{"id":1328,"date":"2020-12-08T15:18:35","date_gmt":"2020-12-08T14:18:35","guid":{"rendered":"http:\/\/i360.trejka05.pl\/?p=1328"},"modified":"2021-06-08T08:41:55","modified_gmt":"2021-06-08T06:41:55","slug":"transcript-a-loyalty-programme-in-a-brand-crisis","status":"publish","type":"post","link":"https:\/\/i360.com.pl\/en\/transkrypcja-program-lojalnosciowy-w-sytuacji-kryzysowej-marki\/","title":{"rendered":"Transcript \u2013 A loyalty scheme during a brand crisis"},"content":{"rendered":"

Transcript of the episode \u2013\u00a0https:\/\/www.youtube.com\/watch?v=rRu4YEemE5c<\/a><\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Good evening. This is Katarzyna Nawrocka, welcoming you to \u2018Loyalty Programmes by Night\u2019. I suggest we spend this evening discussing effective PR. Joining me is Barbara Krysztofczyk \u2013 a media coach and PR specialist.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0That\u2019s right.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0That\u2019s all correct. Before we move on to this main topic from the relevant perspective \u2013 that is, from a crisis management perspective \u2013 I wanted to ask you: how long have you been working in PR?<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0I\u2019ve been working in PR for 15 years now. As for media training and crisis management training, I\u2019ve been doing that for thirteen years, so I\u2019m lucky.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0We\u2019re going to be talking about PR in the context of a crisis, but we all know that we should have such a strategy in place within our company, but before we talk about how to do this and how to prepare properly, perhaps we should discuss what a crisis actually is for our brand, what it means and how it manifests itself.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0A crisis is a situation that risks having a negative impact on our brand\u2019s image in the long term. And what\u2019s interesting is that very often a crisis isn\u2019t directly linked to what actually happens, but to how we react to it. Because whether consumers choose to stay with the brand or switch to the competition depends on whether the brand responds appropriately to a difficult situation.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0So our reaction is very important, because\u2026<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0The most important one.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0The fact that the crisis has already arisen and that we are at its epicentre is one thing, but whether we react at all \u2013 or how we react \u2013 is what matters most to us and to our brand.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Yes, that\u2019s the most important thing, because consumers are willing to forgive and are open to doing so if they see that we, as a brand, recognise our mistake. We feel embarrassed about it and promise to do better. However, if that humility isn\u2019t there, and if there\u2019s no respect for the consumer, well, then we\u2019re in trouble.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Basia, can we talk about the stages of a crisis? Because I suspect that the first stage is when we realised that the crisis was already here. But what happens next?<\/p>\r\n\r\n\r\n\r\n

\u00a0BK:<\/strong>\u00a0You know, the first stage usually actually occurs once a crisis has broken out, but it should really take place before the crisis breaks out. Because, when it comes to the discipline of crisis management, the first stage is actually preparing for a crisis. Because these days, in the age of social media, for many \u2013 for many brands \u2013 the question regarding a crisis isn\u2019t whether it will happen, but when it will happen.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0And are you ready for it?.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Exactly. That\u2019s why you need to be prepared, and that\u2019s the first stage. The second stage is precisely when the milk has already been spilt \u2013 when there\u2019s a crisis \u2013 and that\u2019s when you have to manage the crisis as it stands. And the third stage is the recovery stage: repairing one\u2019s image and regaining the position one held before the crisis.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0In other words, as business owners, CEOs and PR professionals, we cannot afford to think that this crisis will not affect us; and even if we are lucky enough for it not to, we should still have a strategy in place to protect ourselves against it, or to respond effectively once it does strike.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0That\u2019s right. I can\u2019t think of a single company that hasn\u2019t faced a crisis.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0All right, but we\u2019re on a programme about loyalty schemes late at night, so I\u2019d like to ask you, as an expert, whether you see loyalty schemes as one of the ways to emerge from, or help in emerging from, such a crisis?<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Yes, it\u2019s a brilliant tool that can be used at all three of these stages. For example, once a crisis has already erupted \u2013 particularly when we\u2019re talking about consumer brands, fast-moving consumer goods \u2013 such crises are most often linked to a problem with the product itself: an issue with the quality of the product or the service. And now, such a manufacturer has an obligation \u2013 not a privilege \u2013 to inform consumers that the product in question is faulty. Especially if, for example, the product could pose a threat to their life or health. And now, if we have a loyalty programme \u2013 for example, a mobile one \u2013 then within that loyalty programme we know exactly whether a specific consumer has purchased that faulty product. Consequently, we can communicate precisely about that product to that specific consumer. And so, firstly, this means we do not have to send out a broad communication; we do not inform all consumers, those who<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0We\u2019re getting to that.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Exactly. So this is a kind of targeted communication \u2013 very effective and very important \u2013 because in a crisis, it\u2019s also crucial to fix what\u2019s already gone wrong as far as possible, but not to tell everyone around you, \u201eHey, listen, we\u2019re in a crisis, look, look at me\u201d, right? If it\u2019s possible to keep it within such a small circle, that\u2019s a brilliant strategy, and a loyalty programme would be a fantastic tool for that. Because, as I said, we can send a specific message. And moving on, when it comes to internal communication, for example, because many, many companies use loyalty programmes to boost sales staff motivation. And in such a situation, you can also communicate directly with sales staff via the loyalty programme to inform them to be careful with that specific product. And that\u2019s also very important. When it comes to crises and their causes, product defects are one of the main causes, but another, equally important cause is negative information \u2013 fake news, slander and online rumours. And the third is the company\u2019s own mistakes. And note that in all three of these areas, ensuring that the company\u2019s staff \u2013 particularly the sales representatives \u2013 are properly informed is crucial. Well, just think about it. Imagine you\u2019re a shopkeeper and a sales representative from a company facing a crisis comes to see you. What do you do? You check it out. You ask them: \u201eListen, Kasia, this crisis you\u2019re having \u2013 what\u2019s it all about? Go on, explain it to me \u2013 what\u2019s the situation like?\u201d So this shopkeeper has to be an ambassador for good communication during this crisis.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Yes, but when carrying out this sort of check, it\u2019s very important to consider whether we\u2019ve already built up a strong enough relationship with that shopkeeper for him to trust us. That he\u2019ll believe this crisis won\u2019t affect our working relationship. That we\u2019ll come through this, and that, yes, it\u2019s worth it.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Exactly. And what you\u2019re talking about is really a matter of preparing for a crisis. And at this first stage \u2013 before anything has actually happened \u2013 a loyalty programme plays a very important, very important role when it comes to strengthening relationships. Well, look \u2013 there\u2019s this pyramid of consumer engagement. It shows that at the very bottom of the pyramid are people who\u2019ve simply heard of our brand and are aware it exists. Then they become interested in it, then they try it out, then they start using it, then they become loyal, and finally they\u2019re big fans, yes. And a loyalty programme helps us move through the different stages and maximise engagement as much as possible, so that as many people as possible are at the very top of this pyramid, and so that their engagement is greater. And the greater their engagement, the less likely consumers are to turn away from the brand and go to the competition in the event of a crisis.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Because they trust us more.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Exactly.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0And even if this crisis seems serious, we have a business partner who has been working with us on these terms for so long that they trust us to come through this crisis without them suffering any harm.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0That\u2019s right. We simply have a relationship built on a different level. We\u2019re at that stage where we feel special and treat each other in a special way. And this is where the principle of reciprocity comes into play. Since we, as a brand, treat you in a special and unique way, you\u2019ll also treat us, as a brand, in a special way and be a little more understanding when we face a problem.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0As we\u2019ve already mentioned that a loyalty programme can be a very useful tool when preparing for a crisis, perhaps we could offer some advice on how to develop such a strategy. How to prepare for this crisis, for a crisis.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0There are a few key elements to proper preparation. Loyalty schemes are one such element that should be included in a crisis plan. It\u2019s a strategy \u2013 a sort of \u2018thick tome\u2019, if you like \u2013 in which managers and company boards prepare for various crisis scenarios. The scenario-based method is used here, where we map out what might happen and set out how to respond. In this manual, we also set out, for example, what the composition of the crisis management team should look like, and so on. It serves as a crisis \u2018bible\u2019 for a given brand or company. In addition, it\u2019s worth organising media training sessions to help people communicate with the media and with consumers via social media, etc., during a crisis. Furthermore, it\u2019s a good idea to hold crisis workshops where crisis simulations are carried out.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Let me ask you about these training courses and workshops, because I mentioned right at the start that you\u2019re a media trainer \u2013 so can we assume that\u2019s exactly the sort of training you provide?<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0I do both: I prepare people for media communication, but I also run crisis management workshops where we practise various scenarios and analyse how a crisis management team should function once a crisis has broken out.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0All right, so we know this crisis is happening. We know we have to acknowledge it and we have to respond. We also know that we shouldn\u2019t announce to the whole world that it only affects a specific target group. But how else should we respond? How can we respond to protect our brand?<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0There can be many different responses. Because what you mentioned \u2013 keeping the crisis as contained as possible \u2013 is the first stage of crisis management. However, once it has spread widely, then we have to communicate widely. And at that point, we must also adopt an official communication strategy, which involves either holding press conferences or issuing crisis statements. There are also certain guidelines on how to communicate and what words to use. As part of crisis management activities, a very important element is to give consumers a sense of redress. Because they feel wronged in some way; they feel betrayed by the brand. And just as in interpersonal relationships, if we lose trust\u2026 If a friend hurts us in some way, and we lose trust in them as a result, we expect them to make amends and say, \u201eListen, you know what, so because of this, I\u2019ll give you this, this, this and that\u201d. And this is where a loyalty programme can come into play once again.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0We\u2019re talking about compensation.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Yes, exactly. We\u2019re talking about compensation. So, for example, if certain customers specifically bought a product that was at risk, they could receive extra points as part of the loyalty scheme. Or all customers could receive some sort of benefit under this scheme. A competition could be organised specifically to demonstrate the brand\u2019s humility and its awareness that it owes us something as consumers.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0I am able to believe that it is possible to emerge from any crisis. Of course, it has to be done properly. You need to have a strategy and proceed with caution, but can we emerge from the crisis even stronger, can we rebuild our relationship with the customer and strengthen our brand?<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Yes, we can. And this is a very common scenario, because if a brand responds correctly, the saying \u201ea friend in need is a friend indeed\u201d applies here just as much to the brand as it does to people. If a brand faces such a crisis and responds well, demonstrating that it is responsible, aware, able to communicate effectively and treat its consumers with respect, they will reward it with even greater loyalty and trust. Therefore, yes, this is possible and common, provided the crisis is managed appropriately. And now, at this stage of emerging from the crisis and restoring the brand\u2019s image, loyalty programmes can also be utilised. Both in internal and external communications. And now, let\u2019s return to our example of those sales representatives. Let\u2019s imagine we had a faulty product that has now been repaired. We have a new product being launched onto the market. Often, as part of loyalty programmes, sales representatives have tasks on their mobile phones that they must complete when they visit a shop or a customer. For example, they must say hello, check the shelves and tick them off. And if they complete all the tasks within the programme, they receive a specific benefit. For example, you could add a task: \u201eExplain that the product is now OK. Explain that we have replaced the faulty product with a new one. Have a chat with the shopkeeper\u201d. Yes. And we then have a guarantee that, even at this final stage of the communication process, our post-crisis communication will be highly effective. And that\u2019s one way. But a loyalty scheme can also be used to engage consumers. For example, you could include the product that was faulty \u2013 and which has been recalled \u2013 as part of a competition. It could be a prize in a competition, or purchasing that product could earn extra points. The aim is precisely to ensure that these positive emotions become associated with the product once again.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0So today\u2019s episode is all about the good news, because if we\u2019re well prepared for a crisis, we\u2019ll probably come through it. We might even come out of it unscathed. And to top it all off, it turns out that loyalty schemes are very helpful in PR, especially in crisis PR.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0Yes, they\u2019re very useful, if you know how to use them.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0Thank you very much for today\u2019s episode, as we\u2019ve looked at a lot of PR tools \u2013 tools that will help us get through this crisis \u2013 and I\u2019m really pleased that a loyalty scheme is one of them.<\/p>\r\n\r\n\r\n\r\n

BK:<\/strong>\u00a0I\u2019d also like to thank you for the interview, and I\u2019d like to thank all our listeners for tuning in to our episode.<\/p>\r\n\r\n\r\n\r\n

KN:<\/strong>\u00a0See you in two weeks.<\/p>","protected":false},"excerpt":{"rendered":"

Transcript of the episode \u2013 https:\/\/www.youtube.com\/watch?v=rRu4YEemE5c KN: Good evening. Katarzyna Nawrocka welcomes you to \u2018Loyalty Programmes by Night\u2019. I suggest we spend this evening discussing effective PR. Joining me is Barbara Krysztofczyk \u2013 a media coach and PR specialist. BK: That\u2019s right. KN: That\u2019s correct. Before we move on to this main topic in the relevant context \u2013 namely, in the context of a crisis \u2013 I wanted to ask you\u2026<\/p>","protected":false},"author":2,"featured_media":1330,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[67],"tags":[],"class_list":["post-1328","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-o-programach-lojalnosciowych-noca"],"taxonomy_info":{"category":[{"value":67,"label":"O programach lojalno\u015bciowych noc\u0105"}]},"featured_image_src_large":["https:\/\/i360.com.pl\/wp-content\/uploads\/2020\/12\/11_Barbara_Krysztofczyk_PR-w-PL_PLANSZA-3-1-1.jpg",650,365,false],"author_info":{"display_name":"Tomasz Makaruk","author_link":"https:\/\/i360.com.pl\/en\/author\/autor\/"},"comment_info":0,"category_info":[{"term_id":67,"name":"O programach lojalno\u015bciowych noc\u0105","slug":"o-programach-lojalnosciowych-noca","term_group":0,"term_taxonomy_id":67,"taxonomy":"category","description":"","parent":0,"count":26,"filter":"raw","term_order":"0","cat_ID":67,"category_count":26,"category_description":"","cat_name":"O programach lojalno\u015bciowych noc\u0105","category_nicename":"o-programach-lojalnosciowych-noca","category_parent":0}],"tag_info":false,"_links":{"self":[{"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/posts\/1328","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/comments?post=1328"}],"version-history":[{"count":0,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/posts\/1328\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/media\/1330"}],"wp:attachment":[{"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/media?parent=1328"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/categories?post=1328"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/i360.com.pl\/en\/wp-json\/wp\/v2\/tags?post=1328"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}