In the current hyper-charged cultural climate, weighing in on a hot button issue is fraught with danger for brands, a hazard made all the greater if their efforts are deemed more mercenary than sincere, three top consumer brand executives said.
An Accenture survey a year ago found that 63% of consumers worldwide will buy from companies whose beliefs match theirs, and eschew others. But executive from Walmart, Uber and health startup hims & hers say companies need to be thoughtful about how they go about jumping into social debates, lest they anger customers unnecessarily or be accused of pandering.
“The consumer is changing and their expectations of what good looks like in the future is not just a transactional relationship,” Andrea Albright, senior vice president for the snack, beverage and impulse categories at Walmart, told the Coins2Day MPW Next Gen conference in Laguna Niguel, Calif., on Wednesday.
Walmart focuses its social engagement messaging on its sustainability issues since that is directly connected to its activities as the world’s largest retailer, Albright said. Still, the company has faced some discontent from customers over its stricter gun and ammunition policies in the wake of a mass shooting at one of its stores.
Yet there has been no shortage of brands taking stands on controversial social issues in the last few years and weathering resulting backlash. Nike has continued to do well following its support for football player Colin Kaepernick, while Dick’s Sporting Goods has more than replaced the sales it lost after it dropped firearms from dozens of stores.
What’s more, brands today are more in tune with what customers want and expect from them and therefore should have a good handle on what issues make sense, said Hilary Coles, co-founder and merchandising executive for hims & hers, which sells personal consumer products.
“We hear from the customers loudly if we’re doing a good job or if we’re doing a bad job,” she said. As a purveyor of birth control, her company felt it was in a position to comment on the “heartbeat ban” laws passed earlier this year to restrict abortion rights in some states.
And the executives agreed that for speaking up about an issue to make sense for a brand, the company has to be in a position to lead the discussion and influence it.
“There are topics where it just doesn’t make sense for a brand to participate,” said Jasmine Taylor, head of earner product marketing at Uber.
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