Risk mitigation is part of an overall corporate crisis communications strategy. Your organization is potentially vulnerable to sexual harassment charges, difficult media relations, financial scandal, political corruption, technology failure, natural disasters and many other types of unusual public attention that require special actions to manage.
Alchemy Communications works with organizations to prepare for a crisis before it happens, and with businesses that are unexpectedly faced with an event that can damage their reputation and profitability. You can protect your business's reputation by being prepared for a crisis before it happens.
A PR crisis can take many forms. Whether your organization is vulnerable to sexual harassment charges, financial scandal, political corruption, technology failure, a natural disaster or any other type of unusual public attention that needs special actions to manage. A crisis communication plan helps you identify and prepare for potential pitfalls, but must always be reviewed and assessed before being put into action.
Alchemy Communications works with organizations to prepare for a crisis before it happens, and with businesses that are unexpectedly faced with an event that can damage their reputation and profitability.
CRISIS COMMUNICATIONS: REAL WORLD EXAMPLES: Free Workshop from Communications Expert Kathryn Kolaczek, Thursday November 16, 2017, @ 10:30-11:30
A current crisis communications plan is essential for every business, and should address issues vital to the health and safety of your company. Facebook Safety Check is an effective tool to verify your employees are safe if an emergency occurs.
Businesses can go months or years without a crisis, but eventually, all businesses have to manage one. Although all industries are susceptible to PR disasters, the transportation industry is especially vulnerable. Alchemy Communications Inc. CEO and Crisis Communications expert, Kathryn Kolaczek, has worked with companies in the trucking industry and said: “it’s not a matter of if a crisis will happen, it’s a matter of when, and a crisis in the trucking industry often involves at least one fatality.”
Research indicates that 98 percent of all semi accidents result in at least one fatality and nearly 90 percent of commercial truck accidents are caused or worsened by some sort of human error. Kathryn has some tips that she urges companies to implement – crisis planning can save a companies reputation, and more importantly, it can save lives.
• Anticipate Crisis Scenarios – conducting a thorough review of current internal and external communication practices within an organization and studying past crisis situations to identify warning signs goes a long way in preventing a crisis. For example, driver fatigue is a leading cause of accidents and sleep apnea; a common disorder has been identified as a problem for truck drivers. It is wise for trucking companies to implement mandatory testing for sleep apnea so affected drivers are treated.
• Media Training is Essential – crisis situations attract a lot of mainstream, and social media attention and the way in which a company responds to a crisis is heavily scrutinized. A poorly worded response can make a bad situation worse and destroy the reputation of a company for years to come.
• Develop a Crisis Communications Checklist – In a crisis, it’s difficult to think clearly. Having policies and procedures in place, along with roles and responsibilities identified for a crisis management team increases the likelihood of handling the crisis well.
Many business leaders believe that a crisis won’t happen to them and unfortunately, it’s just not the case. Alchemy Communications has developed comprehensive crisis communications plans and ongoing support for the transportation industry. For a FREE consultation, contact us today.
The best way to manage a crisis is to avoid having one in the first place! One key benefit of investing in crisis communications planning is that it serves as an opportunity to identify areas of vulnerability within your organization. With this knowledge, you can proactively implement policies and procedures that will reduce the likelihood of your organization experiencing a full blown PR fiasco. In this blog post, we’ll discuss three preventative crisis communications strategies for your business.
1) Invest in a Comprehensive Crisis Communications Plan
An experienced crisis communications practitioner will conduct a thorough review of current internal and external communications practices, and identify high-risk areas (i.e. an inadequate internal process for reporting HR complaints). They also conduct extensive industry research and can educate you on how past leaders handled PR issues and what the outcomes were. For an organization, it’s easy to overlook warning signs of a pending crisis. What’s more, many leaders have a mentality that PR blows“won’t happen to us” – a practiced expert will surely point out your “blind spots” so you can implement a preventative strategy.
2) Cultivate a Strong People-Centered and Customer Service-Centered Culture
Corporate culture goes a long way in preventing a crisis. Employers must communicate clearly to their employees about what performance expectations are, and what the consequences of not meeting expectations will be. Also, employers need to have a well-defined code and conduct and social media policy.
When it comes to customer service, handling complaints swiftly and sincerely cannot be underestimated. Disgruntled customers are hugely problematic to your business. They not only express their grievances on social media but also often are compelled to call members of the press. Far reaching customer complaints often result in long-term reputational damage that hurts your bottom line.
3) Communicate Your Community Relations Efforts
Many organizations and their staff do great work in the community. Unfortunately, the public isn’t always aware of these efforts. Be sure to highlight community outreach programs on your website, social media pages and in person, by wearing company branded merchandise when volunteering. It may feel like you’re boastful if your company is actively promoting charitable efforts, but if you don't the only people who will be aware of your contributions are those people that you’re helping. What’s more, corporate philanthropic efforts allow employees to feel like they're working for a greater purpose, which leads to increased job satisfaction. Customers also feel like they’re making a difference in the world when they buy products and services from socially responsible organizations. In a study conducted by Unilever, 20,000 individuals from five countries were surveyed about their brand preferences. The results indicated that 33% of consumers buy from brands doing social or environmental good.
Crisis communications planning is an area of expertise for the Alchemy Communications team. We have worked with business leaders across different industries to develop comprehensive plans. To discuss the needs of your organization, please contact us today.
In 60 seconds online, there are 448,800 Tweets posted, 3.3 Million Facebook Posts and 3.8 Million Google searches conducted. Today, information is transmitted unbelievably fast and can become a problem for brands dealing with a crisis. Here are seven tips that will ensure you’re prepared when crisis strikes.
1) Have a Social Media Policy
You may be confident that all your employees exercise discretion when it comes to conducting themselves online, but not outlining a social media policy and having clear guidelines is a mistake. Remember that your employees are brand ambassadors and inappropriate or discriminatory posts on their social media pages still reflect poorly on you.
2) Monitor Social Media
It’s important to be on top of your brand's current online sentiment. The longer you go without addressing negative posts, the worse the situation gets.
3) Get All the Facts, Quickly
Information spreads on social media platforms at a rapid speed, and your stakeholders are waiting for your statement. Furthermore, the longer you go without comment, the longer incorrect or unfair information has to make its way around the Internet. Of course, it’s important that information is correct and verifying details takes time, just recognize the urgency of the situation.
4) Own it, and Apologize
Never underestimate the power of an apology. Time and again, we’ve seen that companies that apologize swiftly and sincerely improve public perception faster.
5) Address Negative Comments
It’s important for the reputation of your brand to address negative comments posted on your social media pages while maintaining a respectful tone.
6) Pause Scheduled Posts
Nothing will turn off your customers more in a crisis than having a post that’s out of context. Be sure to turn off all scheduled posts until the crisis has settled down. Even after it's over, be sure to review previously scheduled posts to ensure they’re still appropriate.
7) Update Website
Consider putting a FAQ page on your website that has detailed information about the incident. That way, when you tweet out updates regarding the situation, you can include a link that has critical information for stakeholders.
We’re experts at managing social media and crisis communications at Alchemy Communications, contact us today for a free consultation to discuss how we can help your organization.
From Uber to United Airlines, we’ve seen some PR fiascos this year that have shown us what NOT to do when a crisis breaks. Although we can learn some valuable lessons from other’s missteps while managing a PR issue, it’s worthwhile to review some well-managed crisis situations. In this post, we’ll highlight how Taco Bell, The American Red Cross and Tylenol managed their own PR disasters.
Taco Bell: “Seasoned Beef” Lawsuit (2011)
Taco Bell’s parent company, Yum! Brands was sued by the Alabama law firm Beasley, Allen, Crown Methvin, Portis & Miles on behalf of Taco Bell customer Amanda Obney, who wanted a court to order Taco Bell to be honest in its advertising. The suit claimed that Taco Bell was lying in its advertising and the company’s “seasoned beef” contained only 35% beef. Taco Bell denied that its advertising was misleading and spokesperson, Rob Poetsch, said the company would “vigorously defend the suit.” Indeed, the company fought back, largely on social media platforms. In a video uploaded on YouTube, Greg Creed, Taco Bell’s President explains the food chain’s beef is composed of 88% beef and the other 12% is a secret, which he goes onto list every ingredient in the video. In the end, the majority of Twitter comments were supportive of Taco Bell and less than four months later, the lawsuit was dropped.
What we learned: Being transparent in a crisis situation is critical – customers will reward you for it.
American Red Cross Rogue Tweet (2011)
Red Cross social media specialist, Gloria Huang caused herself some embarrassment when she accidentally posted a rogue tweet on the American Red Cross’ Twitter account.
The tweet was intended for her personal page, and she later blamed her “inability to use HootSuite” for the error. The rogue tweet stayed up for about an hour before it was taken down with subsequent, lighthearted apologies.
What’s great is that Dogfish Head Brewery used the rogue tweet to encourage both donations to the Red Cross and consumption of their beer on their twitter handle in response to the tweet.
What we learned: Firstly, if you’re responsible for your organization's social media posting, always double-check what you’re posting. Secondly, as long as the rogue tweet wasn’t offensive, it’s okay to have a sense of humour about errors such as these. After all, customers continually state in research they like brands that have a personality online.
Tylenol Murders (1982)
By October 1, 1982, seven lives in the Chicago area were lost after a poisoning spree in which the killer bought Extra-Strength Tylenol bottles, injected them with cyanide and sneaked them back onto the shelves of drug and grocery stores. Unfortunately, the case has never been solved, but Johnson & Johnson, the parent-company of Tylenol, has been widely praised for how they handled the disaster. Without a suspect in the case, Johnson & Johnson quickly recalled an estimated 31 million bottles of Tylenol products, a retail value of over US $100 million. The company halted Tylenol production and advertising. What’s more, Johnson & Johnson took out ads in national media to inform consumers to avoid any of its products that contained acetaminophen. In addition to the recall, the company worked with the Chicago Police Department, the FBI, and the Food and Drug Administration. Not surprisingly, the market share of Tylenol collapsed during that period but had rebounded in less than a year, which has been attributed to the effective response of the company. When Tylenol was reintroduced into the market, it had a new, triple-sealed package.
What we learned: It cost Johnson & Johnson millions of dollars to manage this crisis well, but the short-term financial loss was well worth it in the long-run. Although recalls and disruption to production and advertising are costly, you’ll lose more in the long-run if it’s not done.
Alchemy Communications has specialized knowledge and experience working with businesses to develop and execute effective crisis communications plans. Contact us today for a free consultation.
Whether you’re just starting your business or are well-established, there is no shortage of costs associated with running your business. As a business owner, you may feel investing in public relations, and particularly crisis communications training is unnecessary. However, this is a mistake – a well-prepared crisis communication plan can prevent a full-blown PR fiasco and save your companies hard earned reputation. Below are three reasons to invest in a crisis communication plan.
1) A Crisis Situation is Inevitable
Although months and years may go by without an incident, eventually a crisis will occur. Crisis situations arise from natural disasters, health and safety issues, problematic employees and so on. Additionally, your brand reputation can be damaged just by being associated with another company in crisis (i.e. being a supplier). There isn’t a business or industry that is immune to dealing with a crisis, and they arise unpredictably.
2) Crisis Situations are Costly
Crisis situations can have a dramatic effect on company valuation and cash flow, for a business of any size. In March 2017, CBC’s Go Public team aired a story about TD Bank employees admittedly increasing customer’s overdraft and credit limits without their knowledge to meet aggressive sales targets outlined by the bank. In the segment, employees discussed how they feared to lose their job if they didn’t meet their sales quota. On March 10, 2017, in a single-day, the bank’s stock dropped 5.6 percent and erased all the gains it had made for 2017. The share price for Chipotle Mexican Grill plunged after an E. coli outbreak affected dozens of customers in 2015 and took months to recover. Stock sell-offs and lawsuits resulting from crisis situations are incredibly damaging for large corporations, but small-businesses without the same resources can ultimately face bankruptcy.
3) A Poorly Worded Response Makes a Bad Situation Worse
Crisis situations attract a lot of attention from mainstream and social media. When a company releases a statement in response to a crisis, you can guarantee it will be scrutinized. History has shown that weak responses can make an already bad situation worse. Canadian athletic retailer, Lululemon, faced intense backlash after its founder, Chip Wilson, made inappropriate comments in a television interview about women's body shapes being the culprit of see-through pants after widespread complaints about pants being "too sheer.” Not only did Lululemon take a financial hit after having to recall 17% of all women’s pants sold in stores, but Wilson exasperated many people with his remarks. Since you don’t think as clearly in crisis mode, comments can very well be received poorly by the public.
An experienced crisis communications expert can help develop a crisis management plan to positively influence the public perception of your brand before, during and after a crisis breaks. Contact us today to learn more.