June 27, 2017 09:36 AM Eastern Daylight Time NEW YORK & LOS ANGELES--(BUSINESS WIRE)--A product recall can cost a company millions of dollars, not including lost sales and damage to brand reputation. A new survey commissioned by Marketpoint Recall, and conducted online by Harris Poll among 2,081 U.S. adults aged 18 and older, examines Americans' views on company crises and product recalls. The study found that 85 percent of Americans would get angry when a company has a crisis or issues a product recall.
How a company handles a crisis or recall can also impact public opinion extensively. The study revealed that in the event of a crisis or recall, over 3 in 5 Americans say a slow response time from a company to correct the recall or a refusal to acknowledge that there is a crisis would make them angry (63 percent for both). Additionally, 60 percent of Americans said a lack of communication from the company to consumers would make them angry.
“When a company isn’t prepared for a recall or crisis scenario, it escalates the problem tenfold, not only harming the brand’s image, but negatively impacting customer loyalty,” said Peter Gillett, managing director, Marketpoint Recall. “Our survey revealed that if a company takes too long to address an issue, or doesn’t have the proper tools to communicate with customers around the globe, it risks damage beyond repair. In order to calm and reassure customers, quick and clear communication is essential.”
Americans also cited the following issues involving a crisis or product recall that would make them angry:
- Language barrier between the company and consumers (i.e. company correspondents/call centers don’t speak English) (32 percent)
- Infrequent status updates on the recall (30 percent)
- Company’s lack of activity on social media (11 percent)
Having a plan in place, along with access to global communication channels is vital for a business to survive and thrive after a crisis or recall. Marketpoint Recall offers the tools, expertise and a centrally managed team to guide businesses through emergency situations. Marketpoint Recall’s START Program establishes a central team and processes, and briefs executives to ensure they are ready for a potential crisis.
For more information, visit www.marketpointrecall.com/.
Survey Methodology
This survey was conducted online within the United States by Harris Poll on behalf of Marketpoint Recall from June 16-20, 2017 among 2,081 adults ages 18 and older. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables, please contact Christina Alvarez at [email protected].
About Marketpoint Recall
Marketpoint Recall has more than 35 years' experience. Over the years, the channels and processes have been developed and are in place to cater to a wide range of industries. The Marketpoint Recall team is on hand to guide businesses through a recall process, working as an extension of the business to reach the best possible solution. The company’s capabilities to handle the recall across geographical and language barriers is what sets it apart from other companies. Learn more at www.marketpointrecall.com.
