Crisis Communication in a Digital World The Changing Landscape

New Realities “A lie can travel halfway around the world while the truth is still putting on its shoes.” —Mark Twain “It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.” —Warren Buffett “Traditional notions of ‘crisis management’ have turned stale and archaic.” —Daniel Diermeier, Kellogg School of Business

The Changing Landscape THE GLOBALIZATION OF EVENTS ADAPT TO THE NEW MODEL PREPARE TO ENGAGE INCREASED SCRUTINY Crisis preparedness requires owning and driving your own content. Likelihood that a company will face a game-changing crisis has risen by over 400% in the last decade. There are no safe havens from digitally empowered agendas and social exposure tools. Containment is no longer possible.

The Media Cloverleaf OWNED MAINSTREAM HYBRID SOCIAL Customers Competitors Local Community NGOs Vendors Financial Analysts Regulatory Bodies Wall Street Association Media/Press Consumers Investors Employees Legislature MAINSTREAM HYBRID Search & Content SOCIAL OWNED

In a Crisis, Social Sets the Pace

Important Voices During Crisis

Skepticism Requires Repetition

When a company is distrusted Trust protects reputation When a company is distrusted When a company is trusted 59% will believe negative information after hearing it 1-2 times 52% will believe positive information after hearing it 1-2 times will believe positive information after hearing it 1-2 times 14% 9% will believe negative information after hearing it 1-2 times Think about a company that you do not trust. How many times would you need to be exposed to (C83. positive information; C84. negative information) about that company to believe the information is likely to be true? Please give me a number. Informed publics ages 25-64 in the U.S. Think about a company that you trust. How many times would you need to be exposed to (C85. negative information; C86. positive information) about that company to believe the information is likely to be true? Please give me a number. Informed publics ages 25-64 in the U.S.

Online Multiple Sources Trust in Information sources Diversification of Media 2011 Informed Public 2012 Informed Public 10% + 18% + 23% + 75% + Online Multiple Sources Traditional Social Media Corporate Q149-160. [TRACKING] Below is a list of places where you might get information about a company. For each, please indicate if you trust it a great deal, somewhat, not too much, or not at all as a source of information about a company. (Top Box - % Trust A Great Deal) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE)

Trust Can Be Fleeting

If your personal information at your hospital was accessed without your permission, how likely would you be to switch to a different provider or stop using their services entirely? 75% of patients would leave and not come back to your hospital

Five Steps to Managing Issues Across Digital Channels Maggie Farley, EVP Director of Health Issues & Gigi Peterkin VP, Edelman Health

#1. Listen: Around the Clock Proactively monitor digital channels Prioritize issues

#2. Implement your Voice: SEO Inject your voice into the conversation and provide facts.

#3. Be Prepared: Create Content What is the best way to frame issues and discussions? Which are the most effective channels? Brand presence must be in place well in advance of a crisis

#4. Drive Traffic: Dark Site A dark site can quickly neutralize or manage a crisis, moving the issue away from your main site allowing normal activity to carry on.

#5. Build Relationships: Advocates Outsiders generally are more credible than your spokespeople.