This week we received news that really shouldn’t be news. Around 180 business leaders convened to align on a philosophical shift when it comes to corporate purpose. The leaders aligned on a different perspective that emphasizes shareholders less and embraces stockholders, including employees, customers, society and investors, more.
Iconic brands are finding themselves in a position they haven’t been in for decades. They’re becoming followers. This piece from Axios looks at how brands like Jell-O, Kraft Mac & Cheese, Oscar Mayer, CoverGirl and others find themselves under assault from upstart competitors that are more in-tune with consumer desires (e.g., by introducing plant-based ingredients), launching with updated product designs and doing business outside of traditional distribution channels.
The trends are concerning to any established brand. Upstarts have captured “31% of revenue share growth within the last four years.”
This is the new landscape brands in every category are facing or will soon be. CPG brands appear to be affected and suffering the most, but no industry is safe. Each is up for grabs.
The era of benefit of the doubt is coming to close for businesses. Consumers are growing more skeptical of brands, while at the same time holding them to a higher standard than ever before when it comes to transparency and honesty. There’s probably no clearer example of this playing out than Facebook. The social network has been roiling from a never-ending series of scandals, obfuscations and crisis mishandling. So what’s the right approach? Consumers say openness.
Much has been said about what traditional brands can learn from the nimble, data-driven and evermore pervasive direct-to-consumer (DTC) brands dominating Instagram and Facebook feeds. Brands like Casper, Warby Parker, Harry’s and others have shown an ability to build brands on social media platforms in a way that’s making traditional brands turn around and think… why can’t we do that?
People don’t talk about brands like they used to. A new report from Engagement Labs shows that conversations, among young consumers especially, dropped from 115.2 conversations per week in 2013 to 94.6 in 2018.
People are clearly going to Facebook, Instagram and Twitter for different reasons, and marketers can use those reasons to make the most out of their presences on each platform.