Thanks to the detour into the semantics of communications 2.0 and a wander through miio, I arrive at the Barcelona PR Principle Three just as the debate has become quite a “kerfuffle”. Sorry, but expect a long post.
For those visitors who aren’t PR mavens, Advertising Value Equivalents are dollar values that result from a formula that tries to estimate what the coverage of a Public Relations campaign would have cost if it had been executed through advertising.
The formula is appealing to many organizations because it allows PR to present itself in what is usually a pretty great light. The ROI for PR work as evaluated through AVE almost always justifies the spend on PR.
The issue of course is that the formula is an estimate that bases a hard dollar value on a number of assumptions, and that when these assumptions are wrong, they produce an inflated result that has no real connection to the actual outcomes of Public Relations, which ultimately erodes the credibility of Public Relations measurement in general. This is a real problem of AVEs. » Read more…




