Marketing Is The Key

I was invited to sit on a panel of three journalists at the Vinings Business Association discussing the top business stories of 2008 and economic outlook for the coming year. The editor on my right, from a regional business monthly, listed stories that highlighted the economy – bankruptcy, foreclosure and suicide. On my left was an editor from the local daily. He noted that the top stories all involved the housing slowdown. Since we don’t even cover those kinds of stories, I took The Bright Side of the news. To paraphrase the TV theme from many years ago: "That was The Year That Was." But remember the second line: "It's Over Let it Go." The Election year Debate of last year was whether there was a recession. The GOP lost that argument when presented with the facts late in the year, and lost the election. But while there people losing jobs, and homes being foreclosed, there were also lines around the block to purchase I-phones and Wii, and the malls were still full of shoppers. If you are going to be in a recession, Cobb County is the best place to be. While Cobb County is not immune to the effects of recession, but Cobb has a cold, not the flu and definitely not pneumonia as the national media would make you think. Homes are still selling here – albeit slowly if you can get a loan – and there's only a 6 month backlog of housing compared to 2 years in some other counties. People still have jobs; they are still eating out, buying clothes and seeking services. Unfortunately they are lacking in consumer confidence. This means less splurging, and more practical purchases. So, what do we do to make it through the coming months or year of this downturn? Marketing is the key to Survival. Don't hide from your customers and continue to communicate with your customers. The last thing you want to do in a slow economy is to ignore the customers who provide your income and profits.

Staying Calm in Crisis

It's hard, but sometimes the best response to a crisis is to remain very calm as you tell the public that the world is crumbling around you. Take for example this first paragraph from a press release from the City of Atlanta and its rapid transit system, MARTA:

"There is a non-emergency operation being conducted on Forsyth Street by personnel of the City of Atlanta. It will involve the excavation of a significant portion of the east northbound lane of the street for purposes of determining why the street is caving in.”

That sounds bad, right. But if you say it very calmly, perhaps it doesn't hurt so much.

Yes, Disaster Will Happen

Denise O’Berry runs the Minding Your Own Business network on Ryze and writes a “Just for Small Business” blog. She offers some good tips on crisis preparedness in a recent blog entitled: “Yes, A Disaster Can (Will?) Happen to Your Business.” It’s good advice for anyone: small or large business or even personally. Read it here.

Wishing you could un-say a word

Elephants never forget.

By that standard, neither do wives, reporters or politicians. (Putting it into a political context -- Donkeys don’t forget either.)

My friend Rich Galen, a political strategist and three-times a week blogger at mullings.com, reminded me of a point counterpoint to current events.

Sen. Hillary Clinton is being taken to task for referring to the U.S. House as a “plantation.” While the presidential candida…. er, Senator was using the word to make political points at a MLK Day rally, she has a point. From the viewpoint of the political party in the minority, the House has always been run in a top down, heavy handed manner. It had been like that for 40 years of Democrat control before the Republican Revolution in 1994. A decade later the Dems are just noticing.

But the same language was used by revolution leader and later Speaker Newt Gingrich in a Washington Post article Oct. 20, 1994. As Galen notes:

That was “a couple of weeks ahead of the Republican tsunami in the US House in the mid-term election of that year). “Newt was still House Republican Whip and, talking to a reporter about how differently House Democrats looked at him as opposed to how they viewed House Republican Leader, Bob Michel, said:

"’I'm much more intense, much more persistent, much more willing to take risks to get it done. Since they think it is their job to run the plantation, it shocks them that I'm actually willing to lead the slave rebellion.’"

It was also in that same mid-January week that New Orleans Mayor Ray Nagen vowed to remake his town “a Chocolate City.”

While both comments drew cheers and applause from those in attendance, the reaction from observers, commentators and news coverage was critical – with some saying that together they again lost the South for the Democrats.

Both speakers tried mitigation, trying to explain what they meant. That’s a classic strategy, but in doing this you have to repeat the mistake and extend the coverage by another day or more.

Better than trying to un-say a word is, of course, leaving it unsaid. You address a variety of audiences – friends, family, customers, coworkers, competitors, supporters and critics. Comments made in the locker room, the board room or away from the office don’t always translate well when they are quoted on the evening news.

We know you can’t un-say a word. But you can think twice about saying something that will – or can be – overheard by other people.

It can’t hurt to wait, can it?

How often, in the middle of a crisis situation has someone in your organization said: “Let’s wait a little longer before we respond?” There are numerous good reasons, of course – we need more information, we have to get in touch with the attorney, etc. Yet each minute you delay means more potential for trouble. And, it’s not the kind of trouble that will build up layer by layer. Instead, this is the type of problem that increases exponentially – doubling at each turn. Take for example the recent situation of the West Virginia mining company. They sent a team into the site of mine explosion, found one miner alive and a dozen others nearby. The reports filtered back to the families – and mixed with some wishful thinking – and new reports went out that all were alive. It took three hours for the full story to get back to the families waiting at the church. By then the newspaper deadlines had come and gone and the families of the miners had been celebrating their relief of news of a miracle for hours. Don’t hid bad news. Sometimes the lack of attribution creates its own news story, as in this case. Unfortunately this whole story, which up to that point showed a compassionate mining company working hard to save the lives of its workers, became one of fear, violations and distrust. This was not because of the tragedy, but because of the way the mining company (and the media) handled the situation. Tell the truth. Tell it in a timely fashion.

Your Reputation Matters

In the immortal words of Ray Donovan, Ronald Reagan's Secretary of Labor who was acquitted of corruption charges in a court of law after a prolonged trial by media, "Where do I go to get my reputation back?"

For you or or company, it's a question that you should consider and plan for.

It's much easier to protect your reputation than recover it. That's why we are here.

The staff of Lipsett & Associates has seen crisis from the inside and the outside. Actions that work and actions than just fan the flames. We can advise you and help you make the right decisions in a timely manner.

The first decision, of course, is planning for crisis -- not waiting for it to happen. It's easier to extinguish a spark before it becomes a full-fledged conflagration.

We will be talking about the Vision of a positive corporate or personal reputation along with the strategies, projects and tactics that go into creating it.

Keep reading for regular tips on protecting your reputation, managing crisis and preventing crisis.