A good business leader understands that a successful business relies on trust and integrity. And, more importantly, that a crisis can destroy trust in an instant. Whether it's a negative review, a viral social media post, or a major operational failure, a public relations (PR) crisis can jeopardize the reputation you’ve worked hard to build.
Even if your organization doesn’t operate in the national or global spotlight, public perception still shapes your success. How you respond to a crisis determines whether your brand emerges stronger or loses credibility. Some of the world’s most iconic companies have watched customer loyalty vanish after a single PR misstep.
For more expert insights on developing and keeping brand loyalty, please read this article.
The Edelman Trust Barometer reports that nearly half of CMOs feel crisis management is now a bigger part of their job than it was five years ago. The Edelman 2024 Connected Crisis Study uncovers that reputation risks have become a constant reality for businesses worldwide. Yet, Capterra's 2023 Crisis Communications Survey reveals that only 49% of U.S. companies have a formal, documented crisis communication plan.
But there is good news. 98% of leaders who activated a crisis plan said it was effective. That’s the takeaway from this article: preparation works.
What is a PR Crisis?
A PR crisis is any situation that puts your business's credibility, reputation, or trust at risk. These situations often escalate quickly, fueled by media attention, social media virality, or misinformation.
What are the Common Triggers?
PR crises can be the result of:
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Ethical or legal violations (employee or customer harassment, fraud, or data/security breaches)
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Insensitive or off-brand public statements or social media posts
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Employee misconduct
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Product or service failures affecting safety or reliability
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Workplace violence or security incidents
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Misinformation and rumors that spread unchecked
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Natural disasters or health crises affecting employees or customers
While cyberattacks often make headlines, Capterra reports they account for only about 28% of all crisis events. The remaining 72% involve:
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Technology failures
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Workplace incidents
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Health emergencies
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Natural disasters
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PR-driven issues
This list of possible causes shows why every business needs a flexible crisis plan that can adapt to different types of challenges.
What's the Difference Between Crisis Management and Crisis Communication?
Though they're closely connected, crisis management and crisis communication serve distinct purposes.
Crisis Management: Fixing the Problem Internally
Crisis management focuses on resolving the root cause. This includes activating safety protocols, correcting product issues, or stabilizing business functions to prevent further harm. It's the behind-the-scenes work that ensures your business can operate effectively even in the face of disruption.
Crisis Communication: Managing the Narrative Externally
This is the plan for how your company communicates with employees, customers, partners, the media, and the public. The goal is to protect the brand's reputation, maintain trust, and show accountability while the internal team resolves the issue.
Why They Must Work Together
Effective management needs strong communication; otherwise, it feels empty. Also, a solid operational response without transparency leads to confusion and mistrust. The most successful crisis responses align both, solving the problem internally while reassuring stakeholders externally.
An aligned crisis management and communication plan is only as strong as your team's ability to execute it. Prepare for a variety of potential crisis scenarios, from product recalls to cybersecurity breaches. Test your plan using tabletop exercises that walk key leaders through hypothetical events to reveal gaps or bottlenecks in your response process. Provide media training for the leaders who will be the voice of your company during a crisis and regularly work with them to refresh their skills.
The rest of this article focuses on the strategies that define effective crisis communication.
How Do You Identify the Gravity of a PR Disaster?
The first step in crisis communication is classifying the situation. Categorizing the crisis helps you assess impact, urgency, and appropriate responses.
What is a Level One Crisis?
These are minor or isolated incidents that may not reach the public but can escalate if ignored.
What are the Characteristics?
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Occurring in real time
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Minimal public awareness
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Limited operational or financial impact
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Requires monitoring, not full activation
What are Some Examples?
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A temporary system outage
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A single customer complaint on social media
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An internal HR dispute
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Minor damage to facilities due to bad weather or fire
Prompt acknowledgment and clear communication prevent minor issues from escalating into major problems.
For an expert guide to using social media for impactful public relations, please read this blog.
What is a Level Two Crisis?
Level Two crises are visible, disruptive, and often draw significant public or media attention.
What are the Characteristics?
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May have some warning, but happens over a period of time
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Moderate to widespread media coverage
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Operational disruption or safety risks
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Requires coordinated cross-department communication
What are Some Examples?
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Product recalls
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Employee misconduct made public
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Customer data exposure
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Ongoing service outages
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Violence or threats in the workplace
What Are Some Examples of PR Crises?
Level One PR Crisis: American Eagle's "Great Jeans" Campaign
In 2025, American Eagle’s “Great Jeans” campaign featuring actress Sydney Sweeney sparked backlash for its wordplay on “genes.” Critics accused the brand of promoting eugenics and Eurocentric beauty standards.
Rather than issue an apology, American Eagle chose to double down on their message. They posted a single statement clarifying that the campaign "was and always was about the jeans." While unconventional, this restraint worked in their favor. The controversy generated enormous brand awareness, high demand, and earned media coverage without lasting damage.
What is the Lesson?
Always respond, but not every crisis requires a defensive tone. When intent aligns with brand values, composure and consistency can be more powerful than a retraction.
Level Two PR Crisis: The "Willy Wonka-Inspired" Event in Glasgow
In 2024, a “Willy Wonka-inspired” event in Glasgow became a global PR nightmare. The organizers, House of Illuminati, used AI-generated images to promote a lavish "chocolate fantasy." Families paid $44 per ticket, expecting a magical experience. However, what they experienced was a nearly empty warehouse with sparse props, unprepared actors, and a single jelly bean for a treat.
The incident went viral, covered by major outlets including The New York Times, BBC, and CNN. Despite apologies and refunds, the reputational damage was permanent.
What is the Lesson?
Never overpromise and underdeliver. Every marketing campaign must accurately reflect the actual experience. This is especially true in today’s social media environment, where disappointment spreads instantly.
For insights into creating a successful brand activation, please read this blog.
How Can a Brand Build Trust Before a Crisis Strikes?
You can't prevent every disaster, but you can control how you prepare and respond to it. The strongest defense is proactive planning that aligns internal readiness with external communication.
Communication Strategies to Enhance Trust in Advance
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Communicate consistently across departments and channels about goals, milestones, and risks.
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Keep messaging aligned across internal and external platforms.
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Foster relationships with media, employees, and community leaders before you need them. Read more about developing strong media relationships here.
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Update your crisis communication plan regularly with clear escalation paths.
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Train leadership and spokespeople to deliver calm, authentic responses
Poor internal culture and inconsistent messaging often spark recurring crises. A unified brand culture, both internally and externally, nurtures resilience and credibility.
PR is a long game. When managed with consistency and intention, it builds relationships that endure long after the headlines fade.
Read more about generating consumer trust through PR here.
What Should a Brand Do During a PR Crisis?
A clear, documented crisis communication plan is essential. When the pressure is on, speed, transparency, and accountability are non-negotiable.
1. Activate Your Crisis Communication Plan
Immediately assemble your response team and align on the facts. Define who speaks publicly, who handles internal updates, and the approval process for communication.
2. Take Responsibility
Avoid denial or blame-shifting. Acknowledge the issue, express empathy, and clearly share the next steps.
3. Be Transparent and Proactive
Respond directly to stakeholder concerns and correct misinformation early. Silence or delay invites speculation.
4. Prioritize Responsible Leadership
Leaders must demonstrate control, compassion, and accountability. Their tone sets the stage for recovery.
5. Manage Media Strategically
Share verified information and avoid speculation. Offer updates as facts evolve to reinforce trust and confidence.
What Should Happen After the Crisis?
When the immediate storm passes, shift from reaction to reflection.
Conduct a Post-Crisis Review
- Assess what went right and what didn’t.
- Gather feedback from stakeholders and media partners.
- Refine your crisis plan based on any lessons learned.
For details on the critical metrics to assess the success of your PR strategies, please read this blog.
Rebuild Reputation Through Action
Show your audience what you’ve changed as a result of the crisis. Communicate new policies, safety measures, or training initiatives that prevent recurrence.
Strengthen Long-Term Relationships
Re-engage employees, partners, and customers with transparent updates and consistent communication. Over time, this consistency rebuilds trust and loyalty.
How Can Phase 3 Help Businesses Manage PR Crises?
Mary Reynolds, SVP of Public Relations at Phase 3, explains:
"We have cross-office PR teams with deep industry expertise. When a client faces a crisis, we assemble a rapid-response team to help with fact-finding, timing, messaging, and media coordination. We guide clients through every step of their crisis communication plan. This includes internal communication, public statements, and planning next steps to protect the brand long term."
At Phase 3, we don't only help you respond to a crisis; we also help you prepare for it. From proactive risk assessment and crisis communication planning to media strategy and message development, our PR strategists safeguard your reputation today, tomorrow, and in the future.
If you want to strengthen your crisis readiness or need immediate guidance, contact Phase 3 to start the conversation.