MADISON, WI: Rayovac, the country’s third largest battery maker, has hired Burson-Marsteller to handle what likely will be a mid-six-figure IR and media relations program.
MADISON, WI: Rayovac, the country’s third largest battery maker,
has hired Burson-Marsteller to handle what likely will be a
mid-six-figure IR and media relations program.
The company has spent the last three years attempting to improve
earnings and its market position, yet its stock was dragged down earlier
this year by Wall Street concerns about consumer-goods companies.
’When you’re not a dot-com company, you struggle for analyst
recognition,’ said John Daggett, Rayovac’s director of marketing
services and corporate communications. The company has been working with
Young & Rubicam’s Chicago outpost on advertising since 1997. When it
came to PR, however, Rayovac did little more than ’kind of dabble with
it in the past,’ Daggett said.
Rayovac has seen its earnings grow roughly 33% annually over the past
three years and recently reported a 19% jump in its fiscal
second-quarter earnings. While the company has seen its share of the
general battery market grow 35% over the past three years and its share
of the alkaline battery market go up 47%, apparently Wall Street isn’t
getting the message: the company’s common stock has been trading in the
dollars 20-per-share range, near its 52-week low of 16 7/8.
According to Daggett, Rayovac picked Burson because the company wanted
to make sure that its messages are ’cohesive’ and that ’there is an
understanding of where we go from here.’ Having Y&R companies working on
both ads and PR should ensure an integrated approach to communications
for the company, he predicted.
Daggett is still finalizing budgets for Rayovac’s next fiscal year,
which begins in October, and declined to comment on the specific amount
of money that will be handed to Burson.