Hyatt PR Hell a Lesson in Open Media

Hyatt Hotels is making all the wrong moves in its PR disaster that is spreading across the country.

The Hyatt Regency Boston, the Hyatt Regency Cambridge, and the Hyatt Harborside fired 98 housekeepers on Aug. 31, replacing them with $8-an-hour employees from Hospitality Staffing Solutions. Many had been cleaning rooms at the chain’s hotels for more than 20 years and earned about $15 an hour.

The criticism unleashed at Hyatt Hotels has been unrelenting and merciless, fueled through social media channels.  The Consumerist, Executive Nomad, and the Harvard Business Review (Lessons From Hyatt: Simple Ways to Damage Your Brand)  have weighed in, along with national news outlets, since the story broke on Sept. 17. Facebook groups have cropped up to “Save the Hyatt 100.’ On Tuesday, Massachussetts Governor Deval Patrick threatened a government boycott of the hotel chain. Taxi drivers are boycotting Hyatt and the protests have spread to Chicago.

Hyatt originally stonewalled any inquiries into its actions. Lately they have become belligerent in fighting what they consider outside intrusions into their business affairs. Public relations cannot fix a company or right wrongs. In this case, top Hyatt executives who are calling the shots are doing deep damage to the brand and probably costing the company many millions over the pittance they are saving over the ’Hyatt 100.’ 

USA TODAY: Reader to Hyatt Hotels: “Shame on you” for outsourcing housekeepers

“I understand first-hand how difficult it is to manage through the current economic challenges without compounding the disruptions the times have caused,’’ Massachussetts Governor Deval Patrick wrote. “But surely there is some way to retain the jobs for your housekeeping staffs, as other hotels have done, and to work with them to help the company meet its current challenges, rather than tossing them out unceremoniously to fend for themselves while the people they trained take their jobs at barely livable wages.’’

Hyatt faces other challenges: Union workers stage sit-in to protest cuts to Hyatt’s health insurance coverage

LaFrances Rowell, 26, is taking chemotherapy for breast cancer and is supporting three children, ages 1, 2 and 7, but it was no question that she would join 194 other unionized hotel workers and their supporters in sitting in the street Thursday at the height of rush hour in front of the Park Hyatt hotel on North Michigan Avenue. The union workers are protesting Hyatt Corp.’s attempt to negotiate cuts in their health-insurance coverage. They also fear other hotels will follow Hyatt’s lead.

PR/Media Week in Review 05-24-2009

weekreview2Twitter scams are proliferating like wildfire on the Net- 100FOLLOWERS A DAY! they promise – and this one, TwitterTrafficMachine, a couple of bozos who say they invented a system to automatically increase your Twitter followers. mytweetfollowers.com is another one that automatically controls your Twitter with re-tweets to their site – @Stock_Tweets is having a hard time turning off those malicious auto-Tweets.

All this supports the false notion that hundreds or thousands of Twitter followers lends you credibility, popularity and the power to influence others. Twitter is easily manipulated and tends to gravitate toward the fleeting inane comment generated by obsessive compulsive Twits whose only purpose is to generate more followers, no matter who they are.

On the other hand – the media is really taking to Twitter and it is proving to be a viable alternative wire service.  Some journalists troll for sources through Twitter: APRealEstateLooking to interview someone who bought or sold a home in the Dallas metro area in April or May. Email asainz@ap.org. Some journalists, who have a conversational style and an underlying mission, manage to convey a real personality in 140 characters or less. My favorite is Nicholas Kristof:

profile imageNYTimesKristof @Kholmpartiet Poverty of spirit: people who express themselves not by personality but by displaying the latest i-Pod. 18:15 PM 19th May | NYTimesKristof It’s odd to return to the U.S. from African villages. So much wealth here, yet often accompanied by a poverty of spirit. 16:18 PM 19th May.

Twitter is also proving to be a resource for what journalists are thinking and doing: mattbish Had editorial lunch with JP Morgan ceo Jamie Dimon who was surprisingly upbeat (Matthew Bishop, The Economist). As one client astutely observed- journalists are now openly offering opinions trough social media.

The exploding popularity of Twitter and its usefulness as another information stream is forcing companies to hire in-house or freelance Twitterers. See NYTimes “Tweeting Your Way to a Job“. Wells Fargo is the latest to launch a customer service Twitter stream, complete with several real-life Twitter personalities who answer basic banking questions. Others in the banking business have jumped on the bandwagon: See USA Today story about customer service and banking on Twitter. 

JournalistTweets is the the first (claims Cision) Twitter journo aggregator. You can follow tweeting journalists according to segments - Business | Entertainment | Health | Technology

Follow me on Twitter: @markrose

More and more, my conversations with journalists includes a survey of the PR job market (can’t be worse than journalism!?). This week, editorialists and bloggers debated the blurring lines between public relations and journalism. See Reason magazine column arguing that PR could become the next investigative journalism| And there’s The 21st Century Journalist: PR by Day, Reporter by Night? by Renay San Miguel.

 NYPost: Portfolio.com taken over by American City Business Journals | Worth magazine re-launches June 1. See story here.

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Media Thrives Covering Death of Media

Tim Geithner on last cover of Portfolio, Conde NastThe rapid demise of traditional media is fueling a new media stream, most notably on Twitter, chronicling day-by-day media death blows. The merciless axe fell today on Conde Nast’s slick business mag Portfolio, launched two years ago during boom times with lots of fanfare and a big budget. Peter Kafka, wsj.com ‘All Things Digital’ MediaMemo blogger got a jump on the competition with his as-it-happens tweets (http://twitter.com/pkafka) about the end of the print & web-versions of Portfolio.

  • May issue, out now (Tim Geithner cover), is Conde Nast Portfolio’s last. Web site to close “in the second quarter” http://bit.ly/1517il about 2 hours ago from TweetDeck
  •  Conde Nast publisher David Carey : “The company is deeply grateful to Portfolio’s readers ” http://bit.ly/1517il about 3 hours ago from TweetDeck 
  •   Conde Nast declines to comment re: Portfolio shutdown. http://mediamemo.allthingsd… about 4 hours ago from TweetDeck
  •    Source tells me Conde Nast is shuttering Portfolio and is informing staff right now. Posting ASAP about 4 hours ago from TweetDeck

Also see http://twitter.com/themediaisdying

Matthew Bishop of the Economist says: “After tweeting for a week, I am already convinced that Twitter is the “killer app” for journalists, and will hasten the end for newspapers.” Follow him @mattbish

According to the latest semi-annual report from the Audit Bureau of Circulations, the Wall Street Journal is alone among the top 25 U.S. newspapers in reporting higher weekday circulation for the six months ending March 31, 2009, than for the same period a year earlier. Its circulation of 2,082,189 constituted a 0.6 percent increase. The New York Times (-3.6 percent), the Washington Post (-1.2 percent), the Los Angeles Times (-6.6 percent), the Chicago Tribune) (-7.5 percent), Newsday (-3 percent), New York Daily News (- 14.3 percent),  New York Post (-20.6 percent).

Embracing the Beast

The Daily BeastI have a bad habit of waking at four in the morning, stumbling to my computer and scanning the news. Something, somewhere, is happening in the middle of the night and I need to know what it is before I can go back to sleep. It’s the digital insomnia syndrome. When I am afflicted, increasingly these days I head to The Daily Beast, Tina Brown’s recent entry into the wonderful world of web journalism, opinion and entertainment.

The Beast proves that you need a human filter to make the web interesting – otherwise the wisdom of the crowds leads to the overwhelming nonsense of the masses. Tina Brown has fashioned a long career straddling the line between intellectualism and sensationalism. She was successful in that vein at Vanity Fair, not so at The New Yorker. The web may be the perfect place for her journalistic sensibilities.

The Beast aggregates news and mixes it with proprietary content and celebrity opinion (left-leaning, of course).  Oliver Stone and Padma Lakshmi contribute recent tidbits. Charlie Gasparino, the ubiquitous CNBC commentator, dishes inside biz gossip in his blog and Laura Bennett proves that you don’t have to win Project Runway to mine a rich afterlife as a “personality.”

Tina Brown understands that in the digital age journalism is visual and textual. The video highlights of the Sunday political news shows saves us time otherwise wasted watching politicians deliver PR messages. Beast videos are embeddable (below) and span an intriguing cross-section of politics, culture and entertainment.

Barack Obama is a bomb-throwing Muslim radical

Barack Obama New Yorker coverThat’s the message you’re supposed to get from the cover of the New Yorker that has the Obama campaign PR machine in a tizzy over how to react. I am a New Yorker, not necessarily a New Yorker reader. To me, the cover is obviously satirical and not much more radical than some previous New Yorker covers, so what’s the big deal?

The purpose of a provocative magazine cover, of course, is to generate buzz and sell magazines. Judged by that criteria, this is highly successful commercial art. Both Obama and McCain can write this off as further proof that the east coast effete intellectual media is out of touch with the rest of the “normal” people out there who find this grossly offensive. I am rarely offended by free speech and artistic expression, and I am always amused by how the “rest of the country” can both admire and revile, and attempt to dismiss us here in the naked city.

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Andrew Cohen & the Lying Profession

Andrew Cohen issued an “opinion” on CBS News June 1 that is still reverberating around the PR world. Cohen is a “legal analyst” who obviously had a bad experience with a PR person who probably couldn’t stand his sanctimony and ignorance and tried to warn him about his public perception. According to Cohen the entire PR profession is a sham and everyone in it is a liar, end of story, so why are we surprised by Scott McClellan’s late-stage confession of PR misdeeds?

As a counterpoint I was going to list all the journalists who have been caught fabricating sources and entire stories for USA Today, The New York Times, his employer, CBS, and countless other media outlets, but Cohen is not a journalist, he’s an “analyst” and cannot be held to any journalistic standards.

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PR and the Birth of a Nation

Thomas Jefferson is believed to be the first to coin the term “public relations” in 1807, during the seventh annual address to the joint session of the U.S. Congress.  Jefferson faced rising aggressions with the British that would eventually lead to war. As the third President of a fledgling republic Jefferson understood that public perception was critical to success of a mass ideal and managing relations with constituents was a key component to his job.

The core tenets of “public relations” have not changed much in 200 years … except that the Internet has changed everything we know about communication.

Traditional media and traditional media relations are relics of a bygone era.  Internet communications, feedback and engagement have changed the game. 

PR now is about engaging audiences, expanding and focusing your digital footprint, and conducting media relations programs that account for the way reporters, editors, and producers think and work in today’s digital environment. 

Today’s environment requires engaging your audience in a two way conversation that builds trust, goodwill, and positive brand recognition. It is not a short-term fix. It is a lasting dialogue.

Jefferson might also be dubbed “The Father of Obfuscatory PR Babble” as he regaled the assembled newly-minted American dignitaries with the following (talk about waffling!):

 

This object is doubtless among the first entitled to attention in such a state of our finances, and it is one which, whether we have peace or war, will provide security where it is due. Whether what shall remain of this, with the future surpluses, may be usefully applied to purposes already authorized or more usefully to others requiring new authorities, or how otherwise they shall be disposed of, are questions calling for the notice of Congress, unless, indeed, they shall be superceded by a change in our public relations now awaiting the determination of others. Whatever be that determination, it is a great consolation that it will become known at a moment when the supreme council of the nation is assembled at its post, and ready to give the aids of its wisdom and authority to whatever course the good of our country shall then call us to pursue. – Thomas Jefferson, 7th annual message to Congress, October 27, 1807

Murdoch Saber Rattles WSJ / Dow Jones

Media Analysis

Rupert Murdoch, Dow Jones & News Corp.Much is underway at the new Murdoch-owned Dow Jones: Wall Street Journal and Dow Jones staffers will be consolidated at the News Corp. building in midtown Manhattan, wsj.com is being revamped and will remain subscription-based, the Journal is leaning more on general news and politics, and an organizational shake-up from the newly-hired top editor Robert Thomson through the middle ranks is positioning Dow for the digital media age.  

The Murdoch digital-stamp is apparent at wsj.com as it  integrates content from other News Corp. properties, such as  MarketWatch, Barron’s, and Fox.  Subtle style changes on the home page have made it easier to navigate, and video is coming front and center.

Murdoch needs to be careful that the “serious” brand of Dow business news is not diluted by his march to Wall Street Journalsnag a wider audience. The Wall Street Journal, along with USA Today, is truly a national newspaper that is not anchored to one locale (Wall Street being a state of mind). The New York Times has made a play for national prominence through a distribution agreement with Starbucks but it will always be perceived as a New York paper.

I welcome the expansion of video on wsj.com.  Rival CNBCmakes excellent use of video on their site and wsj.com has a ways to go before it can be competitive in that department. Professional quality video from Fox is starkly contrasted to columnists like Jon Friedman who are painful to watch. Generally, print reporters are not making the transition to on-air journalism.  Ironically, they need media training.

Related: Murdoch Grab of Dow Jones PR Feat, PRBlogNews, Aug. 2, 2007 |  New York Times GaGa Over Rupert’s Yogurt at Boldface Business Confab, PRBlogNews, July 22, 2007

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See Robert Thomson memo to staff about editorial changes. 

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PR/Media Week in Review, 06-29-2008

Mark Rose, Editor, PRBlogNews

Free Darren Dopp.  We are still following the exploits of Darren Dopp, the beleagured ex-flack for the disgraced ex-governor of New York, Eliot Spitzer. We first wrote about Dopp almost a year ago when Spitzer was still on his high horse in Albany stonewalling and attacking anyone who dared disagree with him. It was obvious then that Dopp was taking the fall for Spitzer in the “Troopergate” fiasco (using State troopers to keep tabs on the leader of the New York State assembly, a Spitzer rival). 

Dopp was a symbol of the expendability and lowly status of the PR guy who valiantly tries to protect the boss, and we are glad that Dopp is fighting on to clear his name despite the tremendous cost to him and his family. See 6/28 New York Times Spitzer Aide Refuses Ethics Panel’s Deal.

Journalists & J-students flocking to PR?  Increasingly, journalists and J-students are submitting apps for PR due to the downturn in print media and fewer journalism job opportunities, according to this article in Editor & Publisher.

Grand Vizier of PR represents Catholic church. According to Miles Kington, The Independent, UK: “Then they said it was not my job to rewrite Christian history in newspaper headline terms, and I said, ‘Listen, cardinals, sweeties, if you can find a PR firm willing to represent God, I’ll be the most surprised man in the UK! We have some dodgy clients, but if half of what the Bible says is true, God is not a person I would want to handle. Take your business elsewhere.’”

Litigious PR people? Headlined Workshop to lift writing standards among PR officers, the article in the Borneo Bulletin Online goes on to say: ”The guest of honour, in his speech, said, “Writing news and feature articles is a discipline of knowledge that demands a strong sense of sight, feeling, thought and determination as well as resourcefulness in suing mechanisms that are available.”

Visuwords™ online graphical dictionary looks up words to find their meanings and associations with Shel Israel Loren Feldman 1938 Mediaother words and concepts.  It produces diagrams reminiscent of a neural net so you learn how words associate. Fun, for anyone in PR who still writes.

The Shelling of Israel is over? Is there peace between Loren Feldman and Shel Israel? Not quite, although Loren seems to be giving Shel his namesake domain without drawing the battle out to a bloody, pathetic end. If it wasn’t all so funny, this would be a sad episode in “social media.” Alas, we are grateful that the Shel puppet will apparently live on.

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