Marketing Communications

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342 CHAPTER 10 PUBLIC RELATIONS

Table 10.10 Industry memberships

Role Industry or trade group
Founding Management
Committee member

Center for LNG (includes BG, BP, Shell, ConocoPhilips, Chevron and ExxonMobil), which
is an active participant on Capitol Hill and provides information on LNG to the press
Member of the Board of Directors Interstate Natural Gas Association of America (INGAA)
Founding member University of Texas LNG consortium (includes BG, BP, Shell, ConocoPhilips, Chevron
and ExxonMobil and the US Department of Energy), which was set up to develop
public information from the basics to the safety of LNG
Member Groupe International des Importateurs de Gaz Naturel Liquefié, an international
association of LNG importers
Member Northeast Gas Association
Member Associated Industries of Massachusetts
Member New England Council

Chelsea Chamber of Commerce. Finally, the company is also
a major benefactor to charities and civic efforts, ranging
from partial scholarships to students to sponsorship of the
Little League baseball team. Moving beyond the City of
Everett, SUEZ also supports the Citizens Energy/Distrigas
Heat Assistance programme and the Courageous Sailing
programme, which teaches inner-city kids to sail.

Energy industry
The company plays an active role in several industry and
trade groups. This ensures that it is well informed on
significant issues (such as legislation) that could affect the
industry. Moreover, doing so allows SUEZ to have a say in
the messages that the energy industry spreads to the pub-
lic. Furthermore, these industry and trade groups provide
excellent networking opportunities. Table 10.10 presents
some of the groups SUEZ is a member of.

Customers
To cement its relationships with current and potential cus-
tomers, SUEZ uses both direct and indirect means of com-
munications. Direct communications consist of individual
contacts between the SUEZ sales force and the (potential)
customer. Indirect communications are obtained by:


  1. participating in key industry conferences where the
    company affirms its plans;

  2. press releases to, for example, the Northeast Gas
    Association, an association to which most of SUEZ’s
    customers and prospects belong.


Media relations
LNG is a hot, but also a very sensitive, topic. SUEZ is well
aware that reporters are eager to cultivate controversy on
LNG. Therefore, it is important for the company to help

frame the issue. To this end, the company has always
responded in a very timely and helpful fashion to any
requests for information and interviews, irrespective of the
day (business day or weekend) and time (day or night).
Besides these prompt responses, the company also
behaves proactively by spreading press releases, articles
and opinion pieces for various publications. For example,
in February 2005 Frank Katulak, Senior Vice President of
Operations for Distrigas of Massachusetts, wrote an opinion
piece for a trade magazine for the chemical engineering
profession on the safety of LNG and its operations to
counter the rumours of LNG ships being a natural target
for terrorists. Also, in the autumn of 2005 an article was
published in the Propeller Club Quarterly on the security
plan of SUEZ.
To conclude, SUEZ considers it business-critical to
communicate often and well with all the stakeholders
mentioned above. Remaining a credible company and
partner in the eyes of all stakeholders is one of the main
challenges that the SUEZ team accepts every day. As this
case clearly illustrates, PR activities are exceptionally
important to SUEZ. To make a comparison, advertising
equals only 5% to 10% of SUEZ’s PR investments.

QUESTIONS



  1. What type of PR has SUEZ engaged in?

  2. Is SUEZ using direct or indirect PR?

  3. What other types of PR could SUEZ have used? Which
    specific PR activities would you recommend?

  4. Which of the PR target groups discerned by SUEZ do
    you think is most important? Why?

  5. What do you think are the main objectives of the PR
    activities directed at the different target groups?


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