Advancing PR measurement and evaluation: Demonstrating the properties and assessment of variance-based structural equation models using an example study on corporate reputation

•PLS-SEM is a complementary approach to conventional CB-SEM for PR research.•Vast potential of PLS-SEM when specific assumptions behind CB-SEM cannot be met.•PLS-SEM is relatively independent of sample size requirements.•PLS-SEM is applicable for formative measures and predictive theory development.•PLS-SEM allows for in-depth assessment of value drivers of PR target constructs.

This paper aims to add to the growing discourse on methods in public relations research by showing how variance-based structural equation modeling (PLS-SEM) can be used to analyze effects between multiple intangible target constructs in PR. We introduce the properties of the method, compare it to conventional covariance-based SEM, and demonstrate how PLS-SEM can be applied to public relations evaluation using an example study on organizational reputation and its effects on trust, and stakeholder behavior (n = 1892). This paper offers a consequent methodological discussion of PLS-SEM and provides a valuable resource for public relations research aiming to apply the variance-based approach.