Augmagazine_Layout 1 7/29/14 12:45 PM Page 1 Communications & new media Aug. 2014 I Vol. 28 No. 8 August 2014 | www.odwyerpr.com Augmagazine_Layout 1 7/29/14 12:45 PM Page 2 Augmagazine_Layout 1 7/29/14 12:45 PM Page 3 Augmagazine_Layout 1 7/29/14 12:46 PM Page 4 Vol. 28, No. 8 August 2014 EDITORIAL STUDY OF THE MOST, AND Financial world awash in bubbles. LEAST, RESPECTED BRANDS A study by CoreBrand shows who gets FACEBOOK REVENUES SURGE 6 26 respect in the corporate brand world. ON MOBILE AD GAINS Historic sales in mobile advertising GAZA AND UKRAINE REVEAL have pushed Facebook’s revenues into8 BREAKDOWN OF LAW bold new territory. Yale Professor Paul Kahn says interna- 28 tional law is being proven ineffective. TOBACCO GIANTS CONFIRM MERGER, GET PR SUPPORT PROFILES OF FINANCIAL PR 14 Reynolds American and Lorillard in & INVESTOR RELATIONS FIRMS July confirmed a planned merger valued9 at more than $27 billion. 30 RANKINGS OF FINANCIAL PR THE DIGITAL FOOTPRINT & INVESTOR RELATIONS FIRMS OF FINANCIAL PR 37 A financial client’s digital footprint PROFESSIONAL SERVICES AND can cause problems if it doesn’t 10reflect TRANSPARENCY who they are. Stakes are high for creating professional FINDING THE VALUE IN 38 services strategies, yet the environment VALUE EXCHANGE has never been more challenging. The more you can do to help key 41 influencers, the more they’ll be willing12 to HOW HUMAN RESOURCES www.odwyerpr.com help you. COMPANIES USE TWITTER Daily, up-to-the-minute PR news Social media, especially Twitter, is THE MISSING ELEMENT IN 40 about connecting with individuals, not WALL STREET RECOVERY the masses. Most financial leaders haven’t 14 noticed the rise in negative public atti- HOW IMPACT LITIGATION, tudes about Wall Street. WITH PR, CREATES CHANGE SOCIAL MEDIA & FSI A recent education equality case shows ORGANIZATIONS 41 how impact litigation, coupled with a Why the financial service industry good communications plan, can be an has been slower to adopt social 16 effective driver of reform. media as part of their marketing strategy. PROFILES OF PROFESSIONAL WHAT JOURNALISTS SERVICES FIRMS WANT FROM I.R. PROS 42 A great financial storyteller RANKINGS OF PROFESSIONAL requires understanding the voice of18 today’s EDITORIAL CALENDAR 2014 market. 49 SERVICES FIRMS January: Crisis & Buyer’s Guide PR GAINS BOLSTER Q2 WASHINGTON REPORT February: Environmental & P.A. EARNINGS AT CONGLOMS March: Food & Beverage PR gains by Omnicom and Interpublic firms underscored solid20 second COLUMNS April: Broadcast & Social Media quarter 2014 gains. May: PR Firm Rankings GIL SCHWARTZ DEFENDS PROFESSIONAL DEVELOPMENT June: Global & Multicultural Fraser Seitel DOUBLE IDENTITY 50 July: Travel & Tourism The CBS executive said the use of FINANCIAL MANAGEMENT August: Financial/I.R. pen names is an honorable practice.22 52 Richard Goldstein September: Beauty, Fashion, Lifestyle PR IN A POST-FINANCIAL OPINION CRISIS ENVIRONMENT 54 Jack O’Dwyer October: Healthcare & Medical Though it was six years ago, the PEOPLE IN PR November: High-Tech “Great Recession” still offers a primer24 on how to handle a future financial crisis. 55 December: Entertainment & Sports ADVERTISERS Abernathy MacGregor.....................................................3 Joele Frank, Wilkinson Brimmer Katcher.......................19 Omega World Travel......................................................53 Bliss Integrated Communication......................................9 Kekst and Company.......................................................27 Peppercomm.................................................................23 Bob Thomas Productions..............................................41 Log-On..........................................................................51 Ripp Media....................................................................39 Brunswick......................................................................15 Makovsky.................................................INSIDE COVER Sard Verbinnen & Co....................................................21 Finn Partners.................................................................47 MBS Value Partners......................................................13 Sitrick and Company......................................................29 Gregory FCA..................................................................5 Nasdaq OMX...................................................................7 Sloane & Company........................................................33 ICR ...............................................................................17 National Investor Relations Institute..............................25 Strauss Media Strategies.................................................8 Intermarket Communications.........................................11 Nicolazzo & Associates..................................................26 Water and Wall Group….............................BACK COVER O’Dwyer’s is published monthly for $60.00 a year ($7.00 for a single issue) by the J.R. O’Dwyer Co., Inc., 271 Madison Ave., New York, NY 10016. (212) 679-2471; fax: (212) 683-2750. Periodical postage paid at New York, N.Y., and additional mailing offices. Postmaster: Send address changes to O’Dwyer’s, 271 Madison Ave., New York, NY 10016. O’Dwyer’s PR Report ISSN: 1931-8316. Published monthly. Augmagazine_Layout 1 7/29/14 12:46 PM Page 5 www.odwyerpr.comDaily, up-to-the-minute PR news O’Dwyer’s is published monthly for $60.00 a year ($7.00 for a single issue) by the J.R. O’Dwyer Co., Inc., 271 Madison Ave., New York, NY 10016. (212) 679-2471; fax: (212) 683-2750. Periodical postage paid at New York, N.Y., and additional mailing offices. Postmaster: Send address changes to O’Dwyer’s, 271 Madison Ave., New York, NY 10016. O’Dwyer’s PR Report ISSN: 1931-8316. Published monthly. Augmagazine_Layout 1 7/29/14 12:46 PM Page 6 EDITORIAL Financial world is awash in bubbles ubble here, bubble there, bubbles everywhere. As the Dow Jones Industrial Average EDITOR-IN-CHIEF smashed the 18,000 mark and marches toward 20,000, it’s useful to understand the Jack O’Dwyer [email protected] Basset world is awash in a sea of financial bubbles. The New York Times reported July 7 on the rise of the “everything bubble.” Neil Irwin ASSOCIATE PUBLISHER wrote “around the world, every asset class is expensive by historical standard.” You name it, John O’Dwyer it’s pricey. That goes from Iowa farmland to Manhattan office towers to junk bonds to New [email protected] York Stock Exchange-listed Blue Chips. Spain, a financial basket case two years ago when it was rocked by a financial crisis, now has investors snapping up government bonds that are ASSOCIATE PUBLISHER offering the lowest rate since 1789. Kevin McCauley Why the global bubble? More money is pouring into savings than businesses believe they [email protected] can use to make productive investments, according to Irwin. The world’s central banks, meanwhile, have kept a lid on interest rates and creating money from thin air to buy growth EDITOR in the wake of the financial meltdown. Jon Gingerich And what about that meltdown of the very recent past that triggered bailouts of the biggest [email protected] banks in the world? What global bailout. Happy days are here again. Makovsky released a poll in June that gauged the current reputation of the financial services sector. The top SENIOR EDITOR Greg Hazley response at 25% was “better than pre-financial crisis.” “Back to normal” (17%) ranked as the [email protected] second biggest response. Seventeen percent warned of “more big changes, regulations and shakeout to come” which was followed by “not out of the woods,” at 15%. CONTRIBUTING EDITORS Nearly eight-in-ten (78%) of Makovsky’s respondents credit the Dodd-Frank Act for Fraser Seitel restoring trust in Wall Street. Tell that to Republicans who view Dodd-Frank regulations as Richard Goldstein nothing more than expensive overreach. Scott Tangney, Executive VP at the New York City PR firm, said the 2014 Makovsky Wall Street Reputation Study shows “how far the financial Chandler Klang Smith services brands have advanced since the financial crisis.” That obviously is true. But the Editorial Assistant & Research 20,000 Dow hype is reminiscent of the frothy days of the dotcom bust. The froth sure was fun while it lasted, but the return to reality was painful to millions of Americans and many ADVERTISING SALES PR firms. Sharlene Spingler Former Federal Reserve Board Chairman Ben Bernanke has talked about the global sav- Associate Publisher & Editor ings glut. Companies are saving more, not by choice, but rather because they have crummy [email protected] spending options. Capital expenditures are slashed in the leading industrial nations of the John O’Dwyer world, while the much-touted BRIC countries are losing their own investment allure. Advertising Sales Manager Publicis Groupe’s globe-trotting Chairman Maurice Levy released financials showing a [email protected] 4.7 drop in revenues from the highly-hyped BRICs and MISST (Mexico, Indonesia, Singapore, South Africa and Turkey) bunch. Similarly, WPP CEO Martin Sorrell reported a O’Dwyer’s is published monthly for $60.00 slowdown in the Greater China region. Bernake frets that fewer opportunities will result in a a year ($7.00 for a single issue) by the surge in investments in riskier ventures, which sounds a lot like what led the world’s banks J.R. O’Dwyer Co., Inc., into trouble the last time around. 271 Madison Ave., New York, NY 10016. My former