SAFETY concerns have hurt the once-untouchable Qantas brand. The issue has been burning up online chat sites, but analysts are divided over whether the damage is permanent.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
An analysis of recent online chatter about Qantas has found a wave of negative opinion about the airline on various social media sites and blogs, with criticism focusing on service and safety. It found the Qantas chief executive, Alan Joyce, was wrong to claim there had been no damage to the brand.
Click here for full media and marketing coverage
Analysis by the online reputation management specialists SR7 found Qantas had done a good job of engaging with people in social media and responding to criticism but that it was facing an uphill battle.
The SR7 analysis found the Qantas brand had been the most hurt in peer-to-peer reviews, outside of those platforms such as Twitter and Facebook that are being actively monitored by the airline.
The key issues emerging on social media sites were users questioning Qantas's safety standards and stating that they would stop flying with Qantas because its safety record and overall reliability had lost much of its previous integrity.
The analysis found that Qantas had suffered reputational damage, which could amount to tangible financial loss, through commentary on social media.
Recent research by Convergys Corp found that one negative customer review on YouTube, Twitter or Facebook could cost a company up to 30 customers. But Qantas has clearly done better at handling its image outside the online space, with several communications specialists praising the way the airline has engaged with the public.
Paul Gardner, chairman of Grey Group advertising agency, said while the brand was tarnished, it was not permanently damaged. Mr Gardner said Qantas had followed a well-planned communications strategy.
''Qantas has positioned this quite carefully. They didn't fail, an engine made by Rolls-Royce failed - they were quite clear that it was an engine made by Rolls-Royce and a plane made by [Airbus]. The other thing they did brilliantly was that they managed to really play up the quality of the captain. The first thing they released was the captain's recording.''
Andrew Butcher, principal of the communications group Butcher & Co, said Qantas had done everything it could to avoid long-lasting damage, particularly making the CEO available to the public and the media so quickly. ''That's something that a lot of companies don't do, get out there immediately with their leader. Qantas gave it the respect it deserved. They didn't wait to test the water.''
But he said the big issue now facing Qantas was that every minor issue would be magnified and given more weight than in the past.
The advertising executive Brendan Van Maanen agreed Qantas would be subject to more scrutiny by travellers. People would compare it with competing airlines.
''People keep talking about Rain Man [the movie in which Dustin Hoffman's character says Qantas never crashes] but at the time Rain Man came out the Qantas brand was impenetrable. Once you've lost that you can't get it back.''
Mr Van Maanen, the managing partner of Onion ad agency, said the Qantas brand had been harmed and was vulnerable to competition.
''It's about the long-term repositioning of the brand in the mind of consumers. Qantas no longer holds that lofty position that no one else can challenge.''
