Rival telcos StarHub, M1 accept Singtel's apology
[UPDATED on Friday, 20 March 2015, 3:10pm: StarHub and M1 accept Singtel's apology]
StarHub and M1 have, on Friday, accepted Singtel's apology for an online smear campaign by its social media agency Gushcloud.
Singtel Group CEO Chua Sock Koong took to Facebook on Thursday night to post the apology.
“We regret that a Singtel employee who worked on this campaign did not adhere to our professional standards and values. We have since terminated the services of the agency and the employee is no longer with us,” she wrote.
Two of Gushcloud’s influencers - Xavier Ong and Eunice Annabel Lim - have also apologised for their involvement in the campaign. Both posted lengthy explanations on their blogs stating that they were genuinely displeased with their telco’s services while they were part of Singtel’s campaign.
StarHub's chief marketing officer said it was "assessing legal options" after Singtel apologised for an online smear campaign against rivals telcos.
StarHub wants Singtel to retract and correct negative comments created by Gushcloud's social media influencers, reported The Straits Times.
An M1 spokesperson also said it will explore further action "if necessary", including taking legal action.
Singtel’s investigations revealed that its staff who worked with Gushcloud on the campaign in 2014 did not adhere to Singtel’s marketing standards, said a report in TODAY.
A statement from Johan Buse, Singtel’s vice-president of consumer marketing said, “As an organisation, we maintain high marketing standards and do not condone negative campaigns or publicity against any individuals or organisations. Our focus has always been on the strength and differentiators of our products and services.
“We apologise for this isolated incident. We will emphasise to our staff and agencies our marketing standards and the importance of adhering to industry guidelines including the Singapore Code of Advertising Practice."
Gushcloud has also apologised for the campaign and said it will speak to industry partners and regulatory bodies about creating guidelines for the influencer marketing industry.
M1 and StarHub had asked the InfoComm Development Authority (IDA) to investigate Singtel’s involvement in the online smear campaign against them via Gushcloud’s social media influencers after an internal brief sent by a Gushcloud employee was posted online.
Singtel engaged Gushcloud to run a campaign for its Youth Plan in 2014.
In the brief, the employee instructs influencers to complain about competitor telcos’ services and to encourage their readers to sign up for Singtel’s mobile plans.
Singtel told TODAY that it did not issue the brief and said it is not their practice to run negative campaigns.
Last Saturday, Gushcloud posted a statement on Facebook apologising for any misunderstanding.
“The brief is not meant to be read in isolation without the full context and verbal briefings given by Gushcloud. Singtel’s brief for the campaign was to focus on key differentiators in the services and strengths,” said the statement.
Gushcloud also told TODAY that it is investigating the matter.
On Saturday, local blogger Xiaxue, who previously blogged about Gushcloud allegedly inflating their page views, also posted a detailed blog entry with screenshots showing the Gushcloud internal brief, and social media posts from Gushcloud influencers criticizing StarHub and M1’s services.
The Singapore Code of Advertising Practice states that advertisements “should not unfairly attack or discredit other products, organisations or professions directly or by implication”.
