1-877-566-3308 2000 PRmadeeasy.com Inc.

G E T

I N

T H E

N E W S

[ Handle bad publicity ]

Minimize the effects of bad news with clear-headed thinking
Every organization dreams of good publicity, but few plan for the risk of bad publicity. Organizations of all sizes are vulnerable to a bad headline notoriety that might precipitate a crisis. A crisis is any sudden and dramatic event that threatens your reputation, profitability or ability to do business. A corporate crisis can and will happen to all companies, regardless of size. Most crises concern personnel changes, new regulations, competition, emergencies and bad publicity. Depending on how you handle them, these crises have the potential to damage your companys reputation, productivity and sales. In particular, bad publicity can trigger a host of problems for you and your business. Bad publicity can surface through negative news stories, nasty letters to the editor, rumor-mongering on the Internet even harsh newspaper cartoons. All of these things can tarnish your reputation, damage your relationship with employees and customers, and hurt sales. Be prepared, because it is not a matter of if a crisis will hit you, it is when. In these pages, well explore: How to spot a crisis involving bad publicity before it happens. How to manage bad publicity when it does happen. How to turn bad publicity into an opportunity for your business.

Crisis: the natural response

When a crisis hits, you are likely to have a variety of predictable reactions especially if you arent prepared: Denial: You just cant believe it. The first reaction could be that the situation will just go away. It wont. Anger: You want to blame somebody for the crisis usually not yourself. All this does is create more confusion and anger amongst those around you. Short focus: All you can think about is the here and now. You want to take action, do things, react. What this often accomplishes is making the crisis even bigger as you blow things out of proportion.

 You feel exposed: You may think that the whole world is watching you and cares deeply about your crisis, but chances are, if its not in the news, few people are aware. You want to hide: After going through all the above, you just want to take the phone off the hook and crawl under the covers. This bunker mentality lets your critics take control. Rather than avoiding a crisis or reacting inappropriately, learn to recognize what creates a crisis, how to manage it, and even how to plan for a potential crisis.

Publicity crisis early warning signs

Why on earth would anybody say something bad about you? There are at least four reasons: A customer may lash out at you because he or she didnt like your level of service or what you or an employee said. It doesnt matter if the customer is right or wrong. The point is, customers can spin a sensational story to news reporters. They also have access to the Internet where they can post nasty messages about you. A disgruntled employee, business associate or supplier decides the best way to hurt you is to go to the news media with an allegation about your companys behavior. They, too, have access to the Internet You have actually done something that offends people. You may have insulted their gender, their age, their religion, or their looks, to name a few. You and your company may be doing everything right, but the industry that youre involved in is offending certain people (like forest companies and clearcut logging). Or a company similar to yours has done something offensive and you are guilty by association.

Ask yourself the following questions: Have you recently offended a customer? Have you recently disciplined, laid-off or fired an employee or cut off a contract with a supplier? Have you recently noticed something racially, sexually, politically, or personally offensive written on company stationery or on company e-mail? Have any employees complained to you about something that deeply offends them about the company? Have you noticed a story in the news media about a company in your line of business that has done something inappropriate, illegal or controversial (anywhere in the world)?

1-877-566-3308 2000 PRmadeeasy.com Inc.

If you answered yes to any of the above questions then the odds are quite good that youll be the recipient of some negative publicity. An attack on your company can take many forms. It may be a news media story, an Internet posting in a discussion forum, a letter to the editor of a newspaper or even a handbill.

Its unlikely you can stop most bad publicity before it happens
No matter how good a manager you are and no matter how well you think you are treating customers or employees, perception is reality. Their perception of the situation could be wildly different from yours. Or it could be a personal issue. Some people may not like your style, age, gender, religious or racial background.

Damage control: When bad publicity strikes

In most cases involving bad publicity its not the event or accusation the public remembers, but how the people involved reacted. A university teacher once accused of sexual harassment by a student ended up looking like the hero because he was calm, stated the facts clearly, and behaved in a very professional manner with the news media. A separate case involving another university professor caught in a similar allegation turned out very badly for the professor because he came off looking and sounding pompous and overbearing. Quickly get the facts from a reliable source (not the news media). Over-reacting to something that turns out to be dead wrong or doesnt involve you after all could create needless negative publicity. Dont lie. If something bad has happened then admit it quickly, express regret (Im sorry this happened) and make a commitment to fixing the problem (We cant let this happen again.). NOTE: Saying sorry or even admitting that an obvious event has occurred is NOT the same as admitting legal liability.

The right response: Its obvious this has happened (or that people feel a certain way) and Im really sorry about that. Whats important now is getting all the facts, The wrong response: Wow, Im really sorry. This is all our fault. Dont overreact. It is vitally important to your reputation to ALWAYS set the record straight if someone has made serious allegations in public about you. But appreciate the difference between someone expressing an opinion about you and actually making an allegation. An Internet message, letter to the editor, or even short news story with a few general, negative comments about you will likely be quickly forgotten. But if you react with a rebuttal you give the allegation double the exposure.
1-877-566-3308 2000 PRmadeeasy.com Inc. 3

Stay calm and cool. When you do need to set the record straight (for example, allegations or comments with the wrong facts) do it in a brief, calm and factual manner without dwelling on the negative statements. Negative language is remembered 10 times more than positive language. Dont reinforce negative impressions of you. A good response: In a recent comment, Mr. Jones made a number of erroneous allegations about the Ajax Company. It is unfortunate that he did not have his comments checked more closely. The facts are: (list the facts). If anyone has any questions about Ajax Company, I encourage them to call me directly and we will quickly provide the answers needed. Keep the lawyers out of it: You may feel very hurt by someone tarnishing your reputation with a public comment. One of your reactions may be to sue the person making the allegation. All that will do is make you look like a legal bully. There are times when a libel suit is quite justifiable. But that is rare. It is better to first deal effectively in the court of public opinion. Stay accessible: Dont hide if theres bad news about you and people are trying to get your side of the story. Return phone calls quickly, stay in town or at least be reachable, and never, ever, say no comment. It sounds like an admission of guilt.

Who cares?
Believe it or not, most people simply dont care about the negative publicity they have heard about you or your industry. However, you must pay attention to a few groups who will pay attention: Research shows that if people really like you or your service/product they are not usually influenced by the bad publicity unless theres a direct danger to their heath and safety. People who occasionally use your services/product may be influenced by bad publicity. Government departments may make your life more difficult. They sometimes following up on the bad publicity to see if new regulations are required. Your employees will very much be affected by bad publicity affecting your company. Their friends and neighbors will definitely remind them. Your business contacts and investors will definitely care about your bad publicity. It affects their reputations and their confidence in you.

1-877-566-3308 2000 PRmadeeasy.com Inc.

Dont let them be the last to know

If bad publicity is widespread enough for many people to hear about it (for example, it has hit the news media), then you should send an explanation to those who need to know whats happening as quickly as possible. Based on the above list, those with a need to know are: Employees. Key customers. Business contacts/investors.

Not all bad news

Remember, if you handle bad publicity with professionalism and grace, you can actually bolster your reputation. In 1982, pharmaceuticals giant Johnson & Johnson faced a poisoning scare which made world headlines: Someone had laced pain relief capsules with cyanide and replaced them and their bottles on store shelves. The eventual purchasers were poisoned. There was wide speculation that the brand would not survive the disruption of the publics trust. Yet, the company acted quickly, calmly, and took the lead in product packaging. The reputation of the company actually improved as a result of its handling of extremely negative publicity related to one of its product lines. When it comes to handling bad publicity, its not the incident that sticks in peoples minds, but how you reacted to it.

1-877-566-3308 2000 PRmadeeasy.com Inc.

Exercise
Scan the newspaper or your memory. Consider a case where a business was on the receiving end of bad publicity. Think of product tampering, environmental disaster, major accidents, product flaws, personnel scandals. Describe the manner in which that business responded to the bad news (what was their response to the media or employees, for example). What effect do you think that response had on the companys customers or employees? Given the lesson above, was this the best way to respond to bad publicity? Suggest a more effective response. List the groups who will be most immediately affected by bad news involving your own company. GROUP 1

GROUP 2 Under each group, state how you would tell each group quickly and efficiently if bad news hit.

GROUP 3

GROUP 4

See related PRmadeeasy.com guides

Fight new government regulations Handle personnel crises Avoid being misquoted by the media Create a crisis communications plan in six steps

1-877-566-3308 2000 PRmadeeasy.com Inc.