Government PR: A Growth Industry

The U.S. General Services Administration (GSA), which acquires products and services on behalf of federal agencies, is "actively soliciting proposals from PR firms to be added to its list of pre-qualified contractors," reports O'Dwyer's. Currently, 171 PR firms are registered with GSA, "from the largest firms like Ketchum or Edelman to mid-sized and smaller shops." GSA says there is the "potential for tremendous sales growth" in government purchases of PR and marketing services. Estimated government spending on "public relations services" in 2006 totals nearly $4.8 million. PR firms also compete for non-PR contracts, such as those involving integrated marketing and advertising. The government has allocated $82 million and $25 million, respectively, for work in those fields in 2006.