With all this cash directed at causes, the primary beneficiary is obvious – the recipient of the cash. However, corporations that give are also winning, especially when it comes to public perception and brand loyalty. Consumers offer their patronage to and recommend brands that give to causes identified by consumers as meaningful.

Consider Starbucks. Patrons will tell you the #1 reason they enter Starbucks is for a cup of coffee, or for the encyclopedia-long list of coffee varietals. But something that buys favorable consumer mindshare for Starbucks is the corporation’s long commitment to charitable causes, including: literacy in North America; supporting coffee, tea and cocoa communities; ensuring access to clean water in developing countries; and a myriad of other global and community services.

The buck doesn’t stop with the corporate millions spent on aiding causes. Corporations are bringing to light the needs that exist in communities throughout the country and around the globe. Patrons who identify with these causes contribute even greater sums than would have been realized had the corporations not shed light on them at all. So, the end benefits are even greater for the communities and causes.

The other side of this win-win equation is slightly less obvious: the corporate brand. Patrons are notably gravitating toward brands that give. In 2012, more than 47 percent of consumers said they buy  at least one brand that supports a good cause per month – a 47 percent increase from 2010. More impressive, 72 percent of consumers say they recommend brands that support a good cause, an increase of 38 percent in two years. That’s powerful!

“This is bigger than a trend. It’s a powerful marketing tool for brands to use to separate themselves from the competition,” says Marshal Cohen, chief retail analyst at the research firm NPD Group.

According to the Chronicle of Philanthropy, thirteen American companies donated more than $100-million in cash, compared to 11 in 2010. Wal-Mart gave the most cash ($342.4-million), followed by Goldman Sachs ($337.1-million). Additionally, five companies increased their giving by more than 50 percent. Starbucks grew the most, with a nearly 197 percent rise, followed by CSX, which increased its giving by nearly 70 percent.

As a distinction, consumers remain leery of brands that ask for a dollar here and a dollar there for a local hospital or animal shelter. Retail campaigns asking customers to contribute a dollar to a cause have failed miserably. Consumers want to know the brand is invested deeply in the cause before giving, and want to know their contribution will be matched at the very least.

Also unpopular among consumers are one-off opportunities, when companies give small amounts totaling less than $20,000. Public perception is that these one-off opportunities are not truly worth their while if it isn’t worth a company’s time and money to sustain a solid, strategic long-term campaign of giving. Further, consumers perceive these efforts as more publicity stunt than providing something of authentic value.

Increasingly, consumers want to learn about causes and how to give. And they are increasingly placing their allegiances behind brands that spend wisely and boldly. This is how corporations have managed to create a powerful win-win scenario with their philanthropic efforts.

Creating good will can also help in a crisis. Eighty three percent say they will trust a company more if it is socially responsible. USA Today features an amazing story on the power of corporate giving:

http://www.usatoday.com/story/money/business/2013/03/25/kindness-panera-bread-nordstrom-starbucks/1965183/?utm_source=dlvr.it&utm_medium=twitter&dlvrit=206567

The biggest concern with this belief is that it often leaves organizations unprepared for or unable to effectively respond in times of crisis. They spend more time discussing the fairness of their predicament, than with actually fixing it.

Decision makers with this false assumption often do not develop a comprehensive crisis communications plan. Doing so seems a waste of time and resources because they believe their code of conduct shields them from crisis in the first place. Some managers even seem to believe that the very act of developing a crisis plan implies some hidden wrongdoing.

Additionally, this delusion often prevents organizations from developing effective messaging in response to the crisis. Rather than addressing the actual cause of the criticism, apologizing, and clearly stating how they plan to rectify the situation, they tend to focus on unrelated positive aspects of their organization. Previous philanthropy and social responsibility can certainly be important aspects of effective crisis messaging, however they do not negate the crucial need to directly address the cause of the crisis.

The potential for even the most ethical organizations to experience a crisis does not, in any way, detract from the value of their good deeds. Organizations are allowed to make mistakes; they can even make BIG mistakes and still remain in high standing with the public and media. It all depends on how quickly and how well they respond.

Are you prepared to handle a crisis? Take our PR Heat Index Quiz to find out.

Having represented hundreds of different clients (including political leaders) we talk to reporters on a daily basis. Our job is to work alongside the reporter and provide the best and most interesting information. Most reporters are balanced and fair. Others may have agendas, a bias or may have the full article written before they come to you for comment. And as PR professionals we know this. The real skill is in how we handle that challenge. There is strategy behind it and it doesn’t involve expletives and name calling.

As with the law, “anything you say can and will be used against you” and in this case it was. The spokesperson not only lost his cool, he had it documented in an email correspondence. While it may have been therapeutic in the heat of the moment, his comments will forever be searchable online. The better option would have been to quietly close his office door, let out a soft scream, take a few deep breaths and then get back to emailing the reporter, politely.

How did he do it? He made the USADA look like a bully and he its hapless victim.

Even in instances when a person’s (or brand’s) innocence is in question, the public tends to be very sympathetic and even supportive of those that have been victimized.

On August 23^rd, Armstrong issued an official statement that he would no longer legally fight the USADA’s efforts.

Armstrong’s skillful wording positioned the USADA as an aggressive bully whose sole goal was punishment regardless of guilt. Perhaps more importantly, he presented himself, his family, his charity and ultimately cancer patients as victims.

Let’s examine the wording he uses to describe the USADA and himself:

USADA: bully, one-sided, unfair, nonsense, punishing me at all costs, nothing even remotely fair, broken the law, turned its back on its own rules, stiff-armed, threatening everyone, challenging the good faith, at U.S. taxpayers’ expense, toll it has taken, in opposition to all the rules, and not right.

Armstrong: family, foundation, truth, good faith, responsibility, devote myself, beautiful kids, fighting cancer, fittest 40-year old on the planet.

In addition to his skillful positioning, Armstrong also transcends the topic of performance enhancing drugs. The conversation now focuses on his work as a great philanthropist and dedicated husband/father; qualities that few refute.

He made himself untouchable.

As Washington Post veteran sports columnist Sally Jenkins writes: “Lance Armstrong is a good man. There’s nothing that I can learn about him short of murder that would alter my opinion on that.”

Are you prepared to handle a crisis? Take our PR Heat Index Quiz to find out.

by Adele Cehrs

What artist has 2.4 million Facebook fans, 60,000 Twitter followers and 1,500 Google Plus groups?

Elvis.

That’s why I can honestly say everything I need to know about PR I learned from the most famous teen idol dead or alive. I am not talking about Justin Beiber folks – I am talking about the King of Rock and Roll himself – Elvis Aaron Presley!

I am a huge Elvis fan…probably the biggest Elvis fan my age. You may be surprised how much you too can learn from this iconic brand that has been creating fans, advocates and serious revenue for decades.

In the mid-1950s, the post-war Eisenhower era of social conformity in America was at its peak, and musically, the most threatening image appeared when Presley’s good looks, sensuous moves and mesmerizing voice made him an overnight sensation.  At last, teenagers had music of their own to swoon over, while their parents continued listening to Frank Sinatra.

Elvis was always a little ahead of the curve. Here’s how you can follow in the footsteps of a pop-culture legend.

Lesson #1 — Make a Grand Entrance

The Elvis experience begins with a grand entrance. Can’t you just hear his theme song, CC Rider, in your head as you read this?  A tribute to the King’s brand consistency, his entrance and his opening song remained unchanged for his entire career.

Which makes me think – how do you launch strategies for new products, offerings or content? Is your message consistent? If not, how will prospects remember all of your offerings…Every launch has to be planned, strategized and intentional – just like Elvis.

Lesson #1 — Be an Engaging Story Teller

Think about how many Elvis’ songs you remember, even if you are not a fan the lyrics are STICKY.

Ain’t Nothing but a Hound Dog. Blue Suede Shoes. Suspicious Minds. Jailhouse Rock. Heartbreak Hotel. Love Me Tender. I can go on, but I don’t want to get any songs stuck in your head.

All of these pop songs repeat the chorus several times and have an interesting bridge.

This trick of repetition also works for PR messages. Research shows that you can remember about 3 to 4 items for about 20 seconds before they disappear from memory – unless you repeat them.

For companies, organizations or individuals too many messages can cloud the waters: Be sure to analyze your messages. To be effective and memorable, you should have no more than 3 to 5 overarching messages about your brand and initiatives.

Lesson #4 — Create Raving Fans

I know you’re thinking, “obviously this girl has been to Graceland.” And you would be right.

As the youngest of three, my father and I had very little in common. Except we were both die-hard Elvis fans. On my 9th birthday, my dad took me and my sister on a road trip from NJ to Graceland in an old clunker of a car…Naturally, we made it to the most visited private home in the world and it is still one of my fondest childhood memories.

As you can see some brands, concepts and ideas are cross-generational.  But what made Elvis so timeless?  The answer is many of the same things that can make your organizational messages timeless.

Find the commonalities in your customers and create stories that reflect those cross-generational needs and desires through anecdotal surveys, quick polls on hot topics, etc. Use this data to motivate super fans to get more involved.

Lesson #5 — Create Brand Advocates

Elvis had a gang of friends who were referred to as the Memphis Mafia. He knew these friends for years and felt comfortable that they would provide him honest feedback when he needed it, but would also come to his aid if he needed a bodyguard from an unruly group of fans.

Do you have clients who you’ve known for a while that rave about your company or employees? Do you have a spreadsheet of those people that you can easily access that lists these brand advocates in case you need to reach out to them for a PR initiative or if a PR crisis should arise?  If not, make that a to-do item tomorrow.

Lesson #6 — Don’t Be Afraid of a “Little Controversy”

Elvis’ hips were banned from Ed Sullivan show due to censorship. This created buzz and sensationalism for Elvis, which helped catapult him to stardom.

To make controversy work for you, you must outsmart competitors and react quickly. By understanding your competitors or detractors and develop a corresponding opposition strategy to craft creative and unique PR and marketing initiatives with an “O” strategy.

Developing an “O” (opposition) strategy is more than just competitive research. It’s about understanding key trends, values, and conversations within your industry, and reacting quickly and strategically when they can benefit your organization.

What industry trends can you take a position on? Find at least one and pre-write messages should an opportunity arise to share that position with the media.

Lesson #7 – Don’t Reinvent the Wheel: Do What Works

Elvis made hundreds of movies, which basically had the same plot. Hard-working mechanic, waiter, race car driver – uses his music to overcome adversity – and Elvis always got the girl.

This movie formula was enormously successful – and while many will argue his movies aren’t that great – they are cult classics b/c viewers’ knew what to expect from them and they kept coming back for more.

What events or initiatives get rave reviews? Take note, and tweak them slightly to make them timely, but don’t throw out the good options to try a shiny new communications platform b/c everybody is doing it. Do what works. 

Lesson #8 – Be Platform-Flexible to Remain Relevant

Elvis’ brand right now is adapting to meet the needs of new technologies. As a brand, Elvis’ PR and marketing team could rest of their laurels and say their main target audience is baby boomers who don’t necessarily use social media, but the brand would die out if they just concentrated on their biggest audience.

His brand has a huge following online an off and an estimated 75,000 people went to Graceland to pay tribute to the 35th anniversary of his death.

And, his PR campaign still breeds new fans b/c they are constantly trying new communications platforms to attract new fans.

That’s why you should have multiple audiences you are catering to with through different platforms. Now, I am not suggesting you communicate on all of these platforms, but the ones that are most relevant to your first, second and third-tier clients or prospects.

Lesson #10 — You Don’t Have to Appeal To Everyone

For instance, Elvis loved fried banana sandwichs. This type of food does not appeal to everyone and neither will ALL of your PR messages or initiatives.

Altering a message or a position too quickly to appease a small opposition audience doesn’t work. It creates brand confusion, is disingenuous and breeds rumors. Stay consistent and clear.

If an organization’s position does change, and this is inevitable given the demand for transparency, acknowledge it and articulate the reason for the change.

Lesson #11 — Celebrate Key Brand Milestones

Elvis’ PR and brand team use key anniversaries to gather the King’s Fans. His birthday. The day he died (35^th Anniversary Celebration is this year August 16, 2012). Anniversaries of hit songs – you name it they use it as a reason to get people together and reinforce their love for this rock icon.

What can you celebrate to get engagement? Get creative.

Lesson #12 — Embrace Impersonators

Copying your brand is the sincerest form of flattery – embrace it. Elvis’ brand does.

The 2012 Ultimate Elvis Tribute Artist Contest is where Elvis impersonators compete for $20,000 in prizes and most likely a Vegas gig.

How does this apply to organizations? Consider partnering with similar-minded organizations with the same target market as your organization. Don’t look at them as competitors – look at how they complement or build on your PR tactics and create a program that can pool your resources for bigger brand impact.

Lesson #13 – Practice Vigilant Reputation Management 

Elvis died an untimely death, which many people blame on the abuse of prescription drugs. His fans just refused to believe this and instead made up the idea that Elvis faked his own death. Fans are still reporting sightings of Elvis. That’s staying power.

Do you have a brand that can withstand a PR crisis? Have you properly prepared for a crisis? We, at Epic PR Group, have prepared a crisis assessment called the PR Heat Index and you can take the quiz to see how ready you are to handle a crisis in your organization.

Lesson #14 — You Can Make a Comeback

Elvis always gave generously to his fans. What have you done for your biggest advocates lately? Elvis’ supreme generosity is legendary and one of the reasons that so many fans love to retell those stories over and over again to others who long to make a connection.

Even if you’ve had a PR disaster, like BP, Nationwide or Susan G. Komen, the power of PR is the ability to capitalize on the good will you built from being generous when you didn’t need anything in return.

Be generous in praise, opportunity and recognition and you’ll be pleasantly surprised how that good will; will be returned to you in some form or another.

Lesson #15 — Make an Exit

Every performance and every campaign is a chance to learn something – good or bad. Be sure to go over what went right and also what went wrong in after-action reports. Discuss how to avoid or use these wins moving forward with your communications team.

Elvis knew what would get attention – and he did it so successfully that he is one of the most well-recognized artists of the last century. Elvis knew exactly what his fans wanted and catered to it. As a PR professional you need to do the same thing — find what your members need and provide it to them.

Elvis has left the building.

Thank you, thank you very much! 

The top three reasons automobile shoppers say they purchased an American-made vehicle was because it “protects American jobs” (78 percent), “supports the American economy” (74 percent), and “keeps American dollars at home” (62 percent), according to a recent survey by AutoTrader.com.

Moreover, findings revealed a strong sense of pride in American-made products, but for the majority of consumers, “American-made” is acutely defined as a product physically made in the United States, regardless of where the company is headquartered.

Interestingly,  when we took to the streets to test local consumer knowledge regarding car manufacturing, few knew that some of the largest foreign car companies build their vehicles in factories located throughout the United States.

From a PR perspective, this means car companies need to do a better job promoting the “Made in America” message. Call us patriotic, but America still remains a leader in the hearts and minds of many when it comes to building cars.

Check out this video to see a candid look at why the “Made in America” brand is still an important consideration for  many consumers.

Regardless of actual mistake, malfunction, or malevolence, developing a solid crisis communication plan requires knowledge of all contributing factors that lead to the issue. It is crucial that crisis teams, whether internal or external, know what to expect so they can monitor for coverage, identify audiences, draft effective messaging, and distribute appropriately.

Crisis communications professionals, like lawyers, should be well-versed in confidentiality laws and can add extra assurance that information shared during a crisis will remain private. Communications teams should be seen as confidential partners and allies.

So what information should be shared with crisis communications teams?

• A general background of the crisis.
• Cause of the crisis.
  • Actual mistakes or wrongdoings.
  • Perceived mistakes or wrongdoing.
• Actual or potential damages from the crisis.
• The audience or who is aggrieved by the crisis.
• Information that can be shared that may disarm or mitigate the crisis.
  • Information that cannot be shared for legal or competitive reasons.
• What can be done to make amends or disarm the crisis.

This information is central to developing an effective crisis communication plan and will help prevent or mitigate damage.

Photo Courtesy of: The Guardian

When a crisis hits an organization, the media go into a frenzy. Reporters question spokespeople and experts looking for a slip-up, a break in the news, or the exclusive sound bite. This dynamic makes it difficult for unseasoned media relations professionals to stay one-step ahead. To avoid the teeth of the watchdog press during a crisis, consider the following seven common mistakes that are made.

1. Apologizing with a caveat. In a recent post, we discussed how many of today’s “apologizes” are coupled with a but statement. All too often, organizations attempt to apologize for their actions with an excuse, hoping it will ease the tension. Not only will the media see right through the excuse and report on it, studies show that consumers will be less likely to defend or use a brand if they feel executives are not taking full responsibility for a misstep. Think about the Netflix price-hike example or Bank of America’s attempt to hide additional bank fees from customers.
2. It’s all about you. Think BP. When CEO Tony Hayward appeared on the Today Show after the Deepwater Horizon explosion, he said “we are sorry for the massive disruption it has caused their lives, and there is not one who wants this over more than I do, you know I’d like my life back.” That statement catapulted him further into the media spotlight, labeling him as a “thoughtless,” “hated,” and “clueless.”
3. Defending the brand without a plan. When now former executive director Greg Smith made a very public exit from Goldman Sachs, the company seemed stunned. It quickly responded to Smith’s New York Times article with its own op-ed piece in the Financial Times. Interestingly enough they had no plan of action beyond the op-ed and no way to truly address the allegations brought up by Smith. This positioned Goldman Sachs in a classic David and Goliath battle in the media.
4. Not seeing the silver lining in a crisis. Not every crisis has to be completely negative – companies like Domino’s have bounced back from a crisis because they were able to see the silver lining– the light at the end of the tunnel. Crisis can be an opportunity for change, and oftentimes organizations forget that. The press will pick up on efforts to make a real change post-crisis; whether that be conducting an audit, or reexamining policies, showing a movement towards change can help ease consumer’s worry of the future.
5. Not picking the right spokesperson. Believe it or not, the CEO is not always the best spokesperson for a company. While it is important that they remain available for comment during a crisis, it is not always the best idea to have them as the headlining act. A spokesperson should have great speaking skills, credibility, charisma, experience working with the media, talking points and messages and a genuine interest in what is going on. This will help enhance the human element of an issue and make it easier for people to connect with the brand.
6. Not understanding how competitor will leverage the crisis. When Susan G. Komen announced that they were defunding Planned Parenthood, a slew of competing breast cancer awareness organizations began highlighting the work that they were doing. People began to back the underdog. The media picked up on this break from Komen and began writing on the good work and help that these alternative organizations offered to breast cancer patients and their families.
7. Not knowing all sides of the story. The quickest way to get into hot water with the media is to comment before knowing all sides of the story. This is when your “War Room” comes in. Getting everyone at the table to evaluate the situation, determine the effect of a crisis on different audiences, and decide on a plan of action will create a better crisis management strategy. It’s better to be ahead now than to have to fall back in the future.

By knowing these seven common mistakes, you can position your company to better respond to and handle the media during a crisis situation.

Not surprisingly, people took to the web, telling Popchips that the ad is racist. Shortly after, Popchips experienced what we call a “Flash Crisis.” The CEO and Founder of Popchips, Keith Belling issued this half-hearted apology on the company’s blog:

The apology, although swift, highlights two traps that company’s fall into: the but-apology and trying to excuse the company’s actions.

• The “but” apology. It seems that every apology issued with a corresponding “but we didn’t mean too.” (insert link to apology video here). The CEO of Popchips would have been better off to fall on his sword and admit to the mistake instead of trying to justify the campaign with this statement “our team worked hard to create a light-hearted parody.” Needless to say, this apology continued to fuel the fire. In response, consumers posted angry comments on the blog vowing not to purchase the product because of this incident.

• Excuses, excuses. Rather than simply admitting a mistake, many CEO’s are trying to cover their tracks or pass the buck. While in some cases, this may be a last-resort tactic recommended by the legal department, it most often will result in more questions, negativity and distrust among consumers, further exacerbating the crisis. While a safe approach to avoid litigation, the company will ultimately loose in the court of public opinion.

While both of these traps are defensive actions and often backfire, no one can deny that controversy creates brand recognition. Plenty of media covered the campaign and continues to do so, which begs an important question. Is this ad campaign a veiled attempt by the company to create controversy and word of mouth marketing? Will this ad stop you from buying Popchips?

Let us know what you think.

For years, CEOs have been apologizing badly. Check out this video to see how not to apologize in a crisis situation.

With every crisis there are different needs that arise. Stakeholders may need information, action items, support, prevention methods, etc. Each of those different needs requires a different type of apology. Take for instance, the BP Deepwater Horizon disaster. When the oil rig exploded off of the Gulf of Mexico the immediate worry was the ocean – almost immediately after, people along the Coast began to realize the affect this oil was going to have on their business and their livelihoods. The apology in this situation, would require not only action items, but also information and support.

Now consider the recent crisis Acura experienced. Many people remember Acura’s Super Bowl commercial with Jerry Seinfeld, competing to be the first person to own a new model car. What many people might not know is that the casting call for the Acura car salesperson, according to TMZ.com, read that the commercial needed an actor that was “nice looking, friendly, not too dark.” The Huffington Post stated that “Someone connected to the ad’s casting told TMZ that the skin tone restriction was to avoid problems with lighting and special effects.”

Once this story broke on TMZ, many people were enraged by the language used in the casting call. So what was Acura’s apology?

We apologize to anyone offended by the language on the casting sheet used in the selection of actors for one of our commercials. We sought to cast an African-American in a prominent role in the commercial, and we made our selection based on the fact that he was the most talented actor. The casting sheet was only now brought to our attention. We are taking appropriate measures to ensure that such language is not used again in association with any work performed on behalf of our brand.

This apology (which some may consider appropriate; others may not) is drastically different from that of the BP oil spill – as it should be. But as public relations and communications professionals try and navigate the growing intersection between traditional and social media, and request for transparency and consumer involvement, they may find that crafting an apology is more difficult than ever.

No one has all the answers, but here are five things to consider BEFORE your organization issues an apology:

1. What is the real perception issue? Take the time to analyze what the issue is, what audience(s) do you need to be in most constant contact with, what level of involvement does your organization need to have, what are the needs of your audience(s), the degree of seriousness, etc. These will help your team to craft a more targeted and appropriate apology. Better yet, have a plan in place for issues that may arise in your industry before you need one.
2. What method of communication will you use? Will you apologize on social media, through traditional media, perhaps a posting on your corporate newsroom or blog? Will you use a video statement or a print statement? Whichever platform your organization chooses to use, you have to consider your audience – keeping in mind that the more serious an crisis, the more involved the media will want to be. Think about the various factors and the best way to reach the audience with both the biggest need and the most attachment.
3. Consult Legal. With every issue, there may be some legal implications. Thus, before issuing an apology, consult legal to see what you can and cannot say. This will help to prevent a larger issue from developing and will protect your organization down the line.
4. Be human. No matter what the crisis, someone is, can potentially be, or inevitably will be affected. Keeping that in mind when crafting an apology will help to position your organization as “human.” Showing a more human-side, can help an organization maintain their reputation and their audience.
5. Get everyone at the table. In any crisis, make sure you have the right people at the table. Consider all of the different facets of an issue when creating your “War Room.” A good War Room should have, in the least, C-Suite, spokespeople, legal, communications department, and experts (in issue area). Each of these different entities can help an organization craft an apology that is suitable for an audience and meets their needs.

Epic PR Group offers crisis training workshops that can help teams to better prepare for and deal with crisis situations. Want to find out if you are prepared? Take Epic’s PR Heat Index quiz and find out! Receive a detailed breakdown of your scores and resources for moving forward.

If you are interested in learning more email info@epicprgroup.com and mention “Art of an Apology” or visit our website at www.epicprgroup.com