As part of our series of articles about international public relations, this blog post will focus on PR in Australia and New Zealand.
Both Australia and New Zealand are predominantly English-speaking countries with top-ranked press freedom (higher than the United States and the U.K.). Consumers in both nations enjoy a high standard of living and have access to products from around the world. Cities in Australia and New Zealand regularly appear in the top ten on the Economist’s ranking of the world’s most livable cities. The business framework in both countries is similar to those of industrialized Western economies.
Because of these factors, doing business in Australia and New Zealand seems familiar and comfortable to many people from overseas, but perhaps as a result, they also tend to overlook the differences. Each of these countries has its own unique culture, set of norms, and market characteristics. And while Australia and New Zealand are geographically
close and share some things in common, they also have differences that must be addressed when developing a marketing or communications campaign for both “down under” countries. (“Down under” is a colloquial expression that refers to the fact that these countries are in the southern hemisphere, below most others on the globe).
We are fortunate to feature an interview on PR in Australia and New Zealand with two experts on this topic: Dionne Taylor, founder and director of Polkadot Communications in Sydney; and Fred Russo, director, Botica Butler Raudon Partners & Passion PR in Auckland. Both agencies are members of PR Boutiques International.
With almost 26 million people, Australia is the only place that is an island, a continent, and a country. Australia’s multicultural mix started with its indigenous people, who have lived in Australia for more than 50,000 years. They now account for close to three percent of the country’s population. English and Irish settlers arrived in the late 18th century, European immigrants came after World War II, and in more recent decades, waves of Asians and Africans have made their home there. Australians see themselves as easygoing, outgoing, casual, and friendly, and they hold a social ideal of equality.
About 40% of Australia’s land is uninhabitable desert. Most of the population live in or near the coastal cities.
New Zealand, with only 4.8 million people, was initially discovered about 800 years ago by the Māori people from Polynesia. Europeans began settling in New Zealand in the mid-1800s. As of 2018, people of European descent accounted for about 70% of the population, with most of the rest split between Māori, Asian, and non-Māori Pacific Islanders. New Zealanders are often called “Kiwis,” a nickname derived from a little flightless bird unique to New Zealand. According to the country’s travel website, New Zealanders see themselves as friendly, down-to-earth people who are somewhat quirky but quite adaptable.
Auckland, New Zealand’s largest city, accounts for 1.6 million of the country’s total population, and over 87% of the population live in urban areas.
PRBI: The Public Relations Institute of Australia was founded in 1949 and the Public Relations Institute of New Zealand (PRINZ) was established just five years later, in 1954. Since PR has been around for so long in your countries, it must be very well-accepted and understood by the business community, right?
Taylor: Yes, I would assume so, given there are quite a lot of agencies of all sizes and focusing on all industries, and also offices of global agencies throughout Australia. There is a deep appreciation and respect for the PR industry here, despite our country’s tiny media landscape.
Russo: I have to disclose I’m on the board of PRINZ, and the answer to your question is a resounding yes. Local businesses understand that PRINZ is a mark of distinction and that being a member of PRINZ means you’re committed to working in the interest of your clients and by our code of ethics at all times.
PRBI: The type of media in a country and its characteristics have a big effect on how media relations is done. Can you tell us a little about the media in your country?
Taylor: We have a minimal media landscape. We have one national newspaper (yes, only one) and newspapers and TV channels in each state and territory (there are only six states and two territories). We do also have community media, which cover the community newspapers in suburban areas. During COVID-19 these were on hiatus, but they’re making a comeback now, which is great. Our one major national newspaper and the individual metropolitan media outlets and TV programs often share and syndicate coverage and localize where they can.
Russo: We have two major TV broadcast news stations and one national radio broadcaster, RNZ, which has two private competitors in the news space. There are also two significant print and online news publishers. It’s a small pond, and everyone is very close. This media backdrop puts a premium on media relations and the durability of your relationships with journalists. It’s critical to demonstrate that you understand the game and come bearing useful information, with well-thought-out stories and pitches. If you come across as a time-waster, it’s very hard to get back into the good graces of journalists.
PRBI: Is there any interaction from a communications/PR point of view between your two countries? For example, would one of your clients ask you to handle PR for both countries? Are PR campaigns ever conceived of jointly for both countries?
Taylor: Yes, this does often happen, but I don’t begin to attempt to be a PR expert in a country that is not my own, so I will refer the business. On the flip side we have attracted New Zealand brands breaking into our market that have hired us to help with PR in Australia.
Russo: This happens on occasion, usually from Australia to New Zealand. However, after a period of time most brands find that Aussie and Kiwi are not interchangeable, and bespoke strategies and tactics are needed for both markets. When things are conceived jointly, they tend to do well. But if you try and transplant an Aussie idea into New Zealand, or vice versa, the results diminish.
PRBI: If the traditional media in your country are as hard-hit and shrinking as much as they are almost everywhere else in the world, what are the most important strategies and tools you have been turning to as alternatives to earned media? Have your clients accepted the new PR realities or are some of them still looking for prominent traditional media coverage as the measure of your success?
Taylor: There is a great need for re-educating clients on the value of media coverage – quality over quantity. We have been saying this for a long time but it is even more pertinent now, knowing that our pool of potential media outlets is growing ever smaller. Despite some media outlets coming back post 2020, there is still a very small landscape for us to pitch to across all industry sectors that we represent – this is predominantly in the print space. Competition is fierce for TV coverage, so we turn to alternatives. We call attention and raise awareness to the benefits of appearing in podcasts, social media posts that drive consumers directly to the client’s website, working with influencers, and seeking brand partnerships. These all amount to what we consider to be PR, despite not all of it yielding traditional media coverage. It’s quality over quantity, with very aligned key performance indicators defining what success looks like for both agency and client.
Russo: New Zealand media has contracted significantly over the last five years, but the reporting remains fair and balanced. This has resulted in greater reliance on newsletters, podcasts, social media, micropublishing, influencers, and other ways to get the message out. Some clients get it and some don’t – but it’s our job as leading practitioners to educate them on why the old model won’t work.
PRBI: Please describe your country’s communications industry. I know that PR firms, ad agencies, and digital marketing agencies are converging. What advantages and disadvantages do PR agencies have in your market compared to other types of communications agencies? Is the PR industry consolidating with a lot of sales and mergers?
Taylor: Yes, there are a lot of mergers and sales – and then the acquired agencies act independently despite the fact that they are part of much larger conglomerates. We are a specialist PR agency, so when brands are looking for this to be part of their media wheel they come to us. It’s a bonus if they’re using other marketing tactics such as paid/sponsored content, or any above the line communications or creative, but we don’t rely on those to achieve earned media. We are always happy to collaborate with a variety of agencies working on the same account. In fact, it’s in the best interest of the client, so we do this often.
Russo: We have a regular cycle. Currently we’re in the “One Agency to Rule Them All” phase. Soon we’ll be in the “Get me a trendy boutique firm” cycle. It’s pretty balanced over here, and because New Zealand is small, reputation plays a huge role. People know that BBR is a discreet firm that provides exceptional service. When you have that reputation, good work will find you.
PRBI: We have seen what used to be a much higher wall between advertising and editorial in traditional media coming down a little in the U.S., and coming down a lot in the trade media, due to the financial pressure the media are under. Have you found that this is happening Down Under as well? If so, what are the consequences for your agencies and your clients?
Taylor: I can speak to this – it has certainly happened with influencers in Australia. Often they don’t want to be paid in product or experience, they want those plus cash. For traditional media, there have been occasions where “pay to play” is necessary, but not in all circumstances. I would not say the industry is suffering for this. Maybe it is yet to come…in which case budgets will be even further stretched.
PRBI: How big a role is influencer marketing playing in your country? Is influencer marketing growing or shrinking in importance?
Taylor: It’s on the rise – there are many agencies managing influencers and influencers require payment for reviews (on top of receiving the product or experience). With a shrinking media landscape for some clients, particularly those that are driven by social engagement and e-commerce, influencers are important.
Russo: The influencer ecosystem is strong in New Zealand. When done right it’s effective and a great tactic to utilize. I think the mass spectrum influencers are waning, and smaller more targeted influencers that can directly link to sales are growing in importance. It’s tricky, because platforms and the personalities associated are changing rapidly. Anyone operating in this space needs to stay hyper-aware of what’s happening in the influencer industry.
PRBI: Is social media handled mostly internally by your clients or by agencies?
Taylor: In some instances we manage the social media for our clients, sometimes they handle it themselves and lean on us for support without execution, and some clients have external specialist social media agencies that manage their paid performance predominantly while they (or we) handle their community management.
Russo: It’s a mix between inhouse and agencies. Sometimes it’s one, the other, or both with specific duties. It’s also very budget-dependent. Those who can afford to outsource do.
PRBI: Do you have any comments on the trend now and the future outlook for the balance among PESO – Paid, Earned, Shared and Owned communication?
Russo: In New Zealand, paid is on the rise. In the trade verticals especially, pay to play is becoming very common. You really need to have a great story to secure earned coverage. With mainstream media, a good story is a good story, but those media outlets have other sources of revenue. Shared and owned media are static.
PRBI: What do you see as the most urgent public relations challenge most of your clients face right now – budgets? Internal communications? Competitive challenges? Keeping up with tech? Other?
Taylor: For PR in Australia, the biggest challenges are needing to pay to play, and a shrinking media landscape.
Russo: For us, it’s internal communications as well as issues management. The pandemic has fractured the workplace into an endless loop of teleconferencing. It’s hard to communicate culture in that respect, so how a business speaks to its people is becoming more important. We’re all scrambling to find a consistent way to talk to employees about what matters and how they can best serve their customers.
In the issues arena, people are far more media savvy. They know how to work the referees, by that I mean normal people know how to spur social and traditional media into picking up their narratives. Any motivated individual can get journalists and the wider public to amplify an issue or a decision that they feel is unfair. Whether the issue is not getting a product delivered on time or someone asking you to put on or take off a mask, online outrage comes easily. And no matter what the situation is, there’s a group of people waiting to amplify a story to large crowds of likeminded (or just malicious) individuals. It’s a new thing, and it’s hard to predict how long the phenomenon will exist.
PRBI: What are the biggest hurdles you have to overcome right now as PR agency management? Finding good staff/staff turnover? Client turnover? Being able to charge enough? Keeping up with new tech? Staying abreast of constantly changing social media trends? Fake news? Other?
Taylor: A shrinking talent pool, and keeping abreast of a constantly changing media landscape and social trends.
Russo: There’s a real issue with hiring right now. The middle tier, the account manager level of professional, has all but disappeared. They are nearly impossible to find and even harder to hire. If you’re an account manager, have three to eight years of experience, are likely between 25 and 35, and are making less than NZ$85K a year, you’re not able to live in a major urban center in New Zealand. The cost of living is just too high, so you either change industries or move out.
This leads to the other issue. If you’re at that age and have kids, you need a flexible work environment. So you work from home, or from another region entirely. If you want a good account manager in New Zealand – if you can find one, you need to make concessions.