Skecher’s Crisis Communication Plan
1
Crisis Communication Plan
Sketcher’s Apologizes for Misleading Advertising
Campaigns
Skecher’s Crisis Communication Plan
2
Crisis Communication Plan Contents
Situational Description
Risk Assessment
Crisis Communication Team & Coalition
Members Contact List
Stakeholder Map
Key Messages & Supporting Facts
Communication Goals
Theoretical Foundation Used to Achieve Goals
& Create Tactics
Crisis Communication Policy Statements
Communication Tactics & Execution Order
Post-Crisis Evaluation
Execution Documents – Internal & External
*Documents are compiled in order of tactics for execution
p. 3
p. 4
p. 5 -6
p. 7
p. 8
p. 8- 9
p. 9
p. 10
p. 11
p. 12
p. 13-29
Skecher’s Crisis Communication Plan
3
Situation Description

In 2008, Sketchers began marketing the Shape Ups sneakers that had a curved sole on the
bottom of the shoe and foam wedge inside the sole. This curved sole would help people
work their feet during low impact exercising. The shoes were not meant for running or
aerobic exercises. The Shape Ups sneakers come in a variety of styles for both women
and men and can be purchased in department stores such as JCPenney, Belk, and Famous
Footwear, and online through the Sketchers website and even online websites like EBay
and Amazon.

Sketchers marketed their new Shape Ups as a way to work out without going to the gym.
They called their shoes “revolutionary” that they help strengthen muscles, increasing
burning calories, and improve circulation. The company claimed that the shoes helped
with toning muscles and improving posture. Customers could wear the shoes while
walking outside, running errands, and going out with friends.

Sketchers released an instructional video for customers wanting to hear more
information. Sketchers has used celebrities such as Kim Kardashian who “fired her
trainer” in the ad because she didn’t need him anymore since she was wearing the new
Sketchers Shape Ups. Brook Burke told customers that it “feels like wearing nothing at
all” and that she likes to feel like she is walking barefoot. She is seen running up stairs in
the ad and doing exercise.

An increasing number of customers have been reporting since 2008 that the Skecher’s
Shape-Ups are not helping them loose weight. The advertising by Skecher’s has promised
that the Shape-Ups shoe helps customers lose weight and strengthen muscles without
working out. Shape-Ups brand ads used phrases such as “Shape Up While You Walk”
and Get in Shape Without Setting Foot in the Gym.”

In 2008, the Federal Trade Commission (FTC) filed a class-action lawsuit against
Skecher’s claiming that the company violated customer protection laws in relation to the
advertising of the shoes.

In response to the lawsuit, Skechers did not admit to any wrongdoing in its marketing
techniques of the shoes. The company claimed that their claims are grounded in good
science and listed eight studies that defend their promotional statements. Sketchers
released charts in their advertising but the charts are hard to read to show their studies.
The FTC looked at each study and ruled them inadequate because no sample size was
over 20 people and here was no funding disclosure.

The lawsuit settlement says that any customer who bought the shoes between August 1,
2008 and August 13, 2012 will be able to get their money back. Skechers has agreed to
pay $40 million in compensation.
Skecher’s Crisis Communication Plan
4
Risk Assessment: HIGH
The risk for this crisis is HIGH. Skechers has
already denied that they have misled customers
and that they had done proper research. Since
the risk for the criss is high, different levels of
communication will be used. Additionally the
severity:

Loss of at least $40 million from lawsuit

Loss of customer loyalty

Loss of market share to other
competitors (Skechers had 49% of the toning
shoes market share)

Demand of Shape-Ups sneakers decline
resulting in loss of revenue
Skecher’s Crisis Communication Plan
5
Crisis Communication Team & Coalition Members
Raulston Boger – Crisis Team Leader
Daniel Richards
Marketing Manager
Operations Manager
Crenshaw Consultants
Crenshaw Consultants
1900 Selwyn Ave
1900 Selwyn Ave
Charlotte, NC 28274
Charlotte, NC 28274
Work: (704) 295-3269
Work: (704) 232-8423
Fax: (704) 242-2842
Fax: (704) 854-2831
Cell: (704) 293-2832
Cell: (704) 232-5392
Email:
Email:
Raulston.boger@crenshawconsultants.com
Daniel.richards@crenshawconsultants.com
Melanie Bergen
President
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 283-5833
Fax: (704) 283-2342
Cell: (704) 232-2324
Email:
Melanie.bergen@crenshawconsultants.com
Patrick Grayson
Regional COO
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 232-8045
Fax: (704) 232-4845
Cell: (704) 232-5484
Email:
Patrick.grayson@crenshawconsultants.com
Melissa Moore
Senior Vice President
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 232-4232
Fax: (704) 232-8534
Cell: (704) 234-2321
Email:
Melissa.moore@crenshawconsultants.com
Carrie Bradshaw
Manager of Strategic Communications
Gateway Consultants
373 N. Tryon St.
Charlotte, NC 28274
Work: (704) 283-5845
Fax: (704) 559-2933
Cell: (704) 288-7444
Email:
Carrie.bradshaw@gatewayconsultants.com
Ian Healey
Director of Lawsuits
Federal Trade Commissions
600 Pennsylvania Avenue, NW
Washington, DC 20580
Work: (202) 232-2342
Fax: (202) 295-8304
Cell: (202) 583-3458
Email:
Ian.healey@ftc.gov
Lauren Castaway
Associate of Strategic Communications
Gateway Consultants
373 N. Tryon St.
Charlotte, NC 28274
Work: (704) 783-5860
Fax: (704) 555-2943
Cell: (704) 283-7474
Email:
Lauren.Castaway@gatewayconsultants.com
Sara Beth Jones
Zach Williams
Skecher’s Crisis Communication Plan
6
Project Manager
Federal Trade Commissions
600 Pennsylvania Avenue, NW
Washington, DC 20580
Work: (202) 853-2342
Fax: (202) 232-5084
Cell: (202) 804-3453
Email:
SaraBeth.Jones@ftc.gov
Sr. Associate of Strategic Communications
Gateway Consultants
373 N. Tryon St.
Charlotte, NC 28274
Work: (704) 777-5860
Fax: (704) 555-2999
Cell: (704) 283-6060
Email:
Zach.williams@gatewayconsultants.com
Alecia Payne
Project Assistant
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 232-8596
Fax: (704) 865-4840
Cell: (704) 965-9608
Email:
alecia.payne@crenshawconsultants.com
Hillary Sage
Administer
Crisis Communications Consultants
834 N. Tryon St.
Charlotte, NC 28274
Work: (704) 777-2342
Fax: (704) 555-2834
Cell: (704) 283-6234
Email:
Hillary.sage@ccc.com
John Smith
Finance Vice President
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 232-2384
Fax: (704) 283-2384
Cell: (704) 843-8543
Email: john.smith@crenshawconsultants.com
Corey Matthews
Corporate Director
Crisis Communications Consultants
834 N. Tryon St.
Charlotte, NC 28274
Work: (704) 444-2342
Fax: (704) 999-2836
Cell: (704) 283-6237
Email:
Corey.matthews@ccc.com
Kevin Davis
Director of Operations
North America
Crenshaw Consultants
1900 Selwyn Ave
Charlotte, NC 28274
Work: (704) 238-0856
Fax: (704) 238-6084
Cell: (704) 854-4580
Email: kevin.davis@crenshawconsultants.com
Shawn Hunter
Manager
Crisis Communications Consultants
834 N. Tryon St.
Charlotte, NC 28274
Work: (704) 787-2342
Fax: (704) 522-2834
Cell: (704) 283-6234
Email:
Shawn.hunter@ccc.com
Skecher’s Crisis Communication Plan
7
Stakeholder Map
Stakeholder
Type
Customers
Competitors
Employees
Shareholder
s
Suppliers
Media
Promoters
Government
Community
(jobs,
involvement,
shares)
Investors
Labor
Unions
Alumni (exemployees)
Prospective
customers
Prospective
employees
Creditors
Face
-toFace
*
Telephon
e
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
Emai
l
*
Prin
t
Ads
*
*
*
*
Televisio
n Ads
Direc Radi
t Mail o
*
*
*
*
We
b
Ads
*
*
*
*
*
*
*
*
*
*
Social
Medi
a
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
Skecher’s Crisis Communication Plan
8
Key Messages & Supporting Facts:
Key Messages:
 Make a formal apology for false advertisements. Skechers should make a formal
apology to show stakeholders that they recognize the wrongdoing to their customers.
Skechers should publish all data about any tests that they had done. The company should

Offer a way for a refund. Skechers should open up a way for customers who are
unhappy be compensated. A website and help phone line should be opened to guide
unhappy customers to get their money back. There has to be regulations on when the
customers can apply for the refunds and an area of time the shoes were purchased.

To prevent another situation like this, policies are in place to conduct extra research
on our products. Skechers should improve policies within the company so that research
can be more accurate and claims about shoes can be adequate.
Supporting Facts







Toning shoes were introduced as a shoe only meant for people with ankle problems or
diabetes.
Market sales for toning shoes were $50 million in 2008, rose to $1.1 billion in 2010, and
dropped to $550 million in 2011.
Sketchers held 49% of the toning shoe market share followed by Reebok
Research has shown that the toning shoes do not offer any technology that would help
customers lose weight, tone muscles, or help back pain
Communication Goals:
 Reach out to customers who have been affected by the Shape-Ups sneaker brand through
different models of communication.

Apologize to all stakeholders who are affected by the Shape-Ups sneaker brand through
different models of communication.

Generate support from stakeholders to help Skechers change its policies so that new
research procedures can be put in place

To inform customers and stakeholders about the issue and educate them on how to get
their money back, the company’s thoughts, and actions the company will take.
Skecher’s Crisis Communication Plan

9
Let the public know that Skechers is changing research policies on all shoes in the
making to make sure all information is gained and advertising and marketing schemes are
correct.
Theoretical Foundation Used to Achieve Goals & Create Tactics
Theory behind this plan is developed using a combination of contemporary theories of
communication.
 Two-way asymmetric – in the asymmetric two-way communication approach, the
organization can put out information and get feedback from the public as well as
stakeholders.
o Primary tactic: educating the public on the issue as well as what the company is
doing to help the situation
 Two-way symmetric – in the symmetric two-way communication approach, the
organization supports a flow of information from customers and stakeholders and the
organization itself.
o Primary tactic: having outlets for the public to call or go online to complain or
comment.
Skecher’s Crisis Communication Plan
10
Crisis Communication Policy Statements

All crises should be reported to a supervisor, CEO, or Crisis Communication Team
immediately. This is so that these parties can adequately measure the severity of the
situation and test possible outcomes. These parties are trained for various types of
emergencies. It is important to notify them because the company needs to prepare
statements, tactics, and courses of actions so that the company is still in good standing in
the eyes of the stakeholders.

Only the spokesperson can speak to the media and to the public. The spokesperson
will have all proper documents and FAQs to speak to the necessary reporters. There
should be no one else talking to the public unless it is absolutely necessary. There should
be only one spokesperson that talks to the media.

There should be one designated crisis management lead person. This person’s job is
to direct and coordinate the organization’s response to the media and all other publics.

All comments must be made with professionalism and transparency. This is so that
the company is clear and conscience about the crisis and can handle the situation
effectively. All responses should be proactive, responsive, and action-oriented.

"No comment" is an acceptable response. If the answer is unknown at the time then
tell the reporter that you will get back to them as soon as possible. DO NOT FORGET.

Skechers is aware of the importance of media relationships during the event of a
crisis.
Skecher’s Crisis Communication Plan
11
Communication Tactics & Execution Order
All items available electronically on the corporate SharePoint account
 Notify president/CEO, crisis communication team, and supervisor (if needed)
immediately

Crisis Communication Team Meeting – Key staff should be invited to an emergency
meeting to review Crisis Communications Plan and review strategically the situation and
manage communications surrounding the issue.

Before Going Public:
o Assign a crisis communication lead and spokesperson
o Assess the situation fully and determine facts (See Situational Assessment)
o Determine appropriate first response about the crisis – the message should be
proactive and prepare talking points
o Create a plan of action for internal and external communications
o Asses resources that can be used such as social media and lawyers

Development of recall and compensation website
o The website should have information about the crisis and what is being done
about it by Skechers. There should be online forms for unhappy customers to fill
out and submit.

Letters from Skechers to the following groups:
o Television channels that carry Shape-Ups Ads
o Department stores that carry Shape-Ups
o Internal employees

Creation of materials and initiatives to promote awareness for customers

Establish Social Media Initiatives:
o Facebook Page
o Twitter Page

Going Public
o Begin to place calls to critical audiences
o Begin external audience outreach approach
 Press release
o Evaluate message effectiveness as the situation continues
o Implement methods to update audiences both internally and externally with
ongoing information
Skecher’s Crisis Communication Plan
12
Post-Crisis Evaluation:
In order to ensure that this crisis communication plan works effectively and provides responses
that are necessary and important, it is vital to review this plan after the crisis is settled. The team
should meet together and discuss the following:
1. What went right and what went wrong?
2. Were the objectives met?
3. How can the process be updated?
4. What affect did the crisis have on Skechers’ reputation?
5. How did the crisis effect the operations of the company?
6. How was the media handled? Could it have gone better?
7. Were statements made in public clear and concise?
8. Did the crisis provide an opportunity to enhance Skechers as a company?
9. What was the outcome of the crisis?
Skecher’s Crisis Communication Plan
Documents for Plan Execution
Internal and External
13
Skecher’s Crisis Communication Plan
14
FOR IMMEDIATE RELEASE
Skechers
PR Representative
Raulston Boger
Raulston.boger@sketchers.com or (908) 834-2948
Sketchers recall “Shape-Ups” Shoe Brand
{MANHATTAN BEACH, Calif.} – {Skechers USA, INC is recalling Shape-Ups Shoe
sneakers on account of misleading information from advertisements)
Skechers USA, INC will like to formally apologize to all customers for its misrepresentation
of their highest selling product, Shape-Ups. New studies have shown that the show does not
increase the likelihood of a customer developing toner muscles or loosing weight. In 2010,
sales were $1.1 billion from the new shoe brand with a large percentage of the market
share. From different studies the shoes offer no more than other running shoes for toning
muscles.
According to the Federal Trade Commission, Skechers is being accused of failing to disclose
correct facts about the shoes. The commission would like the company to “tone down” the “false
advertising” and cut down on fabricated claims. Skechers will therefore cut advertising
completely on the product, while making new ads, and offer a refund to any unhappy customers
who paid for the shoes between the dates of August 1, 2008 and August 1, 2012.
“Skechers is deeply sorry for the inconvenience and misleading messages that the shoes
were advertised on. We would like to give back to any unhappy customers who purchased
this product under false pretenses. There are new policies that are going to be placed
within the company to ensure that adequate studies are done on our new products so
advertisements reflect the studies.” Says CEO Robert Greenberg.
Skechers USA, Inc., is based in Manhattan Beach, California, that develops and markets
footwear for all ages and genders. SKECHERS name as well as family brands is available
in the Unites States within various department stores.
Skecher’s Crisis Communication Plan
15
Skecher’s Crisis Communication Plan
16
Skecher’s Crisis Communication Plan
17
Skecher’s Crisis Communication Plan
18
Skecher’s Crisis Communication Plan
19
SWOT Analysis of Communication Issue/Need
Strengths
- Skechers is known for their high
quality-products (award winning).
-
Leader in the shoe industry selling
over 900 pairs of shoe styles
-
Skechers has celebrities like Kim
Kardashian and Brooke Burke
endorsing the products
-
Opportunities
- Skechers can create new foot styles
and trends
-
Skechers can continue to be a leader
in the industry and gain more
market share
-
Skechers is a very competitive
company
Skechers, after apologizing, can
continue making revolutionary shoes
with new research methods
-
Skechers is a very well-known global
brand
Skechers can expand the brand into
more styles and options
-
Skechers can revamp its tainted
reputation and start advertising
more effectively
Weaknesses
- Skechers is in a competitive market
and can’t afford to lose market share
Threats
- Other competitors like Reebok are
making the same type shoe
-
Reputation can be tainted after the
crisis
-
Competitors can take Skechers
market share
-
Skechers does not handle social
media in the best way
-
Loss of revenue
Skecher’s Crisis Communication Plan
To:
Pablo Suarez
From:
Raulston Boger
CC:
Professor Conway
Date:
10/16/12
Re:
Global Communication
20
As the world is becoming more global I think there are precautionary steps that need action.
Skechers is a business that makes and sells footwear from shoes, sneakers, sandals and more.
Our audience is broad and culturally different. Since the world of technology is enabling us to
become more global. We need to start thinking about how we are coming off to different cultures
around the world. Since we are so close to the Spanish-speaking countries I suggest that we start
with this culture and subcultures within the United States. The population of Spanish-speaking
citizens is growing. There is five key “avoid points” that I want to make with possible solutions.
With these solutions we can future our campaign in response to the Shape-Ups lawsuit. We have
to see how our response is seen through different cultures.
1. Not researching a culture’s practices and norms. Not knowing a culture’s practice and
norms is one quick way to lose customers. This is a common mistake among businesses
today. Some businesses don’t do their research on different cultures before trying to
tackle them into their target market. Not researching about culture’s practice and norms
can be detrimental. Different cultures can feel that the company doesn’t care about their
traditions because we have not taken the time to research them. We cannot group cultures
together even if they are from the same country. Our job is to research these cultures and
know some facts about them. Even if we know the basics of their culture, it still says that
the company cared enough to read about different traditions within their history.
With the brand of Shape-Ups we target certain body parts to become more toned. We need to
research the body images of the Spanish-speaking community. Not researching this takes the risk
of offending the community. This culture prides themselves on their bodies and we need to take
into account this in our message. We can’t assume that everyone in the community wants to tone
their body because some are happy the way they are. Their culture is about embracing their
bodies and not worrying about toning. This is just one example on how our message can affect a
culture. Our shape-up brand affects body images and how people, mostly women, perceive
themselves. We need to be respectful over our message and apologize for lying to the public.
1. Don’t assume that the same marketing channels impact an international audience. We
can’t assume that our message will speak to international audience. We need to optimize
our search engines and see what is coming up with our brand name. We need to see what
customers are writing about the company, the lawsuit, and the shoes on social media
networks. We cannot assume that our audience is looking at the same marketing
Skecher’s Crisis Communication Plan
21
channels. The United States might rely on social media and search engines but Latin
America might be more influences by our print ad campaigns and campaigns on
televisions. We must have a formula to measure our results so that we can better quantify
our successes and failures.
With the Shape-Up brand, we need to find how many searches are made daily on different search
engines. We need to know what types of articles are being read the most. We need to search
which cultures use different marketing channels. We need to also be aware of the different
channels so that we can stay on top of our image.
1. Translation is important. There are many different ways that a tweet, campaign, or brand can
be translated into a different language. To avoid this pitfall we need to involve our
marketing research team. We need to develop a survey that answers the questions how
are our campaigns and responses translated to the Spanish-speaking world. We need
experts in the language to future identify how the company is being perceived through
this crisis. We need to optimize our resources to find out these crucial facts. If we
translate our message incorrectly.
The Shape-Up brand is global and our lawsuit is known worldwide. We need to see how the
lawsuit documents are translated so that we can tailor messages to different cultures. We need to
utilize our translators to read the articles abroad and in the United States to make sure we can
accurately give a message to respond to our audience.
1. Understand the differences between markets and regions. Understanding the differences
between markets and regions is imperative. Markets are important to the company in
understand what target market we are after. A target market may or may not reside in the
same region. A region may not have the same cultural traditionals as a whole market
place. We need to search different areas of the country that have Spanish-speaking
citizens. We can then segment the market so that we can better analyze our target market.
We can start with a broader region and begin to dive down deeper into the regions.
The Skechers’ Shape Up brand needs to redirect their image to a different market. We need to
rebrand the shoes so that we are not misleading our audience. Research has shown that the shoes
do not help with toning certain areas on the body.
1. Don’t turn a blind eye to how competition is marketing that culture. First, we should
never turn a blind eye to competition period. We need to be aware of what our
competition is doing 100% of the time. We also need to know how the competition is
marketing towards different cultures. We need to focus on what our key competitors are
doing so that we can out beat them. Our market is segmented so that we can lose market
share easily if we don’t follow this step.
With our Shape-Ups, there are other competitors that have created the same type of shoe. We
need to see how other companies are dealing with the new research that the toning shoes do not
in fact tone at all. Reebok just landed a lawsuit for the same advertising scheme that we had. We
need to see how this company is dealing with the press so that we can improve our message and
direct it in a positive way.
These steps are key to our successful message to not only the Spanish-speaking community but
Skecher’s Crisis Communication Plan
22
to other communities as well. There are many different cultures around the world but with the
use of different market channels, our world is growing smaller. We need to keep in mind these
pitfalls so that Skechers can overcome this crisis and learn how to overcome future crisis as well.
All of these tips are helpful in their own way and will take time and effort. Skechers is a brand
that is known worldwide. We are not in the position to take a risk on our products failing and
receiving bad press. These steps will help us not only on an international level but also on a
national level with the different cultures that are present. We need to make sure that our message
is being heard on all the different marketing channels so we are reaching the maximum audience.
Thank you for your time and please take these pitfalls and possible solutions into consideration
when sending out the Skechers’ response to the lawsuit. We have customers that are putting up a
magnifying glass to the company and we need to impress them and keep their loyalty.
Skecher’s Crisis Communication Plan
23
Facebook Post & Sample Reaction
Step One:
This customer – Julie Bishop was complaining on March 27, 2012 about Skechers Shape Ups
and how the shoes affected her ankles and heels. This was on the Sketchers’ Facebook page. The
company did not respond back and ignored all posts, even positive posts, about the shoes.
Step Two:
Message reads: “I bought your product, Shape Ups, and I have been wearing them everywhere to the store, mall, walking around with the kids. They are not working for me! I haven't lost
much weight and my ankles are beginning to hurt! Am I doing something wrong? Where can I
get my money back!?!?!”
Message from Skechers: “Melissa, Thank you for buying our product. We are sorry they are not
preforming like you would have hoped. If you would like to return your shoes please contact this
number and our Help Desk can further assist you. 1-800-SKECHERS.
Social Media Press Release
Skecher’s Crisis Communication Plan
Client Contact
Phone: (867) 682-9987
skechersinfo@skechers.com
www.skechers.com
24
Spokesperson
Raulston Boger
(974) 809-7777
rboger@gmail.com
Agency Contact
Phone: (807) 612-1232
CrenshawConsultantsino@crenshawconsulants.com
www.crenshawconsultants.com
SKECHERS RECALL “SHAPE-UPS” SHOE BRAN



Skechers is apologies after the Federal Trade Commission filed a class-action
lawsuit citing that the company is misleading customers
Skechers will reimburse unhappy customers that purchased the Shape-Ups
sneakers between August 1, 2008 and August 1, 2012
Skechers will be implementing new policies that research each new shoe brand
before it is introduced in the mark to ensure advertising techniques are adequate
What's Hot
News and other Articles pertaining to new or important developments at Skechers.
Link to video:
http://www.youtube.com/watch?v=
qYZ8SDa48DMN__hoOPo
“A necessary step to making sure customers is happy, satisfied, and protected.” - Raulston Boger
“Helping to provide customers with the latest and revolutionary products in footwear” - Robert
Greenberg
Skechers USA, Inc., is based in Manhattan Beach, California, that develops and markets
footwear for all ages and genders. SKECHERS name as well as family brands is
available in the Unites States within various department stores.
Skechers in the News
SEC reports submitted by Skechers, INC
Follow
Skecher’s Crisis Communication Plan
25
Situational Assessment for Sketchers
1. Who is the lead for the crisis communication team?
2. What is the situation? What will happen next?
3. Who needs to be involved in the crisis communications team that has not already been
contacted?
4. What are the immediate steps that need to be taken?
5. What are the current facts that are known and who knows them and how did they find
out?
6. How are the stakeholders affected?
7. What should be said and what shouldn’t be said?
8. What should the organization do about the situation?
9. Who will communicate responses to spokesperson?
10. How will the response be communicated? Twitter, Press Release?
11. What media will be contacted?
Skecher’s Crisis Communication Plan
26
Internal Employee Communication
To: All Employees
From: President and CEO Robert Greenberg
Date: --------Subject: Federal Trade Commission Lawsuit
Skechers, INC has recently had a class-action lawsuit filed against the company by
the Federal Trade Commission (FTC). The FTC filed the lawsuit in regards to the
Shape-Ups advertisements claiming that they are false and misleading our
customers.
In response to this lawsuit, Skechers will be having a press conference for the
media and a spokesperson will be present for the media to ask questions. We are
revealing that the company will compensate unhappy customers that have bought
the sneakers from August 1, 2008 and August 1, 2012. There will be a website
available as well as hotlines open for customers to use.
Skechers is taking full responsibility for the advertisements and will be releasing
press releases, social media messages and pages, and speaking to the media in
other communicative forms. We ask that each employee does not talk to the media
and any comments that are told to the media should be explicitly explained that
you are talking not about the company but of personal opinion.
Please remember, as a member of the Skechers family, it is important that you
follow the guidelines so that we can handle the situation appropriately. If you
receive inquiries please direct it to your supervisor and they can handle it from
there.
Thank you for everything that you do every day for the company. We appreciate
your support during this time.
Thank you,
Robert Greenberg
Skecher’s Crisis Communication Plan
27
Compensation and Reimbursement Form
This is a form for Skechers Shape-Up customers only. Those who are eligible for compensation
are the customers who have purchased the Shape-Up sneakers in-between August 1, 2008 and
August 1, 2012. This form should be electronically submitted and evaluated by Skechers ShapeUp Reimbursement Staff. If any questions arise they will contact you for further information.
Please fill in all blanks so that we can send information and your reimbursement check to your
home. If eligible for a refund, please wait 3 months for the check to be processed and sent to
your home. Thank you for your patience and choosing to shop at Skechers.
Personal Information
Name: _______________________
Address: __________________________________
City: ___________________ State: ______________
Zip code: __________
Purchase Information
Location of purchase (deparment and address:
Department/Store: _____________________________________________
Address: __________________________________
City: ___________________ State: ______________
Zip code: __________
Date of purchase: ______________________________________________
Shoe type purchased: _________________________________________
Total of purchase: $____________________________________________
Order Number/Receipt: ______________________________________
If you do not have the order number or receipt number please call 1-800-Skechers.
Skecher’s Crisis Communication Plan
28
Twitter Messages
Skecher’s Crisis Communication Plan
29