Industry vibe check 🌡️

So, let's take stock shall we? The last six months have provided me with a welcome break from the minutiae of PR industry coverage. But stepping back, if anything, has only made the broader shifts across the sector even more apparent to me — bolstered by a range of research assignments and speaking/listening engagements that I have conducted for various consultancies.

And so, the first edition of the Earned First newsletter will look at five trends that I believe are reshaping the public relations business at a fundamental level. As ever, I'm curious to hear your thoughts and — of course — I look forward to discussing how we can build this community together. If you're not a subscriber, you can sign up for free here and if you missed my announcement, that's here.

First, a little backdrop. There's no question that the PR industry is facing an incredibly challenging environment, with few markets or even sectors demonstrating the kind of growth that many of us had perhaps taken for granted in years gone by.

Specifically, a confluence of concerns have punctured the industry’s exceptional rebound from the lows of the Covid era, including:

• Economic volatility and broad downturns in communications spending, particularly in technology and healthcare
• Rising costs and inflationary challenges in many markets
• A ‘secret slowdown’ that often involves extended payment terms, never-ending pitches, and shifting budgets 
• Geopolitical concerns around US engagement with the rest of the world
• Increasing competition from other disciplines, amid a changing landscape that favours the rise of influencers 
• New expectations from a new generation of employees, particularly around working models and career progression 

Meanwhile, if we are talking about Asia-Pacific specifically, a number of structural issues are also slowing growth. Most prominent among these is China's prolonged slowdown, which has shifted the market from the key beacon of growth for Asia-Pacific PR networks towards a situation where it may well represent their greatest liability. Neither does China's increasing antipathy towards foreign business and consultancies help.

Elsewhere, Singapore's efforts to position itself as the region's primary hub remain hampered by rising costs, talent challenges and stagnant communications budgets. Hong Kong's presence is sadly diminished, while India’s strong economic growth is offset by persistent undervaluation of communications and PR counsel, from both a financial and strategic perspective.

If nothing else, it's certainly not boring. And while the prognosis above may call for a stiff drink or two, there are clear opportunities that are emerging from the current turbulence. Or, at the very least, important trends that are serving to significantly reshape the public relations landscape, as detailed below.