public Relations, a division of Abbott Media Group, which creates written messages which inspire, inform, educate and engage, in mass media, publishing and public relations. On twitter and Facebook.