You should always be doing reputation management. It should be something that is ongoing all the time, because that is how people get their news and get their ideas about a company or a person. When someone is interested in your company they will look it up online first and foremost, and what ends up on the Internet never really goes away. If you get bad publicity on the Internet you can not hope to make it disappear, just to replace it with something more positive. If you aren't running an online reputation management campaign at that time, you can't replace it with anything. Something negative can appear from anyone, anytime and without guidance may spread across the internet and ruin the millions that are poured into building a brand. All it takes is one computer savvy client who can not be made happy to ruin everything by publishing what they think.
If you have well ranking sites related to your site when someone publishes something bad, you can bury it, or at least surround it with the good things that are already out there about your site. That is why the beginnings of an online reputation management campaign start with creating more sites for you as well as linking to those sites and raising those sites in the ranks through good promotion.
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