Crains New York - July 23, 2012 - (Page 9)

SMALL BUSINESS Damage control: a booming niche M SURVEY SAYS BY ALEC FOEGE ontieth Illingworth has advised clients caught up in news scandals including the Bernie Madoff affair,the Dominique Strauss-Kahn case and the suit filed against photographer Annie Leibovitz when she defaulted on a restructuring loan. Acting as a combination of spin doctor, psychologist, management consultant and litigation adviser, Mr. Illingworth and his four employees at Montieth & Co., a boutique “special situations” consulof large tancy in Manhatcompanies tan, have done reported their job well if no experiencing a one is aware they reputationthreatening crisis have done it at all. in the past two In a previous years decade, headlinegrabbing business and corporate of chief communications crises were typically managed by officers say their firm can handle a large public relasocial-mediations firms and based crisis management adviSource: Spencer Stuart sory consultancies. and Weber Shandwick survey, 2012 But in today’s complex media universe, where major stories are broken on Twitter, the specialized expertise and lack of bureaucracy at smaller special-situations firms puts them in hot demand. “Montieth has a very detailed,integral understanding of litigation— what matters and what doesn’t,” said attorney Josh Epstein,chair of litigation and managing partner in the New York City office of SorinRand, who has hired Mr. Illingworth’s firm numerous times to manage media issues on sensitive finance-related cases.“He’s also very nimble in a way a larger firm couldn’t be.” a Democratic political strategist. That spells opportunity for smaller niche players, like his firm. 71% SAVE ENERGY, SAVE CASH, WITH GREEN INCENTIVES FOR MULTI-FAMILY BUILDINGS EARN UP TO $20,000 TO GO GREEN! 40% Flexible approach Some clients are also drawn by lower fees, enabled by the lean overhead at boutique practices. “Large firms are geared toward large engagements,” usually involving a partner and many associates—and often cost $50,000 to $75,000 per month, said Mr.Illingworth,whose firm brings in more than $1 million annually. To capture high-profile accounts, Mr. Illingworth emphasizes his team’s unconventional thinking. None of his employees has a traditional public relations background, said the former war reporter—and he considers their multidisciplinary To sign up for Crain’s SMALL BUSINESS newsletter, go to www.crainsnewyork.com/smallbiz. LET THE GREEN TEAM show you how your building can save energy and money. Visit conEd.com/greenteam or call 877-634-9443. Scan for more information. July 23, 2012 | Crain’s New York Business | 9 buck ennis Corporate clients turn to small advisory firms to end public relations nightmares approach an asset. When one client, a hedge fund, was sued by a former trader for wrongful dismissal,Mr.Illingworth’s solution involved hiring a forensic computer expert to unearth security violations by the litigant that contributed to the suit’s dismissal. “Everyone has to get on the same page and gather all the facts,”he said. Some larger players in the field are recognizing the strengths of tiny ones like Mr. Illingworth’s—and finding ways to tap their talents. Brodeur Partners, a midsize communications firm based in Boston, for instance, has created a partnership hub called the Circle Group, which corrals the participation of smaller firms such as Montieth & Co. and Logos Consulting Group on larger projects. “Small agencies are doing very inventive work,” said Andrea Coville, CEO of Brodeur Partners. Each boutique firm brings a particular expertise to a project. For in- stance, Logos Consulting Group focuses on crisis management, crisis communications and executive coaching.“We don’t talk to media or investors,” said Helio Fred Garcia, president.The small firms negotiate their own fees with clients but operate in tandem with Brodeur. Certainly, corporations and big corporate communications consultancies are adapting to the evolving media landscape. However, “it’s all so fragmented now,” said Joe Trippi, DEFUSER: Montieth Illingworth helps clients avoid media disasters. http://www.conEd.com/greenteam http://www.conEd.com/greenteam http://www.crainsnewyork.com/smallbiz

Table of Contents for the Digital Edition of Crains New York - July 23, 2012

Crains New York - July 23, 2012
Contents
In the Boroughs
In the Markets
The Insider
Business People
Small Business
Opinion
From Around the City
Report: Real Estate
Real Estate Deals
For the Record
Classifieds
New York, New York
Source Lunch
Out and About

Crains New York - July 23, 2012