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Crisis Management In The Era Of Social Media
Presented ByVidur Kohli
Director & CEO
BP 2010 Case Study• Explosion in offshore drilling rig: oil spills out in ocean for months• Explosion in offshore drilling rig: oil spills out in ocean for months• Constantly backlash on Facebook, Twitter, Youtube and Flickr• BP’s voice drowned in voices of dissenters • Did not build up a strong base, engage with the fans and did
nothing to cease or respond to negative comments• Already fined $25 billion, may have to cough up another 17• CEO loses his job
BlackBerry, 2011 Case Study
• BlackBerry suffered four-day outage in October• Cut off access to email, internet & instant messaging• Spread across all the continents in no time• Affected three-quarters of 70 million BB users• Twitter erupted with trending topics of anger, frustration and
disappointment in the service• BlackBerry finally spoke up via Twitter using confusing jargon• Suffered another outage in May, 2013
"So I have no email, Twitter or BBM on my BlackBerry“ –Tweet
US Congressman, June 2011 Case
• Married Congressman Anthony Weiner publicly tweeted naked pictures of himself
• Intended for woman he was flirting with online• Shot went to his 67,000-plus followers• Had to resign from Congress & disappeared form public eye• Last week emerged to announce candidature for NYC Mayor
Ford, March 2013 Case Study
• Disturbing mockup print ad for Figo model posted online• Ad featured former Italian Prime Minister Silvio Berlusconi• Mockups to “show off their creative chops”• Ford issued statements that Ford didn’t create ads • Commenters on Ford’s Facebook page took company to task• Sizeable Negative publicity
Amy’s Baking Co., 2013
• Upscale Italian pizzeria and restaurant in Scottsdale, Arizona, USA• After being cast in negative light on reality TV show (Chef Gordon
Ramsey), owners Samy and Amy Bouzaglo become subject of Internet ridicule• Negative comments appeared on Reddit, Yelp and Facebook• Owners use restaurant’s Facebook page to defend themselves• Posted abuse directed at commenters calling them “punks”• Later they claimed their social media pages were hacked• So much negative publicity- “owners deportation case with INS underway”
Comment by Owners
Amy’s Baking Company…melt down
“To all of the Yelpers and Reddits: Bring it on … Come to Arizona. you are
weaker than my wife, and weaker than me. come to my business. say it to my face. man to man. my wife is a jewel in the desert. you are just trash. redditsand yelpers just working together to
bring us down. pathetic.”
“I AM NOT S***** ALL OF YOU ARE. YOU JUST DO NOT KNOW GOOD FOOD.
IT IS NOT UNCOMMON TO RESELL THINGS - WALMART DOES NOT MAKE THEIR ELECTRONICS OR TOYS SO LAY
OFF!!!!”
Samy Bouzaglo owner of Amy’s Baking Company on Facebook
Introduction to Vidur Kohli
• Director and CEO of Continuity and Resilience – CORE Integrated Management Systems Pvt. Ltd.
• IBM– Chief Learning Officer (140 countries / Growth Markets)– Business Process Owner BCM IBM India (responsibility for
all 125K employees in India)– CIO
• GE Capital India/Genpact (GECIS) CIO• Connect with me via LinkedIn
Introduction to CORE
• Boutique Management Consulting Firm• Business Continuity Management• Crisis Management• IT Disaster Recovery• Green IT• Data Privacy
• We Consult / Train / Assess and Certify in these domains
What is Social Media?• Website that invites you to interact via the site with other
visitors• Increases and enhances sharing of information• Two-way street with ability to communicate
Social Media Vs Traditional Media
• Collective nature of social media connects people across geographical boundaries and time zones
Collectivity
• Social media is able to connect users to other resources through the sharing of web links
Connectivity
• Social media captures contributions and keep them in a persistent state for others to view and share
Completeness
• Content on social media websites is highly visible
Clarity
• People are encouraged to share and contribute by gathering information and providing feedback
Collaboration
Types Of Social Media Websites
• YouTube• Flickr• Instagram• Tumblr
• Facebook• MySpace• Google Plus
• Digg• Propeller• Reddit
• Twitter• Wordpress
Social Blogging Social News
Social Photo & Video Sharing
Social Networking
Geocities – 1st Social Media Website
• Beverly Hills Internet (BHI) started Geocities,1994
• Users could create own websites modeled after types of urban areas
• Crossed 1 million users by 1997• Shutdown for US users in 2009 with
user base of 38 million• Owned by Yahoo! today • Offers only web hosting service for
Japan
Top 10 Social Media SitesSr
No.Site Number of users
1 Facebook 1,993,209,231
2 Youtube 880,975,059
3 Twitter 57,898,377
4 Pinterest 40,852,294
5 Yahoo!Answers 37,272,208
6 LinkedIn 31,583,376
7 Google+ 27,155,984
8 Tagged 17,598,603
9 Tumblr 17,356,666
10 Instagram 14,602,803
Almost half of all Americans are on Facebook!
That is more than population of China ~100X of ANZ
How Quickly Messages Spread On Social Media?
• Rapid targeted message delivery
• SMO (Social Media Optimisation) may soon overtake SEO (Search Engine Optimisation)
• Social networking has made us all news sources
• Missteps & misinformation get issued & repeated quickly
In less than 12 hours since the tweeting began we saw almost 40,000 blog post and news articles and an astounding 2.2 million tweets all talking about Osama Bin Laden
Web 1.0, 2.0 & 3.0?
Web 1.0 –Read only web
Web 2.0 –Read & write
Web 3.0 -Intelligent search and behavioral advertising
Regular Phones
• Wireless electronic device used for telephone and multimedia communications
• Additional features include: games, calendar, camera, GPS device, MP3 player…
Make & receive callsSend & receive text messages
Smartphones
• Device which allows user to not only make and receive phone calls, text messages, but also a variety of other communications forms as well as the ability to run productivity & convenience applications & enjoy multimedia
Smartphone Vs. Regular PhoneOperating System• iOS• Android
Apps• Hotmail Outlook• Google Goggles
Web Access• 3G, 4G data network• Wi-fi connectivity
QWERTY Keyboard• Keys are laid out in the same manner they would be on your computer keyboard
Messaging• Text messaging and messenger services• Sync multiple official e-mails
Smartphone Market Penetration
2011: 708 million smart phones worldwide
2012: 1.038 billion users - 1 in 7 of world owned a smart phone
16 years for smart phone penetration to reach 1 billionIt will only take three years to achieve the next billion
Smart Phone addiction?
Smart Phone addiction?
Years To Touch Billion Users
02468
1012141618
Smartphone Facebook Youtube
Year
s To
Touc
h 1
Billi
on U
sers
Internet Device Sales
Smartphone Market Penetration
Smart Devices and Social Media
•Smart Devices gateway to social media•Tweet, blog, fb, reddit i.e. connect (via social media) on the go•Smart Devices easier for SM
HOW TO MANAGE SOCIAL MEDIA CRISIS?
• Crisis spreads on social media before it reaches traditional media
• Social media never sleeps, so neither can you
• Presence & quick responses are essential!
A Crisis in Social Media Era
• Social media have changed speed in relation to crisis management
• PR can no more foresee crisis through traditional media• No break between newspaper deadlines!• Crisis management is all about foreseeing the next crisis• Every company must monitor communication on social media• Crisis at one company is likely to influence entire industry
Effective Ways To Handle Crisis Through Social Media
• Simply come clean if you are aware of information that could potentially amplify the crisisAcknowledge
• Once you have some information, respond first in the venue where crisis first broke
Fight Social Media Fire With Social Media
Water
• Give stakeholders more than the message; give them the tools to allow them to share that message easily
Empower your community to work on
your behalf
• You’ll be forgiven if you say you’re sorry and mean itBe Sorry
Effective Ways To Handle Crisis Through Social Media..Cntd
• Create a Web page or microsite and put all the information about the crisis in one placeCreate a Crisis FAQ
• You WANT people to vent on a venue you controlBuild a Pressure Relief Valve
• Do not get in an online tit for tat, ever.Know When to Take it Offline
• Every employee is a potential spokesperson - keep ALL employees informed about the crisisArm Your Army
• After the crisis subsides, reconstruct and deconstruct the crisis & document every facetLearn Your Lessons
Qantas Airlines, 2011 Case Study
• Ash cloud situation grounds hundreds of flights
• 120,000 people affected!
• Twitter and Facebook used for ash cloud updates
• Video starring airline’s Head of Operations and Chief Pilot was put online
Audi India Case Study
• Audi R8 caught fire in freak accident on Bandra-Worli sea link• Blaze spread like wild fire on social media• "Haha, was it really an Audi or modified Nano?" & "Bar b q Audi"
:digs the twitterati took at Audi• Audi India posted reply on twitter• Reply promptly retweeted by its MD Michael Perschke• Audi India's social media presence on Facebook boasted 1.7 million
likes
Frontier Airline’s Case
• Storm hit Frontier Airline’s hub• Damaged one third of aircraft fleet• Kept customers informed through
Facebook & Twitter• Empowered employees to re-book
tickets through these sites
Toyota, 2010 Case Study
• Toyota recalls millions of vehicles• Hundreds of cases of accelerator problems• Largest recall in company's history!• Toyota COO appear on Digg.com to address the public
Powerful Twitter campaign saves the day for Toyota!!
Hurricane Sandy & JetBlue, 2012
• Hurricane Sandy or the Super Storm Sandy left a trail of • Hurricane Sandy or the Super Storm Sandy left a trail of devastation from floods, fire and widespread power outages
• Within month Sandy generated 11.5 million social media mentions• JetBlue Airways forced to cancel 1,700 flights, affecting 160,000
customers• JetBlue experienced 283% increase in posts on Facebook and 351%
on Twitter• Twitter handle of CEO Con Edison gained an extra 16,000 followers • 25 videos Con Edison viewed more than 100,000 times, while the
images on Flickr got 140,000 hits
Total, 2012 Case Study
• Serious gas leak occurred around Total platform
• Total created a microsite which hosted press releases in one place, made it easy to find pictures and video, providing progress data in the monitoring section and links to all of their social profiles for other ways to get in touch
• Total had built a strong community on Facebook
• Their community offered help putting Total in strong position
Dell Case Study
• Blogger posted on his blog titled “Dell lies. Dell sucks.”• Ignited a customer revolt• Michael Dell created a dedicated corporate blogger to span
functional groups and give company a human voice• Dell created new position called Dell’s “Listening Czar”• Czar monitored a customized social media dashboard to
identify trends and emerging issues• Dell launched Social Media Listening Command Centre
Conclusion
• Be prepared your next Crisis will be covered on social media
• Not only will you struggle to manage the crisis but will need to avoid the collateral damage of Social Media
• Learn from the mistakes of others • British Petroleum• Blackberry• US Congressman Weiner• Ford Fiago• Amy Baking Company
Conclusion – Cont’d
• Don’t be an ostrich • Create a SMO strategy before the crisis occurs• Create a Social Media Listening Command Centre Czar
role• Follow best practices of
– Qantas– Audi– Frontier Airlines– Toyota– JetBlue– Dell Computers
Arm yourself with training and knowledge
PLEASE DON’T BE DILBERT…
