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PR Fuel: Turn the Economic Downturn into Good PR
I spent last Saturday in Philadelphia catching up with a
friend and taking in a Phillies game. It was a beautiful day
out and I was excited to be in the City of Brotherly Love
after a long absence.
In a scary sign of the times, after doing the math, I came
to the conclusion that it was cheaper to take the train than
to drive. A longtime conductor on Amtrak's Keystone line,
which goes from New York to Harrisburg, PA via Philadelphia,
agreed. He told me that he couldn't remember the trains ever
being so crowded, a sign in his opinion that people were
leaving the car at home and hitting the rails.
With the economy clearly in trouble and with little hope on
the immediate horizon, some companies are reaping rewards
from the misery of others. It's not a bad thing, just an
opportunity that presents itself and should be taken
advantage of.
To its credit, Amtrak is doing a good job of getting the
word out that the train is a convenient and cost-effective
alternative to automobile and air travel. Based on anecdotal
evidence, the government-owned company, which is often
treated callously by lawmakers and as the black sheep of the
travel industry, has stepped up its public relations
campaigns and advertising. Thus far, the moves are paying
dividends.
High gas prices are a boon to Amtrak not just because the
company sees an increase in travel, but also because it sees
a change in attitudes. Illinois Senator Dick Durbin, for
example, is pushing Amtrak to refurbish rail cars that have
been stuck in storage so that the company can add more
capacity to meet demand. Durbin and others are leading an
effort in Congress to approve more funding for Amtrak,
leading to the type of public relations victories that
companies such as rail car manufacturers usually have to pay
lobbyists for.
Amtrak is not the only travel company benefiting from high
gas prices.
Greyhound and Coach USA, two of the country's largest bus
operators, each recently launched new services under
separate brands.
BoltBus, owned by Greyhound, travels to and from New York,
Boston, Philadelphia and Washington. MegaBus, Coach USA's
offering, travels to and from a number of cities in the U.S.
and Canada, but recently expanded its Northeast service to
compete with BoltBus. Both companies offer cheap tickets,
new buses and free Wi-Fi. Both companies also aim to compete
with the infamous "Chinatown buses," privately owned bus
companies that offer extremely cheap trips on Northeast
routes. (The buses were traditionally used by the
Chinese-American community to get to and from various
Chinese population centers in the Northeast, but college
kids figured out the deal about a decade ago and the buses
have become increasingly popular outside of the
Chinese-American community.)
BoltBus and MegaBus are taking advantage of high gas and air
travel prices with aggressive public relations and savvy
online marketing. Appaloosa Express, a local bus company
operated by the Nez Perce Tribe of Idaho, has done so as
well.
"We're packed on the buses," Wenona Andrew, transit dispatch
supervisor for the Nez Perce Tribe, told The Fremont
(Montana) Tribune. "We don't have enough seats. We're
looking at getting more buses."
A weak economy is certainly not a positive thing, but it
does not have to be a negative thing if your company or your
clients can offer a cheaper alternative, discounts or better
bang for the buck. The media is currently eating up stories
about companies big and small that offer consumers salvation
from high gas prices, inflation and paychecks stretched
thin.
The key to pitching a "money-saving" story is crafting a
clear pitch indicating how a product or service offers a
cost-effective alternative to a more established entity.
Side-by-side cost comparisons jump out and grab the media's
attention, giving reporters an easy starting point for a
story. The convenience factor also plays into a pitch
because consumers want to know whether a cheaper price means
more, less or the same amount of convenience. Moreover,
quality matters. A pitch should make clear that cheaper does
not mean less quality, just more bang for the buck.
In Fort Worth, Texas, for example, the Fort Worth Cats are
drawing more than 5,000 customers per game. The numbers are
impressive for a minor league baseball that is not
affiliated with any major league team (this means that
players on the team have little to no chance of ever playing
in the major leagues) and does not compete directly in a
market with the major league Texas Rangers and two more
established minor league teams where future major leaguers
play. More impressively, customers can get into the stadium
for as little as $4, or less than the cost of a gallon of
gas, and the team has won three consecutive league
championships, which is three more than the Texas Rangers
have ever won.
"There's a lot of competition for the sports dollar, but we
feel we offer the most affordable ticket prices in a great
atmosphere," Emil Moffatt, the Cats' assistant vice
president of communications and radio announcer, told NBC 5
in Dallas.
Tying economic savings into other trends is also important,
and that's what Burpee has been doing.
The company with a funny name is one the nation's largest
seed and plant producers. Burpee owner George C. Ball, Jr.
recently told The New York Times that sales of vegetable and
herb seeds and plants are up 40% year-over-year due to a
combination of rising food prices, health scares related to
mass-produced vegetables, more awareness of global warming
and a healthier attitude among customers. Another factor
driving sales has been something that people have more of
because it's the cheapest thing on the planet: time at home.
"Food prices have spiked because of fuel prices and they
redounded to the benefit of the garden," Ball said. "People
are driving less, taking fewer vacations, so there is more
time to garden."
Economic downturns are painful experiences, but there are
plenty of companies that prosper during such times. These
companies need to take advantage of the opportunity and use
it to highlight the benefits of more affordable products and
services. Affordable is chic right now and consumers are
desperately searching for cheaper alternatives. Strike while
the iron is hot.
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Ben Silverman is currently the Director of Development and a
Contributing Editor for Indie Research
(http://www.indieresearch.com), an independent investment
research service. Previously, Ben was a business news
columnist for The New York Post and the founder/publisher of
DotcomScoop.com. He can be reached via email at
bensilverman@gmail.com.
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