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Sarah Arvizo

pr@stagwellglobal.com 

Originally Released On

PR Newswire

CONTACT:

Sarah Arvizo

pr@stagwellglobal.com 

Originally Released On: 

PR Newswire

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IR Contact:
Ben Allanson
ir@stagwellglobal.com

PR Contact:
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Mark Penn

Stagwell’s Risk and Reputation Unit has been traveling around the country to brace business leaders for a contentious election cycle. This month’s edition of Hitting the Mark – my analysis of developments at the intersection of business, marketing, and politics for modern C-Suite leaders – dives into the three dominant trends we’re seeing this cycle: big business in the political crosshairs, rising polarization among consumers and a longer tail to recovery in reputational crises.

It’s become clear to me that business doesn’t have anyone on their “side” these days. Both Republicans and Democrats are more than willing to turn business into a punching bag to rally their bases. The government is zeroing in on Big Tech with historic antitrust suits, and a new battleground of AI regulation is forming. This debate season, even if your brand is not overtly political, you might find yourself mentioned by a candidate who wants to call out business to fan partisan flames – with little notice and millions of Americans tuning in live.

Rising polarization is making the situation worse. In a 50/50 country, brands that normally enjoy 80% support will fall to 50% if they enter politics the wrong way. To insulate themselves, brands need to avoid activating their consumers’ “political brains.” Once you make consumers think they’re casting a vote when making a purchase, you are dividing your base and subtracting from your brand support.

Brand crises and reputation recovery also look different these days because of that rising polarization. It used to be brands faced crises over their products, services or governance – like Boeing’s 737 Max tragedies, Wells Fargo’s fraudulent accounts or BP’s Deepwater Horizon oil spill. But after an initial dive, when those companies refocused on their competencies, their reputation started recovering within 2-3 years in a U-shape. Today’s corporate crises are driven by politics and culture war issues, and increasingly look like an L-shape with no reputation recovery in sight.

Bipartisan political counsel is one of the strongest tools a business can leverage over the next 18 months. Our integrated Risk and Reputation Unit is here to help businesses navigate the political minefield. For more information on the Unit’s multi-pronged approach for clients starting with an audit of major stakeholders, visit our website. If you would like to request one of our briefings or learn about our indispensable audit, a must for every business, please reach out.

Until next time,

Mark Penn

By: Ray Day

CONTACT:

Ray Day
ray.day@stagwellglobal.com 

We wanted to share our latest consumer and business insights, based on research from Stagwell. Among the highlights of our weekly consumer sentiment tracking:

HELP WANTED (ESPECIALLY OLDER APPLICANTS)

Older applicants are answering the help-wanted ads, and businesses are happy about it, according to our Harris Poll survey with Express Employment Professionals.

• 79% of hiring managers report a rising tide of older workers vying for entry-level roles compared to three years ago.
• 60% of hiring managers express a preference for hiring older candidates over younger ones for entry-level positions – highlighting a shift in perceptions about experience and maturity.
• 82% of job seekers prefer full-time employment versus part-time (33%) or contract/freelance (23%).
• 83% of job seekers also believe it’s acceptable to apply for roles for which they are overqualified.

‘VENMO ME’ POPULAR FOR PAYING FRIENDS, YET MANY DON’T TRUST APP SECURITY

80% of Americans are using mobile payment apps – half once a week or more – and they’re leaving $316, on average, in their apps, according to our Harris Poll survey with NerdWallet.

• 50% use a mobile payment app – like Venmo and Zelle – to pay for an online purchase, 37% to pay a friend, 35% to repay a family member and 35% to pay bills.
• Of those who don’t use mobile payment apps, 46% don’t trust the security of the apps, and 60% are content with current payment methods, like cash and credit cards.
• 14% don’t use such them because funds in the apps aren’t federally insured through the Federal Deposit Insurance Corp.
• 10% don’t use them because they know someone who was scammed on a mobile payment app.
• 68% maintain a balance in their apps.
• 32% immediately transfer the money they receive.
• 18% keep $500 or more in their app before transferring it to their bank account.

RAISES HELP – YET NOT ENOUGH, AMERICANS SAY

Average U.S. wage growth is now outpacing price inflation, yet Americans aren’t feeling it, according to our Harris Poll survey with USA Today.

• 52% of employed Americans reported a pay increase during the past year.
• Of those who received a raise, 70% say it has eased financial stress from inflation and allowed them to make additional purchases.
• 18% say the pay increase needs to be bigger, however, to afford additional purchases.
• 78% need to wait for another raise before they will feel fully confident in their financial health going forward.

PRENUP POPULARITY ON THE RISE

50% of U.S. adults are open to signing a prenuptial agreement – up from 42% last year – based on our Harris Poll survey with Axios.

• Today, 20% of married couples have a prenuptial agreement.
• 41% of Gen Z and 47% of Millennials who are engaged or have been married said they entered a prenup.
• The prenup push stems from Americans marrying later in life and often having individual assets – and debt – to consider before marrying. Also, even factoring in the recent wedding boom that pushed the marriage-to-divorce rate down, 40% of marriages today end in divorce nationally.

ICYMI

In case you missed it, check out some of the thought-leadership and happenings around Stagwell making news:

• The Most Valuable Airline Miles Might Surprise You
• 65% of Gen Z and 74% of Millennials say they believe they are starting further behind financially than earlier generations at their age
• CVS Health study shows continuing suicide crisis in the U.S.
• Most Parents Think Teachers Are Fully Prepared to Deliver Science of Reading-Aligned Instruction; Educators Are Less Optimistic
• Harris Poll: Illinois has a ways to go to reach its goal of 1 million EVs on the road
• Mark Penn: Self-regulation is the answer to our AI quandaries

CONTACT

hello@stagwellglobal.com

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HOT MEDIA BUYS

(hint: it’s not the national news) 

Marketers don’t just have to pay attention to the presidential election. Advertising spend is projected to hit $9B in down-ballot races concentrated in fewer and fiercer statewide races for Senate, U.S. House, Governor, and other state/local races. Consumers in Las Vegas, Reno, and Philadelphia will bear the brunt of the political advertising blitz, ranking among the “hottest” markets in Assembly’s predictions. Read the full report to learn more. 

HELPING BRANDS PLAY

AT THE ‘SUPER BOWL’ OF NEWS 

Risk isn’t the only thing awaiting brands this political cycle; there’s opportunity, too. The election is the Super Bowl of news and poll watchers, creating a huge, highly engaged audience for marketers to (carefully) tap.  Stagwell is partnering with RealClearPolitics to create an enhanced polling experience for all voters and fresh ways for advertisers to engage this underutilized segment. Dive in here.  

CAMPAIGNING IN THE AGE OF AI

69% of respondents to the July Harvard Harris Poll believe presidential campaigns are already using AI in their advertising — and 81% think presidential campaigns should disclose their use of AI. Learn more about the dos and don’t’s of AI in political advertising from leaders at Stagwell’s Code and Theory and Assembly here. 

Stagwell Can Help Your Brand Get Ready for Decision 2024

Hear from our CEO Mark Penn about our work on how to navigate risk, reputation, and opportunity in 2024; Reach out to request a consultation for your business.  

Originally Released On

PR Newswire

CONTACT:

Sabrine Shaw, Marketing Manager
Sabrine.shaw@assemblyglobal.com

Originally Released On

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CONTACT:

Maria Brockman
marketing@multiview.com

By: Ray Day

CONTACT:

Ray Day
ray.day@stagwellglobal.com 

We wanted to share our latest consumer and business insights, based on research from Stagwell. Among the highlights of our weekly consumer sentiment tracking:

INFLATION REMAINS TOP NATIONAL CONCERN

Inflation is still hitting Americans across the political spectrum, according to our most recent poll with the Center for American Political Studies at Harvard University.

• Americans say inflation is the most important issue facing the country (33%), as well as the most important issue to them personally (39%).
• 75%, including more than 70% from each party, think the Federal Reserve has raised interest rates enough.
• 50% of Democrats and 86% of Republicans believe the U.S. economy remains on the wrong track.
• Half (50%) of Americans say their personal financial situation is getting worse, up from 47% in July.
• While the country remains divided politically, Americans agree on immigration and parental rights: 71% of voters, including 53% of Democrats, think illegal immigration to the U.S. is getting worse.
• 87%, including more than 80% of each party, agree parents have a right to know if their children want to transition their gender.
• Despite being put in the middle of political debates, teachers have strong reputation: 60% of Americans say teachers are mostly trying to help kids get a better education, not push an ideology onto them.

IS THE ECONOMY WORSE THAN THE MEDIA COVERAGE?

Americans don’t trust the government’s economic news – or the media’s reporting of it, according to our Harris Poll survey with The Guardian.

• 65% of Americans believe that the economy is worse than the media makes it out to be – including 49% of Democrats, 82% of Republicans and 66% of Independents.
• At the same time, Americans have an inaccurate understanding about the economy: More Americans (wrongfully) believe the U.S. economy is shrinking (59% say it is shrinking) and that the unemployment rate is nearing a 50-year high (51% believe this).
• 68% of Americans said it’s difficult to be happy about positive economic news when they feel financially squeezed each month (Republicans at 69% and Democrats at 68%).

WEDGE WORDS ARE DIVIDING US

Words matter, and terms like “cancel culture,” “woke” and “ESG” are becoming political lightning rods, according to the latest research from Stagwell’s Risk and Reputation Unit.

• 58% of Americans – including 71% of Republicans and 43% of Democrats – believe the term “ESG” divides people more than it brings them together. “Sustainability” is less polarizing – with 27% believing the term has the potential to divide.
• “DEI” also is a wedge word for 47% of Americans – including 56% of Republicans and 35% of Democrats.
• Wedge words are expected to become more of an issue as the 2024 U.S. election cycle accelerates and political polarization grows.
• To protect reputation from political backlash: 1) know your customer – 44% of Americans view it to be very important to prioritize stakeholders when it comes to social issues; 2) live your values – 44% want a company to live its values in all areas of operations; 3) bring people together – 35% say what’s most important is focusing on unifying social messages and programs; 4) don’t flip-flop – with 35% of Americans saying it’s very important that a company refuses to backtrack on social stances once it takes a position; and 5) back it up – with 30% agreeing that having a proven track record is the best defense against backlash.
• To help businesses navigate the road ahead, Stagwell’s Risk and Reputation Unit is conducting off-the-record, in-person briefings for C-suite executives seeking intelligence about business risks heading into the 2024 election. To join one of the forums, send us an e-mail.

TRUST IN AI ERODES FURTHER

Public trust in AI continues to decline, based on our latest Harris Poll survey with MITRE.

• 39% of U.S. adults indicate that they believe today’s AI technologies are safe and secure, down 9 points from our last MITRE survey in November.
• Overall, Americans are more concerned than excited about the technology: While 51% of men, 57% of Gen Z and 62% of Millennials say they are more excited than concerned, only 40% of women, 42% of Gen X, and 30% of Boomers agree.
• Gen Z (54%) and Millennials (58%) are willing to use AI to perform everyday tasks, yet a much lower percentage of Gen X (39%) and Boomers (30%) are willing to do so.
• This gap widens with applications like AI in cars: 51% of Gen Z and Millennials are comfortable with autonomous rideshare vehicles, compared with 32% of Gen X and 20% of Boomers.
• 80% worry about AI being used for cyber-attacks, 78% worry about it being used for identity theft, and 74% worry about it being used to create deceptive political ads.
• Only 46% believe AI technologies are ready for use in mission-critical applications for defense and national security, down 8% from November 2022.
• All Americans – even younger adults – support more AI safeguards assurance and regulation: 78% of Gen Z and 82% of Millennials support regulation, along with 86% of Gen X and 90% of Boomers.
• Also:
  • Only 35% of Adults are Comfortable with Integrating AI Tools into Their Work or School Due to Concerns About Its Accuracy
  • How Gen Z envisions AI improving e-commerce

TWITTER BY ANY OTHER NAME

The Twitter name is hard to change in the minds of users, according to our Harris Poll survey with Ad Age.

• 79% of X users know about the rebrand, yet 69% still refer to the platform as Twitter and posts as “tweets.”
• 49% say that X’s content is “more negative now than before Elon Musk’s acquisition.”
• Still, for those users on both X and Threads, 69% prefer X.

ICYMI

In case you missed it, check out some of the thought-leadership and happenings around Stagwell making news:

• Trust in Government Institutions Declines
• Stagwell’s Assembly: 2024 election cycle will be the most expensive in history
• Nearly Half of All Young Adults Live With Mom and Dad — and They Like It
• Nine of 10 Companies Face Problems with Payment Operations, 39% Still Manual
• Bill Knapp, Partner at SKDK, on 40+ Years as an Admaker