Word of Mouse

Company brand and positioning in the market place is dependent on customers, employees and shareholders. Word of mouth has always seen as important for SMEs but of little issue for bigger businesses, especially those with a virtual monopoly.

The on-line world has seen word of mouth morph into word of mouse and become a high priority issue for big business. What is a great branding opportunity also opens up a huge threat - no longer can a disgruntled customer or employee be contained by a slick marketing campaign and a word to counterparts in the 'old boys' network to help put a lid on an issue.

Welcome to an easily accessible public notice board to air your grievance when the company in question will not help. Google 'Vodafone problems' and see the impact - continued poor reception and poor customer service led one man to launch a website to complain. A few friends, social media and a bit of interest from bloggers turned the issue viral. In the last year the Vodafone CEO has issued a public apology about the company's poor performance and customer service, allowed customers to break contracts, had to spend money upgrading infrastructure and are facing a class action law suit.

This is only one example. Websites dedicated to complaints, blogs, You Tube, social networks and e-mail are all used to vent about products, companies, bosses and co-workers. And even if the information is not true, it is near impossible to counter act the exposure.

Don't underestimate the effect of bad company or product publicity on your employees. If the publicity is sustained, the fall out is wide spread and/or is seen as morally or ethically wrong by the community, your employee turn over rates will increase (and usually of your most talented), and the company's ability to attract talent will be hard hit. Employee morale will be subdued at best.

If the balance of power pendulum is swinging in the favour of customers and employees what should a company be doing?

1. Don't promise more than you can deliver and then deliver what you promised. Customers: service and product. Employees: culture and work environment. Every time you don't, they will publically call you on it and/or leave.
2. It's not all about you. Ask what they want. Clients: skills and tasks are being outsourced but relationships cannot be; understand what your client needs and make sure your product or service will help them realise their goals. Employees: don't only focus on $, look at what work environment they want, as usually it is organisational habit that restricts.
3. Listen and learn – even if the feedback is hard to accept, suck it up and work out what you can do to (re) build your brand. You might end up making changes that see you retain your most profitable customers and engage your most talented and valuable employees.
4. If you experience a publicity disaster don't try and pretend the big purple elephant is not sitting in the room. Don't use old-fashioned spin as people are smarter than that. Approach: no BS, admit, apologise, inform and do something about it.

Word of mouth/mouse is alive and more vibrant than at any other time in history – embrace it and prosper.