Company Reputation and Crisis: What Companies Should and Shouldn’t Do During a Pandemic

Large-scale crises affect every part of a community socially, economically, and otherwise. In this article, we will tell you how to maintain a positive image for your brand during a crisis and come through to the other side.

Self-isolation and lower incomes have led consumers to be even more selective. Some people will continue to distance themselves from industries that have been hit hardest by the coronavirus, such as the tourism industry. Furthermore, when brands participate in controversy, it becomes even more difficult to regain customer confidence than before.

A negative image has a huge impact on a brand’s competitiveness. Controversial attention to the virus can trigger a wave of scrutiny from the media, undermining the authority of a company and its CEO. Negative mentions like these showing up in the top search results seriously damage your image and financial performance. Your customers will simply turn to your competition.

After quarantine ends and media attention changes to another problem, it takes a lot of effort to remove unwanted content from search results. Even after the fact, such content can cost you a lot of audience and potential customers.

In addition to online publications, other factors may threaten your reputation:

• Negative feedback from employees at sites such as Glassdoor
• Bad reviews and low ratings on review sites like Yelp
• Inappropriate statements on social networks that cause a negative reaction from the audience

During a crisis, consumers are especially sensitive to any brand statements about the problem. All social media posts are “under the gun” and facing extra scrutiny. Even one careless statement can cause a wave of negativity and a loss of customer confidence. For example, Elon Musk, CEO of Tesla and SpaceX, has repeatedly made comments on Twitter about exaggerating the problem. Users have frequently criticized these comments.

In the future, these scandals can affect not only the company's profits, but also on its HR reputation. You can lose potential talented employees because of a lack of trust in your company or because of personal hostility.

This is especially important in times of crisis, when professionals need confidence and social security.

A study by Weber Shandwick showed that a strong reputation accounts for 63% of a company’s market value. Your image depends on what content users find in the first page of Google search results.

Having a loyal audience and brand advocates helps protect the company from attacks from competitors and other consumers. Even a few negative reviews can cost your brand customers. A Moz study found that you risk losing:

• 22% of consumers if there is one negative post in the top results
• 59% of the audience if 3 negative posts are found
• 70% of the audience if 4 negative posts are found

Therefore, you must not ignore negative comments, even if it’s just one review or the information is false. The best solution is to sort out the conflict and resolve it by offering compensation to the dissatisfied customer. Either remove content through negotiation or a legal claim.

In addition, regular monitoring, analysis of brand mentions, and product or service feedback will give you an edge over your competitors. You can constantly monitor trends, identify consumer insights and improve your product even in times of crisis.

For example, free delivery during the quarantine period and in the next few weeks, while people can fully get to work, will positively affect your image.

Be as responsive as possible and do not disregard any question or user comments. This should be the norm at all times. You should assign a dedicated, responsible employee to follow up on customer feedback.

Show that you are a socially responsible company. Tell the audience what safety measures are taken when packing and delivering goods. For example, some beauty salons or medical centers have bactericidal recirculators.