Article written by Marana Brand, Stone Consultant

Corporate reputation and trust are some of a company’s most important assets, especially in today’s turbulent business environment where companies face increasingly demanding, well-informed stakeholders and customers.

Managing reputation in this environment requires companies to respond adeptly to potentially dangerous issues and disruptions while staying focused on their long-term goals.

Reputation management can be defined as the process of identifying people’s perception of a business and taking steps to ensure that the general consensus is in line with the business’s goals. Many organisations use social media to monitor their reputation. Although social media has opened many new doors, they also need, however, to be continually monitored to maintain a brand’s reputation and increase online influence.

Lebo Madiba, founder of PR Powerhouse last year said in an article on smesouthafrica.com that business owners should constantly be aware of what the public is saying about their business as reputation affects purchase decisions and influence the growth or decline of a business.

She summarises her view on reputation management in five points:

  • Reputation is an intangible asset: It is hard to put a value to it, but the value is often only realised once it’s lost. Customers who have had a bad experience with a product, a staff member or your business are likely to tell others about their experience.
  • Social media has changed the way companies do business: A negative review of your business can go viral within minutes, but good news can spread just as quickly. Build relationships with your clients through social media by listening to what they are saying and responding to that timeously.
  • Good reputation is built internally: Reputation and business culture go hand-in-hand. Everyone in your business should reflect your brand ethos as it will manifest itself in how your clients and customers relate to your business.
  • You can build a solid brand reputation, even if you are on a shoestring budget: If you have a website, it should be active and linked to your social media platforms. Use the website to showcase your business, people, achievements, successes, services and products. Build trust and credibility through your website. No matter how small the business is, define your business offering and what sets you apart from competitors.
  • Have a reputational risk plan in place: Being reactive can do more harm to the business. The plan should contain elements such as how a crisis is managed within the business and who will represent the business in the event of reputational risk.