The Small Business Communications Podcast
A Transcripted Podcast from 2GuysTalking
Episode 2 – Dealing with Scandals
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Dealing with Scandals
(Small Business Communications Podcast Intro begins: typewriter feeding in paper is heard. The typewriter’s guide arm slaps into place. Typing begins as the music begins to fade in…) Small businesses are one vital component of the American economy that manage to weather any financial storm. They are the foundation of what makes opportunities for millions each and every day. My name is Kent Martin. I’ve seen just about every kind of business model there is over the years. Some are strong, others have endured and some – well – if there weren’t bad ones we couldn’t understand how great the good ones are, right? So join me as I share perspectives, theories and outright facts about how businesses both large and small communicate and how YOU can strengthen and improve your company communications during the 2GuysTalking Small Business Communications Podcast. (Typewriter bell dings)
When you think back on news stories that have made headlines over the years, no doubt many of them that come to mind most quickly involve scandals, and the companies and celebrities ensnared in them.
But think back again and consider how you remember them. You probably put them into two categories: Those companies who failed miserably at dealing with said scandals, and those companies who dealt with these scandals not only professionally and intelligently but did so in such a way that their response actually enhanced their reputation.
Some of the biggest PR mistakes made in corporate America in recent times occurred on or near Wall Street and Detroit. The bonuses handed out to top executives of companies that had been given federal bailout funding drew scorn and criticism. Whether or not those bonuses were justified, the outcry and protests from taxpayers and lawmakers alike forced some recipients of the bonuses to give them back.
Top executives from the Big Three automakers made a similar PR faux pas when they flew … on corporate jets, no less … to Capitol Hill for hearings into their requests for bailout assistance. Yes, they flew, prompting citizens and commentators to question why they didn’t drive the cars their own company manufactured. However the auto company leaders decided to travel to Washington, it seems virtually certain they did not consult their own very capable PR departments for advice.
On the other hand, other major corporations responded to their own crises in a straightforward manner and in doing so, deflected much of the criticism they might otherwise have faced. Take Domino’s, for example. You’ll recall the incident earlier in the summer when two employees now, former employees of a Domino’s Pizza restaurant videotaped how they made sandwiches and pizzas in an especially disgusting manner, and then posted the video on YouTube, one of the top social media venues today. The video went viral overnight and Domino’s CEO eventually posted his own video explaining the situation and how the company dealt with it. The incident soon subsided, though Domino’s drew some heat for not responding quickly enough. (That’s part of the reality in today’s Internet-driven world: Domino’s took almost two days before posting its response video when it should have responded within hours of learning about it. On the Internet, time flies more quickly than perhaps anywhere else in the world.)
Years ago, the makers of Tylenol, Johnson and Johnson, helped write the book on crisis communications when it confronted its own tampering crisis. Johnson and Johnson recalled millions of bottles of Tylenol, halted all advertisements and later re-introduced Tylenol in tamper-resistant packages, offering coupons and special presentations to the medical community to help restore the public’s trust in Tylenol.
That’s how you deal with a crisis: Head-on … and with transparency. And that’s a job for public relations. In today’s society and especially in the 24-7 world of social media, when messages and opinions can take a life of their own almost instantly, it is imperative that a company look at its own PR strategy and how it would handle a worst-case scenario.
Now, absent a crisis, how do you talk about your company to your audience? That’s what PR does, and that’s what we’ll discuss in our next episode.
For the 2 Guys Talking podcast network, I’m Kent Martin.
Thanks for taking the time to listen to The 2GuysTalking Small Business Communications Podcast. We’re eager to hear what you think and looking forward to interacting with you. Be sure to follow our Twitter feed and Fan us on Facebook. The links to do this are all available on our website at SmallBizComm.Com. Thanks for listening to this episode of The 2GuysTalking Small Business Communications Podcast and until next time – keep telling your story. (Music fades, typewriter bell dings)