PR News: Can Southwest Airlines Recover from Its Latest Crisis?

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By Eric Rose

Southwest Airlines (SWA) is facing the mother of airline crises and its reputation is at stake.

Can the airline win back passengers’ trust, given that the latest meltdown was the result of a culmination of problems building for years?

For example, some SWA passengers remember October 2021, when the carrier canceled more than 2,000 flights. It blamed bad weather in Florida, air traffic control issues and staffing shortages. At the time, Southwest assured customers it would solve those problems.

Still, this latest collapse had SWA sending mixed messages about the situation’s root cause.

Given that other major airlines did not experience the same issues late last month, the problem seems bigger than the severe winter storm.

A Narrative, Please

As is often the case during a PR crisis, in the absence of clear, prompt communication from company leaders, someone else will supply a narrative. In this case, an explanation of the airline’s failure came from a union leader. Worse, the union is locked in negotiations with the airline.

Captain Michael Santoro, VP of the Southwest Airlines Pilot Association, blamed airline leadership Dec. 27. “The storm that hit last week was the catalyst…but what went wrong is that our infrastructure for our scheduling software is vastly outdated. It can’t handle the number of pilots and flight attendants that we have in the system with our complex route network.”

It was a theme the union repeated on TV news shows and in a lengthy Dec. 31 letter. The union’s missive blasted Southwest’s leadership, calling it “a headquarters-centric cult” that’s destroyed “the most stable and profitable airline in history.” It cited 15 years of operational meltdowns that culminated with last month’s disaster.

Despite a loyal customer base, SWA seems to have ignored a golden rule of crisis management: crisis responses are prepared long before a disaster occurs.

Prepared or Not?

In the latest crisis, SWA was caught flat-footed. It seemed ill-prepared, failed to set the right tone and didn’t put the right people out front to address issues promptly.

For Southwest, regaining customer trust will require more than a sincere apology, empathy and compensation for passengers. While it cannot control how customers perceive its message, Southwest must get in front of underlying issues to win trust.

As the airline canceled more than 13,000 flights since Dec. 22, CEO Bob Jordan immediately apologized, telling Good Morning America Dec. 30, “ I am extremely sorry. There’s just no way to almost apologize enough.”

On Jan. 3, Jordan attempted to acknowledge what went wrong and take responsibility. “We’ll move forward with lessons learned here, as we always do. We have plans to invest in tools and technology and processes, but there will be immediate work to understand what happened,” he told employees.

SWA issued similar statements after the 2021 self-created crisis. This historical record of system failures may push loyal customers, particularly business travelers concerned about being on time, to other carriers.

Touching Customers

Recovering fully from the self-inflicted reputation harm will be a challenge. Unlike other airline reputation hits, i.e. United’s David Dao incident, Southwest’s fiasco touched countless loyal passengers who’ve vowed they’ll never fly the airline again.

With potential action from the U.S. Department of Transportation and congressional hearings looming, if Jordan hopes to win back customers’ trust, he must do more than offer 25,000 reward points to people whose flights were canceled. He must communicate with all customers, employees and the media and explain what led to the operational meltdown during the busy holiday travel season.

Moreover, the beleaguered airline must tell stakeholders clearly the steps it’s taking to ensure this does not recur and provide a timeframe for upgrading its technology, which contributed heavily to the chaos.

In addition to compensating passengers, the airline should create incentives for customers, creating continued loyalty.

While Southwest struggles to make things right with customers, subsequent issues will garner coverage. With thousands of news stories and social media posts that chronicled cancelled flights, difficulties reaching customer service and the baggage debacle, it will take years for Southwest to recover fully.

The next big winter storm will determine whether passengers can trust the airline.

Eric W. Rose is a partner at EKA 

Los Angeles Times: Southwest hopes to resume normal operations Friday. Can the airline rebound from its historic meltdown?

Los Angeles Times

EKA partner Eric Rose was quoted in a December 29, 2022, article appearing in the Los Angeles Times, Southwest hopes to resume normal operations Friday. Can the airline rebound from its historic meltdown?

“Unless they demonstrate to customers that this problem, which is unique to Southwest Airlines, has been solved, the carrier risks this snowballing into a significant issue that will negatively impact the brand in the years to come,” said Eric Rose, a crisis and reputation management expert at the Los Angeles communications firm EKA.

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SBE

sbe's SLS Hotel project

SBE

Tina and her amazing team have been invaluable for me and SBE for over 2 decades, her strategic counsel and global insight of all matters in development have enabled us to deliver some of the city’s most treasured assets. — Sam Nazarian, Chariman & CEO, sbe
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sbe's SLS Hotel project
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Midwood Investment and Development

Midwood's Shops at Sportsmen's Lodge project

Midwood Investment and Development

Tina brings practical, actionable solutions that save time and help your project’s schedule, especially towards the end of the job when financing costs are acutely high. She bridges the leadership gap between a project’s design team and city and agency management, so all parties work towards shared goals and actually get things done. Tina was an indispensable member of our design and construction team for the Shops at Sportsmen’s Lodge project. — Ben Besley, Midwood Investment and Development
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LaTerra Development

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LaTerra Development is a leading real estate investment management and development company with a portfolio value at completion estimated to exceed $3 billion and overseeing more than $1.5 billion in committed equity throughout the United States, Canada and Australia. Our success in the Los Angeles and Southern California region in part is due to our strong working relationship with Tina Choi, Partner at EKA. LaTerra specifically sought out Tina for her extensive experience in navigating the myriad of permitting, plan check and inspection requirements one must manage, to be successful.

Tina’s 30+ years of working closely with development and regulatory agencies, enabled her to leverage the valuable long term relationships with senior staff of these regulatory agencies, in securing agency permitting and code determinations on an expedited timeline, but also enabled us to secure various discretionary approvals which would not have been possible without her skillset and networking resources.

Working closely with our technical team of architects, engineers, and general contractors, Tina has played a significant role in proactively identifying and solving important ongoing issues with Building and Safety, Public Works, Transportation, Water and Power as well as other regulatory agencies. This unique quality has been critical to the success of many of our projects; saving time and millions in cost.

Tina is also unique in other skillsets allowing her to actively contribute from the earliest stages of a project’s timeline. This includes the due diligence, entitlements, plan check, permitting and inspection phases of our projects, thus providing true A-Z comprehensive concierge services. This type of comprehensive and consistent service ensures that we meet our project completion and occupancy dates on a reliable and predictable timeframe.

We know of no other consultant who provides this level of service – from the beginning of our entitlement phase to the final inspection phase. Her tenacity and ingenuity in finding solutions to significant regulatory challenges consistently encountered in our various projects, is extraordinary.

She moves between plan check issues with engineers,including onsite visits with our General Contractors and Subcontractors while negotiating solutions with City inspectors to move us through rough and final inspections , troubleshooting as needed to get us to our Occupancy approval expeditiously. She is adept in intervening with any and all agencies imposing regulatory requirements and is adaptive , creative and effective in efficient solutions to get us to our opening date. In short, Tina is the “fixer.”

I can genuinely recommend Tina. Her ingenuity, tenacity, vast network of contacts in the regulatory agencies and a consistent commitment to keep projects on schedule, has been invaluable to the LaTerra Team.

Charles Tourtellotte
CEO
LaTerra Development, LLC

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Tina Choi joined my team to assist building a new, ground-up Jaguar Land Rover dealership experiencing significant challenges with the City of Los Angeles Building Department over the finish line. Severe financial impacts were faced as well as hired associates being unable to relocate and work if the occupancy date was missed.

Ms. Choi and her team have a mastery of navigating LADBS’ inspection, development and planning process and a vast, high-level network to consult and assist in their respective fields. Her methodical approach, leadership and expertise led us to achieve occupancy on the day the movers were scheduled to start the relocation process. Tina Choi and her team will be a part of my team on future car dealership projects! — Cliff Powell, Director, Construction and Development, AutoNation Inc.

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Eric Rose, a crisis management and communications expert in Los Angeles, called the trial a “classic murder-suicide.”

“From a reputation management perspective, there can be no winners,” he said. “They’ve bloodied each other up. It becomes more difficult now for studios to hire either actor because you’re potentially alienating a large segment of your audience who may not like the fact that you have retained either Johnny or Amber for a specific project because feelings are so strong now.”

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Under the conditions of the sentence imposed by Cook County Judge James Linn, Smollett must now serve the 30-month probation, though he may leave the state and travel without restrictions. That means he could travel to places like Los Angeles and New York to try to resurrect his career.

But that will be difficult to do, publicists say, and the latest developments may not have done him any favors.

“I think he’s actually doing more harm than good” by fighting the conviction and sentence, said publicist Eric Rose. People can be very forgiving of celebrities who admit wrongdoing and apologize, he said, but instead Smollett is keeping his name and face in the headlines, reminding people of the circumstances of his conviction.

“That’s what we call ‘death by 1,000 cuts,’” Rose said. “From a reputation perspective, that is horrible.”

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