Toyota Gets Crash Course in Crisis Communications

Most communications experts agree that having a cohesive crisis communications plan in place can help companies of all sizes and statures navigate challenging terrain.

If Toyota did indeed have a plan, it didn’t adhere to the core principles for communicating during a crisis. Once synonymous with safety, Toyota has backed its way into a corner in which company executives are being reactive rather than proactive.

The crisis began with a lack of responsiveness to consumer complaints. In an age where conversations on social media channels can cause irreparable damage to a brand, Toyota drivers first learned about the potential mechanical/safety issues from other irate Toyota owners. From the start, Toyota didn’t take control of the message.

Toyota drivers also seem to be waiting for the other shoe to drop. Just this week, the recall expanded to 436,000 hybrid models including the popular Prius because of a malfunction in the braking system.

So what core communications virtues did company executives ostensibly ignore?

1. Honesty: The company should have publicly acknowledged the situation long before it did. The delayed response caused consumers to believe executives were being dishonest. Even if they didn’t know the extent of the problem they should have communicated potential issues about other Toyota makes and models.
2. Explanation: It took executives too long to offer up an explanation.  And when one was presented it seemed to point fingers at part makers and manufacturers, looking to place blame elsewhere.
3. Apology: Toyota’s CEO,Akio Toyoda, has been widely criticized for not being sincere in his initial apology in late January. He continued to participate in the World Economic Forum in Davos despite the fact that his company was facing the worst crisis in its history. His driving off in an Audi also didn’t inspire confidence in the Toyota brand.
4. Learning: We’ve yet to hear the company’s learnings from this incident and the policies and procedures it has created (or will) to ensure that this never happens again. The company still needs to reassure consumers that future models aren’t impacted.

The company’s handling of this crisis will shape perception of the brand for months and years to come. According to a PRWeek blog, consumer opinion of Toyota has dropped below the Hummer, arguably the most vilified gas-guzzler on the market. Significant damage is already done, but there’s no time like the present to get the brand back on track.