Why PR Should Be Part of Every Exit Strategy

Why PR Should Be Part of Every Exit Strategy

An acquisition marks a turning point for a company, creating new opportunities and new communications priorities. One chapter may be ending, but an acquisition is the beginning of a new journey and PR should play an important role in shaping what comes next, whether that means accelerating growth, strengthening market position or expanding into new markets.

Smart Connections PR is often approached by companies with corporate acquisition as part of their long-term strategy. A recent example is PEAK:AIO. We began working with this exciting young start up in January 2023. They were focused on helping to change the dynamic of the rapidly evolving data storage and AI infrastructure market. Last week, it was announced that NetApp will acquire PEAK:AIO, combining PEAK:AIO’s metadata services and technology with its ONTAP storage operating system to further strengthen NetApp’s strategy for addressing the rapidly growing AI infrastructure market.

Whether a company is becoming part of a larger organization, operating under new ownership or positioning itself to be acquired, public relations can have a positive impact on the next stage in the growth cycle. Business leaders think of PR when it comes to securing media coverage and boosting brand awareness, but there is much more to what PR can bring to the table. For organizations with an exit strategy as part of their overall business plan, PR can help further establish credibility, illustrate forward momentum and tell a strong story of the company’s future.

PR Can Build Credibility

When an organization wants to pursue an exit, they want potential buyers to know the full story and recognize their credibility. They need a solid reputation, a strong competitive position and a knowledgeable leadership team. PR can help strengthen all of these and help to improve an organization’s standing within the industry. A successful PR strategy should include thought leadership, earned media coverage, executive interviews and bylined articles to offer consistent visibility. The strategy should not just focus on generating headlines, but to share a meaningful story to the right audience. Credibility takes time to create and a sustained PR program will help build a solid reputation and achieve business goals.

PR Can Demonstrate Market Momentum

If an exit strategy is part of your business plan, then it is important to illustrate why your organization is valuable and why another organization should invest in the next chapter. A strategic PR plan can help to highlight:

All of this can help to differentiate your organization and show solid and sustained momentum.

Position Executive Leadership as Industry Experts

When showcasing why your company is ready for an exit, prospective buyers want to know that they can trust the leadership team. A strategic thought leadership plan can help build confidence with potential investors and demonstrate that leadership has their finger on the pulse of the industry and understands challenges and offers solutions that anticipate changes in the industry. A strategy should include:

This elevated visibility will strengthen the company’s reputation, support business goals, attract new talent, and help distinguish its leadership from competitors. This goes a long way to making the organization more credible with current and potential stakeholders.

PR Creates a Clear Competitive Advantage

A potential buyer needs to see why your organization is a better investment than competitors. PR can help showcase customer results, technology innovations and establish a strong market position. Strong campaigns can help clarify what makes a business different through targeted media outreach, research results, executive commentary, and case studies can show how a company is solving customers’ challenges. This helps to establish market position and helps them to stand apart from the competition. A strong story will help stakeholders understand why an organization is a solid investment.

PR Prepares the Story Before the Exit

If an acquisition is part of the business plan, you can’t wait until you are ready for the sale to invest in PR. The company’s story needs to be established well before an exit. It takes time to develop brand awareness, reputation and share of market voice. Consistent communications needs to be an integral part of a company’s broader strategic planning ahead of a potential exit. This begins with identifying the right audience, solid business objectives, developing consistent messaging and creating a pipeline of stories that show progress.

If an acquisition is part of your business plan, PR is a long-term investment in that outcome becoming a reality. There is a need to establish trust, illustrate value and show a strong market presence. PR can help strengthen brand reputation, establish thought leadership and help stakeholders understand competitive strengths.  A solid and long-term PR program helps to lay the groundwork for a successful future exit.

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