Many companies today recognize social media as a powerful tool to engage customers, build brand awareness, drive website traffic and influence sales. A properly implemented social media strategy can increases in website visitors, improve customer loyalty, reduce the cost of sales, improve the quality of customer service, boost brand awareness, and increase the lifetime value of customer relationships
But there are certain new “truths” about how crisis can unfold across digital and social media that can put business at risk:
- Netflix recent attempt to raise prices
- Bank of America, imposing a $5 monthly fee for the use of ATM cards
- Sony, raising prices just hours after Whitney Houston’s death
- The irresponsible videos from rogue employees at Domino’s Pizza
- Papa John’s restaurant, “lady chinky eyes” on a customers receipt
- Twinings changing Earl Grey
all had an impact on business.
For those companies and corporate communicators who might conclude that the solution is simply to avoid social media, think again!
Many of these incidents would have occurred regardless of whether or not the companies had a social media presence. However, having a monitoring system in place give the companies the ability to spot and to respond to it. Monitoring systems may not be perfect but they are an essential first line of defence. Furthermore, having an active social media presence give companies the option of responding on the social networks if the situation called for it.
There is no brand immune to a negative event … it happens, that’s life and most companies plan for this to happen by developing action plans and the like.
Like it or not, social media is here to stay – and for disgruntled customers, it’s can be a powerful weapon. However, properly handled it can be a powerful weapon in the corporate communicator’s arsenal too.
In the video “Making sense of social media: The opportunity”, different McKinsey partners show that by mapping social-media initiatives to different stages of the consumer decision journey, companies can prioritize investments and provide customers with exceptional brand experiences.
They offer examples of companies that are doing the job well and outline the challenges executives face as they try to align multiple departments and functions to harness the opportunity.
Would it be better to avoid social media — http://www.torbenrick.eu/t/r/ogy
Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement and development, change management and turn-around. View full profile