There was a time when business and political activism were separate.
Or so we are led to believe by those who tell us companies shouldn’t get involved in politics.
Business is business, non-partisan, a bit like the civil service or journalism.
But is that right?
On one level, company activism looks like a relatively new phenomenon. Ben & Jerry’s, for instance, coming out so publicly and vehemently about the UK government policy of sending some asylum seekers to Rwanda.
On the face of it, this policy, which Ben & Jerry’s calls “racist”, has nothing to do with selling ice cream.
Listen up folks ‘cos we need to talk about Priti Patel’s ‘ugly’ Rwanda plan and what this means.🧵
— Ben & Jerry's UK 🧡 (@benandjerrysUK) June 8, 2022
And, anyway, aren’t Ben & Jerry’s running the risk of alienating customers who don’t agree with them? Why would they do that?
A more recent example is companies, led by Meta and JPMorgan Chase, who immediately sought to reassure their workforce that they would cover the cost of travel for women seeking an abortion after the US supreme court overturned Roe v. Wade
JPMorgan Chase told employees it would pay for their travel expenses for an abortion after the U.S. Supreme Court withdrew federal protection for women’s reproductive rights. https://t.co/6OoIOX9gFl
— FORTUNE (@FortuneMagazine) June 24, 2022
Surely, one could argue, reaction to the ruling is a matter for individual HR departments? What’s the point of getting all hot under the collar and political in public?
This last example probably best illustrates how business is necessarily affected by politics, and the reverse can also be true.
The reason for this is simple. What drives both business and politics is the consumer - people power. In the same way they decide who to elect, they also have a choice whether or not to do business with us.
Most companies now have a set of values and beliefs beyond that of turning a profit. That is not new in business.
One of the strongest influences in bringing about the abolition of the slave trade in the 19th century was business.
Business owners found paying their staff was a better way of doing business (everyone was happier), and they also reported that customers were taking a stand against slavery and choosing the more “ethical” companies to do business with.
That is what is happening today. If anything, the new “competition” in business is to be more moral and show your company values quicker and louder than your competitors.
As soon as Meta and JPMorgan made announcements about support for workers needing abortions, taxi companies Lyft and Uber said they would provide legal support for their drivers who may face legal action for driving women to abortion centres.
As journalists, we love these stories because we know these are issues our readers are talking about. And that means these companies are getting in the news as thought leaders, moral crusaders and the architects of change, as well as the makers of products like ice cream.
So, what is the downside? Could there be a backlash? Could you face a crisis media management incident?
Well, Ben & Jerry’s stock continues to rise, especially, it seems, immediately after controversial campaigns.
📢 It's time to take to the streets! 📢
— Ben & Jerry's UK 🧡 (@benandjerrysUK) June 9, 2022
Let's show our leaders that as caring people we want an asylum system rooted in kindness and compassion, not cruelty and hostility!
Join one of these two demos if you can to stand against the #RwandaPlan https://t.co/6R8VU0qgTD
And Starbucks reports such good consumer response to their minimalist “red cups” campaigns, highlighting their support for the environment, that even President Trump demanding a boycott of the drinks company hasn’t gotten in their way.
So why is it working?
The trick to taking a moral stand, and making it good for business, is to be authentic, consistent, and to know your audience.
We know very well, as journalists, that there is nothing more alienating to the audience than someone who says nothing. An interviewee who refuses to address or answer a question.
In the days of social media, where everyone has a message and opinion, saying nothing can appear a bit like a refusal to answer a question.
So, knowing your audience is crucial. What do they care about? How much do they care? Do they want you to care too?
It will always be the case that some of your potential customers will disagree with you. If you are taking a moral stand demanding change, be it in the environment, racism or any form of social justice, the chances are that you will rub some people up the wrong way.
That could lead to calls for a boycott, and some organisations may fear finding themselves in crisis media management mode.
Cool it, Ben & Jerry's: Bosses of ice cream brand are accused of virtue-signalling after saying that sending migrants to Rwanda was 'ugly, inhumane and racist' and urging customers to join a planned protest march Daily Mail
Ben & Jerry’s is wrong about Britain’s ‘racist’ Rwanda plan New Statesman
But you will also reach people whose ideas resonate with your thoughts, and they are more likely to align with you and your company because you are taking a stand. They have a choice over which companies they want to do business with.
This is why being authentic is crucial. Taking a stand will not work if you are seen to be paying lip service. Also, it must be part of the company’s DNA. A change of board membership or staffing cannot mean your values and moral compass changes too.
But still, some will argue, it is safer to say nothing. Just get on with making the best ice cream and avoid saying anything that could trigger a crisis media management incident.
Well, making good ice cream certainly helps. But the context of being in business today is that we all live together in an imperfect world.
Businesses and consumers alike are trying to make sense of their values. There are more opinion platforms out there than ever before and people are asking questions.
If the world was a perfect place and nothing needed changing, you could probably get away with just making ice cream. But it isn’t.
For that reason, not taking a stand, you could argue, is riskier than having a company with values and morals and saying so.
Showing your staff and customers you care, and showing your awareness and sense of responsibility towards the welfare of the planet and the people who live in it matters.
Your customers will have an opinion and will be asking questions. And that means the most alienating thing you can do is say nothing.
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