Hearst, ‘Ellen Show’ Crises Highlight Need to Align Brand with Reality

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Katie Paine, CEO, Paine Publishing

In recent weeks, as many consumer brands have revealed their inability to manage communication in troubled and uncertain times, it is surprising when media companies, whose business is to be on top of things, get caught flatfooted responding to breaking news or trending themes.

Even more telling is the damage media brands suffer when reports appear that show a stark contrast between a brand’s image and the conditions under which its products are produced.

Ellen and 'Be Kind'

The Ellen DeGeneres Show came under fire for a tone-deaf tweet about the George Floyd protests and a toxic company culture. Reports have up to 10 current or former staffers alleging they were subject to bullying and racism.

Similar charges could be, and have been, made against any number of celebrities, though they make headlines sporadically. Perhaps DeGeneres’s Be Kind positioning made these allegations a more engaging story.

Still, stories around the DeGeneres show and its host’s less-than-authentic public persona–allegedly she's not as nice as she seems on screen–percolated

A March 2020 tweet by Kevin T. Porter seeking the “most insane stories you’ve heard about Ellen being mean” (which promised to reward stories with a donation to the LA Food Bank) generated nearly 18,000 retweets and comments.

Personnel Issues, Too

In April, there were loud rumblings from staff about poor communication around pay and conditions during the pandemic. Some claimed they were fired for taking medical or bereavement days. Others charged insensitivity and racial bias.

And we know there will be more to come given tweets and comments like: "We want your help! If you have more information or a tip regarding workplace culture on the Ellen show or in Hollywood, contact [email protected], or reach us securely at tips.buzzfeed.com"

But the stark contrast between Ellen’s manufactured image of being kind and charitable and charges of racism and intimidation at her show's company made BuzzFeed’s July 16 exposé particularly explosive, and potentially profit damaging.

As we’ve seen with other media companies, advertisers are quick to jump ship if they think a celebrity’s image doesn’t comport with the advertiser’s public positioning.

At our press time, July 30, several things happened: Ellen sent an apology letter to staff and Warner Bros.confirmed its internal investigation and said some allegations were true. As a result, "several staffing changes" are imminent, as are "appropriate measures" to ensure working conditions improve. BuzzFeed also published another article detailing a host of sexual shenanigans involving some of the show's executive producers. Several of them denied the allegations.

The Hollywood Reporter and the New York Times obtained Ellen's apology to staff the day she sent it.

According to the Times, Ellen wrote in part, "On day one of our show, I told everyone in our first meeting that The Ellen DeGeneres Show would be a place of happiness–no one would ever raise their voice, and everyone would be treated with respect. Obviously, something changed, and I am disappointed to learn that this has not been the case. And for that, I am sorry. As we've grown exponentially, I've not been able to stay on top of everything and relied on others to do their jobs as they knew I'd want them done. Clearly some didn't. That will now change and I'm committed to ensuring this does not happen again."

Toxic Culture at Hearst

A far older media conglomerate, Hearst Communications, also made headlines recently for its toxic culture. Late last month, Hearst Magazines president Troy Young was ousted after the New York Times laid out charges of sexually offensive behavior and a toxic culture.

Mea Culpa

(In the interest of transparency, I know way more about Hearst culture than the average person. Not only was my first real job out of college at Hearst’s Boston Herald American, my grandfather was general manager at Hearst, back in the 1930s. In a not-unrelated consequence, my mother, two great aunts and an uncle were editors at Hearst magazines or newspapers.)

From the stories my mother–a 40-year Hearst employee–told me, the fact that a sexist toxic culture pervades the Hearst organization to this day comes as little surprise. As a beautiful, witty, upcoming young editor, my mother was frequently brought along to dinners with advertisers and subject to unwanted advances in order to win the deal.

As it turns out, today the problems are so bad that Hearst employees are voting to unionize as I write. Even management expects that the union vote won’t go its way.

There are at least two lessons in these episodes. The first involves brand damage. When your brand stands for one thing–titles like Cosmo, Marie Clare and Esquire are full of stories of empowerment; The Ellen DeGeneres Show is all about Be Kind–but your corporate culture stands for something very different, it causes stakeholders to lose trust in who you are.

The second astonishing element is that this is happening three years after the first #MeToo hashtag went viral, in the wake of a social justice awakening and after many celebrities and media types were outed for bad behavior.

Call me a terminal optimist, but wouldn’t you think that after the wave of exposés, any chief communications officer or in-house counsel would have conducted a thorough internal review of policies and culture in the organization and ferreted out and dealt with potential issues?

Granted, Hearst is privately held and, therefore, not accountable to investors examining ESG scores before investing their money. Still, in light of the damage that a toxic culture can do to employees and reputation and the time it takes to recover, you’d think executives would be quicker to act. Especially at this moment.