Crisis communications plan following Chairman's anti-gay statements

1. CRISIS COMMUNICATION
Public Relations Case Studies Group 6
Andrea Jensen, Brian Kearney, Tyler Mulvey, James Roh, Lisa Santeramo, Jaclyn Tellefsen

2. BACKGROUND
• CEO of Barilla Group is Claudio Colzani
• Established in 1877 as bread and pasta shop in Parma, Italy
• Barilla leads global pasta business, pasta sauce business in
continental Europe, bakery product business in Italy, and crisp bread
business in Scandinavia
2

3. BACKGROUND
• Managed over 130 years by one family’s entrepreneurial experiences
• Includes fourth-generation siblings on Board of Directors: Guido, Luca,
Paolo and Emanuela Barilla
• Barilla exports to more than 100 countries
• It is recognized worldwide as symbol of Italian know-how by respecting
its longstanding traditional principles and values
– Considers employees as fundamental asset and developing leading-edge production
systems
• Barilla is one of Italy’s biggest advertisers
• Used image of a happy family living in an idealized version of the Italian
countryside with slogan: “Where there’s Barilla, there’s home.”
3

4. “We have a slightly different culture,” Barilla said, “For us, the ‘sacral
family’ remains one of the company’s core values. Our family is a
traditional family. If gays like our pasta and our advertisings, they will eat
our pasta; if they don’t like that, they will eat someone else’s pasta. You
can’t always please everyone not to displease anyone. I would not do a
commercial with a homosexual family, not for lack of respect toward
homosexuals – who have the right to do whatever they want without
disturbing others – but because I don’t agree with them, and I think we
want to talk to traditional families. The women are crucial in this.”
“I respect same-sex marriage because that concerns people who want to
contract marriage, but I absolutely don’t respect adoptions in gay
families, because that concerns a person who is not the people who
decide,” he added.
4

5. OVERVIEW
• Barilla must implement numerous tactical solutions to:
– Address immediate crisis
– Increase confidence in brand
– Avoid further damage
– Build foundation for long term restoration
– Develop corporate social responsibility
– Develop philanthropic approaches to repair damage
5

6. OVERVIEW
• Barilla implemented more inclusive TV campaign
• Created multifaceted plan to embrace diversity
– Introducing “Diversity & Inclusion Board” and Global Diversity Officer
– Participating in Human Rights Campaign’s Corporate Equality Index
• Global Twitter and Facebook apology statement
• Exclusive video apology from Guido Barilla
• Guido Barilla meeting with LGBTQIA activists
• Global online short-video contest representing
the multifaceted nature of pasta
6

7. OVERVIEW
• Barilla will partner with outside agency specializing in issue management
• Prevent flooding of negative messages and feedback on social media
• Chairman, Guido Barilla to undergo media training to avoid additional
damage
• Educate Chairman, Guido Barilla about LGBTQIA communities and same-
sex marriages
• Announce partnership with GLSEN
• Offer employee benefits to same-sex couples
• Up-to-date inclusive projects and website media center
7

8. SECONDARY RESEARCH
• Other cases related to Barilla:
– Abercrombie and Fitch
• Wouldn’t sell larger sizes in women’s clothing
• CEO Mike Jeffries said “only cool kids” should wear A&F
– Chick-Fil-A
• Against same-sex marriage; donated to anti-gay organizations
– Urban Outfitters
• Multiple controversies stemming from teenage drinking, negative body image, supporting
anti-gay rights, and upsetting a variety of ethnicities.
• Removal of items in stores and consumer boycotts resulted in negative PR.
8

9. SECONDARY RESEARCH
9

10. SECONDARY RESEARCH
10

11. PRIMARY RESEARCH
• Global quantitative studies to determine best communication
channel for each audience segment
• Research global LGBTQIA organizations that have strong influence
over public
• Global qualitative studies with audience segments to uncover
effective ways for brand restoration
• Global qualitative studies with boycotters to gain insight
11

12. IMMEDIATE ISSUES
• Guido Barilla’s anti-gay
remarks:
• Guido Barilla’s statement
about being against adoption
in gay families
• Guido Barilla refuses to
advertise gay couples or
families
• Barilla brand faces global
boycotts
12

13. ADDITIONAL ISSUES
• Barilla brand is now thought of as anti-gay company
• Embarrassed employees fear job loss
• Decrease in trust, confidence, and loyalty in the brand
• Outraged publics display Barilla in negative light via social media
13

14. AUDIENCES
Primary Target
Secondary Target
• LGBTQIA community
• Media
• Boycotters
• Youth
• Non-traditional families
• Partnerships
• Global consumers
• Key opinion leaders
• Barilla employees
14

15. AUDIENCE IDENTIFICATION WHEEL
• Barilla Employees
• Media
• GLSEN
• Other partnerships
• LGBTQIA community
• Non-traditional families
• Boycotters
• Global consumers
• Key opinion leaders
• Youth
15

16. AUDIENCE RANKING CHART
• LGBTQIA community
• Global consumers
• Employees
• Youth
• Boycotters
• Media
16

17. MAC TRIAD
• LGBTQIA community
• Non-traditional families
• Global Consumers
• Boycotters
Immediate Message:
• We apologize to whom we have offended.
Long Term Message:
• A variety of quality products for a variety of
quality families.
• TV
• Billboards
• Sponsorships/Special events
• Celebrity endorsements
• Media Outreach
• Barilla Employees
Immediate Message:
• Rest assured. We will restore our brand image.
Long Term Message:
• Playing the part for your successful future.
• Employee newsletter/Company Intranet
• Social Media
• Company website
• Media
• Partnerships
Immediate Message
• We will mend our broken relationships.
Long Term Message
• We’re doing our part to create a more inclusive
brand.
• Social media
• Company website
• TV
17

18. ISSUE: CEO’S ANTI-GAY REMARKS
• Objective 1.0: Decrease negative conversations among public and
media by 35% by January 2014 (3 months).
– 1.1 Monitor public and media conversations surrounding Barilla
brand
• 1.1.1 Partner with outside agency (Edelman PR) specializing in
issue management to monitor global online conversations and
respond to negative conversation that gain traction
• 1.1.2 Temporarily disable Facebook wall comment option on all
global brand pages to prevent flooding of negative comments
18

19. ISSUE: CEO’S ANTI-GAY REMARKS
– 1.2 Show the company is sorry and prepare for future
backlash
• 1.2.1 Have Chairman Guido Barilla, CEO, and other Board
members go through media training to prevent additional
damage through communication
• 1.2.2 Announce immediate partnership with GLSEN (Gay,
Lesbian and Straight Education Network)
• 1.2.3 Create an apology video with emotional appeal
• 1.2.4 Create apology statements and push out through social
media, global brand websites and media outreach
19

20. ISSUE: BARILLA NOW VIEWED AS ANTI-GAY COMPANY
• Objective 2.0: Increase positive customer perception of the Barilla
brand by 65% by October 2014.
– 2.1 Initiate philanthropic/corporate social responsibility activities
• 2.1.1 Donate to international food banks
• 2.1.2 Team up with organizations like Hunger Relief International to address child
malnutrition across the globe
• 2.1.3 Form Diversity and Inclusion board to establish strategies for improving workforce
and culture with regards to sexual orientation, gender balance, diversity rights and
multicultural and intergenerational issues
• 2.1.4 Partner with international orphanage organizations such as International Orphan
Care or the Amala Foundation to help in their mission of providing homes for orphans
around the world
20

21. ISSUE: BARILLA NOW VIEWED AS ANTI-GAY COMPANY
– 2.2 Plan and execute integrated marketing campaign to restore
customer loyalty
• 2.2.1 Designate a media center portion of website that contains most
up-to-date materials on crisis and what is being done to win back
favorable opinion
• 2.2.2 “The Pastabilities are Endless” contest inviting all customers to
create their most creative dish with Barilla pasta. The proceeds will
be donated to GLAAD (Gay and Lesbian Alliance Against Defamation)
• 2.2.3 Inclusive advertising campaign showing non-traditional families
• 2.2.4 Partner with “It Gets Better” campaign to help with initiatives
for LGBTQIA youth
21

22. ISSUE: BARILLA NOW VIEWED AS ANTI-GAY COMPANY
– 2.3 Position Guido Barilla as an individual willing to learn
about same-sex marriage and families
• 2.3.1 Stage public appearances with Guido and well-known
same-sex couples and kids to alert the press
• 2.3.2 Invite key opinion leaders to dinner with Barilla Board of
Directors and/or Chairman Guido Barilla alerting the media
ahead of time
22

23. KEY OPINION LEADERS
• France
– Rama Yade
– Emma Watson
• Italy
– Franco Grillini
– Vladimir Luxuria
• United Kingdom
– Sir Ian McKellen
– Michael Steed
– Chris Smith
– Sir Elton John
• USA
– Ellen DeGeneres
– Anderson Cooper
23

24. ISSUE: EMBARRASSED EMPLOYEES FEAR JOB LOSS
• Objective 3.0: Improve employee morale by 75% by April 2014.
– 3.1 Reassure employees that the company will repair its image
• 3.1.1 Extend marriage benefits to the spouses of same-sex
employees, even if pair lives in state where gay marriage isn’t
legal
• 3.1.2 Implement advisory board in the company that will
improve diversity and equality in work force and culture
• 3.1.3 Keep employees up-to-date with inclusive project
24

25. BUDGET
NOV
DEC
JAN
FEB
MAR
APR
Childhood Hunger Initiative
$10,000
$10,000
$10,000
$5,000
$5,000
Orphan Organization Initiative
$5,000
MAY
JUN
JUL
AUG
SEP
OCT
TOTAL
$10,000
$5,000
Partnerships/Sponsorships
GLSEN
It Gets Better Initiative
$10,000
$40,000
$10,000
$10,000
$10,000
$10,000
$5,000
Sponsorships (NYC Gay Pride)
BRAND SUBTOTAL
$10,000
$5,000
$5,000
$5,000
$5,000
$5,000
$40,000
$30,000
$10,000
$10,000
$20,000
$20,000
$10,000
$10,000
$15,000
$15,000
$5,000
$5,000
$5,000
$5,000
$130,000
NOV
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
TOTAL
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$80,000
Digital
Production of Apology Video
$20,000
Social Media Management
DIGITAL SUBTOTAL
$10,000
$10,000
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$100,000
NOV
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
TOTAL
PUBLIC RELATIONS
$0
Research (US only)
$10,000
$10,000
$10,000
Media Training
$5,000
$5,000
$5,000
Agency Partner
$35,000
$35,000
$35,000
$35,000
Media Relations
$25,000
$25,000
$25,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
$165,000
$75,000
$75,000
$75,000
$45,000
$10,000
$10,000
$10,000
$10,000
$10,000
$20,000
$20,000
$20,000
$380,000
NOV
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
TOTAL
$750,000
$750,000
$750,000
$750,000
$750,000
$750,000
$750,000
$750,000
$750,000
$6,750,000
PUBLIC RELATIONS SUBTOTAL
$10,000
$10,000
$10,000
$60,000
$15,000
$140,000
PROMOTIONS
Advertising Campaign (print, TV, etc.)
"Pastabilities are Endless" Contest
$15,000
TOTAL
$15,000
$15,000
$15,000
$15,000
$0
$0
$750,000
$750,000
$765,000
$765,000
$15,000
$765,000
$15,000
$0
$0
$0
$6,825,000
NOV
PROMOTIONS SUBTOTAL
$75,000
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
TOTAL
$95,000
$95,000
$845,000
$815,000
$785,000
$785,000
$40,000
$790,000
$30,000
$25,000
$25,000
$25,000
$7,435,000
25

26. RESULTS
• Objective 1.0: Decrease negative conversations
among public and media by 35% by January 2014 (3
months).
– Not Met
• Negative conversations among public and media decreased by
10% by January 2014.
• Apology perceived as insincere.
26

27. RESULTS
• Objective 2.0: Increase positive customer perception
of the Barilla brand by 65% by October 2014.
– Not Met
• Positive customer perceptions of the Barilla brand increased to
52% by October 2014.
27

28. RESULTS
• Objective 3.0: Improve employee morale by 75% by
April 2014.
– Met
• Employee morale increased by 81% by April 2014.
• Marriage benefits show Barilla’s moves are legitimate and not
made for public perception.
28

29. POTTER MODEL
• Barilla pasta, established in 1877 as a bread and pasta shop in
Parma, Italy, leads global pasta business. The company, managed for
over 130 years by one family’s entrepreneurial experience, exports
to more than 100 countries. Chairman of Barilla Group, Guido
Barilla, made anti-gay comments saying, “I would never do (a
commercial) with a homosexual family, not for lack of respect but
because we don’t agree with them. Ours is a classic family where
the woman plays a fundamental role.”
• Question: Is it ethical for a company to support a viewpoint for the
sake for business?
29

30. POTTER MODEL:
IS IT ETHICAL FOR A COMPANY TO SUPPORT A VIEWPOINT FOR THE SAKE OF BUSINESS?
Yes: A company’s success is measured by their
profit and positive image.
Yes: A positive perception of the company will
result in more success than a negative perception
of the company.
No: A company’s ideology should not change based
No: The company should stand by their philosophy
on social pressure.
regardless of outside perception
Yes: The company and their employees rely on
consumers purchasing their product.
No: Customers should make purchases based on
the product, not on employee’s politics.
Yes:
• Aristotle: If a company’s viewpoint aligns with a majority of
consumers, the bottom line is greater.
• Mill’s: If the company benefits from a viewpoint, it should be
utilized.
No:
• Kant: A viewpoint shouldn't change based on anticipated
perception
•Judeo/Christian Principle: A viewpoint should be supported
because of emotional backing, not because of a business strategy.
It’s deceiving and not how anyone would like to be treated.
30

31. POTTER MODEL
IS IT ETHICAL FOR A COMPANY TO SUPPORT A VIEWPOINT FOR THE SAKE OF BUSINESS?
• Decision:
– Yes: It is ethical to support a viewpoint for the sake of business.
• Supporting a viewpoint popular with the public results in
increased sales and a favorable opinion among the public.
31

32. CONCLUSION
• We pulled from personal and professional experiences to
implement most effective strategies and tactics
• Examined numerous case studies across various industries that
experienced a crisis and noted what worked best and what didn’t
• We implemented realistic and creative ideas to convey our
messages to separate audiences through our short-term and longterm objectives
32

33. RESOURCES
• Huffington Post
• Washington Post
• Barilla Website
• Barilla Group Website
• ABC News
• NY Times
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34. THANK YOU
Pasta la vista!
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