A brand crisis traditionally followed a predictable path: an initial spark, media coverage, a response, and eventual fading. However, in the AI era, this approach is outdated, as shown by the recent Campbell’s Soup controversy. After a purported executive remark went viral, the backlash was rapid and measurable. Beyond standard media, AI platforms and search engines quickly amplified the narrative, broadening its reach and impact. This incident highlights a new crisis-management reality: AI often serves as the primary source of information, causing negative stories to spread faster, persist longer, and sometimes become accepted “truth” by crucial audiences like employees, shareholders, and customers. It raises a vital question for brands: how to respond when algorithms shape narratives faster than you can? In November, a lawsuit alleged a Campbell’s executive disparaged the company’s products, calling them “highly [processed] food” for “poor people, ” claimed the brand used “bioengineered meat, ” and made derogatory employee remarks. Following this, Terakeet’s analysis indicated a surge to 70% negative news sentiment, with damaging narratives dominating first-page search results. Anyone searching Campbell’s brand or products encountered this story prominently across Google features like the news feed, People Also Ask, and AI Overviews, erasing years of marketing efforts instantly. AI’s major risk lies in its bias toward negative content; sensational stories garner disproportionate attention and rapidly reinforce themselves across platforms. This was evident as coverage spread across social and traditional media, flooding new content that AI systems ingested and amplified. The story increased searches on “3D-printed meat” and questions about Campbell’s use of real meat. Generative AI did not correct misconceptions, instead highlighting fragmented context from Campbell’s website referencing “mechanically separated chicken, ” further confusing the public. This reputational damage goes beyond headlines. Consumer trust declined amid product integrity concerns, and Campbell’s stock fell 7. 3%, a $684 million market cap loss, according to Terakeet. Boycott calls emerged in response to the executive’s remarks, showing how leadership behavior directly affects consumer loyalty. Additionally, the ripple effect threatens talent attraction and employer branding. The firing of the employee who recorded the remarks and ensuing lawsuit adds reputational risk, influencing perceptions of company culture, leadership responsibility, and psychological safety, thereby impacting recruitment and retention. In response, Campbell’s issued formal statements and a press release reaffirming its product authenticity.
This helped reintroduce facts, with emerging signs that AI systems are referencing the clarifications. Still, this alone cannot fully reset the prevalent online narrative. Once controversy saturates news, social media, and search, it becomes embedded in the data AI relies on, making post-event perception correction difficult. Ideally, Campbell’s could have proactively strengthened its search presence and narrative before the crisis by publishing authoritative, clarifying content to build a robust foundation. Brands with strong owned digital assets create a protective firewall against misinterpretation when scrutiny arises. Fortified first-page search results with credible, brand-controlled content make negative stories less visible and less persistent after media attention fades. Though not eliminating risk, such strategies reduce the duration and volume of online controversy. Ongoing monitoring of brand representation on generative AI platforms like ChatGPT, Gemini, and Perplexity is equally critical. As consumers increasingly use these tools for news and context, ensuring accurate AI-generated summaries becomes essential to reputation management. Campbell’s experience exemplifies a broader shift in brand reputation formation. In a landscape where search engines, social media, and AI collectively shape public perception, brands can no longer rely on correcting narratives after the fact. Future success belongs to brands that treat visibility and reputation as strategic assets, investing early in online narrative clarity, search dominance, and positive AI sentiment. Once a story takes hold, the key question is not if it will influence AI, but how effectively the brand shapes AI-generated content consistently.
Campbell’s Soup Brand Crisis Reveals New Challenges in AI-Driven Reputation Management
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