Public relations is experiencing significant transformations as society, business, and technology evolve. Adapting to new technologies and changing consumer preferences, PR is continually evolving to thrive in today’s dynamic business environment. Here are the key trends driving the future of public relations in 2023:
1. Budget Shift: From Paid Media to PR
Global digital news consumption surged by 33% between 2019 and 2021, prompting brands to divert marketing budgets online. Escalating ad costs in paid media have led businesses to allocate more resources to PR outreach, emphasizing social media as a prime platform. Companies are reaping significant returns through earned media, outperforming paid advertising ROAS.
2. Community Building for Customer Engagement
Brand communities are emerging as powerful tools to boost customer loyalty and trust. Consumers are more likely to trust recommendations from other consumers within brand communities. Building and nurturing such communities allows brands to save on customer support functions while enhancing brand reputation and loyalty.
3. The Rise of Virtual Events
Virtual events are gaining prominence, focusing on interaction rather than reach. Hybrid events, combining online and in-person experiences, have become popular in various industries. The pandemic accelerated the adoption of virtual-only events, significantly increasing consumer participation and turnout. The virtual events industry is expected to reach $504.76 billion by 2028.
4. Purpose-Driven PR: ESG and Consumer Activism
Consumers demand ethical behavior from brands, placing ESG issues at the forefront. Businesses are expected to demonstrate transparency and report on ESG goals to meet consumer expectations. ESG investing is surging globally, and the market for sustainable brands is outperforming other brands in growth.
5. AI-Driven PR for Enhanced Insights
Artificial Intelligence (AI) is revolutionizing PR by assisting practitioners in analyzing vast amounts of news and predicting future trends. AI-based “listening tools” monitor news and sentiment analysis across social media, enabling brands to make data-driven decisions and improve customer engagement.
6. Live Streaming Takes Center stage
Live streaming has become a vital tool for businesses to engage audiences, especially since the pandemic’s onset. Brands across industries use live streams for interviews, QA sessions, and product launches. The live streaming industry is projected to reach $223 billion by 2028, with a CAGR of 21%.
Conclusion
As businesses navigate a changing landscape with increased consumer demand for ethical practices, PR plays a pivotal role in shaping brand reputation and loyalty. By embracing the power of virtual events, AI-driven insights, and purpose-driven initiatives, companies can thrive in the dynamic world of public relations in 2023.