Social Media Lesson Update

A couple of weeks ago, we let you know about the viral video, United Breaks Guitars.  According to media reports “…within four days of the song going online, the gathering thunderclouds of bad PR caused United Airlines’ stock price to suffer a mid-flight stall, and it plunged by 10%, costing shareholders $180 million. Which, incidentally, would have bought Carroll more than 51,000 replacement guitars.”

While United’s $180 million loss can’t necessarily be blamed to a video on YouTube, the song has undoubtedly had a very real and negative effect on United’s brand equity.  Consumers will talk and social media makes their voice louder than ever before. You can’t stop the chatter, but companies must be tapped in to social media to quickly right wrongs and head off bad press before it spins out of control.

Carroll gave United every chance, but they finally shut the door on his communications, and he even told them of his plan. While it was probably his hope to get a few million views, his first song has now been viewed more than 4.5 million times and continues to grow.

United has made a $3,000 donation to the Thelonious Monk Institute of Jazz, but Carroll continues to be featured on Today, CNN, and news agencies from around the world. The song “United Breaks Guitars” was even the #1 Country Western song on iTunes in the UK.

Now, others are chiming in with their own remakes. Here’s one made by Gory Bateson: “Southwest Never Broke My Guitar” – http://www.youtube.com/watch?v=u1SMcaVekVE

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