If there’s one thing to be sure of in the real estate development industry, it’s that you can never be sure what to expect. No company, no matter how prepared it may be, is immune to external factors that can result in a crisis. The real estate industry is easily affected by factors such as market fluctuations, legal issues, weather events, and customer satisfaction, all of which may trigger an urgent issue that needs immediate attention. How the company responds to such a crisis could make or break its reputation.
This vulnerability that builders and developers are susceptible to can be attributed to the fact that trust is the primary factor that makes a company successful. When company trust is eroded due to an internal or external factor that causes a crisis, credibility can be lost, with business suffering as a result. Preventing this scenario with a solid crisis plan that minimizes damage is essential.
Developing a Crisis Communication Plan
A well-defined crisis communication plan written specifically for your company is essential to help swiftly address negative press and keep it from snowballing out of control and potentially damaging the company’s credibility. Developing this plan preemptively allows everyone to respond to the crisis swiftly to help “stop the bleeding” as quickly as possible.
A well-devised plan could include the following elements:
- Identification of all members of the crisis team, the roles they will play, and their contact information
- Identification of designated spokespeople to engage with the media and showing leadership
- Interview tips for designated spokespeople
- Outline of the approval process for all crisis media responses
- Outline of the crisis response protocol and the chain of command
- Guidance on how to quarantine the media during a crisis to contain and control what is reported on (if crisis has occurred on a site)
- Pre-drafted media statements and prepared messages that can be easily adapted and applied to different crisis scenarios, helping to increase your response time and alleviate a chaotic situation in the moment. These responses can be used across a variety of channels, including press releases, emails, and social media posts.
- Company guides/memos sharing “dos” and “do nots” for how to handle media inquiries and how to secure the corporate headquarters and/or construction sites from media
- Recommendations for how to distribute and practice the plan
Assembling and Preparing a Response Team
When determining which experts at your company should be responsible for executing your crisis communications plan, you should identify the most trusted and responsible members of your company’s essential departments, which include (but are not limited to) legal, social media, IT, HR, and operations. The plan should be presented to your assembled crisis response team and saved in a place where everyone can easily access it as needed. Once it’s confirmed that all team members understand the important respective roles they’ll need to play when a crisis occurs, the team should run through a mock crisis to make sure they’re prepared for a real event.
Additionally, a list of key company stakeholders’ emails and phone numbers should be created so that the crisis response team is able to quickly share relevant information if and when a crisis occurs.
Identifying and preemptively training all employees who need to participate in this crisis protocol on their duties when the time comes will ensure a swift, precise, and effective response. This prepared response to a crisis fosters trust and credibility among clients and the general public where corporate silence can often be especially damaging.
Responding to a Crisis
When your pre-prepared crisis communication plan needs to be implemented, it needs to be all hands on deck. The order of steps taken should include:
- Identifying and assessing the cause and severity of the crisis. Knowing the landscape is the first step toward addressing the situation properly and effectively. Make sure to gather all the relevant facts before responding accordingly.
- Implementing the communication plan, both internally and externally. Based on protocol, craft a compelling, sincere, and transparent message(s) that engage the media, clients, and/or affected parties, acknowledging the issue and sets the record straight while demonstrating responsibility. Depending on the situation, you’ll want to determine if a live media interview or a written response is more appropriate. Remember, time is of the essence during this vital period. The faster your response, the more likely you are to contain the damage and prevent a lasting long-term negative effect on your brand. Customers and clients are far more likely to return to a brand that addresses a crisis head-on with strength, accessibility, and clarity.
Bouncing Back Stronger
Once you have things under control, you can focus on recovery. This includes taking steps to address the problem that caused the crisis, sharing updates on the incident and your company’s response with your internal team and clients, and leaning on your PR team to create media campaigns that highlight your company’s commitment to positive initiatives that restore trust in your brand. Using Google Alerts and social media alert tools to monitor the media and online conversations for how the world perceives your brand can help you keep a finger on the pulse of your reputation post-crisis and adjust your messaging accordingly.
Though stressful, these types of crisis situations are also learning opportunities for your company to improve and grow while demonstrating transparency, leadership, accountability, and resilience in the face of a crisis. Conducting an evaluation of your crisis response, identifying the areas in need of improvement, and making the necessary changes will help your company become more resilient moving forward.
If handled effectively, your company could come out of a crisis having earned a greater sense of trust from its clients and the public, putting your brand in a more positive and credible light than prior to the crisis.
Given all this, it’s vital when selecting a PR company for your business to make sure that it is able to navigate these types of crises—it could be what prevents a situation from escalating into a catastrophe.
If you’re looking for a PR team with extensive experience in crisis management for builders, developers, planners and architects, reach out to us here at NewGround and we can talk about how to best craft a proactive crisis communications plan tailored to your company’s needs.
