Coming out of a crisis and entering a “brand new world

The crisis that everyone is talking about today is hitting many companies, sometimes very badly. It has – and will continue to have – significant economic and social repercussions. But does it really affect brands? While COVID-19 directly impacts their business and economy as a company, it is not the main challenge they face as a brand. It is a much deeper crisis that puts them at risk in the long term: mistrust. It is not simply a matter of getting out of a crisis, but of rethinking themselves such as entering a “brand new world”.

People are suspicious of brands as well as institutions

For decades, trust in governments, institutions and the media has been significantly declining. This generalized mistrust, which affects and questions the capitalist system as we know it – and in particular its excesses – also impacts brands. The sanitary, economic and social crisis caused by Covid-19 shows how societies and companies  depend on one another. It also offers brands a unique opportunity for awareness-raising that could lead them to regain trust and become the main agents of change. How? By showing sincerity and empathy and by integrating the principle of creating shared value.

Regaining confidence

The value created by a brand depends on the community with which it identifies, just as the community depends on the totality of the contributions of companies. In the 21st century and at the heart of this social and economic ecosystem, the two core abilities will be empathy and relationships. Creating shared value is one of the most significant expressions of these two fundamentals for brands. This approach requires that they participate in a concrete way in improving the lives of all and that they contribute – through their products, but also through tangible commitment that goes beyond speeches of intent or financial donations – to solving the social, environmental and societal problems that our society must face. Only by actively and genuinely participating in these challenges for the good of all (i.e. for the company itself, for the community and for individuals) can brands rebuild the relationships and trust that are essential to their prosperity (those that are based on this principle of shared value often see their profits increase).

Brands as agents of change

According to a study conducted by Brandfog and Mc Pherson Strategies in 2018, two thirds of respondents believe that CEOs (and therefore their companies) must take the lead in terms of change and not wait for governments to do so. In this way, brands can play a key role in finding their rightful place in society. However, many of them need to rethink themselves and integrate the dimension of a “raison d’être” capable of inspiring them towards actions that go beyond their pecuniary interests. The fact that in his latest book “Brand activism, from purpose to action”, Philip Kotler (a reference for all those who have studied marketing) considers that brands must be advocates for change, should make even the most skeptical rethink about it.

Our common responsibility

Today, the first concern of companies – and this is not only normal, but essential – is to regain an activity and a financial base that will allow them to survive. But this emergency does not exclude them from developing ways of thinking and operating that would initiate the societal change that citizens are calling for. Because the desire to overcome the present only makes sense for brands if they are sustainable and determined to participate positively in the future of a reinventing world. And it is also up to each of us to amplify this movement, by favouring the brands that demonstrate this will as much as sincerity.