Few Polish businesses have a plan for managing and enhancing their reputations. Western European companies, on the other hand, do it in a more planned and deliberate manner. Furthermore, especially in today’s digital age, businesses interact through various platforms, which presents several obstacles to consistency and efficiency in communication.
Up to 90% of a company’s market value may come from its reputation. Although a good reputation takes years to build and can be lost in an instant, most companies in Poland only react when a crisis occurs. A strong business reputation leads to superior financial outcomes, client loyalty, and image-building. Reputation is frequently exclusively connected with an organization’s outward appearance, but the image is more about “What do our customers think of us?”. Although superficial, appearance does not accurately represent reputation.
Reputation management has evolved over the years. Today, reputation building is heavily influenced by social media and the internet. For instance, according to research from the Pew Research Center, 91% of individuals trust what they read and see in search results, which is why many companies aim to build a good image in Google’s search results.
The way companies operate can be divided into two types:
Some companies are proactive. In order to improve their image and provide value to their surroundings, they work on image initiatives. They also maintain good communication with the company’s stakeholders and are open to hearing other people’s thoughts. These businesses are frequently quite active on social media, especially professional networks like LinkedIn or Twitter and conventional media. In addition, they take care of their image on the search engine, which is as essential a medium today as Facebook or YouTube. The second category consists of businesses prioritizing protecting their reputations above enhancing them, primarily by keeping an eye on the environment and reducing risks.
A strong reputation means more significant success in the business field and success in achieving goals. Additionally, it translates into stronger client loyalty, dedication, and crisis resilience for the business. Employer image is unquestionably the third factor. After all, we are more likely to submit applications to companies with solid reputations.
Trust is essential to developing an organization’s market position, both from consumers and staff members and partner businesses. It is one of the most critical factors in establishing an organization’s market position, particularly in the era of social media, where one post may define your company’s destiny. According to research presented in ” Managing Your Company’s Most Valuable Asset: Its Reputation,” a company’s reputation is thought to contribute anywhere between 20 and 90% of its market value.
According to the ASAP CARE 24 agency’s report, 23% of internet users interact with brands on social media, and a similar percentage regularly follow brand profiles there. The opinions they discover on these platforms significantly impact consumers’ decisions to purchase products.
However, hackers may quickly access social media platforms and the posted content. It is also harder to respond promptly to hate speech that is not on the record. Therefore, the only things that can prevent a catastrophe are a set strategy and a consistent social media presence. Fake news, however, poses a serious problem since it is so prevalent online.
Such an occurrence has happened recently to many companies after Elon Musk took over Twitter and implemented a paid coveted blue check subscription. As a result, impersonation accounts of well-known people and businesses quickly flooded the platform. Eli Lilly, one of the country’s largest insulin suppliers, was one of the businesses that suffered the most from the increase in fake accounts, with billions of dollars being wiped off its stock due to controversial tweets from impersonation accounts. The Washington Post reported that Eli Lilly saw its stock value fall by more than 4%, or $15 billion, after a fake account using Musk’s verification system tweeted: “We are excited to announce insulin is now free.” The company’s executives had to order a halt to all Twitter ad campaigns. Additionally, they suspended their global corporate accounts’ Twitter publishing schedule.
It is difficult to get out of such situations. Once a fake is released, it is challenging to take it back. That’s why we have to keep in mind that everything we do on the internet is being reflected on society or the social group we are part of and that on the internet, nothing ever disappears completely.
Fombrun, C & van Riel, C 2004, ‘Managing Your Company’s Most Valuable Asset: Its Reputation’