Helping the Mining Sector in its Digital Journey
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Helping the Mining Sector in its Digital Journey

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Sofía Garduño By Sofía Garduño | Journalist & Industry Analyst - Wed, 07/05/2023 - 14:00

Digital communication and the digital journey have a great capacity to support the positioning of the mining sector in an increasingly complex environment. However, most mining companies have not used these tools effectively to generate conversations and amplify messages that change the sector’s highly stigmatized image.

The mining sector must generate a new model of conversation, as some expect it will continue to be targeted by the Mexican government as part of its political strategy toward the upcoming 2024 electoral process, explains Carmen Gardier, Senior Director of the Digital Area Latin America, LLYC. "In the current context, it is important to converse, listen and position our messages in a close, human way that helps us, as it will become increasingly difficult to counter what lies ahead in the electoral period," says Gardier.

The success of any company depends on communication, knowing how to listen and establishing relationships based on listening and conversation. However, generating conversation in the mining industry has been difficult due to the fear that the main actors have of being criticized.

The political scenario for the mining sector in Mexico is uncertain, as many in the industry are concerned by the Mexican government's refusal to grant new mining concessions and the elimination of the Mining Deputy Ministry. Others are concerned about potential tax increases on mining activities. Additionally, political agendas at some ministries could be a risk for the mining sector due to positions contrary to extractive activities. Moreover, the public security crisis represents a threat to the functionality and operability of the mining sector in Mexico.

The conversation about the mining sector on social media often revolves around mining legislation, concessions and reform of the mining law. According to LLYC, 42% of the conversation on social media is related to the reform of the mining law, which has polarized the conversation due to the restriction of permits within the sector. This reveals distrust within society toward mining, as well as the gap that the mining sector is leaving open for this narrative to continue growing.

"There is a lack of voices in a positive conversation to position messages and to address this conversation," says Gardier. Third-party profiles are helping to counteract this wave, but actors from the mining sector are still missing. According to an analysis of the top 20 mining companies in the country, only 65% of Mexican mining companies have a presence on social media platforms such as Facebook and LinkedIn and only 25% have a narrative based on topics that help change the perception of the sector.

Furthermore, only 25% of mining companies have CEOs and top executives with a social media presence, especially on LinkedIn, while only 10,000 employees have a presence on the same channel. Mining currently generates 417,000 jobs and all voices must be heard to continue generating conversation about the sector. "This is important because currently people trust individuals more than brands," says Gardier.

Digital technologies are transforming society and connecting in this increasingly digitized environment is one of the major challenges the mining industry faces. The journey of digital communication has four stages: Digital Being, Digital Optimization, Digital Data Driven and Deep Digital. Mexico is positioned between Digital Being and Digital Optimization, where there is a lack of recurring measurement of strategy and digital analysis.

However, the digital transformation is not limited to social media accounts; there must be engagement with influencers, micro-influencers, opinion leaders, journalists and media outlets. Additionally, working with employees and using digital spokespersonship is necessary to change the perception of the company.

Data also allows for the identification of topics in which mining companies can be a reference, such as communities, mining innovation and technology, safety and the environment. Currently, there are over 8,000 monthly searches related to security and mining and over 1.5,000 searches related to innovation and technology.

Furthermore, to continue strengthening their communication strategy, CEOs, executives and employees must continue to generate trust and transparency by participating in conversations, as digital engagement helps increase promoters of positive conversation.

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