M&S crisis continues with comms under greater pressure
M&S has today communicated that its operations will continue to be disrupted until July at the earliest, at a cost of £300 million. Ouch! But an interesting development has taken place over the last week or so that tells us so much about how the retailer has managed its communications throughout the crisis so far – the media are cutting them some slack.
I have been asked to comment on M&S’s communications strategy by the likes of Drapers (the fashion industry bible) and PRovoke (the global PR magazine). Whilst some of my contemporaries have come down hard on M&S my view is somewhat different.
Despite the financial losses this crisis has incurred, the reputational damage has been minimal and customer loyalty will likely have been given a huge boost – as will its revenues by default over the long term. Here’s why.
No plan survives first contact with the enemy
No matter the degree of planning and preparation for all potential threats and scenarios, the reality of the moment can throw even the best crisis communications plan off track.
Many crisis communication experts emphasize the need to organisations embroiled in a reputational crisis to ensure that they are controlling the narrative, but the reality is different.
Indeed, you cannot dictate how people – whether customers, stakeholders, or the media – will react. Anyone telling you that you can frankly knows diddly squat about how to manage a crisis and will see you slip into deeper sh*t if they’re advising you!
What you can control is the accuracy, clarity, and speed of the information you share.
M&S upheld the basic principles that we practice when we’re supporting and guiding clients through a crisis:
- Acknowledge the situation – Recognise the issue and show empathy for those affected.
- Take responsibility if necessary – If at fault, admit it and assure the public that you are working toward solutions.
- Avoid speculation – Don’t fill in the blanks before gathering all the facts. Instead, outline the steps being taken to investigate the matter.
- Commit to updates – Reassure stakeholders that further information will be shared as soon as a well-informed decision can be made.
Slow silencing of the critics
Critics have been quick to bemoan the way in which M&S has engaged its customers and the media, but that is unfair. Their handling will go do down as a textbook case study on how to effectively manage a crisis to your reputation and brand.
At time of writing, the high street behemoth’s stores are bare, some staff are being told to stay at home, and online orders remain on hiatus. Against this backdrop, you would be correct in assuming that this is a crisis. But isn’t a reputation crisis. If anything, M&S’s profile is being bolstered by the whole affair.
Indeed, from day one, the company has provided real-time updates on what has happened and what they are doing about it. They are also refusing to be drawn on issuing a date for when things will be back to normal. This is important.
that’s because when facing a crisis of any kind, brands feel pressure to commit to a timeline for resolution, but this can be dangerous. If the situation isn’t resolved by said date, customers will be angry and frustrated, and the media will have a field day.
Bagging goodwill credits
M&S is entering month two of the crisis as we’re still unclear on how much longer it will be until they can declare the battle has been won – will be July, sooner, or even later? At the same time, a further crisis has come to the fore.
Last week, Chief Executive Stuart Machin revealed that customers’ personal data has been taken by hackers, adding that there is “no need for customers to take any action.” If M&S’s handling of the crisis from a comms perspective was poor, such a revelation could be very damaging and would see the company fighting hard to regain customer trust and respect for years to come. That’s not the case here.
Because their comms has been so good, Machin was able to go public in the knowledge that they had built up so much goodwill since the crisis started that M&S will likely be applauded rather than slammed for being so transparent and honest.
And that’s the critical point to remember. Transparency and honesty in your communications can determine how well your business emerges from a crisis.
Machin and his team has superbly deployed the crisis comms mantra that we at Clearly PR espouse tell it first, tell it fast, tell it factually, and more importantly – tell it clearly.
If you find yourself needing to plan for a possible crisis on the horizon, or are facing one right now, use the contact form to get in touch or call Paul MacKenzie-Cummins on 07453 755 057 if the matter is urgent.
