Essential Social Media Policies to Keep Dealers Out of Hot Water

Throughout my career in dealership management, I have focused on implementing effective systems, processes, and policies to streamline operations and drive profitability. When Kruse Control launched its social media and online reputation services for dealerships, we stood out by advocating for clear social media policies—one of the few companies to do so. Looking back, I realize this emphasis on structured policies stemmed directly from my experience as a dealership CFO, where risk management and operational clarity were always top priorities.

How One Dealership Inspired a Better Approach

As social media and online communication evolved, many automotive attorneys developed social media policies for their clients. These policies were often overly complex and, in some cases, hindered dealerships' success on social media. Recognizing the need for a more practical approach, we were hired by a dealership to create a streamlined, effective social media policy. After seeing its positive impact, I decided to offer it as a complimentary resource to future clients. This way, they could experience how a well-crafted policy that protects the business, its employees, and its customers can ultimately benefit everyone involved.

The Dark Side of Social Media: Outrage and Disinformation

Social media and online platforms have increasingly become toxic spaces dominated by outrage and disinformation. These platforms are intentionally designed to fuel such dynamics, exploiting human psychology to prioritize growth and engagement at any cost. Users often find themselves unwittingly drawn into this cycle, overwhelmed by the manipulative tactics of tech giants chasing profits over responsible communication.

Social media offers employees—especially vehicle salespeople—a powerful opportunity to become influencers within their personal networks. Some have successfully leveraged these platforms with the support of their dealership’s leadership, while many others lack that guidance. In my experience, dealers often have valid concerns about what their staff might say or how they might represent the business online.

The key is to strike a balance: leveraging social media’s potential while maintaining appropriate guardrails. Establishing clear guidelines helps ensure that employees who represent both themselves and the dealership online do so in a way that aligns with the company’s values and standards.

Navigating Today’s Social Media Landscape with Confidence

Establishing strong social media practices has never been more critical than it is today. To navigate the current digital landscape effectively, the following three policies are essential for success and protection.

1. Policy for Employee Use of Social Media

An employee social media policy is essential to protect the dealership's reputation, maintain professionalism, and ensure consistent messaging. In an industry where trust and customer relationships are paramount, inappropriate or unapproved content can and often will damage the dealership’s brand and erode consumer confidence.

A clear social media policy helps employees understand their responsibilities when using social media, preventing the sharing of confidential information or content that could create legal or ethical issues. By setting guidelines, the dealership fosters a positive online presence while minimizing risks associated with social media use.

• Purpose and Scope. Define the purpose of the policy (ie: to protect the dealership's brand and maintain professionalism). Clarify that the policy applies to all employees, both during and outside work hours, when referencing the dealership or representing it publicly.
• Guidelines for Personal Use. Employees should avoid sharing confidential dealership information (ie: pricing strategies, upcoming promotions). Prohibit discriminatory, harassing, or offensive content that could reflect poorly on the dealership. Encourage disclaimers when sharing personal opinions related to the industry (ie: "These views are my own and do not reflect those of [Dealership Name]").
• Professional Use and Representation. Specify who is authorized to post on behalf of the dealership.. Require adherence to branding and messaging guidelines when representing the dealership online.. Outline approval procedures for official dealership posts or responses.
• Prohibited Activities. Banning negative posts about customers, coworkers, or the dealership. Prohibit the use of social media during work hours unless part of the employee's job responsibilities.
• Privacy and Security. Warn against sharing sensitive customer or employee information online. Prohibit the use of dealership logos, images, or other proprietary content without permission.
• Compliance and Consequences. Require compliance with all applicable laws and regulations, including copyright and data protection. Outline the consequences for violating the policy, ranging from warnings to termination.
• Policy Acknowledgment and Updates. Require employees to acknowledge and sign the policy. State that the dealership reserves the right to update the policy and notify employees of changes.

2. Social Media Content Review Policy

A Social Media Content Review Policy is crucial to ensure all online communications reflect its brand values, maintain professionalism, and comply with legal and ethical standards.

One of the attractions of social media is its fast-paced, "right now" nature, but unvetted or poorly crafted content can lead to reputational damage, customer mistrust, or even legal issues. A structured content review process helps prevent inaccuracies, offensive material, or misaligned messaging from being shared, safeguarding the dealership's credibility.

By setting clear guidelines and approval protocols, the policy ensures a cohesive and strategic approach to social media, enhancing the dealership’s online presence and customer engagement.

• Purpose and Objectives. Define the purpose of the policy (ie: to ensure all social media content aligns with the dealership’s brand, values, and legal requirements). Highlight the importance of maintaining a professional and consistent online presence.
• Scope. Specify that the policy applies to all social media platforms and content posted on behalf of the dealership. Include all types of content: text, images, videos, comments, and responses.
• Content Review Process. Designate a person or team responsible for reviewing and approving content (ie: Marketing Manager. Social Media Team). Establish clear steps for submitting content for review (ie: templates, submission deadlines, encrypted folders). Define criteria for approval, such as brand consistency, compliance with legal standards, and alignment with marketing goals.
• Prohibited Content. List types of content that will not be approved, such as misleading claims, offensive language, or copyright-infringing materials. Emphasize avoiding controversial topics or unapproved customer information.
• Timelines and Approvals. Set timelines for content review and approvals to ensure timely posting. Include an expedited process for urgent or time-sensitive posts.
• Monitoring and Updates. Outline responsibilities for monitoring published content for accuracy and relevance. Specify processes for removing or updating content if necessary.
• Policy Compliance and Training. Require adherence to the policy by all employees involved in content creation or posting. Offer regular training on content standards, copyright laws, and social media best practices.

3. Social Media Crisis Policy

A dealership Social Media Crisis Policy is essential to effectively navigate situations that could harm its reputation, customer trust, or business operations. In the mercurial digital world, negative posts, misinformation, or viral customer complaints often escalate quickly, creating significant challenges for dealers if not addressed promptly and strategically.

A clear crisis policy ensures that the dealership can identify potential issues early, respond appropriately with consistent messaging, and minimize potential damage. By having a plan in place, the dealership can protect its brand, maintain customer confidence, and recover more efficiently from social media challenges.

• Purpose and Scope. Define the purpose of the policy (e.g., to provide a structured response plan for social media crises). Clarify that the policy applies to all social media platforms and potential crises impacting the dealership’s reputation or operations.
• Definition of a Social Media Crisis. Outline what constitutes a social media crisis (e.g., viral negative posts, customer complaints gaining traction, data breaches, or misinformation).
• Crisis Response Team. Identify key individuals responsible for managing the crisis (e.g., General Manager, Marketing Manager, PR team, Social Media Manager). Define roles and responsibilities within the team (e.g., spokesperson, content reviewer, legal advisor).
• Monitoring and Identification. Establish protocols for monitoring social media platforms to detect potential crises early. Define tools and methods for tracking mentions, hashtags, and sentiment analysis.
• Response Strategy. Develop steps for assessing the severity of the crisis and determining the appropriate response. Outline procedures for drafting and approving public statements or responses. Include guidelines for engaging with customers online during the crisis.
• Escalation Process. Define when and how to escalate the issue to higher management, legal counsel, or external PR agencies. Specify thresholds for escalation based on the potential impact on reputation or operations.
• Post-Crisis Review and Prevention. Every crisis is an opportunity for training. Require a review of the crisis management process to identify strengths and areas for improvement. Implement strategies to prevent future crises, such as employee training or updated policies.
• Policy Compliance and Updates. Ensure all employees are aware of the policy and their role in a crisis situation. Schedule regular updates to the policy to reflect new risks or best practices.