When a competitor took to its website and accused elder care company Nurse Next Door of providing shoddy customer service thanks to its franchise model, the founders looked into taking legal action. Their lawyers said the statements were an obvious case of defamation. But instead of sinking money into a lawsuit, co-founder John DeHart decided to take a different tactic — he responded through social media.
Mr. DeHart addressed the false statements on his blog, using the competitor’s accusations as a springboard to explain why Nurse Next Door’s franchise system works. The gamble paid off. Not only did the competitor remove the defamatory content, Mr. DeHart wrote in his blog that it sparked a discussion about how social media can benefit businesses in similar situations.