The importance of timing in managing a reputational crisis

By: Ruben Gálvez

In today’s highly competitive environment, experiencing a reputational crisis is something that can happen to any brand. However, the impact of such a crisis largely depends on how it is managed and the time it takes to address it and find solutions. Therefore, understanding the importance of maintaining a good digital reputation today for all companies, we want to discuss the role of time in managing a reputational crisis.

Response times in managing a reputational crisis

In a context where companies of all sizes and sectors may be exposed to online reputation crises, the response times in such cases have changed considerably. This is mainly due to the viral potential that negative content has today, allowing a crisis to expand much more quickly and on a larger scale than before.

For this reason, within the action protocol that is established to determine how to act in case of a reputational crisis, not only should different scenarios be defined, but also the times at which the different actions will be executed. This will help shorten response times, preventing the crisis from expanding and thereby reducing its consequences for the brand.

What should be done during a brand crisis?

In any reputational crisis management, there are three key moments: before, during, and after. In this case, we are particularly interested in the “during.”

The “during” refers to the moment when the reputational crisis has already been triggered. How actions are taken at this time will determine the impact the crisis will have on the brand and the difficulty of recovery afterward. An important point here is not delaying the recognition of the crisis. To do so, it is necessary to identify the symptoms. These are usually:

• A high number of negative mentions about the brand on social media.
• A sudden drop in sales.
• Negative press releases or suspicious reports about the company.
• Communications from investors or partners requesting explanations.
• Direct attacks on the company or through different media.
• A drop in the company’s stock value.
• Loss of productivity or interest from the company’s own employees.

The importance of the first few hours in managing a reputational crisis

As mentioned earlier, once these symptoms start being identified, early action is essential to minimize the damage caused. At the same time, it’s important to understand that a quick response can show dissatisfied customers that the company is taking good initiative to solve their issues and provide a response.

To act appropriately in the first hours of managing a reputational crisis, it is essential to have a pre-developed crisis plan. This plan will outline the steps to follow in case of a reputational crisis, allowing for quicker resolution and knowing exactly what to say and how to act in these cases. With this in mind, we can say that the key moment is within the first 24 hours of the crisis starting to reduce its damage.

What should be done in the first hours of a reputational crisis?

We’ve already seen how to detect a reputational crisis and the importance of early action in managing it. Now, let’s review what actions should be taken during the first few hours of a crisis to manage it properly and reduce its impact. The key points in these hours are:

Information gathering:

The goal is to access all the information related to the crisis, from how it occurred to what caused it and its current scale. It is also necessary to know what is being said about it and through which media, primarily.

Assemble the crisis committee:

Every company needs a crisis committee for these cases. Gathering it promptly is important so that the appropriate actions can be taken. Additionally, it’s important to communicate with other employees to provide reassurance and prevent the crisis from affecting the trust they have in the company.

Issue a clear message:

Next, the brand needs to issue a clear message where it takes responsibility for the situation and provides a response and solution to users. The faster and more appropriate this message is, the better the results in managing the reputational crisis.

At 202 Digital Reputation, we specialize in 360° digital reputation management. We handle everything from prevention and preservation of reputation to managing reputational crises. Contact us to protect your brand.