2 Critical Components to Rebuild a Reputation

February 4, 2018

I am often asked if a person or company can recover from a reputation crisis.  The simple answer is, “yes”, but the effort and discipline it takes to do so is not that simple and is solely up to the individual or the leadership of an organization to act upon two vital elements – consistency and time. While reputations are fragile, and once cracked can never quite be put exactly back together, recovery can be achieved if there is genuine and transparent acknowledgement of what was done, if there is clear and consistent behavior to make amends, and this is done (again) consistently over time. Robert Downey Jr., comes to mind when I think of a person who rose to prominence, fell, and then repaired his reputation to find success (and work in Hollywood) again.  Johnson & Johnson’s Tylenol brand is another example of a brand that lost confidence among consumers, but through diligent and consistent efforts, earned that trust back to regain its place as a global category leader, and a product welcomed back in people’s homes. Consistency – the key here is to recognize what actions or behaviors led to the reputation issue, make the proper amends, and then outline the ways in which you or your company will move forward in an authentic way to demonstrate your intent to regain trust and reputation – day in and day out! Downey Jr., took time to rehab his body from the addiction to drugs while also nurturing his mind and spirit to focus on what would be meaningful in his life and surrounding himself with like-minded people.  People soon saw that he was consistently working to make amends and move forward in a positive manner.  I’m not saying that the Iron Man franchise would not have happened without him, but there’s no question that his involvement and talent made it a blockbuster! Time – people can be skeptical as well as forgiving, so the critical element here is consistent behavior over time.  Commitment to a vision of regaining reputation is what will drive the consistent behavior over time.  Repetition (not only in how I ended the last two sentences) is the key to turning skeptics into supporters and from supporters to potential advocates.  Tylenol’s emergence from the cyanide tampering in the 1980s is an example of not only acting quickly (another form of time – see this story for the power of time), but also how leadership focused on creating a tamper-proof solution that would continue to demonstrate trust and reliability over time. If you or your company have been caught in a reputation crisis, it does not signal the end!  However, it will take deliberate planning to outline what must be done differently, clear communication to your family, friends, colleagues, customers or other key constituents as to what will be done differently moving forward, and then ‘walking the walk‘ each and every day!  Easier said than done, but your future and your reputation are more than worth the work! Don’t you think?

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Are You Involved or Are You Committed?

September 7, 2017

I was eating a bacon and egg breakfast the other morning and was reminded of a conversation I had with NASCAR Hall of Famer Junior Johnson several years ago around the question of involvement versus commitment. At the time, I was running the PR campaign for NASCAR’s 50th Anniversary where I had the great fortune and opportunity to meet and work with some of the legends of the sport, including Junior.  During one encounter with the former moonshiner, whose life story was put on the big screen in the 1973 movie The Last American Hero, we were talking about what it took to be successful in this sport. He smiled and said in his low voice and Southern drawl, “Well, let me ask you a question. Are you involved or are you committed?” I wasn’t sure where he was going with this, so I naively asked him, “involved or committed in what way?” Junior went on to explain his point.  “You see, success comes down to being committed not involved,” he said.  “It’s like a bacon and egg breakfast – it took two animals to make that meal and one was committed and one was involved. “Now, that hog gave you everything it had – everything – while that chicken gave you something it could make plenty more of. It wasn’t that big of a deal.” I never looked at a bacon and egg breakfast the same after that chat. So, I’ll ask you the same question as you look at your business growth or perhaps how you are leading your team or organization – are you involved or are you committed? Better yet, do you know if your team is just involved or are they fully committed?  Are they committed to your company’s goals, culture and priorities? That is a vital question to consider when a study by Gallup found that more than 70% of employees feel disengaged at the office.  What’s worse is that an Allegis Group Services study found that more than 84% percent of employees would leave their current place of employment for a company with a better reputation (Aug. 2012).  Can it get worse? Yup! A study by Glassdoor Data Labs found that less than 50% of employees would even recommend their employer to a friend (Dec. 2015)! Your team will become a reflection of you.  So, when it comes to leadership and the type of team and business you are building, do you want an office full of chickens? Nope … bring on the hogs!

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Mom Was Right, You Do Have A Halo!

December 3, 2016

Mom was right, you do have a halo ::  To be clear, this is not a post talking about a religious halo or your spiritual aura – although, that is more than likely what your mom was referring to!!  But for now, what I’m talking about is the halo that your reputation has created around you and the impact it can have on not only your current state, but more importantly your future opportunities. Why do halos matter, especially now? Simple. Halos work off of the power of association.  Make no mistake, association has power and value.  Social Media channels have created a never-before-seen level of transparency making it incredibly easy for people and brands to better understand with whom they are interested in associating. I’ve seen the power of this first-hand throughout my career in motorsports.  Our world is all about the association between drivers, teams and brands.  For many years, my sole focus was on how to build positive association between drivers and their sponsors through public relations and marketing programs – building platforms to drive association and connection with fans.  The foundation for these types of partnerships is rooted in authentically aligning brand and values attributes with the athlete, which establishes credibility in the eyes of consumers. The power of association … → 84% of employees would consider leaving their current job if offered a job by a company with an excellent reputation → 69% of job seekers would not take a job with a company that has a bad reputation – even if unemployed → 100% of your referrals are based on reputation → 100% of your employees are your reputation ambassadors We often see the halo effect at work when it comes to brand and brand ambassador relationships.  If an ambassador acts in a manner that would negatively impact the brand, because of their association, you’ll generally see the brand quickly and publicly distance or disassociate itself because of the unfavorable publicity halo and adverse business impact it would create.  Can you think of any examples of this??  Does Subway and Jared Fogle come to mind? How about Tiger Woods and Gatorade? Do you remember Michael Phelps and Kellogg after the images of Phelps using a bong were released?  Does the name Ryan Lochte ring a bell? Then there is Kate Moss and H&M when she was publicly exposed for using cocaine.  H&M was quick to sever the relationship and issued a short statement related to what kind of person should represent their brand – “If someone is going to be the face of H&M. It is important they be healthy, wholesome and sound.” In the case of Subway, it’s disassociation with Fogle was quick, to the point and delivered via Social Media channels – “We no longer have a relationship with Jared and have no further comment.” One of the most iconic examples of corporate partners racing away from an ambassador is Lance Armstrong. Shortly after his admission of doping, bullying and lying, his corporate partners dropped the once legend of bike racing. The power of the halo is a two-way street, whether it’s an individual, corporation, franchise or a university. […]

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Is Your Customer Service Killing Your Brand?

November 11, 2016

Is Your Customer Service Killing Your Brand? Customer relationships, retention, growth and referrals are vital links for any brand’s success in today’s Reputation Economy.  However, it only takes one negative experience to wipe-away the relational equity that had built up and for their business (money and loyalty) to go elsewhere.  Not to even mention the negative impact to your brand if/when the experience is shared via Social Channels. In my opinion, customer service representatives need proactive empowerment, upgraded training and more resources from their leaders to reshape the reputation that this particular group has developed – whether it was honestly earned or they are guilty by association! Customer service must be a mindset that transcends all organizational departments.  New idea? Nope.  But, think about some of your recent experiences in this area? Was that indeed a mindset? Did you get the sense that the person was empowered to make a positive impact? But here’s the reality – We are ALL in the customer service business!  From the top to the bottom and everywhere in between. Below are two stories that I believe illustrate the points above from two different perspectives – one being from the front-line employee and the other a more traditional customer service scenario with two completely different outcomes. The $6,000 Egg: Todd Duncan tells a phenomenal story about he and his wife’s experience at a local restaurant at which they were regulars and also used the facility for corporate events. As the story goes, Todd makes a simple request to add a fried egg to his hamburger, but is repeatedly told by the server that they can’t fulfill his request because they may run out of eggs for the day’s special. His disbelief turns to dismay when he starts to calculate how much money he, his wife and his company have spent at this specific restaurant, which he estimated to be roughly $6,000 in one year!  And he still can’t get a 35-cent egg for his burger! This is a great example of how a front-line associate, representing the brand, was not able (or perhaps not empowered) to make a choice or decision that would have delighted a valuable customer – and in today’s terms, a valuable customer is someone who is spending money with you, period.  He no longer goes to that restaurant nor takes his corporate business there either. How Lego Builds Legendary Reputation: When you are 7 years old and love Legos, they are your world. Legos can be the cradle of imagination, creativity and expression. But, when you lose your favorite Lego character, it can force you to do something as a child that many adults, if given the choice between dealing with customer service or preparing their own taxes, would say, “where are those receipts?” Customer Service, a necessary evil in many minds, a place where we go to wait on hold or worse yet, get bounced around to different departments in search of some type of resolution. We Are All In The Customer Service Business!   So, young Luka emails Lego customer service and explains his situation unaware of the crap-shoot peril in which he just placed himself! However, […]

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3 Unique Reputation Perspectives from Seth Godin

October 5, 2016

  If you haven’t heard of Seth Godin and you have even the slightest interest in leadership development, please do yourself a favor and go to his website and explore – you can thank me later. For those of you who absolutely are familiar with Seth and his work, then you know the value of his insights, messages and self-actualization themes. He is, without doubt, one of the greatest resources for leaders and entrepreneurs striving for success. In a recent blog post titled ‘Three things to keep in mind about your reputation,’ he gives 3 unique reputation perspectives. Salient points that capture the power (and personal responsibility) of establishing and nurturing one of your greatest assets for success in both your career and life. Below are his three points from the post, followed by my related thoughts. 3 unique reputation perspectives from Seth Godin: 1. Your reputation has as much impact on your life as what you actually do. 2. Early assumptions about you are sticky and are difficult to change. 3. The single best way to maintain your reputation is to do things you’re proud of. Gaming goes only so far. What I love about Seth’s perspective is that it crisply captures 3 essential aspects of building and maintaining your personal reputation. Let’s break it down: 1. Your reputation has as much impact on your life as what you actually do. I read this as the ability your reputation has to impact your life beyond the work that you actually do or the things you create. Your reputation impacts the referrals that come your way (or pass you by), the people who seek you out (or seek someone else) or the doors of opportunity that open (or close). Yes, it is important to keep doing good things, good works, good turns daily. Those actions, consistently over time, will continue to reinforce your reputation for what you do. Consider that 65% of new business comes from referrals – a key indicator of people seeking you out just as much for who you are, as for what you do. I don’t know of any entrepreneurs, business leaders or executives who don’t see referrals as a significant component of their sales matrix. 2. Early assumptions about you are sticky and are difficult to change. Have you ever heard the phrase, “you never get a second chance to make a first impression”? The first impression is a vital time stamp in reputation development. However, Seth uses a key word ‘assumptions’ that makes his thought different. People may have preconceived biases or assumptions about you before you even say a word or shake a hand. This may have come from someone else’s comments about you, perhaps the company at which you work, the clothes you wear, the car you drive, maybe even the university you attended (or didn’t attend). People rarely enter into a relationship without some initial bias or assumption. That’s ok. Resist the urge to try and prove people’s assumptions wrong. If that is your approach, then you might as well just spend your time playing the carnival game ‘whack-a-mole’. The game […]

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10 Eye-Opening Reputation Statistics For Every Leader and Entrepreneur

September 19, 2016

10 Eye-Opening Reputation Statistics for Every Leader and Entrepreneur Winning in the Reputation Economy requires leaders, entrepreneurs and any individual looking for success to be vigilant in growing, protecting and leveraging one of their greatest assets – their reputations! Every day we see, hear or read about people who are not paying attention to how their actions and decisions are negatively impacting their business, careers and organizations. A critical key is understanding the ways in which our reputations are tied to every aspect of our lives – and the positive, as well as negative, impact it will have over our ability to succeed. Shakespeare even knew the power of reputations – “Defend your reputation, or say farewell to your good life forever.”   My intent in sharing these 10 eye-opening reputation statistics for every leader and entrepreneur is to deliver a catalyst for how you can proactively develop, protect and evolve your reputation to help you achieve your goals. Here they are: 10 eye-opening reputation statistics for every leader and entrepreneur 60% of a company’s market value is tied to its reputation 84% of employees would consider leaving their current job if offered a job by a company with an excellent reputation 69% of job seekers would not take a job with a company that has a bad reputation – even if unemployed 70% of U.S. recruiters and hiring managers have rejected candidates based on information found online 50% of a company’s reputation is tied to the CEO’s reputation 78% of consumers trust peer recommendations; 14% trust advertising 84% of marketers believe that building trust will be the primary focus for marketing efforts in the future (do you trust people with bad reputations?) 58% of executives believe that reputation management should be addressed, but only 15% actually do anything about it 4 out of 5 consumers changed their minds about a recommended purchase solely on negative information they found online 33% decrease in shareholder value of an organization within one year of a crisis situation becoming public Because I am a big believer in over-delivering, here are two additional statistics that need to be on your radar and developed every day! 100% of your referrals are based on reputation 100% of your employees are your reputation ambassadors As a leader, entrepreneur or anyone looking to succeed, here are 6 key takeaways as you digest the data above! 1. Cultivating your customer relationships will not only drive greater life-time value (which according to studies is 10x the value of their initial purchase), but will also increase your referral pipeline 2. It’s not just your behavior (good or bad), but your employees behavior that becomes the reputation of your organization 3. Trust is one of the core components of a strong reputation and is a business accelerator in the Reputation Economy 4. Your reputation (and that of your company) is a market differentiator in attracting and retaining top talent 5. What you post on Social Media channels will be reviewed and can just as easily shut a door to opportunity as it can open one 6. You must know the online conversation/comments […]

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5 Must-Know Reputation Perspectives for Every Entrepreneur

September 14, 2016

5 Must-Know Reputation Perspectives for Every Entrepreneur Entrepreneurs know that their success is determined by several factors. Of course, it all starts with the idea or product that will be brought to market. However, even the best idea or product will languish without an entrepreneur with a high level of confidence, organization, discipline and passion. But, what’s missing from that launch list? Developing and maintaining a strong reputation! Every entrepreneur must make reputation growth and management part of their daily habits. Reputation development should also be seen as a sustainability pillar in their short-term and long-term business plans. Failure is a strong possibility if it isn’t. Social media platforms are a vital link for entrepreneurs to attract and retain venture capital, talent, lead generation and referrals. Entrepreneurs are using this global touchpoint to build their brand as well as identify assets and resources. But remember that social media is not a one-way street! Those who might be interested in associating with that entrepreneur are also using social media resources to check on their credibility, social feedback and the experiences of others before deciding whether or not to place bets on them. Let’s not forget that people still use the analog version of reputation research by just asking and tapping into their personal networks to get real-time feedback. An entrepreneur may have a great product, but if they develop a reputation for missing deadlines, being a poor leader, treating vendors with disrespect, mismanagement of capital, then even the best products will have a short lifecycle – with such a competitive marketplace who wants (or needs) to work with people like that? Below are 5 must-know reputation perspectives for every entrepreneur to better protect and grow one of their greatest entrepreneurial assets. People associate themselves with another person based on two things – When trying to decide on whether or not to associate ourselves with another person, we often rely on two factors. The first is our previous experience with that person. We quickly go into our mental hard drive to retrieve experiences and determine whether those were positive or negative. If we have no previous engagement with that person, then we tend to rely on what others have to say. That is when we’ll tap into our personal or professional networks to gain perspective based on others’ experiences with that individual and the reputation that has been created. Simply stated, these are called referrals!! Both approaches are rooted in historical experiences that strongly reflect upon ones reputation. Reputations surround our identities and drive trust/connectivity – Whether we know it or not, like it or not or embrace it or not, our reputations surround who we are and are solidifying factors to our identities. Always remember that our reputations speak for us when we are not there to speak for ourselves. Just as our reputations are aligned with our identities, so does our reputation drive trust and allow us to connect with those who can help us. This often happens on a daily basis, if you think about it. Think back to a moment when you asked a friend or colleague to […]

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3 Critical Reputation Crisis Steps For Every Leader

September 9, 2016

3 Critical Reputation Crisis Steps For Every Leader: With today’s Social Media connectivity and people’s ability to voice their opinions or vent their angst, reputation attacks are no longer a question of ‘if’ rather it’s become a question of ‘when’. Of course, these attacks on our greatest personal asset are no longer limited to brands, celebrities, politicians and high-profile executives – we are all vulnerable. But fear not, as reputation issues don’t have to be issues if you know how to approach the situation. While there are multi-step, ultra-disciplined plans for handling reputation attacks, it’s vital to boil down the first few initial steps.  I’ve outlined three critical ones below. These do take some serious introspective work.  Your goals are to gain perspective, get over the hurt and anger and then identify the source of the attack to gauge the validity of the charges. Here are the 3 critical reputation crisis steps for every leader: Have you honestly identified the root cause of the issue? – Typically a reputation issue comes up due to a decision that led to an action or behavior. This takes getting very honest with yourself because if you are in denial about your decisions and actions, you’ll never truly address the issue or whatever this issue is. If left alone and unaddressed, you will repeatedly behave in the same manner and your reputation issues will end up being like one of those whack-a-mole games we see at carnivals – instead of the mole popping up again and again in different places, the behavior that first initiated your issue will just keep popping up again and again – I’m sure you can think of people you know like that!   How quickly do you move past your emotions to get to a plan – emotions are natural – it’s human nature to be upset when your reputation comes under attack – why me? How’d this happen? That person is out to get me! Those are all fair thoughts, but if we stew on those, we lose precious time.  I’ve learned over my 20+ years in communications and crisis management that time is the one resource you will never get back and you never seem to have enough of – move past the emotion and get working on your plan.   Is what is being said about you true and is the source credible? Identifying the source will enable you to validate the credibility of the accusations. There are times when you need to stand up and times when you need to remain focused on ‘staying the course.’ As a leader, you must be mindful of how much energy is spent on refuting the accusations versus continuing to let your consistent actions speak for yourself.   Leaders and entrepreneurs need to keep these reputation crisis steps close at hand in order to quickly and effectively stave off an attack. There is a saying in racing that sometimes you have to slow down to go fast.  While time is of the essence, how you deploy your time in crisis situations will dictate your recovery speed and success. Yes, […]

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