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Criticism, myths, aggression, poor management... There are various causes that can cause a crisis in the reputation of a company or brand. En uzinkAs branding experts, we wanted to analyze 3 recent examples to understand that both prevention and response capacity are essential to minimize risks. Even, sometimes, to take advantage. Does the controversy with palm oil ring a bell? Samsung batteries that explode? Or the fateful eviction of a United Airlines passenger? If so, we invite you to continue reading.
Example of corporate reputation crisis: The use of palm oil
In this case, we are talking about a crisis that affects many companies. For years, palm oil has caused controversy about its impact on health. At the beginning of April this concern was reactivated. started when To field announced pressure on suppliers to remove it from their products. There was a before and an after. And there were very different answers.
On one hand, Super Healthy, the quickest to act, was quick to communicate that he was the first supermarket to withdraw all products with palm oil.
At the other extreme, Nestlé defended its use with a 40-year tradition. The same Laurent Dereux, director of the company in Spain, spoke publicly of "unjustified social alarm".
Another example: Samsung batteries
Last September all the alarms went off at Samsung. Online and offline media around the world echoed the news. The Galaxy Note, one of the brand's flagship products, had exploded after its battery overheated. Real cases and parodies multiplied. What did Samsung do in the face of this brand reputation crisis? The company announced its massive withdrawal and the cessation of sales. But the mistake was repeated. After several failures in the collection of the devices, Samsung returned to ask for forgiveness.
Although in Spain no case has come to light, the brand suffered great damage. What did they do to remedy it? Samsung orchestrated a major advertising campaign featuring a new quality control for your batteries. And it is, in branding, there is no better choice than to accept the error, try to correct it and be totally transparent
Business reputation crisis: The United Airlines passenger
The latest example of companies reputation crisis. Shocking images. Who has not seen the United Airlines passenger video violently expelled from a plane due to overbooking problems?
The company did not know how to react correctly. At first, he apologized only for selling more tickets than available seats, without mentioning the affected passenger. After this error, he issued a second statement asking for forgiveness and taking full responsibility. But it was too late. The media had already shared a corporate letter addressed to employees where the passenger was accused of being "disruptive and belligerent" and encouraged to continue with the same procedure. The events and his disastrous management caused the decrease in its values on the stock market and the resignation of its CEO.
Being quick, apologizing and taking responsibility are the keys to any brand reputation crisis. Although the most important, without a doubt, is knowing how to prevent it.