Why Consumers Are Drawn to Brands That Take a Stand

The video discusses the critical role of trust in digital Europe, especially in light of the Wirecard scandal. It highlights how brands can build or lose trust based on their stance on social issues like racism and COVID-19. Richard Edelman advises brands to update their practices to reflect current values, ensure diversity, and engage in meaningful conversations. The video also explores the concept of brand democracy, where consumers use their purchasing power to influence brand behavior. Transparency and corporate responsibility are emphasized as key factors in gaining consumer trust.

What is a significant factor that influences consumers to buy or boycott a brand?

• The brand's advertising budget

• The brand's stance on social issues

• The brand's logo design

• The brand's age

What is one of the first steps brands should take to build trust?

• Increase their marketing spend

• Hire more celebrities for endorsements

• Update outdated branding

• Launch a new product line

How did Dove make its brand relevant in the context of social issues?

• By sponsoring a sports event

• By changing its logo

• By running a campaign on black men and Father's Day

• By launching a new skincare product

What is meant by 'brand democracy'?

• Consumers voting for their favorite brand

• Consumers using their purchasing power to influence brands

• Brands having the right to vote

• Brands being run by government officials

What do consumers expect from companies to gain their trust?

• Longer warranties

• Concrete actions and transparency

• Higher product prices

• More advertisements