Transcript
United Breaks Guitar
Submitted by: Group 6 Anindya Bhadra (09IB-005) Bhaskar Mehta (09IB-013) Bhuvan Mudgal (09IB-014) Geetika Munjal (09IB-023) Jasjit Banga (09IB-028) Manik Bhalla (09IB-030) Nikhil Roongta (09IB-033) Rohan Agarwal (09IB-047)
About United Airlines • One of the largest international airlines in US • Has over 3,300 flights per day aircrafts • 50,000 employees and 360 aircrafts • United Airlines flies to 73 domestic destinations and 41 international destinations in 25 countries across Asia, Americas, Europe, Oceania, and Africa • In May 2010, the board finalised the merger of Continental Airlines and United Airlines making them world's
The Incident
The Incident (contd.)
The Incident (contd.)
UNITED’s Online Presence • United had a presence on in both online and social media. • In micro-blogging site Twitter, they had approximately 18000 followers • Tweeted two to three times a day • Gave away information useful to travelers like airfare deals and system disruptions • Employees were encourage to monitor social media •
Responses of United Airlines Date & Time July 7, 12:00 PM
Situation
Action
Response on Twitter
Tweet from Robin Urbanski “This has struck a Carroll’s made a call to chord with us and Friend Carroll after we’ve contacted “psssst..@Unit approval from Rob them directly to July7, 1 Taunts from They decided not to response ed Airlines Bradford. Carroll not No make it right” PM to 10 breaks some of respond availableon Twitter PM Carroll’s Guitars” July 8 Carroll was called Many Responses, friends and compensation given on next slide. was offered. Septembe Face to face meeting r 14 between United Airlines and Dave Carroll.
Responses from United
Did the Airline handle the incident well?
“Negative buzz about your company is not something to be squelched but rather an opportunity to regain control of the agenda.”
United’s Mistake •
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Issued a sincere apology, sprinkled in some humor, and even came out and said that they wanted to use this video for Training Purposes United was selective in the type of media they used to respond to the incident. While they answered journalist queries, they did not address it on its website or on its You tube channel Next day another video was updated on YouTube with Carroll acknowledging the apology but only 200,000 people viewed it which was actually only 5% of the people watching the other one Should have issued their own humorous You Tube response The airline’s belated decision to donate $3,000 to the Thelonious Monk Institute of Jazz as a gesture of goodwill (Carroll said he was beyond the point of accepting money) did nothing to contain the damage.
Moral of the story
“It is possible to rescue a damaged corporate reputation, but only if the company engages with Social Media as a form of response” •
Service recovery • •
A problem resolved within a reasonable time, together with information on how the failure occurred and what is being done to make sure it doesn’t recur Successful service recovery requires – – – – –
empowered employees a strong customer orientation celebrating success stories systematic data collection meaningful incentives to encourage such behaviour
It sh o u ld b e in visib le . N o m a tte r w h a t m e th o d o f service re co ve ry yo u ch o o se , it is critica l th a t yo u p re se n t in su ch a w a y th a t it is n o t o b vio u s to th e cu sto m e r th a t yo u a re d o in g th is ju st to re ta in th em a s cu sto m e rs . W h ile so m e w illse e th ro u g h yo u r m e th o d s , m o st w ill b e h a p p y to b e tre a te d w ith re sp e ct a n d d ig n ity !
The ideal response E C o n c o m u r p l a a i g e n t a s n d T r a c k
Fail-safe the Service
s t L o m f r o e r s n a r o m L e u s t C
y l k c i t c u A Q
Service Recovery Strategies
E x p e ri e n c e s
Treat Customers Fairly
C w i u l t v t h i C u a t e s t R e o m l a i e r t o s n s h i p s
L e a rn fr
o m R
t e a u e q A d o n s e t i i d a o v l a n r P x p E
e c o v e ry
Why so many views for the video
Some interesting facts • Approximately 15-16% of Tweets about United Breaks Guitars were retweeted, compared to a Twitter average of approximately 9%. • 86% of Tweets about United Breaks Guitars referenced web addresses, compared to a Twitter average of approximately 40%. • The top tweeters pertaining to United Breaks Guitars for the month of July were GuitarForever(129), GuitarSafes (50), and jenghauser (30). • The top 3 user handles that tweeted about the incident for the month of July were mashable(1,080,653), adventuregirl (800,2 29), and zoecello (697,603). • The top 3 user handles that were retweeted the most were mashable (121), DaveCarroll (28), and shelisrael (25).
Some interesting facts • Total number of blog postings pertaining to United Breaks Guitars for the month of July: 1,662. • Total number of tweets pertaining to United Breaks Guitars for the month of July: 5,980. • For the month of July, next to the actual link to the YouTube video, the link to the mashable blog was the most referenced with 271. • The most referenced hash tag or group was united. • The top three mentioned words were united, breaks, and guitars. • Total amount of views for United Breaks Guitars for the month of July: 4,524,334. • The United Breaks Guitars issue represented 42% of all online news for United Airlines for the month of July.
The graph shows the different media and how they could be potentially influencing each other and driving traffic to the YouTube video Notice how blogs tend to be the early influencers However traditional media in this case represented by online news seems to have a more profound influence both on Twitter and in driving traffic to YouTube That said it is possible that even though online news is influencing Twitter Twitter in turn could be influencing YouTube through posted links It should also be noted on the chart that clearly online news from the UK and Ireland around July 23 had an effect on Twitter Again this was backed up by the volume of posted links originating from UK sites in Twitter Furthermore views on YouTube also increased around this time .
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Viral Marketing “ It's b e e n sa id th a t in th e ‘ old days ’( maybe only a de cade a go ) tha t pe op le w h o h a d a p o sitive cu sto m e r se rvice e xp e rie n ce w ou ld sha re th a t w ith th re e p e o p le . If th e y h a d a b a d ex p e rie n ce , th ey w ou ld te ll1 4 . C le a rly , b a d n ew s tra ve ls fa ste st a n d th a t ha sn't chan ge d . B ut tod ay , so cia lm e d ia to o ls like Face b o o k , Tw itte r, M y S p a c e a n d Yo u Tu b e e n sure th a t n e w s tra ve ls e xp o n e n tia lly ” - Dave Caroll
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Technology has reached a point where everyone has a voice. This voice, articulated through social media, can be extremely powerful and can force individuals, companies and communities to change the way they behave. It is not who is influential that counts but who acts as a catalyst for conversation – Keith O’Brien Calculating an individual’s online influence is becoming more important each year as people seek advice from their peers on the Internet regarding what they should think, buy and say. The Social Media Index is a model, which recognises and attempts to quantify the impact and influence of multiple social media tools.
Strategies for Corporate
Route to Successful Customer Communication According to the latest survey from Opinion Research Corporation, a large proportion, 84%, said that browsing reviews influenced their decision on whether or not to purchase a product or service.
Hence, reach out to those who have had a bad experience and ask for a second chance.
Rather than taking a reactive approach to ratings and reviews, be an active participant in the online consumer dialogue
Encourage your customers to review your business. The more positive comments prospective customers read about your business, the less influence any
Route to Successful Customer Communication Two words that should never be used in customer service- Statistical Insignificance.
The vision of “mostly right, most of the time” has changed to “get it right every time”
Their philosophy starts with the fact that all customers deserve a positive experience -- not most customers, but every one of them
Measuring Social Media Exposure
Communication Collaboration Strategy
Communication Collaboration Strategy
Currently, most marketing communication programmes sit in on the left hand side of this matrix.
However, as companies and organisations become more aware of the tenor of each venue and what works, they will begin to mix in strategies and tactics from the right side.
As a result, the outcome is that programmes on the left will measure online influence through metrics like impressions, conversations, inbound links, friends and more.
Meanwhile, the right hand side - particularly Conversational Collaborative programmes - will adopt entirely new methodologies that measure based on outcomes.
For example, this could include ideas generated, donations or other means of measuring advocacy and so forth.
The future of communications is in the mixing of these quadrants and understanding how they work together to influence the public.
Steps for Online Reputation Management
Behavior for employees handling customers Acknowledgement - Acknowledging that a problem has
occurred Empathy - Understanding the problem from a customer’s point of view Apology - Saying sorry Own the problem - Taking ownership of the customer and the issue Fix the problem - Fixing, or at least trying to fix the problem for the customer Provide assurance - Providing assurance that the problem has been/will be sorted and should not occur again Provide compensation - Providing a refund, and/or a token and/or compensation, depending on the severity of the problem
