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Even with the best planning and a highly trained staff, crises occur at every business. It’s how you approach and manage the situation that determines whether or not it will turn into a detriment for your company or a wonderful opportunity for growth.

Large companies experience crises on a national level and it’s visible that what is going on is, indeed, crisis management. Smaller businesses encounter the need for crisis management regularly as well —whether it’s an unhappy customer, a disgruntled employee or defective product.

Having a crisis management plan is important for the owner and staff of every company. Having a written crisis management plan can be as important as having a written business plan. When the unexpected occurs, it usually involves quite a bit of emotion and often we aren’t thinking clearly about the entire situation. Rather, we’re acting on our emotions at a micro level, blocking out an important vision of the future and management of the situation on a larger scale.

When faced with a crisis, step back and take a deep breath. Realize that nearly every situation, no matter how dire, can be managed effectively and used to create a stronger brand.

In the 1980s, Johnson & Johnson was a victim of an act of violence against its customers. Cyanide capsules were slipped inside bottles of Tylenol in Chicago. The company didn’t have a direct hand in what happened, but they way it managed the situation set a precedent for future crisis management because it worked. Out of this “crisis” came the creation of tamper-resistant bottles. Tylenol immediately set up a method of clear communication, apologized, accepted responsibility and set up a plan for the future.

A less successful crisis management situation involved the Ford/Firestone tire recall in 2000. Instead of clearly communicating with consumers, Ford and Firestone pointed fingers and tried to distract away from themselves and the actual issue of the defective tires and their installation.

When your company experiences a crisis, it’s rarely of these proportions. Nonetheless, feelings of hopelessness, anger and frustration offer clear signs it’s time to implement your crisis management plan.

The first step is to apologize when you’re able. There are some cases in which there are legal implications to a rash apology. So this step needs to be well thought out. If there could be legal implications for your company, consult with your attorney and find out what you can say without getting into trouble.

Consider, for example, a client who’s angry with your company for a reason out of your control. The knee-jerk reaction is to be angry because it’s not your fault. A more effective response is to begin with an apology for the miscommunication that caused the decline in client relations. An apology that the situation has gotten to the point of client dissatisfaction is also effective.

The second step is to take responsibility. The buck has to stop with you. Whether you were directly responsible or not, as a manager in the situation you do have responsibility. After you apologize, take responsibility for what you can. In the above example, you could apologize for the situation and then let the client know you accept responsibility for the decline in the relationship. One of the most ineffective things that can be done in this situation is to tell the client, “It’s just not my fault.” Instead, take this as an opportunity to let the client know he or she is important to your company and you will personally take responsibility to ensure fences are mended.

The third step is to set out the plan for correction and the future. This is the most detailed step and requires quite a lot of thought. In the above example, you would explain your plan to mend fences and ensure the client is happy.

In this step, one of the most effective questions that can be asked is this: What can I personally do to make this situation better? And then listen. Do your best to implement requests into your plan of action. Repeat back to clients what they’re asking to ensure everyone is clear about the requests.

You’ll find that most of the time, the second party doesn’t really know what they want. So you take the opportunity to offer a refund, partial refund or credit for future service. Let them know you’ll be following all communications from here on out and that you’re always available to handle any situation before it becomes an issue.

These steps seem intuitive. But in the midst of a crisis, it’s hard to remember to let go of the anger and frustration so the situation can be resolved and active communication restored.

Marketing is all about communication and conversation. With appropriate crisis management, conversation can be restored quickly and painlessly. And out of many crises arise an opportunity to strengthen your brand.

Originally published in The Business Times.

When I’m working with a client to create a marketing campaign, one of the questions that always comes up is how to best present the company so prospective clientele is ready to buy.

I have pondered this question for quite awhile to really process the methods that are most effective. One of the biggest changes in the marketing world has been the transfer from representing the company as a large entity and instead presenting a spokesperson or point of contact.

There are certainly examples where promoting your team will be most effective. In most cases, the answer, as I found it, is that by addressing potential prospects in the first person, you’re cultivating the development of an interpersonal relationship. What I mean by this is you start becoming a tangible human with whom a prospect wants to talk instead of an unapproachable corporate team.

This goes past the stale business-to-business relationship and follows the same evolution of marketing from a “campaign” to a “conversation.” It’s no longer about how well you can put together an “ad” campaign. In today’s business environment, it’s about how well you can hold a conversation.

Large companies are finding that if they have a spokesperson or a point of contact, consumers are more likely to make the purchase.
This is exactly where companies of all sizes are finding success in the social media realm. By encouraging conversation, individual members of a company actively communicate directly with their clientele. This creates the interpersonal feeling in the relationship, which equals more sales and therefore more profit.

How is it possible that something like this is actually working? In many ways it flies directly in the face of traditional marketing methods that have worked in the past.

My personal theory is that consumers are tired of the barrage of advertisements and marketing campaigns.  Instead of being told they should buy your product, consumers appreciate that companies ask them what they want. By opening themselves up to active communication and conversation, companies are creating products and services consumers enjoy more. This means consumers are willing to buy more of the product or make the purchase from your company over your competition.

It’s all about approachability. Is your brand and your company approachable? When someone wants to talk with your company, do you make sure the path is clear and that they will not only be listened to, but their views will be respected and used in product development whenever possible?

When you’re walking your prospect through the process of purchasing from you, there will come a time when they need to see you have an entire team working with you to make the product or service sale come to fruition. By allowing the prospect to have a go-to person they trust, you’re creating the foundation for not just one successful sale — but the prospect of many sales in the future.

Knowing in advance of your marketing campaign what you want consumers to do is imperative to a successful campaign. If you’re the point of contact for the company, you should know exactly what you want a consumer to think and feel when they learn about your product. Have a plan for what steps they will take after learning about you and know exactly what your response will be when they approach you. Develop a plan for followup and be willing to change and mold that plan as you move forward and measure its effectiveness.

As a general rule of thumb, I recommend you always follow up with a prospect, even if you know they’ve purchased from your competition. By showing them the conversation is still open, you’re demonstrating your willingness to hear what they have to say and continue to strengthen your own product or service for the next consumer. By showing you’re still accessible if they ever need your product again, you just may have that opportunity for the sale.

Here’s the gist: If you talk like a large corporation, no one wants to work with you. If you talk as just a guy who does a good job and who happens to work at a large corporation, then you’re on the path to a successful business relationship.

Originally published in The Business Times.

I love the power of a press release.  Good job Larissa!

http://www.nbc11news.com/home/headlines/11_Cares_Leave_it_to_Larissa_114458869.html

I received this string of e-mails a few months back and they made me laugh.  I thought I would share them with you.

-Christy

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Hi
I opened the screen door yesterday and my cat got out and has been missing since then so I was wondering if you are not to busy you could make a poster for me. It has to be A4 and I will photocopy it and put it around my suburb this afternoon.

This is the only photo of her I have she answers to the name Missy and is black and white and about 8 months old. missing on Harper street and my phone number.
Thanks Shan.

———- Forwarded message ———-
From: David Thorne
Date: Monday 21 June 2010 9.26am
To: Shannon Walkley
Subject: Re: Poster

Dear Shannon,
That is shocking news. Luckily I was sitting down when I read your email and not half way up a ladder or tree. How are you holding up? I am surprised you managed to attend work at all what with thinking about Missy out there cold, frightened and alone… possibly lying on the side of the road, her back legs squashed by a vehicle, calling out “Shannon, where are you?”
Although I have two clients expecting completed work this afternoon, I will, of course, drop everything and do whatever it takes to facilitate the speedy return of Missy.
Regards, David.