Crisis Management

A good reputation cannot be created overnight, but only through focused and systematic communications with all target groups. The entire communication must be based on a clearly defined strategy as only then can it contribute to achieving the corporate objectives.

All companies are faced with a crisis at some point or another. A crisis is a situation endangering the company's integrity or reputation; a situation occurring mostly due to unfavorable or negative coverage in the media.

A good reputation ranks among the most valuable assets of each company. It not only increases the value for shareholders; it also wins the loyalty of customers and consumers.

In a crisis the company must make sure that every touch point is aware of the crisis, and most importantly, is aware of the message that must be communicated to the customers and media. This ensures ongoing loyalty and averts the perception in the customers' and media’s minds that a crisis exists (ultimately minimising any damage or perceived damage to the company’s reputation - their most valuable asset).

If a crisis appears, the organisation or company will face enormous difficulties unless its management and communication-oriented employees do not collaborate intensively to produce a crisis communication plan.

Depicted below is a high-level diagram that indicates the various touch points that must be notified in a crisis and who must be advised as to what message must be communicated, ensuring one-version-of-the-truth.

 

As Corporate Reputation Management specialists, Vuma are experts in managing crisis situations and crisis communication.

The Vuma Crisis Management team will:

  • Respond to any crisis immediately (within 15 minutes)
  • Co-ordinate the Crisis Management teams
  • Develop a crisis management plan
  • Implement the crisis management plan
  • Compile the relevant messages for all touch points
  • Alert all touch points
  • Roll-out communication messages
  • Liaise with print and electronic media
  • Monitor crisis 24/7
  • Manage entire crisis to resolution
  • Measure impact of crisis had it not been averted by Vuma

High Cost of Crisis Mis-Management

It's well known that a single dissatisfied customer usually tells from 5-15 other people about their dissatisfaction. And some of these speak to others. That means that losing even one customer can result in negative word-of-mouth involving up to a hundred or more people. Losing many customers because of dissatisfaction can result in thousands of potential customers getting a negative earful about your business. Clearly, few companies can afford this.

Many companies have determined the cost of getting a new customer. When taking into account the cost of advertising and marketing promotions, it may take anywhere from R800 to R1000 or more, depending on the industry, for every new customer, and it certainly will take even more to win back a lost customer.

If you have not a chosen a Crisis Management Partner, or if you are currently utilising an ineffective system, you will experience over time a dramatic increase in crisis behaviors if they are not contained and managed properly.

Crisis situations do not just 'go away'. On the contrary, when aggression and disruption are not handled properly, they are likely to occur more often.

In the case of South African Airways, due to  a strike and the poor handling of related communication, their market share dropped by a massive 20 percent.

Vuma’s food for thought:

”What is the point of throwing millions at your advertising, driving acquisition of new clients and brand building, if one event that enforced a crisis can literally bring your company to its knees.”

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About Us

The Vuma Reputation Management team are experts in corporate reputation management and public relations. We can raise your reputation and keep it there.

Tel: Tel: +27 (0) 87 941 3497

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Why Choose Us

  • We have unique world class communication skills
  • We have a proven track record
  • We are superbly networked
  • We have excellent references both globally and locally
  • We have case studies with proven results
  • We understand your business needs and the market forces affecting your business
  • We assist you in tracking global trends in your sector
  • We offer a fine reputation management spectrum