Image source: Mike Mozart via Flickr
If you think your public relations job is difficult, consider the plight of the banking industry. The public and politicians blamed banks for the 2008 financial crisis and ensuing severe recession. Banks saw plenty of media criticism. People especially lambasted large banks, calling them greedy and reckless, even calling to dismantle the largest banks. The entire sector suffered enormous reputational damage.
Politicians continue to attack banks. Speakers at both this summer’s Democratic and Republican conventions portrayed big banks as evil, calling them too big and too risky.
These are some strategies banks are employing restore their images and argue they are not the demons politicians describe.
Advertising. As the Olympic Games begin in Brazil this week, Citigroup, the only banking sponsor of this year’s Summer Olympics and Paralymics, will run prime-time television and digital ads that feature images of athletes, the Space Shuttle and an early ATM, reports The New York Times. The ads link the bank’s sponsorship of American athletes and its role in boosting the economy.
“We can’t advertise our way into people’s hearts,” Ed Skyler, Citigroup’s executive vice president for public affairs, told the Times. “But we have to keep talking about the value we bring to society.”
Op-eds. JPMorgan Chase’s chief executive, Jamie Dimon, recently wrote an op-ed article in The New York Times to announce its plans to give thousands of its lowest-paid employees a raise and invest over $200 million in employee training this year.
Internal communications. Bank of America hired Bob Dylan’s son Jesse to produce videos that explain to bank employees the bank’s role in the supporting the economy and community. The bank hopes the employees’ belief in the bank will rub off on the public.
Executive speeches. Bank executives frequently give speeches in Washington and New York. However, Citigroup CEO Mike Corbat is defending big banks in speeches across the country. In places like the Greater Omaha Chamber of Commerce, he argues why large banks are the best organizations for improving the global economy, the Times notes.
Support for good causes. Large banks invest in cause marketing, according to Everything-PR. Bank of America partnered with RED to help fight HIV/AIDS in the Third World. The campaign involved redesigning the organization’s logo, changing colors from those on the American flag to plain red. Chase is helping develop the Chicago area, such as donating $2 million dollars for security cameras at inner-city schools.
Social media. Like companies in other industries, banks use social media as a customer service tool, although the sector has been slow to embrace social media. Banks can quickly identify customer complaints and comments on social media with a subscription social media monitoring service. By responding promptly, banks can improve customer satisfaction and solve problems that could lead to PR crisis. Although social media interactions may not gain the immediate attention of a prime-time television ad, dedication to superb customer service can improve the brand’s image over time.
We’re not one of them. Many small and mid-sized banks stressed that they are not one of the big banks that caused the financial crisis and were never bailed out.
“In broader comms [communications] first we stressed to staff they had to work very hard to get across that our bank was not involved in the troubles, and secondly that we had solutions to serve their needs, reminding them that we are not a large bank,” Peter Soraparu, senior executive vice-president, relationship banking division of American Trust Bank, told PR Week. “We are probably more active on the PR front than we were before. We have client seminars twice a year, which helps frame the bank in a more positive way.”
Bottom Line: As politicians again turn to demonizing the banking industry this election season, banks attempt to defend themselves and restore reputations tarnished by the financial crisis. They’re using traditional PR tactics like op-eds and executive speeches, supporting good causes and protecting themselves on social media.
William J. Comcowich founded and served as CEO of CyberAlert LLC, the predecessor of Glean.info. He is currently serving as Interim CEO and member of the Board of Directors. Glean.info provides customized media monitoring, media measurement and analytics solutions across all types of traditional and social media.
