Barely a week passes when a company or brand doesn’t hit the news for all the wrong reasons. Uber CEO Travis Kalanick videod being a jerk to one of his drivers; the PwC Oscars’ Best Picture mis-announcement calamity; Samsung’s flammable Galaxy Note 7 smartphone…just a few that spring immediately to mind.
And make no mistake about it, these three examples really are crises. A real crisis, as opposed to an ‘issue’, is something that affects a company’s reputation to the detriment of revenue, or a company’s share price. It’s not an errant tweet or a consumer kicking up an almighty fuss about poor customer service at 5pm on a Friday afternoon (hey, we’ve all had to deal with it, right?!).
And in the age of digital media, an issue can become a real crisis in super-quick time. Social media enables instantaneous communications that make it hard for companies to control how they are perceived. Information from Freshfields Research has shown that more than one in four crises spread nationally within just one hour. Within 24 hours, it will have spread to 11 countries.
The average time it takes a company to release an official response? 21 hours. Oops. [Read more…]