Behind the PR man's curtain: how RIAs can successfully deal with the media

Elizabeth’s note: Justin makes a powerful case for the positive value of public relations. Relationship-building with a reporter is often just as valuable to help you avoid a negative story — or at least to mitigate its damage. When I was a young health care reporter in a small town in Pennsylvania, lost in a sea of acronyms, one of the health care lawyers in town kindly offered to give me a primer on the business. Over time, he grew to be one of my most valuable sources — and someone I considered a professional friend. I never wrote a puff piece about him, but over time, I quoted him fairly frequently as an expert. I’ve no doubt it aided his practice. More to the point, when one of his clients was enveloped in a scandal that my editors wanted to play up, I held off on writing the story, waiting to get my lawyer friend’s perspective. With his input, the story was far less scandalous than it might otherwise have been.

Not long ago, an RIA colleague of mine somewhat reluctantly agreed to be a source for a reporter I offered to put him in touch with. You see, he had been in 2-3 articles in the past year and was never able to trace any business leads back to the press coverage. Other colleagues of mine have acknowledged that they were personally excited to have been quoted in a one-off story in The Wall Street Journal but professionally disappointed that no one seemed to notice.

Such tales underscore the both value and the challenges of engaging in media relations. Working with the press is a unique communications process from the creation of content, to outreach tactics, to conversing in an interview format. Media relations requires specific skills, a significant time commitment and the ROI can be difficult to track. Also, unlike other forms of marketing communications such as advertising or direct marketing, the end product is ultimately out of the RIA’s control. Reporters and editors publish based on an interview or press release without providing the finished product for any form of approval to their sources.

However, positive exposure in the press is an important aspect of developing a brand and unquestionably contributes to business development. A diverse presence across different forms of media reinforces a firm’s value proposition, builds brand awareness, and is a critical part of communicating with clients and prospects. Positive press offers value beyond the brand awareness you get from advertising. It reinforces your credibility and expertise to clients because they perceive sources as “vetted” through an objective media outlet. Also, the diverse range of PR firms and a well spring of web and other resources, make it possible for RIAs to implement a PR program cost effectively compared to most other marketing techniques.

The basics

Before diving in or speaking with PR firms or calling reporters, RIAs need to gain at a least a fundamental understanding of the elements of an effective media relations program. In the context of business development, media relations is an extension of a firm’s marketing that provides an additional distribution channel for its content. A key difference is that the content has to be tailored for media relations purposes and requires different tactics and elements.

Although there are many different ways to approach a media relations strategy, some common elements might be boiled down to:

Develop a comprehensive marketing strategy – Obviously, RIAs need to determine their firm’s value proposition and develop a basic strategy for reaching their target audiences. Then they should consider all of the possible vehicles for communicating with this target audience: advertising, direct marketing, events & seminars, web, social media, media relations and so on. Identifying opportunities to leverage efforts across multiple tactics. For example, content created for a speaking opportunity could be adapted for a client letter, commentary or educational materials for the media and advertised as available on your website.

Develop specific PR messaging for the firm – The language used to describe a firm in marketing brochures frequently is a turn-off to reporters and editors. Distill the firm’s value proposition down to 3-4 simple points that make it easy to blend the firm’s strengths into a discussion of any related topic. Avoid jargon, overused language and marketing speak. (For example, the RIAbiz editorial staff told me they are particularly tired of phrases like holistic integrated wealth management solutions!)

Develop thought leadership content that educates or informs – Thought Leadership is a major buzz word in marketing circles. To reach media effectively, this content needs to provide some value to reporters. It should inform, educate or take a position on a topical issue. Well conceived content establishes expertise and credibility. Examples of good thought leadership might include: commentary on the impact of the health care bill on Americans’ retirement; research-based insights on global investing; or an economic outlook for the remainder of 2010. Bad examples include content that essentially provides a veiled product or sales pitch.

Get media trained! – Speaking with a reporter is a unique form of interpersonal communication that requires specific training to do well. While most reporters aren’t out to destroy anyone’s reputation, they are in the business of writing interesting stories. A poorly prepared spokesperson may be left out of a story or easily become an unwitting victim of a negative story. Also, RIAs in particular need to be familiar with their compliance constraints.

Engage reporters – Successful media relations is about the relationship. Provide reporters with valuable content, be available and accommodating, and RIAs can become an important information source. Over time, this will translate into regular exposure in press articles.

Commit the time – Just as with clients, nurturing relationships takes time. To be successful, RIAs need to commit to spending at least a few hours every month on engaging reporters and remain committed to the effort.

Fully leverage positive press – You have to help people notice your positive press. Let clients and prospects know when you appear in the media. Post links or reprints to the news section of your website (with proper permissions of course).

Getting help and getting started

RIAs seeking professional PR help will find a potentially confusing cloud of PR and marketing firms. There’s a lot of overlap among PR, design, web, advertising and marketing firms. All may suggest they offer PR services – but the definitions will vary. Most pure or focused PR firms offer a suite of integrated marketing communications services and likely offer a stronger focus on media relations specifically.

Costs will vary widely from $1,500 to $15,000 per month depending on the exact services an RIA needs and the type of firm, e.g. freelance PR consultant vs. mid-size PR firm. For example, a freelance PR consultant may simply provide basic media outreach and coaching but not offer strong counsel on other areas of marketing communications. A boutique or mid-size firm may offer a one-stop solution to outsource all elements of a program from planning to content creation to execution. Either could be a great fit depending on an RIA’s specific plan and intended budget.

Most PR firms are happy to meet and discuss the basics of creating a strategy as well as their fee expectations. There is a wealth of resources for finding PR firms. Starting with this site, the RIAbiz.com directory offers profiles on a variety of marketing and PR firms. Other good resources include O’Dwyer’s, [https://www.odwyerpr.com/pr_firms_database/index.htm], the Public Relations Society of America [link: https://www.prsa.org/Network/FindAFirm/] or the Council on PR Firms [https://www.prfirms.org/index.cfm?fuseaction=Page.viewPage&pageId=477], both of which provide comprehensive education on public relations. PRSA also has local chapters, such as this one [https://www.prsa-wf.org/content.php?page=PR_Agencies] which can make it even easier to find a firm in your local market.

But possibly the best, most overlooked resource are custodians. Thanks to custodians ramping up their practice management value-added services, a range of consulting and do-it-yourself tools have become available, generally as part of an ongoing relationship. Some are available free to anyone.

For example, Pershing Advisors Solutions provides customers with access to a combination of internal and external marketing and PR consultants. Through their ValueAlliance program, RIAs can access industry leading vendors – including PR and marketing firms – at preferred rates. And for RIAs who want to execute their own PR or simply understand the PR process better, Pershing Advisors Solutions offers RIAs the Independent Advisor’s Guide to Public Relations, available through their website.

Whether RIAs outsource or do it themselves, media relations can be a very effective tool for building brand awareness and reinforcing credibility and expertise to clients and prospects. Because it takes time to build a consistent, positive presence in the media, RIAs need also to take long-term view and incorporate media relations into a more comprehensive marketing plan for their firms in order to derive the most value.

Justin Meise is a principal with River Communications, a White Plains, NY PR firm specializing in financial services for over 20 years. Justin welcomes comments or questions at jmeise@riverinc.com or through LinkedIn.