Marriott International Inc., the world’s largest hotel company, now has the distinction of bringing us the third-largest data breach. The news, which broke Friday, was shocking — 500 million guests’ accounts accessed from the reservation system of the company’s Starwood unit. But the hotelier did a decent job of communicating the crisis.
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Italian fashion designer Dolce & Gabbana has been whacked with a brand crisis in China, one that arose from its efforts to expand in that country. The tale is a cautionary one about cultural sensitivity amid globalism and about a tepid response that just didn’t cut it.
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One of the biggest and best-handled crises of the year was KFC’s chicken shortage in the U.K. and Ireland. Now, 10 months after the incident, we have an inside account from a KFC team member. A major theme that comes through for communicators is the importance of maintaining a brand’s voice in a crisis.
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In last week’s post we highlighted a report by the U.S. Chamber of Commerce’s Institute for Legal Reform. The report notes a rise in securities-fraud suits brought by company investors that stem from crises such as data breaches, fires, and product issues. In addition to dealing with, say, consumer litigation, companies are confronted with so-called event-driven shareholder suits. Here we discuss some aspects of the trend related to reputation and communication.
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As if crisis communicators didn’t have enough to worry about, a new report highlights a trend that could keep a company’s misfortune in the public eye for years after the occurrence: so-called event-driven securities litigation.
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You have to feel a little sorry for airlines. When they have a customer crisis, it’s usually on a plane filled with passengers wielding video-capturing devices. The incident goes viral, and not in a good way. The latest episode is brought to us by Ryanair. The company’s performance did not soar.
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