Public Relations and the Advertising Industry

The public relations industry, the same as advertising, is concentrated in the hands of few dominant firms. Still, the striking element about corporate public relations is that PR firms are tightly related to advertising companies. Nine out of the ten biggest international PR agencies have close ties with the advertising industry. Also, looking at the largest acquisitions involving U.S. PR firms from 1997 to 1999 it is apparent that money coming from advertising agencies has played an important role.


Table: Top 10 PR Firms 1998


Rank 1998

PR Firm

Advertising Agency Related

1998 Net Fees (in U.S. $)

1997 - 1998 % Change

1

Burson-Marsteller

yes

258,417,000

4.2

2

Hill and Knowlton

yes

206,000,000

8.9

3

Porter Novelli Int.

yes

183,050,000

23.6

4

Shandwick

yes

170,300,000

7.3

5

Fleishman-Hillard

yes

160,692,000

19.1.

6

Edelman PR Worldwide

no

157,840,530

18.1

7

Ketchum

yes

125,248,000

29.6

8

BSMG Worldwide

yes

118,963,000

93.0

9

Weber PR Worldwide

yes

83,166,000

36.2

10

GCI/APCO

yes

79,667,957

28.4




With many PR agencies sold to advertising companies, the advertising industry's influence further increases; enabling them to offer their clients not only advertising services, but also know-how in marketing, public opinion, crisis and issues management and political lobbying.

Table: Acquisition of PR Agencies (1997 - 1999)

Acquired Company

Buyer

Buyers Industry

Estimated Purchase Price (in millions of U.S. $)

International PR

Interpublic Group of Cos.

Advertising

230

Fleishman-Hillard

Omicom Group

Advertising

85

Ketchum

Omnicom Group

Advertising

60

Dewe Rogerson

Incepta

Advertising

40

Financial Rel. Bd.

BSMG/TN

Public Relations

33

Weber PR

Interpublic Group of Cos.

Advertising

15

Alexander

WPP Group

Advertising

15

Charles Barker

BSMG/TN

Public Relations

15



Source: Odwyerpr.com.

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1000 B.C. - 0

900 B.C.
A postal service is used for governmental purposes in China.

500 B.C.
In ancient Greece trumpets, drums, shouting, beacon, fires, smoke signals, and mirrors are used for message transmission.

4th century B.C.
Aeneas Tacitus' optical communication system

Aeneas Tacitus, a Greek military scientist and cryptographer, invented an optical communication system that combines water and beacon telegraphy. Torches indicated the beginnings and the ends of a message transmission while water jars were used to transmit the messages. These jars had a plugged standard-size hole drilled on the bottom side and were filled with water. As those who sent and those who received the message unplugged the jars simultaneously, the water drained out. Because the transmitted messages corresponded to water levels, the sender indicated by a torch signal that the appropriate water level had been reached. The methods disadvantage was that the possible messages were restricted to a given code, but as the system was mainly used for military purposes, this was offset by the advantage that it was almost impossible for outsiders to understand the messages unless they possessed the codebook.

With communication separated from transportation, the distant became near. Tacitus' telegraph system was very fast and not excelled until the end of the 18th century.

For further information see Joanne Chang & Anna Soellner, Decoding Device, http://www.smith.edu/hsc/museum/ancient_inventions/decoder2.html

3rd century B.C.
Wax tablets are used as writing material in Mesopotamia, ancient Greece, and Etruria.

2nd century B.C.
In China paper is invented.

1st century B.C.
Codices replace scrolls

The use of codices instead of scrolls - basically the hardcover book as we know it today - is an essential event in European history. To quote accurately by page number, to browse through pages and to skip chapters - things that were impossible when reading scrolls - becomes possible.

In the computer age we are witnesses to a kind of revival of the scrolls as we scroll up and down a document. The introduction of hypertext possibly marks the beginning of a similar change as has taken place with the substitution of scrolls with codices.

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Louis Braille

b. Jan. 4, 1809, Coupvray, near Paris, France
d. Jan. 6, 1852, Paris, France

Educator who developed a system of printing and writing that is extensively used by the blind and that was named for him. Himself blind Braille became interested in a system of writing, exhibited at the school by Charles Barbier, in which a message coded in dots was embossed on cardboard. When he was 15, he worked out an adaptation, written with a simple instrument, that met the needs of the sightless. He later took this system, which consists of a six-dot code in various combinations, and adapted it to musical notation. He published treatises on his type system in 1829 and 1837.

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Nero

Nero's full name was Nero Claudius Caesar Augustus Germanicus (37-68 AD). Nero was Roman Emperor from 54-68 AD; during the first years in power he stood under the influence of his teacher Seneca. In this period he was very successful in inner politics and abroad, for example in Britannia. Soon he changed into a selfish dictator, had his brother, mother and wife killed and probably burnt Rome, blaming the Christians for it. More than in political affairs he was interested in arts. when he was dismissed in 68, he committed suicide.

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