Dealing with a digital crisis

Digital seen as an ever bigger threat Burson- Marsteller Q: How likely do you think it is that your company will experience any of the following potential crisis in the next 6-12 month

European Chamber of Commerce,

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Q: Which, if any, of the below are reasons why you feel it is more difficult to plan for a crisis today?

(Among those who feel it is more difficult to plan)

Source: Digital Crisis Preparation Study — Burson-Marsteller/Penn Schoen Berland, August 2011 `

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Digital seen as an ever bigger threat Burson- Marsteller

Q: How likely do you think it is that your company will experience any of the following potential crisis

in the next 6-12 months? (Top 2 Very + Somewhat likely to experience this type of crisis)

Global Controversial company developments

Online or digital security failure Logistic difficulties

Intense regulatory scrutiny of your product or company

Critical or negative new media campaigns Danger to product safety

ld Likely to experience a potential crisis Intense political scrutiny of your product or company

ud Not likely to experience a potential crisis Criminal actions

Source: Digital Crisis Preparation Study — Burson-Marsteller/Penn Schoen Berland, August 2011

Burson-Marsteller | Asia-Pacific | Evidence-Based Communications °

Product safety the top concern in Asia Burson- Marsteller

Q29-37: How likely do you think it is that your company will experience each of the following in

the next 6-12 months? (Top 2 Very + Somewhat likely to experience this type of crisis)

no need to give me until september, netflix I'm canceling

immediately just don't use it enough to justify $16/ month

zpower

YH July 13, 2011 at 1:30

I'm with @zpower Netflix's price hike was enough for me

to cancel service today http:/ /zatz.tv/n7Oso9

davezatz

YW July 13, 2011 at 1:59 ,

@nettlix You've gotta be kidding me How bout I choose

option 3: cancel my subscription altogether? Yeah, that

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Crisis preparedness — social media policy

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#1 Listen continuously

Burson-Marsteller | Asia-Pacific | Evidence-Based Communications

Burson: Marsteller

KRYPTONITE’S BLOGSTORM How ten days of Internet chatter crippled a company's reputation

Complaint posted to bikeforums.net that a Bic pen can open a Kryptonite lock

Videos showing how to pick a lock are posted

Company assures public Company

that its locks are effective announces

#2 Move fast

e 10.38am: A consumer went to Drugstore X to purchase nutritional product and was told they

had been recalled and they had no stock at the moment

e 11.46am: Rumor up in online that a hero nutritional products had just been recalled in a

leading drugstore (Drugstore X) in Hong Kong

e 12.56pm: Apple Daily caught the rumor online and called ABC company to clarify

e 1.15pm: Internal assessment and confirmed there was no such recall It was just a rumour

e 1.30pm: Confirmed with Drugstore X that it was misunderstanding among the Drugstore staff

e 1.50pm: Take immediate action to liaise with the website with a clarification note posting

online to cease the rumor spreading

e 2.15pm: Alert immediately the retail chains and aligned them with the agreed media

messages

e 2.30pm: Prepare Customer Relations Representatives (hotlines) with agreed key messages

that align with media statement

e 3.00pm: Negotiate with retail outlets on stock availability

e 3.30-4.30pm: Reply to in-coming media enquiries online and in print

#3 Be accurate

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The Latest in Technology From David Pogue

4 Twittering Tips for Transfer Jet: Ready >

January 19, 2009, 10:00 PM Beginners For Its Close-Up

elkin Employee Paid Users for Good VIDEO» ¬Aaa

Reviews

Over the weekend, reader Arlen Parsa, a Chicago filmmaker, dropped me an

intriguing e-mail message concerning accessory maker Belkin

“T found out the other day that Belkin’s lead online sales rep has been paying

people to write fake positive reviews of his products on sites like

Amazon.com and Newegg,” Mr Parsa wrote “He’s been using Amazon’s

Mechanical Turk program to do so (it’s a service where people can get paid to

do small menial tasks) This is pretty awful, especially when you consider

that the products whose rankings this guy is trying to boost are consistently

rated the lowest by real reviewers who say they don’t work as advertised.” ° =< «(Cl

TECHNOLOGY

Mr Parsa sent me links, and sure enough, it was all true Here were online Pogue & Friends 2009 Holiday Guide

ads, seeking people who would write positive reviews of Belkin products for E-Books With David Carr

6s cents; here was a link to Mike Bayard’s LinkedIn profile, identifying him ¬

is PF

7 TECHNOLOGY™ TECHNOLOGY™ TECHNOLOG

as a Belkin online sales rep Later, our hero also discovered that the same guy

Not So Silent Bob

By: Christi McNeill

® Christian Morris earned the McFly badge

Many of you reached out to us via Twitter last night and today regarding a situation a 14 Pe a a ee SIE RD Pun RR

Customer Twittered about that occurred on a Southwest flight It is not our customary SN Shuffle badge

method of Customer Relations to be so public in how we work through these 7 hours 9 min ago situations, but with so many people involved in the occurrence, you also should be

involved in the solution First and foremost, to Mr Smith: we would like to echo our Christian Morris earned the First Flight

badge Tweets and again offer our heartfelt apologies to you We are sincerely sorry for your mi 7 hours 9 min ago travel experience on Southwest Airlines

SouthwestAir: @witwim We just had our

As soon as we saw the first Tweet from Mr Smith, we contacted him personally to Te en a ee ee apologize for his experience and to address his concerns on both Twitter and with a 13 hours 14 min ago personal phone call Since the situation has received a lot of public attention, we'd like

to take the opportunity to address a few of the specifics here as well SouthwestAir: @trmmars Sorry you weren'†

notified We do our best, but sometimes

Mr Smith originally purchased two Southwest seats on a flight from Oakland to 12 hours 51 min ago Burbank — as he's been known to do when traveling on Southwest He decided to

change his plans and board an earlier flight to Burbank, which technically means flying standby As you may know, airlines are not able to clear standby passengers until all

Customers are boarded When the time came to board Mr Smith, we had only a

single seat available for him to occupy We are responsible for the Safety and comfort

of all Customers on the aircraft and therefore we made a judgment call that Mr Smith Southwest Culture

or " ae! You ^

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