Showing posts with label reputation management. Show all posts
Showing posts with label reputation management. Show all posts

29 July 2009

Chinese Whispers


Ever play chinese whispers when you were a child? You whisper one thing into someone’s ear and they hear it as something else and transfer it on to the next person. It was fun then, but now that we’re all grown up, most of us have seen for ourselves what the wrong piece of information can do in the business world.

A rumor is like a virus; it spreads as fast and can be as devastating. It happens to celebrities every day, especially in the tabloids. It can greatly affect popularity when someone’s favorite celeb is depicted negatively, even if it later turns out to be untrue.

On a larger scale, a simple rumor can put the reputation of a company at stake. In 1994 an email was circulated which stated that an executive at Procter & Gamble appeared on TV and said that he was a Satanist, and that the profit from the company went to Satanism! After the company’s image had been distorted in the eyes of the public, it turned out that the rumor was false and that no executive had been on TV at all.

So why is it that people take whatever they hear for granted as truth, without double checking the facts? The answer is easy, it just requires less mental and physical energy. Psychological studies have suggested that people choose to believe what they hear, not because they are gullible, but because it’s easier and doesn’t require much energy. It’s easier to believe something because everyone’s saying it rather than going through the hassle of researching it to make sure it’s fact and not fiction. So the question here is what would prevent the actual rumor from spreading like the plague?

In PR we handle the problem as soon as it starts, and even prepare for it beforehand, because speed is the name of the game. Involving online media as much as possible is essential and this includes posting videos on YouTube and comments on blogs. Being transparent with traditional media, maintaining good relationships with them and giving them a firsthand look in on events is a reliable way to help discredit rumors at an early stage - before they do damage that sometimes cannot be undone.

17 June 2009

Cultivating a Sound Reputation Online


Corporate success is highly dependent on the company’s image, which is substantially contributed to by a good reputation. With the dominance of the internet, online reputation management is vital in maintaining a desirable image.

While the terms reputation management and crisis management are at times used interchangeably, there is a key difference between the two concepts. “Crisis” management refers to an actual event that takes place which leads to a crisis that needs to be managed. On the other hand “reputation” management does not emerge out of a single event, instead it is an accumulation of the company’s actions and the publics perspectives that come together to form its reputation, which is managed on a daily basis not only when a crisis arises.

After differentiating between these two concepts, it begins to make sense how crucial the internet is in terms of reputation management. It’s a convenient place to make an opinion or experience heard, and what better place to go than one that allows access to people all over the world instantly. So if there is a need for venting about a negative experience with a company or the need to voice the effectiveness of a certain product, most likely people will turn to the internet.

Of course voicing positive opinions that encourage further dealings with a certain company are what corporations want, but what can be done about the negative comments making their way around the world? The answer is reputation management.

Online reputation management can identify negative publicity on the internet and minimize the impact; this can be done for example by correcting misconceptions or responding to complaints that have been made. But online presence is key to success; no corporation worth its salt can afford to be absent from the internet now, and every business wants a positive image projected. This can only be achieved through increasing positive and relevant exposure.

In dealing with the public and maintaining a respectable image, corporations need to be willing to pursuit honest forms of communication; silence has never been the answer to queries or accusations, nor will it ever be.

The role of online reputation management is to provide companies with an opportunity to increase their ability to communicate with their publics and to be heard. Corporations that do not take into perspective the power of online communication can face undesirable consequences.

A recent case where this happened is the example of Neal’s Yard Remedies, a company that was given the opportunity to communicate openly with the public. The Guardian Ethical Living Blog runs a series called “You ask, they answer” where they shed light on a specific corporation allowing readers to post questions or comments. The corporation then willingly participates by answering to these posts. In the case of Neal’s Yard, the questions ranged from the use of organic products to validating the medical efficiency of some the company’s homeopathy products.

Neal’s Yard Remedies did not respond to more than two hundred questions put forth by the public. They decided not to participate in the debate after having previously assured the Guardian that they would. The company’s silence has inevitably brought about a negative image that has had dire consequences, and may have lead to the recall of one of its long standing products.

A company’s reputation takes time and effort to develop, but it can be destroyed in the blink of an eye. Being unable to monitor, participate or manage daily activities that to a large extent take place online can have long lasting consequences if not planned for and dealt with strategically.