By Pascal Oparada
In January, when Facebook changed its algorithm to prioritize user content over online publishers or branded contents, few people saw that it did so because it found itself in a data theft wrangle that would have engulfed it.
Many people believed that there was going to be an implosion at the tech firm. The media began to prod Facebook to answer questions about data gathering that involved it and data mining company, Cambridge Analytica.
Unscathed
The day after Facebook’s Chief Executive, Mark Zuckerberg faced US Congress Committee to answer for infractions involving Cambridge Analytica, the share price of Facebook jumped. Facebook won.
Again, after the Senate Committee had grilled Zuckerberg for the same contraventions of sharing personal data with Cambridge Analytica, the share price of Facebook rose by 7.1 percent. There was also increase of new users signing up to the platform. There is no sign that it was hurt by scandals over mishandling of personal data, despite a vicious a campaign to ‘delete Facebook’ on social and conventional media.
“Everybody keeps talking about how bad things are for Facebook, but this earnings report to me is very positive and reiterates that Facebook is fine, and they’ll get through this,” said Daniel Morgan, senior portfolio manager at Synovus Trust Company whose firm holds about 73,000 shares in Facebook.
Owning up to the blame
When the dustup with Alexandr Kogan, Cambridge Analytica, and Facebook surfaced, the tech giant did not play the ostrich. It took full and complete responsibility for the mess.
Zuckerberg issued a public statement and apologized for the way things spiraled out of hand with Kogan and Cambridge Analytica.
“I started Facebook, and at the end of the day, I’m responsible for what happens on our platform. I’m serious about doing what it takes to protect our community. While this specific issue involving Cambridge Analytica should no longer happen with new apps today, that doesn’t change what happened in the past. We will learn from this experience to secure our platform further and make our community safer for everyone going forward,”. Zuckerberg said.
He went further to detail how things would be different at Facebook after the incident.
Strong brands take charge and own up when thing go awry and against them. The biggest challenge for any brand after a mess has happened is to sustain integrity and public trust.
Facebook was able to survive Cambridge Analytica, came out strong because it managed its public image well.
Cambridge Analytica on the other was arrogant, unapologetic and has since gone bust. It stated lack of public trust as the reason.
Indispensability
Facebook is a major part of today’s world. As of fourth quarter of 2017, Facebook has 2.2 billion monthly active users. Active users are those which have logged in to Facebook during the last 30 days.
It controls almost every aspect of human interactions. From messaging, which it does through it’s Messenger app, to WhatsApp, which it acquired, to Instagram, another acquisition, there is no escaping from the platform.
Through its technology, Facebook can track users long after they have logged out and those who are not yet on the platform.
The addictive hold Facebook has on users makes it practically impossible to leave the platform.
Recently, it started testing payment systems in India through Whatsapp, which it has already perfected with financial institutions using Facebook Messenger.
The aim of strong brands is to remain relevant in the area it has the most influence. Facebook has been able to achieve this by ‘invading’ individuals’ privacy with their consent.
Research and Creativity
Facebook continues to foray into new territories. It recently entered into the dating space, where Tinder holds sway, and it is currently testing Blockchain technology for cryptocurrencies.
Brands must have an eye for trends and innovations.
If you want to remain relevant in the face of scathing criticisms and imminent implosion, you need to remain indispensable and barge into places where you may not be loved but needed.