Film 240 - Alex Schaerer

1. Corporate Reputation at Risk
Social Media
Created by: Alex Schaerer

2. “As people spend more time on the Internet,
managing reputationon social media becomes
increasingly important for public relations” – Nielsen1

3. 2.34B
1.87B
319M
Social Network Users Worldwide2
Active Facebook Users Worldwide2
Active Twitter Monthly Users2

4. Online, these factors experience a new level of scrutiny: not only do users expect organizations
to communicate honestly and openly, but they have the means to search and uncover facts
that organizations would prefer to hide.3

5. The latest figures show that Internet users
spend most of their time on social
networks, and half of all social media users
said that at least once a month they had
expressed complaints or concerns about
brands or services on social media.3

6. 1. Damage to brand reputation
2. Disclosure of proprietary and/or confidential information
3. Corporate identity theft
4. Legal, regulatory and compliance violations4
4 Corporate Risks Associated with Social Media4

7. Nearly three-quarters (71%) of
executives surveyed were
concerned about the potential risks
involved in the use of social media,
but they believe the risks can be
mitigated or avoided.4

8. Having a very clear public relations strategy around socia
l media communication is mission critical. The velocity
and the visibility of social media communications is not to
be underestimated.5

9. 3 Ways the Web Has Changed the
Business World6
1. The declining effects of traditional marketing
2. Decreasing customer trust
3. Increasing customer power due to more alternatives, more
information and more transactions

10. Social media has changed the way people communicate in terms of pace and reach of
communication, therefore content on social media can turn into a threat and the
threat can turn into a rapid communication crisis. The prevailing dilemma
organizations are facing is that while they recognize the importance of social media
interaction, they tend to lack corporate capabilities to manage crisis
communication effectively.6

11. Users of social media applications produce
mostly unverified information, which
tend to be both, true and false. The
information created and shared by users
could differ significantly from what
organizations publicly disclose.6

12. ”When marketers are not transparent and consumers discover the
secret source for themselves, they can become quite unhappy with the
message and/or the media. By not having transparent marketing,
corporate reputation in turn becomes flawed as the consumer no longer
trusts the company.” 7

13. Of the general public indicated they proactively seek
information about the companies they do business with
72%Opinion Elites investigate corporate
behavior before buying
53%
Consumers are doing their
homework8

14. So… what can companies do?
Follow the 6 Steps for Protecting Corporate
Reputation in the Social Media Age9

15. 1. Don’t Pretend a Crisis Is Not Happening
Respond right away. It is no longer acceptable to wait hours or days to
respond back via social media. Time is of the essence, therefore a well
crafted response is crucial to employ as soon as the crisis begins.9

16. 2. Don’t Make an Empty Gesture
Do not feed the public an apology or explanation that has no merit.
Social media users capitalize on these responses and will eat a
company alive.9

17. 3. Don’t Refuse to Backtrack
“Social media should be used as a tool for honest communication.
Admit your mistake, and speak directly to your customers about how
you'll be going back to fix things.”9

18. 4. Develop Channels of Communication
Ensure that corporate channels such as Facebook, Twitter, Blog,
Instagram etc. are strong and have a presence that will reach the
consumers.9

19. 5. Establish a Crisis Communications Response Team
Companies must drive the messaging and response. Use listening
platforms, monitor sentiment, and establish a dedicated team to
inform and advise internal and external stakeholders of issues and
responses.9

20. 6. Become Influential and Change Perceptions
If the company does not become influential they become irrelevant Use
these channels to focus the conversation around your brand so that
when a crisis does arise, you have more control over the perception.9

21. Protecting your
company’s reputation is
an ongoing business
process.

22. Research References
• 1. Nielsen. (2012). State of the Media: Social Media Report 2012. USA: Nielsen. Retrieved from
http://blog.nielsen.com/nielsenwire/social/2012/ Phillips, D., & Young, P. (2009). Online public relations:
A practical guide to developing an online strategy in the world of social media. Philadelphia: Kogan Page
Ltd.
• 2. "Topic: Social Media Statistics." Www.statista.com. May 12, 2016. Accessed March 05, 2017.
https://www.statista.com/topics/1164/social-networks/.
• 3. Ott, Larissa, and Petra Theunissen. "Reputations at risk: Engagement during social media crises." Public
Relations Review 41, no. 1 (2015): 97-102. doi:10.1016/j.pubrev.2014.10.015. (Course source)
• 4. Grant Thorton. "Social media risks and rewards." September 2013. Accessed March 5, 2017.
https://www.grantthornton.com/~/media/content-page-files/%20advisory/pdfs/2013/ADV-social-media-
survey.ashx.
• 5. Video "FILM240 Module 02 Lecture 02 Part 02" from Sidneyeve Matrix via Vimeo (Course Source)
• 6. Hövener, Michael. "Corporate Reputational Risk Management: The Power of Social Media." Accessed
March 5, 2017. http://essay.utwente.nl/68528/1/hovener_BA_IBA.pdf.
• 7. Colin Campbell, Lawrence J. Marks, Good native advertising isn’t a secret, Business Horizons, Volume
58, Issue 6, November–December 2015, Pages 599-606, ISSN 0007-6813,
http://dx.doi.org/10.1016/j.bushor.2015.06.003.
(http://www.sciencedirect.com/science/article/pii/S0007681315000841) (Course Source)
• 8. The Harris Poll. "The Harris Poll Releases Annual Reputation Rankings For The 100 Most Visible
Companies In The U.S." Business. Accessed March 05, 2017.
http://www.theharrispoll.com/business/Reputation-Rankings-Most-Visible-Companies.html.
• 9. Revis, Layla. "6 Steps for Protecting Corporate Reputation in the Social Media Age." Mashable. January
02, 2012. Accessed March 05, 2017. http://mashable.com/2012/01/02/corporate-reputation-social-
media/#8jqXc6x5Uiqw.

23. Slide Image Backgrounds
Slide 1 Source: Kaboompics, “Macbook Pro iPhone 6 on old wooden pier,” http://kaboompics.com/one_foto/1568
Slide 2 Source: Kaboompics, “Woman talking on iphone6,” http://kaboompics.com/one_foto/1201/woman-talking-on-iphone-6
Slide 3 Source: kaboompics, “Top view of office desk table with open spiral notebook, pencil, iPhone 6, and black keyboard 3,”
http://kaboompics.com/one_foto/1629
Slide 4 Source: Kaboompics, “Apple iPhone 6 Plus, Macbook and Writting Pad on the wooden desk,” http://kaboompics.com/search/smartphone
Slide 5 Source: kaboompics, “Smartphone Acer Jade S in the hands of a man on a background of yellow flowers,”
http://kaboompics.com/one_foto/1000
Slide 6 Source: kaboompics, “Conference table with chairs. View from above,” http://kaboompics.com/one_foto/869
Slide 7S ource: kaboompics, “Skyscraper with windows,” http://kaboompics.com/one_foto/1525
Slide 8 Source: Picjumbo, “Business Woman Working on Laptop in Her Office,” by Victor Hanacek
Slide 9 Source: Picjumbo, ”Man working on website layout,” by Victor Hanacek
Slide 10 Source: Picjumbo, “Facebook App Login Splash Screen on iPhone,” by Victor Hanacek
Slide 11 Source: Picjumbo, “Snapchat App SnapcodeGhost Logo on iPhone,” by Victor Hanacek
Slide 12 Source: kaboompics, “Wooden desk with Apple iMac, OréeKeyboard and Touchslabon it,”
http://kaboompics.com/one_foto/1509/wooden-desk-with-apple-imac-or%C3%A9e-keyboard-and-touchslab-on-it
Slide 13 Source: kaboompics, “Iphone6 plus in woman's hand,” http://kaboompics.com/one_foto/1093
Slide 14 Source: Picjumbo, “Man Talking About Architecture Ideas,” by Victor Hanacek
Slide 15 Source: Picjumbo, “Colored Pencils For Kids,” by Victor Hanacek
Slide 16 Source: Picjumbo, “Extremely Minimalistic Office Workspace Laptop Setup,” by Victor Hanacek
Slide 17 Source: Picjumbo, “Sunset Home Office Working with Laptop on the Garden,” by Victor Hanacek
Slide 18 Source: Picjumbo, “Man Browsing on his iPhone,” by Victor Hanacek
Slide 19 Source: Picjumbo, “Escape Key Laptop Keyboard Close Up,” by Victor Hanacek
Slide 20 Source: Picjumbo, “Road Under Power Line Electricity Pylons,” by Victor Hanacek
Slide 21. Source: Picjumbo, “Business Man and Woman Handshake in Work Office Free Stock Photo,” by Viktor Hanacek
Slide 22 Source: Picjumbo, “Wooden Lines Modern Interior Design Pattern,” by Victor Hanacek
Slide 23 Source: Picjumbo, “Wooden Lines Modern Interior Design Pattern,” by Victor Hanacek