Brand Crisis in Social media

Abstract

This thesis examines the concept of brand crisis, its impact on company’s reputation and - image. Factors triggering a crisis are examined and the focus of the study is on how companies respond to consumers in social media in a crisis situation. Since communication plays a key role in crisis management, the type of communication most suitable for the specific situation is analysed. The goal is to provide information about how to act during impending crisis and how to respond complaints during the crisis in order to prevent negative image from spreading in social media. The purpose of this study is to increase understanding of factors causing a brand crisis and evaluate crisis management strategies and communication in social media. The study’s nature is qualitative, descriptive-analytical and is based on the author’s observation in the chosen companies social media forums. The observation is conducted from company’s perspective. The findings show that companies are hesitant to release piece of news in social media about their brand crises. The most effective crisis communication strategy is apology. The biggesr mistake a company can do, is to deny the situation and delete conversations from their social media forums.