Well documented reports have appeared in the Press around the world, since probably the middle part of the year 2011, regarding the negative impact experienced by banks and other commercial companies, when their reputation is damaged through Social Media Network attention.
If we go back just three years, certainly five, any complaint or experience of perceived poor service received by a customer, would be handled on a singular basis. If communication was passed on by that individual regarding the shortcomings of ‘xyz company’, then it was limited to a relatively small number of the customer’s family, friends and acquaintances.
There was no widespread coverage, no possibility of widespread negativity and damage to brand or reputation.
With the advent of Twitter, Facebook, even Google, all that has changed and significant and widespread damage to brand, reputation and share price can occur very quickly indeed.
Well documented examples, widely published and in the public domain include RBS(1,4) and Lloyds(2) Banking Group in the UK, Banamex in Mexico (3) and others including Deutsche Bank in
Germany and so on.
(4) Customers complain at speed of RBS response on Twitter:
A real-world timeline of just what happened in one of the well-publicised examples from 2012, is as follows. This organisation DID NOT have the benefit of Sentra for Social Networks installed:
WITHOUT Sentra for Social networks
• At 12.00 there is a system outage, let’s imagine that the ATM network goes down. An Insider Technologies monitoring system would already notify the technical or Operations department of the situation and technical teams will be being alerted to respond. Marketing though, any Social media response team, the CEO or CFO, remain still blissfully unaware.
• At 12.10 the first mentions of the problem appear on Twitter. Negative sentiment is being widely expressed towards the situation, the service, the bank.
• At 12.30, the situation has ‘trended on Twitter’ and is now the number one Twitter subject in the UK. There is widespread condemnation of the bank and it’s service levels.
• At 12.40, the bank received the first of many calls from the Press to enquire what was happening. Unfortunately the Customer Services team were not well primed, were not well prepared and did not have a satisfactory, ready response.
• The situation became the lead item on the One o’clock BBC national news bulletin.
• At 13.10, the Chief Executive is involved and by..
• 13.18 the share price has been negatively affected.
NOW, WITH the benefit of Sentra for Social networks
• At 12.00 there is a system outage, let’s imagine that the ATM network goes down. An Insider Technologies monitoring system would already notify the technical or Operations department of the situation and technical teams will be being alerted to respond. We would recommend that the Marketing and Social media teams are alerted as well, just in case, however..
• At 12.10 when the usual pattern of Social Media profile changes, Sentra for Social Networks will alert all the relevant individuals, including Marketing, Customer Services, any Social media management team, the CEO and CFO.
• The Social Media or Marketing team swing into action, positively feeding the Social media feeds with an explanation of what has happened, the timescales for repair, any alternative arrangements, any compensations or offers to assist, plus very importantly perhaps an apology or two.
• BY 12.30, the situation has most probably still ‘trended on Twitter’, but there is now a widespread mix of positive messaging along with the negative, the bank is in control of the situation, they have contingencies in place, they are appeasing their clients etc. etc.
• At 12.40, if the bank receives any calls at all, they are met with an extremely calm, well prepared statement which explains the situation, points out that it has all been explained on Twitter and the situation is under control. There is no news to tell and a mention on the national news would be very unlikely.
• No share price hit, no concerned CEO, no media backlash.
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