New York, NY, June 2, 1999-Public relations is considered a vital component for building brand value, maintaining brand vitality, and establishing brand credibility according to a national poll of brand managers released today by M Booth & Associates, a national public relations firm.

The study, based on responses of more than 100 brand managers, provides new evidence that public relations is the most effective way to establish brand credibility, to surround a brand in a particular editorial context, and provides the best return for the marketing dollar spent. The survey was fielded in March, 1999 by McBain Associates, a research firm.

The majority of brand managers polled -- 51 percent -- believe that public relations, when compared to advertising, sales promotion and new media, is critical ("very important") for establishing brand credibility. In comparison, 44 percent characterized advertising as "very important," 21 percent said sales promotion, and 17 percent reported new media.

Public relations also led the way as the most effective marketing communications discipline when editorial context is important. Fifty one percent of brand managers said public relations was "very important" in targeting editorial context; 30 percent said advertising was "very important"; 15 percent, sales promotion, and 14 percent, new media.

Furthermore, brand managers feel that public relations is the best way to garner third-party endorsement: 39 percent said public relations was "very important," compared to 17 percent for advertising, 13 percent for sales promotion, and 10 percent for new media.

"The survey clearly demonstrates that public relations is a valued marketing partner in building brand equity," said Margaret Booth, president of M Booth & Associates. "More than nine of 10 brand managers are using public relations in an integrated approach to help achieve brand presence.

Nascent Potential for Building Brands the Internet

The report also examines how brand managers are using the Internet, and how public relations works with an interactive marketing strategy.

More than nine out of 10 managers reported they use the Internet in some way to help build their brand. But two thirds -- some 66 percent -- believe that they use the Internet "not very extensively" or "not at all." Despite media coverage of the online industry, only three percent of brand managers reported using the Internet "very extensively" to build their brand.

Eighty-three percent reported that they do little more than maintain a brand web site. Public relations (42 percent) leads the way as the most popular method to use the Internet to build a brand, followed by advertising (banners) at 32 percent, one-to-one marketing and database usage both tied at 35 percent, and sales promotion at 29 percent.

Most brand managers -- 86 percent -- allocate less than 10 percent of their marketing budgets on Internet brand activity. Nine in 10 brand managers expect to increase their budgets next year and half of these brand managers expect the increase to be 20 percent or less.

M Booth & Associates, Inc. is a full-service communications firm specializing in marketing and corporate communications, consumer products, public issues, health care, and business-to-business public relations. M Booth operates BoothNet, a network of 20 affiliate public relations firms located throughout the United States, and is a member of Proclaim, an international group of public relations agencies in the United Kingdom, Europe, and Australia.

For information on this Brand/Public Relations Survey contact:
Bari Seiden or Seth Werlinsky
M Booth & Associates
(212) 481-7000