https://theprpost.com/post/7097/

Edelman report reveals increasing political influence on brand loyalty

Political considerations are becoming a more significant factor in consumer-brand relationships, with an increasing number of buyers making decisions based on political alignment and assuming that companies are similarly politically motivated. This trend is highlighted in the latest Edelman Brand Trust Report.An extensive online survey involving 15,000 people across 15 countries—including Canada, Brazil, China, France, Germany, India, Japan, Indonesia, Mexico, Saudi Arabia, South Africa, and South Korea—revealed that 78% of respondents believe brands are taking political actions. This perception influences their purchasing decisions, extending even to neutral activities like selecting influencers, choosing social media platforms, and encouraging voter participation.The report also emphasizes the growing expectation for brands to take a stand on social issues. Seventy-one percent of respondents expect brands to take sides, and 51% interpret brand silence as an implicit admission of guilt or inaction. Furthermore, 71% believe brands need to address social issues to meet consumer expectations.However, brands face significant risks in this politicized environment. Sixty percent of respondents (a two-point increase from the previous year) claim they support or avoid brands based on political views. During the survey period from April 13-24, one in three participants was boycotting brands due to their stance on the Israel-Hamas conflict.Additionally, nearly 80% of respondents said they avoid brands headquartered in specific countries. Three-quarters of respondents in Saudi Arabia, Indonesia, and India reported a shift towards buying more domestic brands compared to the previous year.In the United States, the market presents unique challenges. A majority on both sides (51% of Republicans and 58% of Democrats) agree that brands can drive positive change, but their priorities differ. Republicans focus on job creation, fair pay, and retraining, while Democrats prioritize climate change, diversity, and ending racism. Two-thirds of Democrats are more likely to support brands committed to ending racism.Globally, 84% of consumers say they need to share values with a brand to support it. Consumers also expect brands to take more action on societal issues, including climate change (five to one), fair pay (four to one), and diversity (two to one).The findings suggest that companies need to go beyond advertising to convey their positive societal impact, with respondents citing the news media as their primary source of information on a brand’s societal contributions.Edelman CEO Richard Edelman, in an essay, highlighted that political orientation is now as crucial as traditional demographics like age, gender, and income in shaping consumer perceptions of brands. He noted that the anti-woke movement is pressuring brands to avoid advocacy, and conflicts like Israel-Palestine and Ukraine-Russia are driving nationalism and a shift towards local brands. Edelman advised against avoiding politics, suggesting instead that brands should navigate these complexities to their advantage.With numerous elections and a significant portion of the global population voting, it’s vital for brands to align their marketing strategies with their core values and maintain cultural sensitivity. He cited examples like McDonald's challenges in the Middle East, Modelo's campaign celebrating Hispanic work ethic in the U.S., Dove's initiative to keep young females in sports, and Ikea's recycling campaign. Ultimately, Edelman stressed the importance of brands standing firm in their values, as they play a critical role in providing hope and inspiration in a divided society.(Image by Megan Rexazin Conde from Pixabay)