When politics hits the checkout: Why more consumers are turning against brands
According to the World Economic Forum's Global Risks Report 2025, polarised societies are now one of the top five long-term risks to global stability.
For businesses, this isn't something happening on the sidelines, it's front and centre – and they're most certainly feeling it.
There was a time when taking a stand on social issues helped brands stand out. But now, those same messages can spark major public backlash. Pic: Getty Images
In today's climate, some consumers are making their opinions known with their wallets.
In fact, Ipsos data shows one in four Americans have boycotted a company because of its political stance or reaction to current events.
In the US, political pressure is pushing some big companies to pull back from their public commitments to diversity, equity and inclusion (DEI). In the US, political pressure is pushing some big companies to pull back from their public commitments to diversity, equity and inclusion (DEI). Pic: Shutterstock
Elsewhere, companies are finding more nuanced ways to stay the course. In Europe and Asia, multinationals are still committed to DEI, but they're adapting their messaging to fit local contexts and avoid political flare-ups.
The same balancing act is happening around ESG (Environmental, Social, and Governance). In early 2025, the EU responded to competitiveness concerns by easing sustainability rules, a sign of how economic pressures are now weighing against long-term ESG goals.
Security is also back on the agenda. In Europe, 36% now say it's the EU's top priority.
Across Asia and Latin America, shifting alliances and social pressures are changing how businesses operate and engage with stakeholders. Pic: Getty
This new environment means businesses need to tread carefully, with clear plans for when to speak up, when to stay silent, and how to align their actions with their values and long-term goals.
Ibec's Global Compass report, Navigating Polarisation: Business Leadership in a Fragmented World, dives deeper into how businesses can lead through today's ideological divides – not by avoiding difficult issues, but by learning to navigate them with care and strategy.
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