The fragility of reputations: a lesson from Bell Pottinger
We live in the ‘reputation economy’, so how should companies act when managing a crisis?
The name Bell Pottinger is on everyone’s lips. Over recent months, immensely negative sentiment built up towards this communications company, not only in the UK and South Africa but also further afield, which damaged Bell Pottinger’s reputation. The damage – fuelled by the media and social media – was so enormous that the firm reached the end of the road when it officially entered into administration. That was an ironic turn of events, as communications firms are supposed to guide others on how to communicate and how to manage their reputations. Yet Bell Pottinger lost its own clients after it was exposed for running fake news and smear campaigns in South Africa for the Gupta family, who are linked to allegations of state capture and corruption. The UK professional body the Public Relations and Communications Association also terminated Bell Pottinger’s membership, for unethical behaviour. The punishment demonstrated the serious light in which the association viewed dishonesty and ...
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