Advertising Age reported on a 4-year survey whose 2023 results showed 53% of consumers think corporations should not get involved in political or cultural concerns, versus almost 30% saying corporations should take a stand on issues. The figures indicated an increase of about 10 percent versus the survey’s 2019 results.
Ad Age also noted the following:
“Support for corporate activism grew among younger consumers in the wake of the 2020 killing of George Floyd, and sentiments have stayed that way … Among millennials and Gen Z, 41% say corporations should use their influence to impact political and corporate issues, up from 27% in 2019. Support among Gen X and baby boomers is also growing but remains well below 50%—just 17% of boomers are supportive, with support among Gen X is at 23%.”
The data poses questions that could apply to Adland. That is, how would consumers react upon learning that most corporations are partnering with White advertising agencies where diversity is a dream delegated, deferred, diverted, dodged, and denied? Might consumers demand that corporations use their influence to impact change in the exclusive industry?
It’s clear that commitment to racial and ethnic diversity has dwindled in recent years at White advertising agencies and corporations. Yet consumer dedication remains steady.
MadMen character Don Draper once quipped, “If you don’t like what is being said, then change the conversation.” Hey, if you don’t like the lack of diversity in Adland, perhaps it’s time to invite consumers to join the conversation.
Brand activism—over half of consumers not interested in hearing companies’ political and social stances
Brands might be better off supporting their employees rather than making public statements, Morning Consult finds
By Erika Wheless
A majority of Americans say brands should not take stands on social, corporate, or cultural issues—but a desire for companies to speak out is rising, especially among younger generations, according to a new report from Morning Consult. And some issues are more polarizing than others: General statements about diversity in the workforce have widespread support, but there is less support for backing LGBTQ+ rights, especially among older Americans.
The report is based on a survey of roughly 20,000 U.S. adults between August 2019 and Sept. 2023. In 2023, the survey found that 53% of respondents said corporations should not get involved in political or cultural issues, while almost 30% said corporations should take a stand. In 2019, 61% of respondents said corporations should not get involved while 19 percent said they should take a stand, according to the survey. (The remaining respondents said they don’t care or don’t know.)
Support for corporate activism grew among younger consumers in the wake of the 2020 killing of George Floyd, and sentiments have stayed that way, according to Joanna Piacenza, head of industry intelligence at Morning Consult. Among millennials and Gen Z, 41% say corporations should use their influence to impact political and corporate issues, up from 27% in 2019. Support among Gen X and baby boomers is also growing but remains well below 50%—just 17% of boomers are supportive, with support among Gen X is at 23%.
For marketers speaking to a broad audience, this presents a damned if you do, damned if you don’t scenario. But the report also outlines what issues consumers care about the most: often what’s happening internally at a company.
It’s what’s on the inside that counts
Across generations, how a company treats its employees and customers is a paramount issue. The report found that roughly 9 in 10 Americans said that it’s important that companies they buy from take care of their employees, have products readily available, and always do what’s best for customers, even in challenging times.
The data showed that internal company actions resonated with customers more than external advocacy —71% of consumers said they viewed a company as more favorable if they paid their employees well; 69% said they viewed a company as more favorable if a company was known to be a place where employees liked to work; 66% liked if the company paid men and women equally; 65% liked if it made goods in America; and 60% cared if the company supported the U.S. military.
“There is a ‘keeping your own house in order’ feel that consumers have toward brands,” Piacenza said. “Brands should be doing more to show their benefits or highlight why their employees are happy. Treating workers well is its own form of good advertising because then you aren’t risking an angry employee going viral about you online.”
The actions with the least impact on a brand’s favorability included supporting the Me Too movement, advocating for gay rights, supporting the Black Lives Matter movement, advocating for transgender rights and advocating for stricter abortion policies.
External issues
If brands are going to issue public statements, there are five issues that consumers feel that brands are able to speak about: support for the police, diversity in the workforce, climate change and the environment, women’s rights and gender equality and voting rights. Race and racism in America was the sixth-most popular topic, with 67% of U.S. adults saying that brands are able to speak about it. But this was a topic that had the greatest difference between the general population and Gen Z, with 73% of Gen Zers saying that corporations should issue public statements around race, compared to 56% of the general population.
Among the issues consumers want to hear about the least from brands is access to abortion and contraception, though that topic resonated with nearly 60% of millennials who want brands to speak out, compared with just 45% of the general population. Online censorship, LGBTQ+ rights, transgender rights and efforts to ban books were also among the issues consumers want to hear about the least from brands.
Bud Light and Target are among the brands that faced backlash this year among some consumers for LGBTQ+-related marketing campaigns and products.
Issues that U.S. consumers agree corporations should be taking a stance on include threats against U.S. democracy, the protection of government institutions, women’s rights, climate change and diversity and inclusion in the workplace, according to the report.
Piacenza notes that company statements around certain issues have to be specific, including how they phrase their stance. “We have women’s rights high up as an acceptable issue for brands to make public statements about, but abortion access is lower,” she said. “So if you are a more female-focused brand or a brand with a majority-female customer base, and you want to make a statement about the Dobb’s decision, you should phrase it as a women’s rights issue, not access to abortion.”
Why the divide
Majorities of Gen Z adults, millennials and Democrats said “a lot” or “some” corporate brands are in touch with the average American, compared with less than half of Gen Xers, boomers and Republicans who said the same. It’s another sign that younger and more liberal Americans see corporations drifting toward their own viewpoint, while older and more conservative Americans feel increasingly isolated from brands.
“If you believe that a brand aligns with your values and they take a stand, you’re more open to hearing from them,” Piacenza said. “But on the other hand, if you feel that you aren’t aligned, you don’t want to hear from them as much.”
A misalignment in values led to Bud Light’s woes, which began last April when conservatives complained about transgender influencer Dylan Mulvaney posting about a custom can bearing her image, eventually leading to a steep sales decline. Morning Consult’s report found that roughly one in five Americans said they have boycotted a company over the past year for political reasons. Younger, college-educated, high-earning consumers, baby boomers, and Republican men are the most likely groups to boycott brands for political reasons.
“This really comes down to knowing your audience,” Piacenza said. “If you are unsure about taking a stance, keep your head down and go about your business.”
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