Crisis Counsel: Why preparedness is the new reputation insurance in brand crises

A deep dive into how brands must prepare for modern-day reputational crises, featuring insights from Lloyd Mathias and Archana Jain in Storyboard18’s Crisis Council series.

By  Storyboard18Aug 19, 2025 9:22 AM
Crisis Counsel: Why preparedness is the new reputation insurance in brand crises

As part of the Crisis Counsel series on Media Dialogues with Storyboard18, we recently brought together two leading voices in brand strategy and communications — Lloyd Mathias, business strategist and investor, and Archana Jain, Founder & CEO of PR Pundit Havas Red — to dissect how brands should respond when they find themselves trending for all the wrong reasons. In a free-flowing conversation moderated by Storyboard18's editor Delshad Irani, the discussion explored the anatomy of a modern-day brand crisis, the collapse of response timelines and why crisis readiness has become a core leadership mandate.

In the age of relentless connectivity, brand crises don’t simmer - they explode. A tweet at 10 a.m. can turn into a nationwide firestorm by afternoon, and there's no pause button. Reputational risk has become a real-time phenomenon, unfolding on social media feeds and WhatsApp forwards before legal teams even draft a statement. In this new reality, one truth has emerged: crises are no longer extraordinary interruptions, they’re part of the operating environment.

A few decades ago, public backlash could be contained; newspapers set the narrative. Today, consumers are the media. They record, upload, comment and sometimes even dictate the terms of accountability before a brand can react. The very definition of a "brand crisis" has evolved from a single, identifiable issue to a nebulous storm that can originate anywhere - an employee’s personal post on LinkedIn, a tone-deaf ad on the telly or Gram, an unhappy passenger on X, a quality issue exposed on Reddit. Everyone now has a megaphone, and every misstep has a witness.

The New Rules of the Game

One of the most drastic shifts lies in the speed at which situations escalate. A delay in response, even for a few hours, can be perceived as indifference. Companies no longer have the luxury of assembling a committee over days. Today, brands need the infrastructure to mobilize immediately, stabilize the narrative, and only then strategize for the longer haul.

Yet many organizations remain underprepared, especially high-growth startups. They often lack even a basic crisis playbook. There's no assigned spokesperson, no cross-functional team trained for emergencies, no pre-cleared protocol on who to call - whether it’s legal counsel, a social media team, or internal communications. The once-sacred “red book” of crisis management has gone missing in most organizations. Even legacy companies may hold dusty manuals that haven't been updated since the print era.

This lack of readiness is at odds with the realities of today’s digital exposure. Consumers expect not just functional responses, but responsible and empathetic leadership. A missed baggage incident or a late apology is now seen through a moral lens: not “what happened?” but “how could you let this happen—and what does that say about your brand?”

Beyond Control: The Decentralized Crisis

In the past, crises usually had a single identifiable source and a formal complaint or report. Today’s crises are multi-headed. They might begin with a viral video, be amplified by a troll army, then echoed by a mainstream news channel with little context. The platforms are decentralized, and so is the outrage.

That’s why effective brands focus not only on response, but on listening. Social listening tools are no longer optional—they are early warning systems. Organizations that catch the first tremor are more likely to stabilize the situation before it erupts.

But listening is not reacting to every comment. A social media rant does not always constitute a crisis. Not every angry tweet deserves a statement or apology. A smart team reads the curve: is the conversation growing or dying? Is it a genuine grievance or a momentary spark that will fade? Sometimes the best strategy is to stay silent and let the noise blow over. Timing, not just messaging, has become a strategic decision.

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The Role of Reputation Capital

Not all brands are equal in crisis. Companies that have built trust over time tend to ride out storms more smoothly. Credibility cushions the blow. When people believe in a brand’s values, they are more likely to give it the benefit of the doubt. Conversely, brands that never invested in reputation find themselves scrambling to prove they care.

That’s where allies matter. Some companies cultivate long-term goodwill with opinion leaders—people who may not be paid influencers but are trusted voices. When a brand faces negativity, these allies often step in with perspective and balance. But that support cannot be engineered overnight. It is the result of years of transparent, ethical behavior and relationship building. No one will stake their reputation on a brand they don’t believe in.

When Leadership Steps Up

There is still no substitute for leadership visibility in the middle of a serious crisis. Consumers expect someone accountable at the top - a CEO, a founder, a chairperson—to acknowledge the issue, express empathy, and outline next steps. Ownership brings credibility. A sincere statement that avoids legal jargon and defensive tone can cool tempers instantly.

At times, especially in global or heavily regulated companies, internal approvals delay this process. Corporate protocols may require board notifications or legal vetting before any public comment. That disconnect between internal caution and external urgency can harm perception. From a consumer’s standpoint, silence feels irresponsible.

Still, leadership messages must be rooted in realism. Overpromising or uttering blanket lines like “This will never happen again” can backfire if the issue recurs. The public isn’t just listening—they’re keeping receipts. True transparency is a balance: open, but not reckless; empathetic, yet grounded in fact.

Crisis as Opportunity

Handled well, a crisis can become a turning point. There are countless examples of brands that emerged stronger by responding with authenticity and action. Sometimes resolving a consumer complaint swiftly and publicly turns the critic into an advocate. Sometimes a strong position on a social issue boosts loyalty, even if it alienates fringe voices. The best brands see crises as moments to demonstrate what they truly stand for—not just what they sell.

Some of the largest consumer companies have built internal “first responder” teams not just to defend themselves, but to communicate what they value. They prepare holding statements, pre-approved responses, emergency contacts. They test campaigns before they go live to flag cultural sensitivities. They train frontline teams with scenario planning so that the response becomes muscle memory. They don’t wait for the storm—they prepare for it.

The Long Game: Trust as Strategy

Ultimately, crisis preparedness is not just about communications; it is about culture. A brand perceived as fair, ethical and consistent will withstand more blows than one that seems opportunistic or opaque. In a world where backlash is one click away, trust is not a soft metric—it is a strategic asset.

The companies that treat crisis planning as a core business function—not an occasional PR exercise—are the ones that turn vulnerability into resilience. Those that resist investing in preparedness may find themselves paying several times over when the inevitable storm arrives. As one observer put it, you either feed the shark or become its meal.

We live in an era where reputations are built and destroyed in real time. A brand’s greatest defense is not just a clever statement or crisis hotline—it’s the groundwork laid long before the crisis. Leadership, consistency, listening, and preparedness aren’t just communications tools; they’re business imperatives. Crises may be unavoidable. Being unprepared is not.

First Published on Aug 19, 2025 8:32 AM

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