https://theprpost.com/post/9876/

Edelman's global revenue dips below $1 billion amid challenging year

Edelman, public relations firm, has reported a decline in global revenue, falling below the $1 billion mark after two consecutive years above it. The firm's 2024 like-for-like global revenue, excluding currency fluctuations, totaled $986 million, a decrease from the $1.04 billion reported in 2023.The drop was particularly pronounced in the United States, Edelman's primary market, where revenues fell by 7.9%, from $639 million to $589 million. Similar declines were observed in the Asia-Pacific (APAC) region, with an 11.5% decrease, and the United Kingdom, which saw a 5.2% drop."It was a challenging year for PR, but also for the entire communications sector," acknowledged Edelman CEO Richard Edelman. Despite the revenue dip, Edelman emphasized that the firm's focus remains on providing comprehensive services rather than solely on size. "We're determined to get back there, but size was never a big thing for me. I just want to be big enough to have all of the industry sectors, practices and offices that enable us to be the premier communications firm," he stated.Several factors contributed to the revenue decline, including losses in key client accounts such as Adobe, Charles Schwab, and Dairy Management. Sector-wise, health, technology, and food and beverage were the most impacted.However, there were areas of growth. EMEA revenues saw a modest increase of 1.3%, with notable performances in the UAE and Saudi Arabia. Additionally, the government and retail sectors showed growth, as did financial communications.Edelman also underwent restructuring efforts, including layoffs and the consolidation of sub-brands, to adapt to the challenging market conditions. The firm also invested in AI, integrating its proprietary LLM product, ArchieAI, into its TrustStream platform.Despite the financial setbacks, Edelman celebrated creative successes, including winning a Titanium Lion at the Cannes Lions International Festival of Creativity. The firm also made strategic hires and promotions to bolster its leadership team.The company's leadership remains optimistic about its future, citing recent new business wins and the positive impact of its restructuring initiatives.
https://theprpost.com/post/8196/

Nikki Haley joins Edelman as Vice Chair

Former Republican presidential candidate Nikki Haley has joined global communications firm Edelman as vice chair of its international public affairs team. The announcement was made on Wednesday by Edelman CEO Richard Edelman.Haley is expected to join the firm this month.Nikki Haley emerged as the most significant challenger to Donald Trump's bid for the Republican presidential nomination in 2024, bringing a strong track record and impressive credentials to the table as she launches her campaign. But she suspended her campaign earlier this year following a series of primary losses to Donald Trump. Despite her initial criticism of Trump, she ultimately endorsed him for the GOP nomination.Haley, who served as the United Nations Ambassador and Governor of South Carolina, brings a wealth of experience to the role. Edelman praised Haley's success in attracting foreign companies to South Carolina and her leadership on global issues at the UN."Politics has become a critical consideration for clients in brand marketing, employee engagement, and reputation management," Edelman said. "In her time as Governor, Haley had great success in attracting foreign companies to South Carolina and as Ambassador to the UN, helped lead important work on global issues."  Haley expressed her excitement about joining Edelman's Global Advisory (EGA) team. "In a time of growing complexities in business, policy, and politics, brands need to anticipate what's coming next," she said. "Whether managing a crisis or celebrating a success, industry leaders must be ready to communicate clearly and share their vision forward."Since leaving the presidential race, Haley has remained active on various international issues, particularly American support for Israel. In April, she joined the Hudson Institute, a conservative think tank, as the Walter P. Stern chair.(Image: Renee Ittner-McManus / Wikimedia Commons)
https://theprpost.com/post/7097/

Edelman report reveals increasing political influence on brand loyalty

Political considerations are becoming a more significant factor in consumer-brand relationships, with an increasing number of buyers making decisions based on political alignment and assuming that companies are similarly politically motivated. This trend is highlighted in the latest Edelman Brand Trust Report.An extensive online survey involving 15,000 people across 15 countries?Çöincluding Canada, Brazil, China, France, Germany, India, Japan, Indonesia, Mexico, Saudi Arabia, South Africa, and South Korea?Çörevealed that 78% of respondents believe brands are taking political actions. This perception influences their purchasing decisions, extending even to neutral activities like selecting influencers, choosing social media platforms, and encouraging voter participation.The report also emphasizes the growing expectation for brands to take a stand on social issues. Seventy-one percent of respondents expect brands to take sides, and 51% interpret brand silence as an implicit admission of guilt or inaction. Furthermore, 71% believe brands need to address social issues to meet consumer expectations.However, brands face significant risks in this politicized environment. Sixty percent of respondents (a two-point increase from the previous year) claim they support or avoid brands based on political views. During the survey period from April 13-24, one in three participants was boycotting brands due to their stance on the Israel-Hamas conflict.Additionally, nearly 80% of respondents said they avoid brands headquartered in specific countries. Three-quarters of respondents in Saudi Arabia, Indonesia, and India reported a shift towards buying more domestic brands compared to the previous year.In the United States, the market presents unique challenges. A majority on both sides (51% of Republicans and 58% of Democrats) agree that brands can drive positive change, but their priorities differ. Republicans focus on job creation, fair pay, and retraining, while Democrats prioritize climate change, diversity, and ending racism. Two-thirds of Democrats are more likely to support brands committed to ending racism.Globally, 84% of consumers say they need to share values with a brand to support it. Consumers also expect brands to take more action on societal issues, including climate change (five to one), fair pay (four to one), and diversity (two to one).The findings suggest that companies need to go beyond advertising to convey their positive societal impact, with respondents citing the news media as their primary source of information on a brand?ÇÖs societal contributions.Edelman CEO Richard Edelman, in an essay, highlighted that political orientation is now as crucial as traditional demographics like age, gender, and income in shaping consumer perceptions of brands. He noted that the anti-woke movement is pressuring brands to avoid advocacy, and conflicts like Israel-Palestine and Ukraine-Russia are driving nationalism and a shift towards local brands. Edelman advised against avoiding politics, suggesting instead that brands should navigate these complexities to their advantage.With numerous elections and a significant portion of the global population voting, it?ÇÖs vital for brands to align their marketing strategies with their core values and maintain cultural sensitivity. He cited examples like McDonald's challenges in the Middle East, Modelo's campaign celebrating Hispanic work ethic in the U.S., Dove's initiative to keep young females in sports, and Ikea's recycling campaign. Ultimately, Edelman stressed the importance of brands standing firm in their values, as they play a critical role in providing hope and inspiration in a divided society.(Image by Megan Rexazin Conde from Pixabay)
https://theprpost.com/post/6235/

DJE Holdings launches new communications agency RUTH

DJE Holdings has launched RUTH, a new independent global communications agency.RUTH is named after Ruth Edelman, the cherished wife and business partner of DJE founder Daniel J. Edelman. The agency operates alongside established giants Edelman and Zeno, but with a distinct focus on providing fresh, innovative solutions to clients."The need for a third agency has been on our radar for a while," says DJE Holdings Chairman Richard Edelman. RUTH caters to clients seeking independent yet DJE family-connected expertise. It also serves as a tribute to Richard's mother, "an integral part of DJE's success story."Rana Komar, a DJE alumna with over 20 years of experience, takes the helm as RUTH's president. Komar emphasizes her connection to Ruth Edelman's legacy and vows to uphold her values of courage, hard work, and optimism.Ren??e Edelman joins as RUTH's Honorary Chairwoman, while remaining Senior Vice President at Edelman. Her involvement ensures the agency upholds her mother's core values, particularly mental health advocacy.RUTH's launch not only honours Ruth Edelman's legacy, but also positions DJE Holdings for continued innovation and prominence in the global communications landscape.
https://theprpost.com/post/5622/

Headwinds: Edelman revenue dips, eyes growth despite challenges

Edelman, the world's largest PR firm, faced a mixed bag in 2023. While experiencing a slowdown in overall growth and a significant decline in US revenue, the company witnessed positive performances in other regions and expressed confidence in its future prospects.Global CEO Richard Edelman acknowledged the year's difficulties, describing it as "a difficult year for the industry." This sentiment resonates with the broader PR landscape, following a period of modest growth for some of Edelman's competitors. Despite experiencing a global revenue decline of 3.7% to $1.038 billion, Edelman managed to maintain its position as the industry leader.The decline was primarily driven by a 9.1% drop in US revenue, reaching $639 million in 2023. This drop contrasted with the positive performances seen in other regions like EMEA (up 7.1%) and LatAm (almost 30% growth). Specific offices within regions like Dallas/Houston, Miami, Belgium, and the Middle East also saw encouraging growth figures.While acknowledging the challenges, Edelman pointed to its strong relationships with top clients as a key differentiator. The company highlighted the stability of its top 30 clients and the 6% growth achieved by its top 100 clients, demonstrating consistent value proposition in client leadership.However, navigating the evolving business landscape required course correction. Edelman acknowledged "staffing up in 2022" as a mistake, leading to workforce reductions and a renewed focus on more efficient business management practices. The global headcount dropped to 6,116 from 6,433 in 2022, reflecting this strategic shift.Despite these challenges, Edelman has undergone significant leadership changes in 2023, including the appointment of a new US CEO and other key positions. Richard Edelman expressed his confidence in the new team's ability to regain growth momentum.Looking ahead to 2024, Edelman sees potential for renewed growth driven by several factors. The increased activity in the AI sector and upcoming elections around the world present opportunities for the company's expertise in navigating complex communication challenges. While the article omits specifics regarding China due to its focus on a positive outlook, it acknowledges continued challenges in the region.Overall, 2023 presented a mixed bag for Edelman. While facing headwinds in the US market and adapting to industry changes, the company witnessed growth in other regions and remains confident in its future, thanks to its strong client relationships, leadership changes, and a renewed focus on business management efficiency. As the PR landscape continues to evolve, Edelman will be keen to translate its global experience and expertise into sustainable growth in the years to come.