Something that most of our clients ask after they receive the PR report is, what are these values highlighted as PR value and Advertising value. If you also thought the same, you’re not alone. PR value and Advertising value are the most commonly cited metrics in any campaign report, but they rarely get a proper explanation.

What is Advertising Value? 

Advertising Value, sometimes referred to as Ad Value, is the cost of buying the equivalent amount of space in a publication as an advertisement. So if a full-page ad in a newspaper costs LKR 50,000, and your brand gets a full-page article in that same paper, the Advertising Value of that coverage is LKR 50,000.

It’s essentially asking: what would this have cost us if we’d paid for it?

What is PR Value?

PR value takes Advertising Value a step further. The idea behind it is that editorial coverage, a journalist, or a publication choosing to write about your brand carries more credibility than a paid advertisement. Readers trust it more, engage with it differently, and are less likely to dismiss it.

To reflect that, PR Value applies a multiplier to the Advertising Value. The most widely used multiplier in the industry is three, meaning:

PR Value = Advertising Value x 3

So that same full-page article would carry a PR Value of LKR 150,000.

Why does the difference matter?

Advertising Value tells you the media cost. PR Value attempts to capture the credibility premium that comes with earned media. Neither is a perfect measure, and it does not measure how successful a campaign has been. But together, they give you a clearer picture of what your coverage is actually worth, beyond just the space it occupies.

For marketing managers reviewing campaign reports, the key takeaway is that Ad Value tells you what you saved. PR Value tells you what you earned.

Want to know what your PR coverage is actually worth?

At GoodPR, we break down every piece of coverage so you always know the value behind the numbers. Get in touch with us today, and let’s talk about your PR.