CorpComms Magazine

Liam Turner, account director, Fleishman-Hillard

I'm afraid we are going to have to do a full recall, are the most terrifying words for any company. But it doesn't have to lead to reputational damage if the recall is communicated correctly. To do this requires detailed planning.

Staying in control of the story is fundamental. The inexorable rise of social media means a story can develop at lightning speed, with fact and rumour often synonymous.

Your customers are your biggest asset, now is the time to prove it. There is a reason why the safety of our customers is our number one priority is a maxim in so many company responses. How you communicate with them is key.

Preparation is everything. Once the worst happens, the process should be so well rehearsed that it comes as second nature. Establish the facts, identify your audiences, and decide how proactive you need to be with each. Monitoring should be set up immediately and if the recall affects many customers, the company should consider setting up a call centre.

The tone of your communications is critical. Your message is likely to have one or all of the following - an element of contrition, an affirmation you are doing everything to fix the problem, and a commitment that it will not happen again. Simple language should also be used. Customers need to know if something is safe or not, not technical jargon.

When the time for the announcement arrives, use all the channels available. Put your statement on your website, release it to the media, ensure retailers and suppliers are fully briefed, use social media to direct people back to your website and adverts to explain the situation. Make sure your senior management are visible. Beware secondary stories. Customers complaining about refunds and a lack of information will extend the shelf life of your recall.

With the recall over, the challenge of rebuilding your reputation continues. Handled correctly, a product recall is a short-term issue. Today may have been hell, tomorrow may be worse, but the long-term impact on your business can be made negligible.

Kitty Parry, managing director, Templars PR

Successful enterprise is built on consumer trust; and it is therefore essential for companies to communicate clearly and openly when faced with an issue that could undermine the relationship they share with consumers.

This is especially true when it comes to motor vehicles. We buckle down our families in these objects and race down the motorway at speeds sometimes over 65 mph. If we didn't trust our car manufacturers - whose products often play a central role in day-to-day life - I doubt their businesses would stay afloat.

On 16 March, Honda announced the worldwide recall of more than 400,000 cars. Though mostly an American issue, updates flashing across the BBC led to concern in the UK - and rightly so, as cars are often officially and unofficially imported to our shores. Without appropriate attention from Honda UK to the brake recall, confidence in the company will dwindle. They have shied away from the issue and, as a result, risk coming across as irresponsible.

Despite initial concerns about communicating to the public about its manufacturing issues, Toyota is now handling its current situation particularly well. They did not lie or shy away from their braking problems. Videos on their website explain exactly how they are working to resolve the issues, and in doing so they demonstrate their commitment to getting back on track.

Although burying the issue might seem like the best way to get out of the situation in the short-term, the most explosive stories are often generated by gossip or rumours. Stories get traction when people think something is being hidden. If you are open and clear, you are far more likely to gain trust and avoid vicious gossip.

Make sure that your company's statement and implemented actions are clearly shown on your website. Then apply SEO techniques to ensure that the website, and message, comes as close to the top of any related search as possible. It is much better if a consumer Googles the problem and arrives at your website - and your proactive stance - rather than scandalous media-spun stories.

Build relations with the journalists during the good times, because you can then call on them in the bad times to explain the full story rather than allow the situation to spin out of control in the media.

Clear lines of communication, pre-agreed responsibilities and contact telephone numbers (including mobile and home) for the responsible executives and technical experts should be carefully recorded and regularly updated so that the correct persons can be contacted without delay if a crisis arises. These things never happen at a convenient time and it is always important to be on the front foot in such situations.

Paul Maguire, head of corporate, MS&L

How quickly organisations accept that they have a problem and how rapidly they respond can have a major impact on their longer term reputation. The speed and efficiency of their response will dictate whether a product recall is handled well or badly. One of the biggest criticisms Toyota faced over the way it handled the recent product recall around its faulty accelerator pedals was the slowness of its response.

But it is unfair to single out Toyota for criticism when many other organisations before it have reacted in a similarly slow and potentially damaging manner. Recognising and accepting that you have a problem in the first place is vital.

The cost of a product recall, particularly at a global level, can be astronomical. But this needs to be set against the cost of a lost reputation which can take years and even greater expense to recover.

To the detached observer product recalls can seem to come out of the blue and organisations are seen to be flailing around in the ensuing maelstrom unsure as to how to respond. And yet more forward looking organisations, such as Dell,

are actively engaging with their consumers via social media forums to get an early warning of any potential problems and issues before they reach a critical point.

Listening to consumers and end users and actively responding to the critical conversations around your product by putting robust policies and procedures in place to handle crisis situations is vital. This 'early warning' coupled with advance planning make it possible to focus on the actual problem when it arises and can make the difference between a product recall handled badly and a product recall that, if handled well, can in fact strengthen the brand's reputation in the long run.

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