Crisis Communications in the YouTube Age (updated)

Crisis communications in the YouTube age By Julian Matthews, Trinetizen Media www.trinetizen.com Nov 19, 2008

Case study 1: Kryptonite Bike Lock Fiasco

The power of video blogs ,[object Object],[object Object],[object Object],[object Object]

Mainstream media picks up story

Ingersoll-Rand Endures Kryptonite's US$10 Million Hit ,[object Object]

Japanese and English, leading languages

Companies that blog internally or externally

Dell laptop explodes at Japanese conference ,[object Object],[object Object],[object Object],[object Object],[object Object]

Good news, get it out fast Bad news, get it out faster !

Dell to recall 4 million laptop batteries ,[object Object],[object Object],[object Object],[object Object]

Sony delays response, problems deepen… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

ThinkPad explodes in LAX airport , posting on Gizmodo.com, Sept 16 “ So we're waiting for a flight in the United lounge at LAX, this guy comes running the wrong way, pushing other passengers out of the way and quickly drops his laptop on the floor. The thing immediately flares up like a giant firework for about 15 seconds, then catches fire….”

Charred remains of IBM notebook on terminal floor

Crisis Escalates, Spreads Like Viral Fever

Sony finally responds… ,[object Object],AP, Oct 26, 2006: Sony's profit plunged 94 percent for the July-September quarter as a global battery recall and red ink in its video-game business hurt the Japanese electronics and entertainment company. Sony Corp.'s group net profit for the fiscal second quarter totaled 1.7 billion yen (US$14 million; euro11 million), dwindling from 28.5 billion yen the same period the previous year, the Tokyo-based manufacturer said Thursday. … but profit plunges 94 percent

Sony’s crisis post-mortem ,[object Object],[object Object],[object Object]

1. Determines cause – battery supplier, executes costly remedial action with safety in mind. 2. Liaises with authority: Works with U.S. Consumer Product Safety Commission to announce global recall of 4.1 million laptop batteries. 3. Used website: Sets up recall website for customers to check affected units. 4. Assures safety: Guarantees replacement batteries are safe. Dell’s Response Post-mortem

Sony execs’ bow not deep enough? “ We want to put this behind us. I take this problem seriously and I want to finish the replacement program as quickly as possible for the sake of our users and corporate customers ,” Corporate Executive Officer Yutaka Nakagawa, Oct 24, 2006

Slippery slope of customer adulation

'Alien' substance caused Dell notebook battery to ignite ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

[object Object],[object Object],[object Object],[object Object],Review: Managing a crisis in the YouTube age

The power of social media in Malaysia

The Internet train has left the station

Rise of broadband in Malaysia Note: Internet penetration est. 59%, about 14.9m, Source: Internetworldstats.com/MCMC

The New Media World Investors Customers Prospects Analysts Partners Employees Community Press MESSAGES Competitors

Social Media in 21 st century ,[object Object],Many ways to snack: Blogs, podcasts, RSS, wikis, social networks, mobile networks, YouTube, Twitter. Amplifies virally: Two-way, lean-forward media, searchable, archivable, infinite replay, timeshifting Growing influence: 24/7, places higher expectations on speed, transparency and accountability

NOW ,[object Object],Then ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Media Options

Dell’s IR blog ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Link: http://dellshares.dell.com

CEOs are blogging Rick Wagoner, GM CEO http://fastlane.gmblogs.com/ Jonathan Schwartz, Sun http://blogs.sun.com/jonathan/

Bill Marriott http://www.blogs.marriott.com/ Richard Edelman http://www.edelman.com/speak_up/blog/

Why blog? ,[object Object],[object Object],[object Object],[object Object]

Case study: Crisis blog ,[object Object],[object Object],[object Object]

Questions to consider: ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Crisis Communications in the YouTube Age (updated)

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