Why corporate communications need to take a stand

Silence is poison for companies today. It is seen as passivity, unwillingness, or cowardice to take a stand. Some companies have legal, market-specific, or cultural reasons for refusing to address certain issues. Others are afraid of facing public criticism. But especially in these cases it is necessary to rethink those approaches. Companies must learn to represent their position courageously, authentically, and based on values. More so even when criticism is to be expected. Because if you consistently follow a clear line, you'll do well.

This is also reflected in public expectations: according to the latest figures from the Edelman Trust Barometer 2024, 63 percent of respondents worldwide trust that companies “do the right thing.” An IW Medien study also shows that 71 percent of Germans expect CEOs to take a clear socio-political stance. The younger generation in particular sees companies as social actors with a responsibility. Those who remain silent on important future issues such as climate change, digitalization, or social cohesion risk disappearing into insignificance.

Those who fail to take a stand today, lose in several ways. For one thing, they risk losing relevance. Consumers perceive companies that do not actively and visibly engage as passive. As a result, they lose visibility compared to more vocal competitors. A lack of stance can also jeopardize stakeholder trust if it suggests a lack of leadership and direction. Internally, too, there are consequences for employee motivation and retention, as well as for recruiting. Young talent in particular is looking for meaning, values, and authenticity in their potential employers: according to a LinkedIn survey, shared values are an important criterion for more than half of applicants when looking for a job. A company without a clear stance risks losing employees to the competition.

From our PR work, we know that attitude is closely linked to corporate values. A company that wants to demonstrate its attitude must therefore anchor core values, act consistently in accordance with them, and be prepared to clearly formulate opinions and positions. A mission statement that takes the following aspects into account can help with this:

• Authentic positioning in line with the business model: Trust can only be built sustainably through purpose communication that is consistent with the company's own values. Otherwise, the supposed commitment runs the risk of degenerating into pure marketing hype.
• Consistent action across all areas: Taking a stand once is not enough. Long-term credibility requires consistency and sustained, visible commitment.
• Honest communication, even when mistakes are made: If a company shows backbone, it must also have the courage to admit missteps and continue to develop.
• Willingness to engage in dialogue: Especially in an increasingly polarized society, it is important to take stakeholders seriously, listen to them, and engage in dialogue.

Terms such as “sustainable” or “innovative” have long lost any meaning. Companies should therefore avoid such terms and instead communicate specifically what they stand for and what they believe in. If all employees in the company share a common understanding of values and this stance is evident, companies should identify relevant issues that fit the company and on which it makes sense to speak up. Systematic monitoring is recommended in order to be able to react at an early stage. It is important to focus on areas in which the company has genuine expertise.

At the same time, companies must be prepared to deal with negative reactions. Thorough preparation helps here, such as thinking through counterarguments in advance and preparing answers to possible critical questions. A crisis plan in case of a shitstorm is also useful. Companies should be aware that taking a stand also means being more controversial – but in return, they will gain trust and reputation among their own target groups.

Numerous brands already demonstrate how authentic brand communication makes positions visible. Patagonia provided a prime example. The outdoor equipment supplier has taken a clear stance on environmental protection. In 2022, the company reinforced this commitment. Since then, all profits have gone to the Holdfast Collective, a non-profit organization dedicated to environmental protection and the fight against climate change. Airbnb also took a stand when the company offered free accommodation to refugees from Ukraine in early 2022, putting its values of community and belonging into practice. Although the company is often viewed critically, this was a move that was perceived positively by the public.

Courageous communication means securing your own future. Those who take a clear stance today will shape social change tomorrow. Issues such as climate protection, social justice, and the ethical use of artificial intelligence are likely to become even more prominent. Companies that learn to take an authentic stance on these issues now will be better positioned in the long term.

Image source: Blake Cheek on Unsplash