Negative news damages a company’s reputation and discourages consumers from purchasing the company’s products or services. A strong public relations plan and fast responses are essential to protect a brand’s reputation and, later, repair business reputations damaged by negative news.
Those are main findings from a survey from Clutch, a B2B research platform.
The survey showed people a list of 10 brands, including six that experienced recent news coverage. Consumers perceive brands negatively if they had negative press coverage and are less likely to purchase its products if they perceive a company negatively. For example, 46 percent of consumers who identified United Airlines as a brand with negative press also have a negative perception of the airline.
The survey of 1,000 U.S. consumers reveals that:
- 52 percent of people say they spend more time on social media than broadcast, print or other types of digital media.
- Nearly 20 percent of consumers are wary of making high-cost purchases from brands with negative press.
- 75 percent of people consume media from one to six hours a day, giving them ample time to view and respond to news stories that spread online.
If consumers believe a company is weak or at risk of failure, they become discouraged from purchasing its products or services.
Fast Reactions are Imperative
News and opinion that travels rapidly through social media can quickly alter public opinion. That’s both good and bad for PR. It enables PR to quickly promote a company’s messages, but it can also quickly damage its image. Fast responses are essential for protecting an organization’s reputation.
To identify emerging negative news early and respond quickly, PR experts recommend employing a social media monitoring service that provides real-time alerts. Selecting the right keywords and metrics enables PR to respond effectively to the crisis and to learn how well their organization is weathering negative news and social media commentary. Changes in sentiment over time indicate whether your PR crisis response is succeeding.
The Importance of Public Relations Responses
Other research confirms the importance of PR.
According to a new Weber Shandwick study, 85 percent of consumers form opinions about companies based on how they react during crises. How an organization responds to issues and crises is more important to public perception than what the media says, what employees say or what the company says about itself.
“Proactive reputation risk management has never been more critical than it is today. Preparedness is a must, with a plan that ensures agility in mitigating and addressing issues and crises,” states Micho Spring, Weber Shandwick’s global corporate practice chair, in a press release.
Clutch offers these recommendations.
Build a loyal following. Developing loyal customers can help insulate a brand during controversy. Pepsi apologized for its commercial about police brutality that many viewed as insensitive. Commentators called the ad a PR disaster. However, 77 percent of consumers said the ad would not change their minds about purchasing Pepsi products, and 25 percent of those said they’ll continue buying Pepsi because they are loyal customers.
Admit mistakes. Conceding mistakes or wrongdoing can increase trust and boost company success.
Be clear. Chick-Fil-A encountered negative media coverage due to its conflict with the LGBTQ community. Yet 25 percent of consumers say they are more likely to patronize the restaurant because of its openly religious values: 45 percent say they respect Chick-Fil-A’s right to express their values. The company’s clear and transparent values and commitment to stand up for its beliefs despite disagreement helped increase brand loyalty.
Find the brand’s voice. Social media communications that contain the brand’s voice can help improve its image. That voice should be authoritative and expresses the brand in a positive light. Continuously promote a consistent positive message that contains the company’s voice and values of a brand.
Bottom Line: Research shows that negative news can spread quickly on social media and damage a company’s reputation and cause many consumers to avoid purchasing its products. Vigorous monitoring of news and social media allows PR professionals to respond rapidly to unfavorable news reports before they cause severe damage. In addition, PR can find and promote positive mentions of their brands.
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.