Corporate Credibility in a 2.0 World

Seems you can't take anybody's word these days. First Motrin pulls its ad campaign after bloggers come to the defense of baby-toting moms. Then US Airways shelves it plan to charge passengers for soft drinks, followed by Tropicana scrapping its new packaging just weeks after unveiling the multi-million-dollar redesign. More recently, Skittles candy went from visionary to pariah when it yanked its Twitter-centric website in favor of Facebook a mere 24 hours after going live.

What's behind this corporate indeciveness? Looks to me like yet another example of The Law of Unintended Consequences.

For years communicators have been striving toward a paradigm in which they don't simply throw messages out to their targets audiences, instead engaging them in true conversation and dialog. Problem is, the response from some audiences isn't always what you hope it will be.

The digital world has made it incredibly easy for anybody -- from an ardent enthusiast to the most ax-grinding detractor -- to shape perceptions of companies or their products. While communicators grapple with these new realities, here are three basic tenets all companies should embrace:

1. Plan for the worst-case scenario. Back when companies had sole control over the flow of information, they could develop communication strategies on their terms. Now that control has shifted to the public, you've got to be ready to act when consumer activists, disgruntled employees or even your most loyal followers react in a manner contrary to your intentions.


2. Learn how to listen. These days, it's not good enough to have a customer service e-mail or toll-free number. You've got to be plugged into the blogosphere, chat rooms and other social media channels, because what people say about you is far more important than what they say to you. Ask the folks at Motrin, who returned to their offices Monday morning to be confronted with an avalanche of negative blog posts that materialized over the weekend.


3. Stick to your guns. For the life of me, I can't understand why Tropicana spent millions of dollars developing its new brand identity -- including, I'm sure, extensive focus group testing -- and then yanked the packaging after a handful of folks complained about not being able to find their favorite OJ at the grocery store. I'm not saying I love the new look. But if it was a good idea a few months ago, why is not a good idea now?

Bottom line is this: corporate communictons in the 21st century is not for the feint of heart. It takes foresight and confidence, which seem to be in short supply if the examples above are any indication.

As Trust in Banks Wanes, Whither PR?

Credit crisis? I think the current crisis of confidence facing the financial industry is far more dire, which is why it's so surprising how quiet banks, brokerages and other institutions have been the past few months.

Evn the most pessimistic economist will tell you that consumer sentiment --fueled, no doubt, by relentless media coverage of every layoff and stock-market hiccup -- is contributing heavily to the current climate. The question is, when the fundamentals of the economy are restored, how much will lingering fear keep the population from resuming their normal purchasing behavior?

As a communicator -- and a consumer -- I see a tremendous void in useful information about what's happening in the economy and what we should do about it. I'm not talking about sugarcoating the situation. I'm talking about informing and educating the public, a role for which PR is ideally suited.

Yet the financial services industry is eerily silent. Maybe they're afraid of getting caught with their pants down, like the Big 3 auto execs flying on private jets to court Congress for billions in bailout money. One PR consultant told me her mortgage lender client absolutely forbid any proactive media outreach until the storm passes.

PR pros may be staring at the proverbial once-in-a-lifetime opportunity. By reassuring the public during these turbulent times, they can restore confidence in the financial services sector and demonstrate the tangible value of thoughtful, purposeful public relations.