A recent article from The Economist claims that the current recession has increased the need for companies to utilize more PR, enhancing the status of PR in the marketing mix. As we reported last month, PR budgets are growing, while advertising budgets are being cut. 

A key reason cited by the article for increased need for PR is the changing media landscape. Fewer journalists are tasked to cover more businesses and industries, leaving them with limited time and resources. This leads to a greater reliance on PR professionals to bring them relevant story ideas and credible topics. 

Companies are relying on PR firms to help them determine consumer sentiment as expressed in social media and the Internet. Negative commentary in the online community needs to be addressed quickly and effectively, a strong suit for PR. 

Another reason PR is growing, according to the article, is that some initiatives formerly tied to advertising are now in the PR realm, such as live events and Web launches. In many instances, PR can be more effective and less expensive than advertising, an important factor that executives must consider when implementing these projects. 

The article cites increasing regulatory attention as another indication of the rise of PR importance. The FTC guidelines of "pay for play" are one example of the increased scrutiny of regulators on the PR industry. 

As digital media becomes increasingly important to everyday consumer activities, PR effectiveness will obtain greater visibility. According to the article, "The Internet offers various yardsticks, from traffic to cheerleading Web sites to numbers of Facebook fans, whereas the number of people who see a conventional advertisement is much harder to gauge."