“People of Walmart” Presents a New Online Brand Threat – and Opportunity

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Walmart is no stranger to reputational attacks. For years, the discount chain that is synonymous with rural America has dealt with its fair share of critics and detractors. But now, the company is at the center of an emerging online issue. A website has emerged that is not necessarily adversarial, but nevertheless has thrust the company' s brand into the limelight. This journey carries with it both great threat and great opportunity - and it could potentially provide a template by which all companies should approach this next generation of online brand threat.

"People of Walmart" is a gag blog that posts unflattering pictures of Walmart customers who may be poorly-dressed, overweight, or a bit more eccentric than your average shopper. Whether you find the blog funny or mean-spirited, there' s no questioning its popularity. A few weeks ago, it was averaging 500,000 views a day. Recently, that number swelled to the point that it crashed the site' s servers. The major media have covered the story ad nauseam.

Thus far, Walmart has refused to comment on the site - and that' s a lost opportunity. If they do engage, Walmart gets to - for one of the few times in recent memory - be the victim in this debate. By leveraging the gag blog' s relevance and reach, the company can make a powerful statement in favor of diversity and make it clear that the company is proud to serve all of its customers.

This is another powerful chance for Walmart to be for something - just like it recently has been for lower prescription drug costs and for energy efficient light bulbs and a smaller carbon footprint. They could be the ones saying, "We' re proud that we have earned the trust of the people we serve, of the products we sell, and of the fact that we' re an affordable option for families in these tough economic times."

Moreover, by engaging on this issue, Walmart can position itself as the retailer who really understands the digital marketplace - a leadership position that nobody else has been able to claim. And, finally, as the post-Labor Day period approaches, Walmart is well positioned to generate positive coverage for the company in the most crucial retail sales period of the year.

This is what running to the light is all about. By defending its customer' s dignity, Walmart has an opportunity to show that they really are the company' s most valuable assets.

Michael W. Robinson is Senior Vice President of Corporate and Finance at Levick Strategic Communications, the nation's top crisis communications firm, and a contributing author to Bulletproof Blog.

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