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2019 Relevance Report 2019 Relevance Report The mission of the USC Annenberg Center for Public Relations is to connect corporations, agencies, academics and students to define the future of our industry and to develop those who will shape it. Our annual Relevance Report identifies emerging issues, examines current strategies and forecasts future trends. 89329 Annenberg Fall Relevance Text.indd 1 10/16/18 5:06 AM Table of Contents Fast Foreword .........................................................................1 COMMUNICATIONS Change Management and the Role of Communications .......2 The Moneyballification of Communication ..........................4 When Brand PR Teams Become Emergency Responders .....6 Cracking the Code on Employee Communications ..............8 We’ve Come a Long Way, Baby! ...........................................11 MARKETING Z-tail Therapy: Gen Z Shoppers Spark Retail Renovation ....14 Is Influencer Marketing a Fad? .............................................16 What Is Branded Content and Is It Ethical?........................18 The Answer Is “Earned First,” Now What Was The Question? .....................................................................20 Bringing “Promise” to Life to Build a Modern, Authentic Brand ....................................................................................23 Brands as People: The New Rules of Advertising .................26 Marketing in Today’s Polarizing Times ...............................28 MEDIA Listen Up: Podcasts Have Spoken ........................................32 The Role of Artificial Intelligence in Financial Reporting ...34 Breaking Through the Content Clutter in Entertainment PR ...............................................................36 89329 Annenberg Fall Relevance Text.indd 2 10/16/18 5:06 AM SOCIETY AND ETHICS Why Having a Family “Row” About Technology Isn’t All Bad .................................................................................40 Above and Beyond Thoughts and Prayers ............................42 Connecting the Dots ............................................................44 Flip the Script: Inclusion and Diversity ................................46 Let’s Make a Deal ................................................................48 #MeToo, #TimesUp & Now What? ....................................50 Black, Brown & Red Are the New Green ............................52 Setting an Example for Civility ............................................55 “Take a Stand!” Pressure Grows on CEOs ...........................58 Rekindling the Civic Imagination ........................................62 The Evolution of Ethics, Revisited .......................................66 Leave the Gate Open for Women Gamers...........................68 Communication Should Bridge Social Divides ...................70 TECHNOLOGY An Autonomous Future Will Be About More Than Good Technology ...........................................................................72 Business Communication in a 5G World .............................74 The Future of Health Technology Communication .............77 Health Tech Communication Reloaded ..............................80 Beware the BAT! ..................................................................84 PR Professionals vs. Chatbots: Who Will Win? ..................88 The Reboot of Tech PR ........................................................90 89329 Annenberg Fall Relevance Text.indd 3 10/16/18 5:06 AM FRED COOK Director, USC Annenberg Center for Public Relations Chairman, Golin As director of the USC Center for PR, Fred advances the study and practice of public relations through research, education and innovation. He is also the chairman of Golin, one of the world’s larg- est public relations firms, with 50 offices around the globe. For the last 30 years, he has been providing marketing advice and crisis counsel to blue-chip companies like Nintendo, McDonald’s and Toyota. Fred is the author of Improvise: Unconventional Career Advice from an Unlikely CEO. 89329 Annenberg Fall Relevance Text.indd 4 10/16/18 5:06 AM Fast Foreword BY FRED COOK When Stephen Hawking said, “Intelligence is the ability to adapt to change,” he must have been talking about the Public Relations profession. Because 2017 turned out to be another year of disorienting change in our industry - driven by five T’s. Technology, transformation, transgression, turmoil and, of course, Trump. We experienced data driving marketing and cars driving themselves. We saw the Senate attacking Google and Amazon gobbling up Whole Foods. We witnessed CEOs fired for sexual harassment and criticized for smoking cannabis. We viewed teens marching on the Capitol and NFL players kneel- ing on the field. We watched Nike sneakers going up in smoke and Toys “R” Us going down in flames. According to USC’s Global Communications Report, 75% of communications professionals believe this dramatic pace of change will continue well into the future. Many admit their organizations are not fully prepared, but most agree this forward momentum will propel the growth and importance of the indus- try, despite increasing competition from other disciplines and growing confu- sion about what we actually do. As the communications world becomes more complex, PR executives must become more sophisticated. Reading the USC Relevance Report is one way to do that. If you peruse these predictions from leading communicators and academics, you may not end up as smart as Stephen Hawking, but you will discover valu- able insights into the future of one of the world’s most dynamic professions. 1 89329 Annenberg Relevance Text Rev.indd 1 10/18/18 9:48 AM COMMUNICATIONS Change Management and the Role of Communications BY DON SPETNER How would you like to be running an your dealers, your shareholders, your automobile business today? How about suppliers and your customers. But you a toy company? Media conglomerate? also have to keep motivating the three Hotels? Maybe own retail stores? hundred thousand employees who are currently engaged in building and selling Virtually every client I work with is your vehicles, and somehow keep them dealing with some form of disruption focused, happy and productive. or change, and for many, it means the very survival of their business. A recent survey of top communica- tions executives by the Gartner Group The management of disruption is a identified "Employee Change Fatigue" pervasive and phenomenally difficult as the number one strategic challenge challenge. If you're a car company, for facing corporate communications example, you know that the future of departments in 2018. Not surprisingly, your enterprise will involve electric the study noted that Change Commu- vehicles, self-driving cars, and rideshar- nications was the top priority for the ing competitors. This means that the past three years, and will be again for core of your business is under threat. the coming year. Thus, you must prepare your constitu- ents for massive change: your workforce, More often than not, organizations Don Spetner is a senior corporate advisor for Weber Shandwick Worldwide, offering counsel and expertise on the role, structure and efficacy of the communica- tions function. He is a member of the USC Annenberg Center for PR Board of Advisors. 2 89329 Annenberg Fall Relevance Text.indd 2 10/16/18 5:06 AM engage management consultants, like there is a great deal of executional work McKinsey or BCG, to help develop that goes along with strategy consult- a strategic blueprint for transforma- ing. And they want a piece of it. tion. This might involve the dives- titure of existing lines of business, The second is the emergence of strategic acquisitions, or the creation Employee Engagement and Change of new distribution channels. But the Management practices by the big, glob- heavy lifting of transformation, the al public relations agencies. At Weber actual execution, is left to the senior Shandwick, this practice is one of the leadership of the organization. And fastest growing in the company, and the dauntingly difficult challenge of similar offerings can be found in other convincing multiple, entrenched stake- large agencies. There is increasingly holders that change is not just neces- high demand for this service. sary but also good is frequently left to the communications function. The third development, and perhaps the most notable for the industry, is The communications department is the increasing role that the communi- often under-resourced and unprepared cations function is playing in driving for the challenge. It's a long-running change throughout the organization. truth that businesses will pay millions Culture change has historically been of dollars for strategy consulting, but are led by the HR department, but this is stingy with resources when it's time to beginning to evolve. It is not uncom- communicate and inculcate the trans- mon now to see change management formational change that lies ahead. This being led jointly by HR and Commu- imposes an extraordinary burden on the nications, and in some cases, solely by communications function. the communications department. But this dynamic is changing, and it's The implications for the industry are being driven by market necessity. significant. Corporate communica- tions departments need to be staffed The new paradigm is visible through with professionals who have consult- three emerging trends. The first is a ing and organizational development movement by management consult- in their backgrounds. Analytical tools ing firms
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