How To Handle A Crisis In Your Business
No business is immune to crises. Whether it is a product recall, a supply chain disruption, or a public relations hiccup, unexpected challenges can arise anytime, no matter how smoothly things seem. When crises strike, what truly sets resilient businesses apart is how they respond. Will you crumble under pressure or rise to the occasion with empathy, strategy, and leadership?
At Heroshe, we have faced our share of challenges—situations that tested our systems, rattled our team, and had the potential to shake customer trust. While facing these storms is never easy, each has taught us to turn setbacks into opportunities to strengthen our processes and relationships.
In this article, we will draw from our experiences and share actionable steps to help you effectively manage crises, ensuring your business survives and emerges stronger.
Stay Calm and Assess the Problem
In a crisis, your first instinct might be to react immediately—but taking a moment to analyze the situation is crucial. Panicking leads to poor decisions. When Tylenol was tampered with in the 1980s, Johnson & Johnson paused distribution and conducted a thorough investigation. They didn’t rush to conclusions or make unfounded claims, which helped them make informed decisions.
Take stock of the situation. What caused the issue? Who is affected? What resources do you need to address it? This level-headed approach will effectively guide your next steps.
Communicate Early and Transparently
Your customers and stakeholders need to hear from you directly, not through rumors or misinformation. Clear communication is your best defense against panic. Consider KFC’s 2018 chicken supply crisis in the UK. When hundreds of restaurants ran out of chicken, they issued a light-hearted apology ad: a KFC bucket with the letters rearranged to read “FCK.” Their openness and humor diffused tension and kept customers loyal.
Craft a message that explains the issue, your efforts to fix it, and what customers can expect moving forward. Keep the tone honest and empathetic.
Empathize With Your Customers
During a crisis, customers want to know you understand their frustration. Empathy can make all the difference. Heroshe faced this head-on when the United States Customs and Department of Homeland Security (DHS) detained shipments. Customers were understandably upset about delays. Our team showed empathy by actively listening to their concerns and providing regular updates.
Make it easy for customers to reach you. Train your team to approach complaints with patience and care. Use phrases like, “We understand how this affects you, and here’s what we’re doing to help.”
Take Responsibility
Avoid blaming others for the crisis—it only makes the situation worse. Customers respect businesses that own up to their mistakes. In 2016, Samsung faced a crisis when Galaxy Note 7 batteries began overheating and catching fire. The company issued a global recall, accepted full responsibility, and implemented stricter safety standards.
Acknowledge the issue and take ownership. Show that your priority is resolving the problem, not shifting blame.
Mobilize Your Team Quickly
A crisis is a team effort. Everyone in your business needs to know their role in addressing the problem. When DHL experienced global shipping disruptions during the pandemic, they mobilized teams to tackle delays, set up real-time tracking, and communicated progress to customers. Their coordination ensured a smooth recovery.
Host a quick team meeting. Delegate tasks clearly—who will handle customer inquiries, investigate the issue, and update stakeholders? Having a plan minimizes confusion.
Adapt to the Situation
Crises often expose flaws in systems or processes. Use them as opportunities to adapt and grow stronger. For Heroshe, the DHS shipping delays revealed the need for better compliance measures. This led to creation of the Proof of Purchase feature, allowing customers to upload receipts directly. This solution streamlined future shipments and ensured smoother operations.
Look for long-term fixes, not just short-term patches. Ask, “What systems can we implement to prevent this from happening again?”
Be Creative With Solutions
Sometimes, solving a crisis requires thinking outside the box. When Airbnb faced plummeting bookings during the pandemic, they pivoted to offering virtual experiences like online cooking classes and virtual tours. This kept their hosts engaged and brought in revenue during a difficult time.
Think about alternative ways to deliver value to your customers. Brainstorm creative solutions that align with your core strengths.
Lean on Technology
Technology can help you navigate crises more efficiently, whether it automates tasks or improves communication.
For example, when DHL implemented real-time shipment tracking, it reduced customer anxiety and gave its support teams more time to focus on solving actual problems. At Heroshe, we leveraged the Proof of Purchase feature to automate compliance processes, removing the need to sort through emails manually.
Explore tools that can help you manage tasks more effectively—automated email responses, ticketing systems, or live chat features can all reduce manual workload.
Evaluate and Learn From the Crisis
Once the storm passes, take time to reflect. What went wrong? What could have been handled better? Use these insights to prepare for the future. After a major recall, Johnson & Johnson redefined safety standards for the entire pharmaceutical industry, introducing tamper-proof packaging that became the new norm.
Hold a debrief with your team. Discuss lessons learned and create a plan to address gaps in your operations. This makes your business more resilient.
Show Appreciation to Customers and Team
After the crisis, remember to thank the people who stood by you—your customers and employees. When Toyota resolved its recall crisis in 2010, it offered discounts and extended warranties to affected customers. This gesture retained customers and repaired its reputation.
Consider small gestures of appreciation, like a thank-you email, a discount, or a personalized note. Recognize your team’s efforts, too—it boosts morale and fosters loyalty.
A crisis can feel like the end of the world, but it’s also an opportunity to demonstrate resilience and build trust. Whether it is owning the problem, empathizing with customers, or innovating solutions, your response matters more than the crisis itself.
Take inspiration from businesses like Pepsi, DHL, Heroshe, and Airbnb. They have shown that you can turn challenges into opportunities to grow stronger with transparency, adaptability, and creativity.
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