PR disasters can come in a variety of forms and the impact they have can be huge. It’s important to make sure you respond correctly in order to limit the damage and get things back on track sooner rather than later. Unfortunately, there’s no silver bullet cure to the problems that can strike a business during a crisis but there are lessons you can learn.
The best way to learn the most valuable lessons is to understand how other businesses have handled PR disasters in the past, with a clear focus on the ones that managed to handle them well. There are various ways in which you can successfully manage a crisis and the history of corporate PR is a testament to that fact.
So, without any further ado, here are some examples of PR disasters that were handled very well by businesses and what you can learn from them.
Johnson & Johnson’s Cyanide-Laced Tylenol Capsules
After taking Extra Strength Tylenol capsules, a total of seven people died. This happened because someone laced the capsules with the lethal poison potassium cyanide. It was never discovered who was responsible for the horrific act.
How Johnson & Johnson Responded
The quick response from Johnson & Johnson is to be commended. They immediately stopped advertising the product, halted production and pulled a total of 31 million bottles of it from shelves, at a huge financial cost. They also got involved with helping the police with their investigations to find the murderer.
Thanks to their no-nonsense fast response, Johnson & Johnson garnered many plaudits for how they reacted to this crisis and it’s easy to see why. Despite the horror of the events that took place, Johnson & Johnson were shown in a positive light.
PepsiCo’s Can Tampering Rumors
When someone claimed that they’d found a syringe in a can of Diet Pepsi, there was widespread panic. It led to 50 other claims of Pepsi cans that had been tampered with. However, it was later found to be a hoax.
How PepsiCo Responded
PepsiCo was sure that their product had not been tampered with in any way so came out and defended their brand strongly. They went further than making claims, however. They also produced evidence, including footage of the canning process. They eventually also produced footage of a store clerk planting the syringe in a Diet Pepsi can.
The talk around tampered with cans quickly died down and the people responsible for false claims were arrested. PepsiCo’s aggressive response paid off.
Texaco’s Racial Discrimination Lawsuit
Six African-American Texaco workers sued their employer for alleged racial discrimination. Thanks to secretly recorded audio of company executives, the problem was all but confirmed and it didn’t look good.
How Texaco Responded
An investigation was set up by Texaco and while it was ongoing, the executives embroiled in the scandal were suspended. The company CEO then offered a public apology before touring branches and apologizing to employees. They also ran an ad campaign that aimed to limit the damage.
Texaco’s response was enough to soften some of the justified ill-feeling towards the company. CEO Peter Biljur did a good job of showing and proving the company’s embarrassment and regret. They also settled the suit and took steps to ensure the problem didn’t arise again.
Odwalla Foods’ Apple Juice E.coli Outbreak
When health officials in Washington confirmed that the source of an E.coli outbreak was apple juice sold at Odwalla Foods, it was big news. One child sadly died and 60 other people were sick. In total, 20 lawsuits hit the company.
How Odwalla Foods Responded
Following the news, Odwalla Foods immediately recalled all of the products they sold that contained apple or carrot juice. The CEO took full responsibility and paid all medical costs relating to the E.coli outbreak.
Taking out an ad explaining the situation certainly helped, and although the company lost a huge chunk of its market value and faced criminal charges, the brand survived and made improvements.
Cadbury’s Worm-Infested Chocolate
In India, two Cadbury chocolate bars were found to be infested by worms, prompting the Maharashtra FDA to close the manufacturing plant where they believed the chocolate came from in nearby Pune.
How Cadbury Responded
At first, Cadbury denied the possibility of the problem arising at the manufacturing stage, but they later launched a PR project to educate retailers on better storage processes. They also improve their manufacturing and relaunched the Dairy Milk bars with new packaging.
Despite an initial fall in sales, the company recovered and their actions helped boost sales once more. The ad campaign and new packaging for the relevant chocolate bars certainly helped.
JetBlue’s Week-Long Operational Breakdown
The outcome of 2007’s East Coast ice storm was 1000 cancelled JetBlue flights in the space of a week. Their operations halted almost entirely.
How JetBlue Responded
Despite the weather being the major factor here, JetBlue never openly blamed the weather and instead took responsibility and apologized to passengers. They made it clear what kind of financial compensation they were offering customers affected too.
Passengers obviously weren’t happy at first but the damage was limited thanks to the quick response and money paid out to affected passengers. Their customer service was impressive.
Toyota’s Recall Fiasco
Owing to safety defects, 8.8 million cars had to be recalled by Toyota in 2010. It was found that the accelerator was jamming and multiple deaths were caused as a result.
How Toyota Responded
Toyota sent out a PR team to quell the backlash but the company’s executives were absent. This slow response cost them but they followed it up by bouncing back. They did this by offering extended warranties and used its historic safety record to reassure customers. Via ads, they also showed a real dedication to fixing the problem.
Despite a slow start, Toyota recovered and showed real determination to fix the problem. This is what was so effective for them in the end. They showed the world that it was a freak occurrence and wouldn’t happen again.
The Red Cross’ Accidental Tweet
A Red Cross employee accidentally sent out a tweet that was intended for their private account. The tweet was about drinking beer, so clearly not appropriate for the Red Cross.
How Red Cross Responded
The tweet went viral and everyone seemed to be talking about it, so there was no hiding from the problem. They simply owned up to the mistake and followed it with a humorous tweet.
By owning up to things and getting in on the joke, the Red Cross managed to deal with the problem in a light-hearted way. It showed a human side and the whole affair probably did more good than harm.
Taco Bell’s “Seasoned Beef” Meat Filling Lawsuit
The company that runs Taco Bell was sued when it was alleged that only 35% of the company’s seasoned beef was actually beef. Therefore, it was alleged that Taco Bell was lying to customers.
How Taco Bell Responded
In response to this, Taco Bell issued a denial and released the numbers. They showed that 88% of the seasoned beef was made from beef. Following that, they started a PR campaign that aimed to combat the false allegations.
The campaign went down very well with people who were fans of the brand and it might have won over some new people as well. The lawsuit was swiftly dropped too.