From commerce to cause! How brands are winning hearts and headlines

In recent years, brands have transitioned from mere commercial entities to influential change agents, leading social and cultural movements with significant impacts on their reputation and market positioning. This evolution reflects a growing consumer expectation for brands to take active roles in societal issues and demonstrates how corporate involvement can redefine industry norms and consumer loyalty.

Leading with purpose

The shift towards purpose-driven branding is driven by a growing demand from consumers for companies to align with their values. According to a 2023 survey by Edelman, 64% of consumers globally choose to buy or avoid brands based on their social or political positions. This trend is evidenced by several high-profile examples of brands leveraging their platforms to champion social causes. Here are a few examples of brand-led movements-

Nike and the Colin Kaepernick campaign #Justdoit

Nike’s partnership with former NFL quarterback Colin Kaepernick, known for his protests against racial injustice, is a prominent example of a brand embracing social activism. In 2018, Nike featured Kaepernick in a highly visible campaign with the tagline- ‘Believe in something. Even if it means sacrificing everything.’ Despite initial backlash, Nike’s move proved successful, with the brand experiencing an increase in online sales shortly after the campaign launched. This example underscores the potential financial benefits of aligning with social causes, despite potential risks.

Tata Tea and the ‘Jaago Re’ campaign

Tata Tea’s ‘Jaago Re’ campaign is a notable example of leading a social movement. Launched in 2008, the campaign aimed to encourage Indian citizens to wake up to their social responsibilities, focusing on issues like corruption, voting, and gender equality. The campaign successfully positioned Tata Tea as a brand committed to social change, resulting in increased brand loyalty and positive public perception.

Hindustan Unilever and the ‘Project Sunlight’ initiative

Hindustan Unilever’s ‘Project Sunlight’ is an initiative that encourages consumers to make more sustainable choices. The project focuses on environmental sustainability and social issues, including reducing plastic waste and promoting hygiene.

Amul and social commentary

Amul, known for its topical and often humorous advertising, has also used its platform to comment on social issues. Through its iconic Amul Butter ads, the brand has addressed various societal and political issues, often sparking conversations among its audience. This approach has kept Amul relevant in the public eye and strengthened its brand identity as a socially aware company. Amul’s market presence and consumer trust have remained strong, reflecting the effectiveness of integrating social commentary into brand messaging.

Implications for reputation and market positioning

Brand-led movements can significantly impact a company’s reputation and market positioning. Embracing social and cultural causes often results in enhanced brand loyalty, particularly among younger consumers who prioritise corporate values. However, this approach also comes with risks. Companies must navigate potential backlash from differing consumer viewpoints and ensure their activism is genuine and not perceived as mere marketing ploys.

Challenges and risks

Brands leading social movements face several challenges. A study by Harvard Business Review in 2023 found that 37% of consumers believe brands are more interested in gaining publicity than making a real impact. This scepticism means that brands must demonstrate an authentic commitment to the causes they support. Additionally, brands must be prepared for the possibility of alienating segments of their customer base who may disagree with their positions.