MANAGING YOUR BRAND AND CORPORATE REPUTATION DURING HARD TIMESHill & Knowlton China

Recession Communications Offering

Things we have learned from previous periods of uncertainty

2008 CRASH

The current 2008 global financial crisis has hit with speed and

severity. This situation is made all the more challenging because its

impact is global and falls directly on the consumer.

China may be on stronger footing than most countries, but it’s by no

means immune.

During this downturn, many companies will suffer, but those brands

who keep talking will suffer less than those who remain silent.

While budget cuts may be inevitable, they are definitely not the only

way to save your business.

While budget cuts may be inevitable, they are definitely not the only way

to save your business.

Things we have learned from previous periods of uncertainty

THE CENTRAL QUESTION

“So, what role do communications play in managing a brand/company during a

recession?”

Everyone recognizes that now is a time to look at the bottom line, but we also believe that this is a time to re-look at your marketing mix. Even if it means you

need to spend, then spend more efficiently.

SOME KEY POINTSCommunication is an active process.

Communication is focused, tactical and strategic risk-taking. And it’s

also measured. Communication is about building brands, growing

shares and sustaining a leadership position in any economic cycle.

The following considerations are all important factors when developing

communications to guide your brand/company through the recession

and beyond.

Standing still is not an option

.

Economic downturns present the unique opportunity to step back and

reassess your company in a new light.

By focusing on your primary objectives and not clouding the issues,

you will be in a better position to quickly and effectively respond to

new developments.

Know what you’re up against by running a risk audit

Can you develop a plan that analyzes the risks that your company

faces and create potential issue scenarios?

Can you regularly monitor the media to know what the public thinks?

Can you hold internal brand communication workshops to reassess

your strategy and determine if changes are needed?

ONEPOINT ASSESS YOUR THREATS

AND STRENGTHS

In any relationship, if one party stops the dialogue, the other moves

on. In a recession, people do not stop buying; they just buy carefully, in

a more deliberate and well-informed manner. What if they hear

nothing from you?

Take advantage of the general decrease in marketing investment to

better guide the dialogue and stand above the rest.

Don’t stop communicating, proactively reach out to the media

Can you maintain relationships by managing expectations and not

making too many promises?

Can you communicate regularly with the media to keep reinforcing

your message while being honest, confident and direct?

Can you let your customers know what challenges you face and how

they will be overcome?

TWOPOINT

KEEP TALKING

THREEPOINT LEADERS MUST BE

FRONT AND CENTER

No one wants to see a leader back down in a time of crisis – and this

is especially true at the top level. Leaders who are visible and available

for face-to-face discussions provide reassurance and send out a

strong signal of confidence.

Displaying leadership at all levels can also demonstrate organizational

focus, providing an early feedback mechanism that can quash rumors

before they take hold.

Profiling and positioning your CEO as an industry thought leader

In times when leadership is less visible, are you prepared to step up

and take a commanding role in your industry?

Can you distinguish yourself enough from others to put your company

on a solid footing for the post-recession future?

The impact on your staff will be larger than you might think. Staff

members are the first to worry their companies’ fate during a

recession.

Your people are the most valuable asset in surviving a recession.

Companies do not innovate, people do. Companies do not create a

brand experience, people do. Companies may survive recession, but

only because its people made the right decisions.

Use internal communications to keep employees informed,

motivated and focused

Can you communicate with your staff about the current situation to

restore confidence?

Can you effectively use internal communications to keep your staff

informed, motivated and working together in a way that will impress

customers?

FOURPOINT FOCUS ON YOUR

STAFF

The smartest and most cost-efficient way to spend your money in

communication is to leverage the key influencers. If companies want

the most mileage out of their communications during this challenging

time, new technologies and channels are the best way to identify and

engage small groups with far-reaching influences.

By winning over key influencers, companies can reach whole

communities at a relatively low expense. In the digital age, one

customer can quickly become a billion.

Embracing new technologies to engage communities

Can you map out your key stakeholders? Who are the opinion leaders

in your industry and which can best help you meet your objectives?

Can you use new technologies (online media and social networking

tools) to engage them?

FIVEPOINT FOCUS ON THE

INFLUENCERS

We believe that creative execution is one of the biggest determining

factors in the success of a campaign. We also know that most of the

best marketing campaigns that have yielded the best results were

created in response to difficult times and/or a tough economic climate.

More difficult economic conditions must be met with increased

creativity. Remember that the idea behind the campaign is more

important than the allocated budget.

Those companies unafraid to innovate will be the market leaders after

the downturn.

Make creativity a top priority in your communications and business

at large

SIXPOINT MAKE CREATIVITY A

TOP PRIORITY

RECESSION COMMUNICATIONS OFFERINGYou cannot control the economy, but you can be prepared to

handle it. We can help you build a solid foundation through the use

of issues management and crisis communications plans.

Every company and industry is unique. However, there are some

guidelines in a recession which are essential considerations for the

management of any brand:

ONEOFFER MAPPING OUT KEY INFLUENCERS TO

PRIORITIZE THEIR IMPORTANCE

RATIONALE• By identifying key opinion leaders that share your priorities, you

can develop strategic and tactical moves to begin a dialogue with and influence them.

OBJECTIVES• Identify key opinions leaders, primary and secondary influencers

of public opinion, and the issues that generate the most traction with specific media outlets and reporters. An successful networkanalysis can help to discover the people who drive coverage

• Develop key influencer and opinion leader programs, and spokesperson initiatives.

OUR OFFER : DEVELOPING AN INFLUENCER NETWORK ANALYSIS

TWOOFFER BETTER ASSESSING THE RISKS AHEAD

AND DEVELOPING RESPONSES

OBJECTIVE• Identify the major issues and challenges that may be faced in the months

ahead and develop solutions to address and overcome those challenges.

PROCESS• Gather input from the crisis communications team in a formal half-day

workshop. This session will explain in depth the vital role the crisis communication team plays in real-world scenarios.

• Map out key stakeholders according to their importance and positions on various issues. Issues will then be discussed, and ideas for strategies and tactics will be brainstormed in break-out sessions.

• The team will then draft guidelines for appropriate responses, creating templates which will be included in the draft of the crisis communications plan.

OUR OFFER : CONDUCTING AN ISSUE MANAGEMENT WORKSHOP

THREEOFFER PROTECTING YOUR CORPORATE

REPUTATION AND BRAND

RATIONALE• A crisis communication plan is an essential part of being prepared to

manage an issue or a crisis during uncertain times.

OBJECTIVES• Assign roles and responsibilities to crisis communications team members

along with guidelines and a response structure. • Develop contact sheets for the crisis communications team, media and

stakeholders as well as holding statement templates and potential questions and answers to address various scenarios.

• Collate all applicable guidelines and procedures into a formal document and develop checklists for easy reference.

• Create a simulated crisis situation involving various stakeholders to test the effectiveness of the crisis communications team and your crisis communications plan.

• Review and revise the plan according to the results of the simulation.

OUR OFFER : DEVELOPING A CRISIS COMMUNICATIONS PLAN

THREEOFFER PROTECTING YOUR CORPORATE

REPUTATION AND BRAND (Cont’d)

PROCESS• Phase One: Issue management workshop (Step 2)

• Phase Two: Crisis communications plan developmentUsing the information, messages and responses identified in the issues management workshop, we will develop a formal plan for your company. This plan will include message structures, press-release templates and identify stakeholders for the most threatening scenarios.

• Phase Three: Desk-top simulationA desk-top crisis simulation exercise, developed by Hill & Knowlton, will give team members first-hand training in implementing the plan and testing its effectiveness. Necessary changes will be identified and a debriefing session after the simulation will allow team members to freely voice any concerns, so that they may be considered and integrated into the plan if necessary.

OUR OFFER : DEVELOPING A CRISIS COMMUNICATIONS PLAN

FOUROFFER RAZOR-SHARPENING YOUR

MESSAGES

OUR OFFER : RUNNING A KEY MESSAGE WORKSHOP

RATIONALE• In a recession, your stakeholders will be reading a lot, often too much,

into every word and deed. Messaging must be crystal clear so you can maintain control over your master narrative.

OBJECTIVE• Uncover and develop powerful messages that can explain what your

company stands for in compelling language and effectively connect with your stakeholders.

PROCESS• Gather input from the entire team in a formal half-day workshop

environment. Sharpened key messages in response to the downturn will be brainstormed during the session.

• The words and phrases you will use in media releases, interviews and other materials will be based on your new key messages.

FIVEOFFER EMPOWERING YOUR SPOKESPERSON

OBJECTIVE• To empower your key spokesperson to properly handle the news

media and other important stakeholders during hostile interview situations and challenging times.

• Using an issue-based crisis scenario to provide a context for media handling techniques as well as creating the attitudinal shift required to develop more effective spokespeople.

PROCESS• Participants are trained in specific, proven techniques for high-

pressure media handling.

• We will work with your communications team to identify key threats/issues to develop a scenario based upon real issues. Thescenario will be used at the training to serve as a context for learning the techniques.

OUR OFFER : RUNNING A CRISIS AND SPOKESPERSON TRAINING

WANT TO KNOW MORE ABOUT US?

H&K CHINA PROFILEFIRST PR AGENCY to establish a presence in China in 1984 with the opening of our Beijing office

3 OFFICES : SHANGHAI, BEIJING, GUANGZHOUWe have also established a physical presence in Chengdu, Shenyang, Jinan, Nanjing, and Wuhan

OVER 200 bi-lingual consultants

CO-FOUNDER OF THE MARKETING GROUP OF CHINAThe Marketing Group of China is a non-profit, invitation-only club created especially for top marketing executives from major Chinese companies and multinationals operating in China

COMMUNICATIONS CONSULTANCY FOR BEIJING 2008A global network of consultants has provided strategic communications counsel and media relations support for the Beijing 2008 Olympic Games

WE ARE THE COMPANY THAT …

Helped promote a positive image of Beijing 2008

Helped clients from different sectors prepare for, manage and recover a wide variety of crises from plant explosions to product recalls and corporate restructuring.

Provided expert professional media and spokesperson training to 84 senior Chinese officials from China's State Council Information Office.

Provided crisis and issue management training to more than 20 companies over the past two years

ISSUES & CRISIS MANAGEMENT

CHANGE & INTERNAL COMMUNICATIONS

CORPORATE COMMUNICATIONS

PUBLIC AFFAIRS DIGITAL COMMUNICATIONS

MARKETING COMMUNICATIONS

OUR MAINSERVICES

BUSINESS TO BUSINESS COMMUNICATIONS

RECESSION COMMUNICATIONS OFFERING

OUR PRIMARY CORPORATE CLIENTS2008 CORPORATE COMMUNICATIONS

CO-FOUNDER OF THE MGOC

The Marketing Group of China is a non-profit, invitation-only club created especially for top marketing executives from major Chinese companies and multinationals operating in China. It provides a unique platform for the industry’s best marketers to share ideas, concerns and best practice via face-to-face and online meetings

The Marketing Group of China is founded by Hill & Knowlton and The Kantar Group in 2008

www.marketingroupofchina.com

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MARC-OLIVIER ARNOLD

Campaign StrategistHill & Knowlton Shanghai

Hill & Knowlton Shanghai989 Changle Road 28 F, The CenterShanghai 200031 P.R.C.T: +86 21 5109 7070 marc.arnold@hillandknowlton.com.cnwww.hillandknowlton.com.cn

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