The Paula Deen Communications Crisis

• Star of Paula’s Home Cooking on Food Network in 2002 and several other shows following

• 2-time Emmy Award Winner

• Author of 14 cookbooks & over 8m copies

• Member of the board of the Bethesda Home for Boys, works tirelessly for America's Second Harvest and in 2012, launched The Bag Lady Foundation, supporting issues of hunger which effect women and families

• Products supported a multimillion dollar empire with contracts from the Food Channel, Smithfield Foods, Walmart, Walgreens, Target, QVC, Caesar’s Entertainment, Home Depot, Novo Nordisk, JC Penny, Sears, K-Mart, & Ballantine Books.

• Earnings topped $17 in 2011

May 2012 $1.2 million racial discrimination & sexual

harassment lawsuit

“It’s just what they are — they’re jokes ... most jokes are about Jewish people, rednecks, black folks ... gays or straights, black, redneck,”

Paula Deen offense & apology

May 17:Discrimination Lawsuit

June 19: National Enquirer: “N” word & “slave

servers”

June 20: transcript: Porn at work, “N-word not offensive”

June 21: Viral apology, Food Network cancels

June 23-24: QVC reviews contract, Smithfield cancel

June 26: Today Show, “didn’t know n-word was offensive”; WalMart & Caesar’s cancel

June 27: Novo Nordisk drug, Target, Home Depot cancel; Book #1!

June 28: Sears, Kmart, Walgreens cancel; Book pub. cancelled

July 1-2: Deen argues case dismissal since complainant is white

July 11: fires legal team & hires new team

August 12: Discrimination lawsuit dismissed

http://www.thewrap.com/tv/article/paula-deens-empire-collapses-whats-cost-one-n-word-100301

http://www.huffingtonpost.com/2013/07/03/paula-deen-cookbook-sales_n_3542436.html

What were the PR communication issues?• Cancelled appearance on Today Show got PR

off to rough start, making her appear hesitant & scared

• Personal apology videos has poor editing & cut credibility; failed to detail which mistakes she regretted

• Her apology dramatics made viewers feel uncomfortable

• Followed up with Today Show 5 days later but other commentators had framed the story by then

• Retraction & replacement of early video created further distrust

• Blamed discrimination on being from the South and age 60

• Said she “may” have used slurs in the past, then later stated “only used the slur once” that further damaged her credibility

• She blamed some ambiguous person: “ ”There’s someone evil out there that saw what I worked for and wanted it”

What would you recommend?

Paula Deen Update: Comeback?

• In a People Magazine interview, “I feel like 'embattled' or 'disgraced' will always follow my name….like that black football player who recently came out" (Michael Sam).

• Announced a new company, Paula Deen Ventures, and confirmed she's planning to open a new restaurant in Pigeon Forge, Tennessee.

• Private-equity firm Najafi Companies is investing $75 million to $100 million to help Deen make a comeback.

• Fan support: subscriptions to her Paula Deen Magazine have risen more than 40 percent in the last year.