Right now, it may feel like the hardest part of your startup journey is behind you. You have obtained financing, your product/service is sold and social love flows. !! Congratulations!! In this honeymoon period, it's probably hard to imagine that things could go terribly wrong for your startup.
However, large companies like United Airlines, Equifax and Uber know: a public image problem can quickly get out of control and become a catastrophe if not managed correctly, costing time, money and, most importantly, trust. and consumer loyalty. For a startup, the stakes are even higher: too big a crisis may be impossible to overcome.
Fortunately, there are ways to minimize a crisis without waiting for it to happen. Here's how to plan so you can act quickly when problems arise.
Make sure you know who's in charge .
Startups have an advantage over large companies because you don't have to go through multiple levels of senior management to get an answer. However, there can be confusion about who is in charge if something goes wrong. In times of crisis, you don't want multiple people sending conflicting messages through different channels.
Before things go south, organize a chain of command that makes it clear who is responsible for what, and what the threshold is for problems to escalate before anyone can act. You want employees to be empowered to do their jobs, but also be able to quickly identify when something needs to be raised and who to contact.
Observe what happens inside and outside the organization .
Although a crisis can appear seemingly out of nowhere, the truth is that there are often early warning signs of trouble. You're probably already monitoring mentions of your brand in the news, but to be really thorough, expand that list. Look at the mentions your managers receive: do journalists pay attention to what they say and do?
Study your competitors and follow any mentions they may be receiving. If they are being criticized for something, you may be next. In this sense, it is also important to follow what is happening in the sector as a whole. Even if your company is not directly involved, it may be dragged into a current issue by association. Staying up to date with what's happening and where your business stands means you're prepared to answer questions that may arise.
Prepare statements in advance .
Preparing as much as possible helps a lot in situations where time is of the essence. Having clear general statements that have already been reviewed by management and the legal department and can be published when the crisis occurs will buy you some time while the team in charge evaluates the situation and prepares something more comprehensive.
Offer solutions, not excuses .
Companies often make a problem worse by blaming someone else or covering up bad news. If your company has screwed up, assume responsibility. Explain what happened, the consequences for customers, and, most importantly, what your company is doing to fix it. Focus on that key message and don't blame anyone. You'll earn extra points if, once you've taken tangible steps to fix the problem, you let customers know what the company has learned and how it will prevent it from happening again.
If you are proactive and take control of the story, you will reduce the chances of someone, like a competitor, telling your story their way.