‘Brands are focusing on the wrong issues’: Study shows Aussies would boycott brands over political positioning
Brands should forget about politics and instead focus on the good, as 50% of Australians would boycott a brand over its position in current wars and conflicts, according to new data from Leo Burnett’s 2024 Good Study.
On Monday morning, Publicis Groupe’s creative agency unveiled the first part of its 2024 Good Study, in partnership with the holdco’s media agency Zenith Australia and the UTS Business School.
The study, which aims to provide business leaders data on ‘brand good’, found that Australians overwhelmingly agree that brands should do “some form of good” in the world (96%, compared to 88% in 2022).
And while 50% of Aussies would boycott a brand as aforementioned, only 39% believe brands should take a stance on social and political issues.
“The Good Study aims to offer data-driven direction and to foster ethically-minded debate that leaders can harness to pave a positive way forward. Reflecting this, each edition tightens our understanding of this evolving topic. The first study broadened our lens to show that financial acts of equity and fairness resonate most with Australians,” said Catherine King, chief strategist at Leo Burnett.
As ESG continues to climb up the corporate agenda, the potential for brands to positively change the world is becoming an increasingly common topic, but is often met with complexity and confusion. With 66% of Australians believing the country is polarised, it is more important than ever for brands to understand their audiences and be aware of their company purposes.
60% of those who believe Australia is polarised say the Federal Government is most accountable for that, compared to the media at 55% and State Governments at 49%.
“This year, our lens contracts to guide brands away from political matters, unless it aligns with a company purpose. Business leaders need to know where their customers stand and be aware of any generational divides given our research shows they can be quite significant,” King continued.
“When done right, doing good offers a valuable business lever, with potential to create brand differentiation and shape behaviour, from consideration, through to purchase across all generations. Given this, our research is supplemented by a five question checklist that every business and brand executive should ask before embarking on a new path of perceived social good.”
The Study was presented to partners last week in Sydney
The generational divide is clear in the study, with Baby Boomers more likely to help others, even if they have differing beliefs, at 81% compared to 65% of Gen Z.
95% of Boomers believe all Australians deserve a fair go, even if they have different political and religious beliefs, compared to 79% of Gen Z.
Further, 42% of Gen Z said they are likely to actively support brands involved in wars and conflicts if they are aligned with their beliefs, compared to just 20% of Boomers.
Professor Carl Rhodes, Dean of UTS Business School, added: “Australians want to buy from good companies. Sadly, they also believe that big businesses are failing at this. Why? Because brands are focusing on the wrong issues.
“Australians believe that a good company is one that pays employees and suppliers fairly, offers stable employment and pays their fair share of tax. Companies that have the receipts to show that they do this have the real advantage. This report provides evidence-based intelligence to enable businesses to make the right decision when it comes to demands of brand activism, social impact and corporate purpose.”
The 2024 Good Study was conducted January 10-14, 2024, with a sample size, n=1,033 and nationally representative of Australians aged 18+ based on age, gender and location. The qualitative component of the study was conducted April 4-6, 2024, with a nationally representative sample, n=500.
Keep up to date with Mumbrella Daily
Got a tip?
Lauren McNamara is a journalist at Mumbrella, covering the creative and PR beat. She joined in November 2022 as editorial assistant, after completing a Bachelor of Communications (Journalism) at UTS.
Linkedin
topics
brand
Catherine King
Leo Burnett
Professor Carl Rhodes
Publicis Groupe
The Good Study 2024
UTS Business School
Zenith Australia
Have your say