Current Challenges in Financial PR

by Miriam Hanna, Director at MadlinHanna Consulting

The financial PR industry was bruised during the crash of 2008. Since coming out the other side of the recession it has had to adapt and change its approach to suit the more risk-averse and perhaps conservative market it now serves. The technical nature of working with listed businesses, supporting transactions and working to a financial calendar is unique and has its own unique challenges for agencies and their staff.

Offering more than just financial PR

Clients and briefs are increasing their remit all the time. There are very few instances where an agency can get away with offering pure financial PR as a service. There are more and more briefs that require a corporate element or a broader strategic communications picture. Upskilling and ensuring this wider expertise is available in the client teams is really important to winning more but also winning bigger.

Digital

Working within a heavily regulated environment where the slightest slip up could plummet the share price you can understand the hesitancy of clients and agencies to undertake digital work. Yes, the rest of the industry is already au fait with offering support on the digital side but the financial PR side is starting to understand it better. Not every business needs to be on Twitter, however, those that do need reassurance that the teams looking after those channels are up to date with regulation. Good websites and the collateral that goes with them need careful management and can be a lucrative part of a brief.

Project vs Retained

Speaking to agency heads over the last few months, there is a real sense that there isn’t a huge amount of retained work going around. The market has shrunk, for example, where you used to have several hundred AIM clients there are now only tens so there is less work to be won. However, technology has meant that the international markets are far more accessible so that can fill the gap and there is the opportunity to support all different types of fundraising. A steady stream of project work can lead to longer-term relationships if the offering of the agency becomes broader.

Overall the opportunities are there for Financial PR to adapt and move forward as the industry develops. It is moving at a pace and needs investment but the risk of sticking to the status quo is to make yourself redundant.

MadlinHanna Consulting is a recruitment consultancy specialising in corporate affairs, covering public affairs, corporate communications and financial PR. Contact us on 020 8088 4102 for more information or a confidential conversation.