Renowned digital guru Mat Morrison left Porter Novelli last year to set up his own business Magic Bean Lab. We asked him if he’s missing PR and what he’s up to now.
Mat, what are your thoughts on PR now you’re out of it?
Well PR traditionally was all about not spending money. PR could say it was getting the same results as advertising for much less money. But the problem with that was that clients only wanted limited things from a PR agency. If they were getting coverage they were happy with that and at no point was there a sense that if a client doubled their PR budget then something great would happen. So if PR wants to grow it has to move into new areas but those areas are already very competitive.
What would you advise PR agencies to do?
I think they have to seriously rethink their offering. At the moment PR’s boundaries are set by client expectations. Areas such as digital are going to specialist agencies and they’re being paid out of someone else’s budget ie the TV budget, not the PR budget. PR doesn’t own that space. When companies have too many agencies all trying to do each others’ work they ask “what is PR?” and to them it’s reputation, crisis and issues, media relations and blogger relations and they want their agency to leave everything else well alone.
Can PR agencies cope with that?
PR can’t take on a TV ad sensibility – it doesn’t have the creative resources. The client is worried about its reputation and that’s what it wants the PR agency to deal with. If PR is going to compete for bigger budgets it needs to compete for other people’s budgets. An agency just starting out, for example, needs to define itself as a full-service agency so it’s not restricted by inter-agency relationships. This is why social media agencies are doing well. There’s no set of preconceptions.
So can PR agencies take on social media convincingly?
Yes, but they have to tell clients that it’s not about campaigns it’s about long-term relationships. At the moment everyone is concentrating too much on ‘media’ and not enough on ‘social’. Agencies are being paid to push stuff into social media, but it’s not about building a Facebook page, it’s about talking to people. If you want to go into social media then you have to commit. We’re always asked: “Do you do social media campaigns?” The answer is that a campaign is not a relationship. You can’t have a three-to-six-month relationship.
Should marketers even be using such a personal channel?
You have to understand that social media is not a channel it’s a set of filters that an audience has built around itself to reduce noise. There is nothing in our agency business models that has prepared us for that. Clients want to buy seeding and dissemination but social media is more core to the business than that. Return on investment and reputation are two different things. If you want fame that’s one thing but social media is about changing perceptions, and how do you measure that?
So what are you up to now?
I have Magic Bean Lab and a variety of other ventures. One of the things the Lab is working with Amazon Mechanical Turk. I’m trying to set up various ventures that bring human intervention into automated tasks. There are whole new research products that can be built around this. You can’t measure Tweets, for example, you need a human to do that. And there’s a whole workforce out there that’s not really being used. There are women working from home, there are people abroad. A virtual business can use anyone it likes from anywhere in the world.
The core of the business is setting up a Search Engine Optimisation (SEO) organisation that is friendly to PR, ie doesn’t send out releases just to get links. We’re into the crisis and issues area. Part of our offering is finding the blogs and pages that may be low down on Google but in the event of a crisis could become really important. For example, when the bullying helpline story hit, there was a blog that was very critical of the helpline that no one had heard of but suddenly became very important.
What final advice would you give PR?
I would say that if you’re not off-shoring then you need to. Agencies are always being asked to increase their efficiencies and using workers from around the world, even within their own agency networks, is one way to do it.


