Better than Riches
Why brand reputation management matters
Truett Cathy, founder of Chick-fil-A, lived his life by one motto—or Bible verse, to be exact:
“A good name is more desirable than great riches; to be esteemed is better than silver or gold.”
—Proverbs 22:1
Truett was a great leader with a reputation as good as the famous chicken sandwich he invented. He focused on relationships—not results—and ultimately created a culture that is unrivaled in the quick-service business. When you go to Chick-fil-A, you know you will be greeted with a smile, provided good service and sent on your way with the well-known “my pleasure.”
While most organizations strategically manage operational and financial risk, many do not address reputational risk. Yet, studies show that reputation is an invaluable asset that affects everything from the bottom line to stakeholder satisfaction. Warren Buffett once famously told employees, “Lose money for the firm, and I will be understanding. Lose a shred of reputation for the firm, and I will be ruthless.”
Brand reputation and why it’s important
Your brand is the holistic sum of all a consumer’s experiences with all your brand components. It’s a promise built on experiences, regardless of whether your brand is a company, nonprofit, product or service. We no longer live in a time when communication elements can be separated and siloed. Everything is connected and impacts each other, and everything you communicate is part of developing your brand and reputation.
Brands are known for delivering a specific expectation. When that expectation isn’t met, you risk your reputation. Therefore, everything your brand communicates—through customer experience, social media or any form of marketing—needs to be thoughtfully considered and orchestrated.
How to protect your offline and online reputation
Several years ago, United Airlines proved just how true this statement is. After crew members forcefully removed a passenger from an overbooked flight, the aircraft company’s then-CEO Oscar Munoz seemingly blamed the customer for the incident. The move angered the public, which reacted online, prompting the company’s stock to plummet and Munoz to reverse course, citing airport staff and security for “system failures.”
While every brand has reputational risk, you can take steps to limit potential damage. Consider the following when planning reputation management:
1. Regularly assess your nonprofit’s vulnerabilities.
Through crisis planning, you can strategically manage reputational risk. Understanding areas of concern allows you to limit the potential impact of damaging situations and events.
2. Develop a brand snapshot.
A brand snapshot easily presents the key communication elements of a brand to keep everyone rowing in the same direction. It helps guide those within your organization on how to effectively communicate your brand.
3. Empower employees to be positive brand advocates.
Your employees can make or break your company’s reputation. Clearly defining your nonprofit’s vision, values, messaging and marketing channels helps ensure each employee is empowered to act as the positive advocate you need and minimizes the chance of publicly aired grievances.
At Guardian, reputation management is our bread and butter. We offer an experienced, outside perspective to help organizations, nonprofits and ministries protect and promote their reputation.