Dealing with the Press -2

Dealing with the Press -1

Successful press relations requires time, planning, and constant reinforcement. It rests with an understanding of how journalists work and how information is communicated. I have put together a set of guidelines that can be useful in developing an effective public-relations strategy :

Understand the journalist’s role. Journalists value their role as independent observers. They resent companies that try to blatantly influence them or co-opt them. They do not want to be viewed as an extension of the company’s promotional efforts. The notion that a story is free advertising is degrading to the journalist and to journalism.

Companies must present information without trying to manipulate. Manipulation can be counterproductive. Litronix, which sold light-emitting diodes in the early 1970s, learned this lesson the hard way. The company saw its sales starting to turn downward, and it decided an article in Business Week would help revive the business. Sure enough, Business Week was interested in an article. But the headline read: “Burnout of a Star.”

Don’t go to the press too early. Obviously, no one wants negative press coverage before a product is even introduced. But positive coverage can be almost as bad. A favorable article while the product is still in development might build expectations that are difficult to meet. If problems crop up and slow the development cycle, as so often happens, the whole world will know.

Synapse Computer ran into this problem. Synapse had impressive credentials. Started by a group of engineers from Data General, the company planned to build “fault-tolerant” computers that would never break down. They had an excellent chance to succeed in the market. But they had the itch to tell the world they were great before they actually were. Even while still working in the back of a candle factory, they began running ads and talking to the press. Expectations rose. Then, Synapse’s computers ran into technical problems at the beta sites. Nothing that abnormal, just typical beta-site problems. But Synapse was very visible now. Journalists were watching Synapse, and they reported on the company’s problems. Synapse’s credibility sank like a rock. Whether or not it solved the technical problems, Synapse faced an uphill struggle.

Don’t “imprint” the wrong image. When a baby chick is born, it looks around for its mother. If the first thing it sees is a human, it assumes the human is its mother, and its mind will never be changed. This process is called “imprinting.” Customers often act the same way. When a startup company introduces its first product, customers will form an image of the company, and that image is very hard to change. In short: You never have a second chance to make a first impression.

3Com, a small company that develops communication networks for computers, managed to avoid this problem by being patient. The company developed the first personal-computer network compatible with Ethernet, the industry standard for larger computers. But 3Com faced a promotion dilemma. Not all pieces of the network were ready at the same time. It wanted to introduce each piece-the software, the controller, the transceiver-as it was ready, so it could start receiving revenues and gain market experience. But the company didn’t want to be perceived as a component company. It wanted to be seen as a full-systems supplier. With our advice, 3Com waited until all pieces were in place, then began communicating its message to analysts and journalists. The strategy worked : The company is now firmly positioned as a systems supplier.

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