We’ve all seen it happen — something goes wrong and the brand, person or company responsible handles it so poorly that the story is magnified ten-fold.
Thanks to the digital age, public relations scandals — if they’re noteworthy enough — spread like wildfire and feed news stories about themselves for days or weeks to come.
So, what makes an event turn into a national affair, and what are the dos and don’ts when it comes to how to handle them?
We spoke to experts about some of the worst PR stuff-ups and why they got it so wrong.
What makes something a ‘crisis’?
Hao Xu from the University of Melbourne describes a public relations crises as a situation where an organisation experiences a major breakdown in stakeholder trust and reputation, usually because of their actions, inactions or communication missteps.
“At the core, PR disasters are often rooted in ethical failures, whether it’s misleading communication, lack of accountability or actions that contradict the organisation’s values,” he said.
“The truth is, PR disasters rarely happen out of the blue, they usually stem from a pattern of neglect at the operational level.”
Qantas flight refunds
Qantas was once our most trusted brand when it came to travel and tourism according to the Roy Morgan Risk Monitor, a survey conducted monthly to measure levels of trust and distrust across brands.
Mishandling refunds and flight credits, as well as advertising and selling tickets for thousands of already cancelled flights, recently saw the once beloved carrier tumble to second least trusted brand in Australia, overtaking Facebook at third place.
According to Mitchell Hobbs, a one-time public relations staffer for former Prime Minister Julia Gillard, selling tickets for already-cancelled flights created perceptions of dishonesty and incompetence.
“This worsened public frustration with the airline’s service during an already challenging period,” Mr Hobbs, who is now a senior lecturer in media and public relations at Sydney University, said.
While the airline has since issued an apology and compensated those directly impacted, Marie Trbovic from the University of Melbourne thinks Qantas missed an opportunity to engage with customers.
“Compensation alone won’t fully restore consumer confidence, especially when a brand’s integrity has been called into question,” she said.
“Rebuilding trust demands more than words; it requires clear, consistent action … it could turn this setback into an opportunity for growth and enhanced loyalty.
“Communication and action are key.”
Optus outage
In late 2023, the Optus outage left more than 10 million customers without phone and internet for up to 14 hours, including just over 2,000 customers who were unable to dial triple zero.
It’s since been hit with more than $12 million in penalties and a senate committee found the company failed to provide honest and credible communication during the outage.
It too has topped the list of most distrusted brands in Australia.
To Dr Hobbs, one of the biggest lessons from how Optus handled the outage was that timely communication in these situations is critical.
“Customers were left in the dark about the issue’s cause and resolution timeline, heightening frustration,” he said.
According to Dr Xu, Optus should have been more proactive by offering consistent updates, outlining specific steps to fix the issue and showing they understood how much the outage affected people’s daily lives.
“Offering meaningful compensation and demonstrating a commitment to improving their infrastructure would have helped restore trust and show they value their customers,” he said.
PM’s holiday home dilemma
It’s not just companies that find themselves in hot water, politicians are also regular chaos-causers for their PR staff.
Prime Minister Anthony Albanese’s decision to buy a $4.3 million property overlooking the ocean on the NSW Central Coast was described by a senior Labor source as his “Hawaii moment”, referring to the holiday taken by former prime minister Scott Morrison during the Black Summer bushfires in 2019.
“Rents are on fire, mortgages are on fire and Albo is just working on his Rancho Relaxo,” the source told the ABC.
But, in this case, the experts think that it was more an issue of optics — aka the way an event is perceived by the public — than a PR stuff-up.
“I personally don’t think this was a PR failure in any way,” Tony Jaques, who’s written extensively on crises management, said.
“Poor timing perhaps, but in my view a political ‘beat up’ generated by [the prime minister’s] critics and eagerly amplified by a few envious journalists and commentators.
“The proof is that the story disappeared so rapidly and I don’t think damaged the PM is any substantial way.”
Mitchell Hobbs agrees, but believes timing and optics do matter.
“I would have suggested certain media sources were trying to give a free kick to the opposition by being selective in their outrage,” he said.
“[But] during periods of economic hardship, such actions can appear tone-deaf to the broader public.”
According to Marie Trbovic, it made the prime minister appear “disconnected”.
“Albanese has attempted to show relatability by highlighting his family’s own experiences with public housing, however, this falls short of addressing the current concerns facing everyday Australians,” she said.
Secret to success
So, what can people do to save and rebuild their reputations?
“The most important point is that you do not launch a so-called reputation initiative,” said Mr Jaques.
“Not only is it not very smart but it is typically entirely transparent and stakeholders see it for exactly what it is.
Reputational disasters also have a habit of sticking around like a bad smell, and the Internet means they never entirely go away.
“For organisations like Qantas or Optus or the supermarkets, the public and other stakeholders assign reputation and they take it away,” adds Mr Jaques.
“Reputation is built on performance, and it can be restored only by great performance over time. There is no quick fix.”
Genuine accountability is Ms Trbovic’s advice.
“Start with a real apology and take responsibility for the harm caused.
“Transparent communication is also vital. Stakeholders want to understand what went wrong, how it happened, and what steps will be taken to prevent it from happening again.”
Another approach is reframing the narrative to shift the focus.
“A crisis is not merely a setback. It’s a defining moment that allows an organisation to demonstrate its true character,” she said.
Dr Xu believes rebuilding trust is what really matters.
“Whether through better products and services, stronger ethical guidelines, or more community involvement, I believe the key should be showing through actions that the organisation has truly learned its lesson.”