Re: "pr Spend" for Corporates
Business (corporate) expenditures range from zero dollars to millions,
depending on the size of the company and its commitment to
Public corporations (those that are traded on the stock market)
generally have separate investor relations budgets that would
substantially raise all of the numbers I am providing.
A global food service franchiser I handle projects for did virtually
nothing in PR until it hired Hill & Knowlton to handle crisis management
(only) after McDonalds was sued by a patron as a result of a hot coffee
spill by the patron. They recently hired a major U.S. agency for
on-going and broader representation and my guess is that the annual fee
is +or- $150,000. Most of the firm's communications dollars are in
advertising, aimed at bringing customers to the door. In fact, with the
exception of one major corporate asignment recently, all of my work has
been for a major franchisee who spends about $25,000 per year only.
I have a one-person agency that partners with other agency to serve
major, national and global clients, and some lesser firms. I will spend
about $2500 on PR this year.
An assisted living community (110 lusuryapartments with nursing care;
not a nursing home) now being launched via an integrated marketing
communications campaign is spending $10,000 in six months.
The global leader in telephony-based trading systems for the financial
services industry spend $175,000 (of a total budget of $1.2 million) on
PR, mostly product-related publicity and investor-releations work.
A recently completed internal communications brochure for 6,000 line
supervisors and uppermost management of the U.S. Postal Service cost
about $20,000 total. This project represents a fraction of what the
agency spends in both internal and external PR.
A major regional bank spends about $100,000.
There are no rules that I know of, but my experience over the years is
that larger companies spend between 10 and 15% of total budget on P.R.
fees, with out of pocket amounting to another 5-7%. But, again, the
exceptions are greater than the rule.
Hope this helps.
Eaton & Noble Strategic Communications