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brands under fire

Ready for the BP Backlash Backlash?

Posted by Abe Sauer on May 26, 2010 12:46 PM

Hear that? That's the sound of the British Petroleum (BP) brand hitting rock bottom. Well, that and the sound of oil gushing into the ocean from rock bottom; but it's mostly BP hitting bottom.

As every recovery program teaches us, you cannot start back toward the top until you've hit rock bottom. So are we ready for the BP backlash backlash?

Before you say "too soon," let's wait to see if the first step of BP's brand revival comes today, code-named (James Bond-like) "Top Kill."

As the world is glued to the live feed from the oil spill site in the Gulf of Mexico, BP will (maybe) go ahead with a "top kill" maneuver that, while successful in above-ground well situations, has never been tested 5,000 feet underwater. If it is successful, BP can point to having successfully invented a new deep water safety procedure, the brand's gift to the world.

If "top kill" doesn't work, America's increasingly irritated "president doesn't have a choice, and he better go in and completely take over, perhaps with the military in charge," said one Florida Congressman. In that scenario, BP will be relieved of its duties, and the inability to control the ongoing disaster will be remembered as the fault of the U.S. military. A win, of sorts, for BP.

Plus, there is a whole new demographic economically dependent of the brand's survival: Humorists.

NPR's Marketplace reports that "The company’s oil spill disaster is turning out to be a boon for satirists. Parody products (such as Despair Inc.) are using the company’s logo and applying their own funny sayings... A typical bestselling product moves a few hundred units for the small, Austin-based company. The BP design has sold a close to 2,000 shirts."

BP can also count on the limitation of human memory, the half-life of outrage, and the intrinsic laziness of consumers.

In its U.K. homeland, BP's reputation is already polling up, with citizens saying that a boycott of the brand is not worth the effort. As one intrepid British consumer reasons, "You might feel strongly about something but when it comes down to it convenience prevails. I think I would (boycott BP), but I'm not sure I would go completely out of my way to do it."

Those sentiments were echoed in a Washington Post survey of American consumers. Score one for inertia!

More than anything though, BP can look to its predecessor in these matters.

Exxon's 1989 spill of 11 million gallons of oil offshore in Alaska is still likely to go down in history as the most environmentally damaging spill of all time. Yes, there was a call for boycotts. There was satire. Yet, just twenty years later, Exxon is receiving numerous awards and is one of the largest, most profitable brands in the world.

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Comments

Scott Thompson United States says:

So what if a boycott doesn't break BPs bank.  We still must do something.  Brand does matter.  If it didn't they wouldn't be spending millions on cute little ads with BP as a "green" company.  Boycotts haven't worked in the past because consumers are lazy, but we've never had social media in the past that was this influential.  
I'm going to boycott BP for myself.  Even if it doesn't punish BP I will know in my heart that I did something.  It's like giving blood after the 9/11 attacks.  My blood didn't stop the attacks but it was all I could do in a helpless situation.    

May 26, 2010 02:23 PM #

A Sauer United States says:

Honestly, if I were to advise consumers (in the US anyway), it would be to store up the outrage for when this all shakes out and the bill comes due to BP. Exxon is still fighting the bill for the Alaska spill, benefiting from the fact that many claimants have died. And all of that hurts the brand. But then, the oil industry is not as "brand driven" as other consumer sectors. As a high demand commodity category, oil companies and their shareholders are in it for the profits with brand. If consumers demonstrated that they WERE willing to demand gasoline based on brand (and not so much on just price) I think there would be a shift by oil companies to offer more from their brands.  

May 26, 2010 04:07 PM #

Sam Wong Canada says:

It is true that social media in the past was not as active or influential, however, simply being mentioned in some form of social media is still a long way from "taking action". Lazy consumers will stay lazy. One of the reasons why social media is widely used is because it is readily available at our fingertips. Boycotting BP on the other hand is much more of a hassle for some people.

Besides, their little "top kill" act is still underway. Weather they come out of this as a hero who prevented further environmental disaster and introduced a new safety precaution, or a double failure is still up in the air.

May 26, 2010 05:22 PM #

alastair herbert United Kingdom says:

There have been many boycotts that have worked. Some of them pre-social media. In the UK a student boycott of Barclay's Bank, due to their involvement in apartheid South Africa, led them to exit the country in the 80s. I was polled about it as a student, so yes, they cared.

WPP scooted out of Zimbabwe last year. No fools. A UK consumer boycott of Watney's Red Barrel keg beer in the 1970s started the phenomenally successful consumer Campaign for Real Ale (CAMRA). Where Watneys? Dead. Within a few years. CAMRA? Going strong and young people buying ales like there's never been pasteurised lager. All 35 years later.

Nike footballs (soccer) and child labour in Pakistan. A long story. But social media drove the connections. If customers care about suppliers so do investors. And then there's talent that decides they won't even apply for the job. So are the brightest people joining BP right now? Long term cost? The investors have already had their say.

Years of effort thrown at the Beyond Petroleum positioning (brilliant stuff). It's just blown out. Because it wasn't prevented.

They face a long, hard slog. They know it. It will take years. Because the core message no longer rings true. (Let's go to work).

May 27, 2010 04:54 PM #

A Sauer United States says:

Such a good point about all that wasted "green" branding effort on BP's part.

May 27, 2010 07:31 PM #

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