Lessons Learned: Brand Value and Crisis Management

Lessons Learned: Brand
Value and Crisis
Management
Andrea L. Rutty (Ledgley Law)
Joanne Nardi (Molson Coors Canada)
Robert A. MacDonald (Gowlings)
Introduction
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Companies need to be ready to jump into action if and
when something goes wrong
Anything from a silly comment on Twitter to a major
product liability issue
Failure to act promptly and effectively can do irreparable
harm to the brand
Introduction
As Mark Carney, Governor of the Bank of England said:
“Trust arrives on foot and leaves in a Ferrari”
Introduction
Our panel will consider case studies and best practices in four
situations:
1. Issues in choosing a brand;
2. Social media firestorms;
3. Demand letters gone wrong;
4. Product Recall.
But first…
Let’s take a look at how Pom Wonderful responded to
comments made about its product by John Oliver:
Letter of the Week -- POM Wonderful
https://www.youtube.com/watch?v=Bml8KwCmob8
Issues with Choosing a Brand
• consider whether the brand is derogatory or problematic:
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Washington Redskins of the NFL;
Ottawa Tomahawks of the NBL;
The Slants – Portland Oregon rock band;
ISIS.
Issues in Choosing a Brand
• Ottawa Redblacks announced team mascot:
• Big Joe Mufferaw
• anglicized version of the name Joseph Montferrand;
• Renamed the mascot “Big Joe” or in French, “Grand Jos.”
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"We unintentionally offended some with the original
name and we sincerely apologize for that.” OSEG President
of Sports Jeff Hunt.
Social Media Firestorms
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Social media is commonly used by many companies
Ensure that comments made on social media are not
damaging to the brand.
• Examples:
• DiGiorno Pizza – immediate and personalized response.
• Dominos – 24 hours before response issued.
Demand Letters Gone Wrong
Demand Letters Gone Wrong
Demand Letters Gone Wrong
Demand Letters Gone Wrong
Product Gone Wrong
• A crisis can destroy a brand if the crisis is poorly handled.
Compare:
• Tylenol
• Maple Leaf Foods
• Accenture
Product Gone Wrong
“Behind every great brand is a group of
customers who support it with messianic faith.
These are the true believers, the word-ofmouth acolytes the business world now refers
to as ‘brand ambassadors’. Few companies had
as many as Volkswagen”
Globe & Mail, September 23, 2015.
Product Gone Wrong
And now Das Auto is the subject of parodies:
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Das Lie
Das Litigation
Das Problem
Best Practices
1. Think before you brand – could it offend;
2. Have a social media policy in place and stick to
it;
3. Demand letters could have a second life –
write them accordingly;
4. Be prepared to act quickly – the longer you
wait, the worse it gets.
QUESTIONS
and
THANK YOU