We’ve all seen a brand flail under the spotlight. One minute, everything’s peachy; the next, there’s public outcry, the comment sections on fire, and your feed is flooded with takes (instant opinions and hot commentary from every corner of the internet). But there’s a silver lining in the chaos: every epic meltdown is a crash course in what not to do (and how to make things right).
Below, we’re looking at some high-profile PR disasters to see how big brands stumbled and what we can all learn from their flameouts.
Balenciaga’s Controversial Holiday Campaign
What Happened:
In 2022, Balenciaga dropped an ad campaign featuring children holding teddy bears in bondage-style gear – Cue internet meltdown. Hashtags blew up, and the luxury label suddenly found itself in a very uncomfortable spotlight.
How They Handled It:
Balenciaga apologised (repeatedly), pointed fingers at external partners, and pledged to avoid similar missteps. They yanked the ads, filed a lawsuit against the creative teams, and vowed to refine their approval process. But many felt the brand skirted accountability.
The Lesson:
When a campaign goes off the rails, finger-pointing won’t fool anyone. A straight-up “We messed up” plus a transparent game plan plays better than shifting blame. Owning the mistake early on can help calm the outrage.
Qantas Grounds Its Fleet
What Happened:
Back in 2011, Qantas abruptly grounded its entire fleet amid a heated labour dispute, leaving thousands of passengers stranded worldwide.
How They Handled It:
The grounding was a power move in union negotiations, but many customers felt blindsided by the minimal warning. While Qantas ultimately brokered a deal with unions, the backlash was fierce: people saw it as leadership putting passengers in the crossfire.
The Lesson:
Surprise tactics in a crisis can boomerang. When stakeholders (especially customers) feel like pawns, your reputation takes a beating. Even in tough negotiations, open communication is non-negotiable.
AMP’s Harassment Allegations
What Happened:
Australian financial services giant AMP got slammed with harassment allegations and claims of workplace misconduct at the senior executive level. The story got uglier when a high-level exec involved appeared to get promoted instead of punished.
How They Handled It:
AMP’s early responses were vague, downplaying the seriousness. Insiders and outsiders alike were outraged. Eventually, top execs were removed or reassigned, but AMP’s slow reaction stuck in people’s minds.
The Lesson:
When misconduct surfaces, transparency is everything. Evasive, watered-down statements only amplify anger, especially in industries built on trust. If you ignore calls for accountability, you’re lighting the match for a bigger PR blaze.
Optus Data Breach
What Happened:
In late 2022, a cyberattack exposed millions of Optus customers’ personal data. It was a privacy nightmare, and customers worried about identity theft.
How They Handled It:
Optus quickly confirmed the breach but struggled to convey how much data was compromised, sparking confusion and anxiety. They offered identity protection services and vowed to increase security, but early miscommunication left customers feeling uneasy.
The Lesson:
In a data breach, clarity is king. People trust you with their information; don’t leave them guessing. Offer concrete details and next steps fast. “We’re looking into it” only fuels panic when sensitive data is on the line.
Rio Tinto & Juukan Gorge
What Happened:
Mining powerhouse Rio Tinto destroyed the 46,000-year-old Juukan Gorge rock shelters for an iron ore expansion. The traditional owners, the Puutu Kunti Kurrama and Pinikura peoples were devastated, and global outrage ignited.
How They Handled It:
Initially, Rio Tinto tried to downplay the destruction, citing legal permissions. But as fury grew, executives issued apologies and admitted internal failures. The CEO and other leaders eventually stepped down, and the company promised to overhaul its heritage management.
The Lesson:
Legal permission doesn’t equate to social licence. When cultural heritage or environmental concerns are at stake, companies must engage proactively with local communities, not just tick the regulatory boxes. Failing to do so can trigger lasting reputational damage.
7-Eleven Wage Scandal
What Happened:
A joint media investigation revealed that numerous 7-Eleven franchisees were systematically underpaying staff, sometimes paying half the legal minimum wage. The scandal exploded into a national conversation about wage theft and migrant worker exploitation.
How They Handled It:
7-Eleven tried pinning the blame on rogue franchisees before finally launching a repayment program as the scandal grew. The chairman resigned, some franchisees lost their licenses, and the brand committed to tighter oversight.
The Lesson:
Systemic issues demand systemic fixes. Downplaying or scapegoating only magnifies the mess. Swiftly tackle the root problem and prove you’re serious about cleaning house.
Cricket Australia’s Ball-Tampering Scandal
What Happened:
During a Test match in South Africa, Australian cricketers were caught tampering with the ball using sandpaper. The incident, quickly dubbed “Sandpapergate”, rocked the reputation of Australian cricket at home and abroad.
How They Handled It:
Those involved admitted guilt; Cricket Australia slapped hefty bans on the players and removed Steve Smith as captain. CEO James Sutherland addressed the media regarding the sanctions and a major review of Cricket Australia’s “win at all costs” culture was conducted to restore integrity and change internal values.
The Lesson:
When your brand is built on sportsmanship and fair play, cheating is a PR nuclear bomb. Owning up quickly, imposing genuine consequences, and committing to real cultural change can help begin repairing trust.
The 5-Step PR-Crisis Plan
1. Act Fast, But Don’t Panic
Yes, you need to respond quickly. But firing off a frantic statement can dig your hole deeper. Gather facts, decide your angle, and speak up; silence lets speculation explode.
2. Own the Issue, Then Explain
Mistakes happen. Credibility grows when you admit them. Drop the blame game. People want the “what, why, and how you’ll fix it.”
3. Lead with Empathy
Real people are caught in the crossfire. Acknowledge their frustration, fear, or disappointment. Empathy can douse the fire of public fury faster than any corporate spiel.
4. Demonstrate Action
Apologies without solutions are empty. If your product glitch messed up customer data, show you’re ramping up security. If your team crossed a line, announce new training. Give people proof you’re turning words into actions.
5. Stay Consistent
Don’t flip-flop or issue contradictory updates. If you promise change, keep everyone in the loop about how it’s progressing. Consistency keeps the narrative in your hands, not the internet’s gossip mill.
Sure, a dramatic downfall grabs attention, but nothing earns respect like hard-won redemption. The only acceptable apology is a sincere and authentic response, along with a pledge to apply the lessons of hindsight to ensure it doesn’t happen again. Mistakes will happen; we’re human, but when you’ve built trust over time, that credit in the bank is often the only thing standing between a stumble and lasting brand damage.