Tesco, Burger King, Ebay and the rise of the Collectivist Brand
We really are all in this together.
That’s the message from consumers, who have embraced collectivism, community and economic interventions in rising numbers. That’s also the message from brands who are, in different ways, showcasing their collectivist credentials, their commitment to the common cause and their support for those struggling.
First, the evidence from consumers. Our own monthly data has found that consumers have consistently supported the need for common action to defeat the virus and largely rejected the idea of putting themselves first. The idea of all being in this together — a slogan during the early years of austerity — has become actuality in the face of Covid.
This may well sound like a low bar upon which to herald a new era of collectivism. But as the UK plunges into recession — the latest figures confirm a 1.5% decline in the first quarter of this year, to go alongside the record breaking contraction last year — this kind of reaction is not guaranteed.
At the outset of the last crash, support for increasing tax and raising levels of government spending were already falling — and continued falling until austerity was well under way. They only reached pre-recession levels in 2016.
In December 2020, research by Demos found that support for maintaining or increasing current levels of spending is high (47% support increasing — compared to 34% in 2009). There is also widespread support for a more generous welfare system and reducing wealth inequality (both 57%). Perhaps most tellingly is the majority of people are willing to pay more tax to fund this (71%).
These statistics reveal a national mood that is very different to the last time Britain stood on an economic precipice. During and after the Global Downturn in 2008–9 political rhetoric (e.g. “The Big Society”) hinted at collectivist values but public support was for cuts in public spending and a smaller state. In some quarters, that evolved into a discussion about the deserving and undeserving recipients of public services, or ‘skivers and strivers’.
Throughout the pandemic, brands have been quick to respond to this new mood. Early on, as the nation reeled from the sudden shock to daily life and millions applauded the efforts of key (usually public sector) workers, many organisations showed their gratitude too — Pret offering free coffees to NHS workers, Domino’s offering free pizzas, EE offering free mobile data. Brands were doing their bit, pitching in to the national effort. While a departure from the more polarising nature of Political Brands this was nevertheless an example of businesses leaning into the national conversation.
As the year progressed — and issues, even public health ones, became more politicised — brands adapted. Ebay’s `Individually brilliant, Stronger as One` campaign, showed the auction site providing support for its vendors whilst also highlighting the good its sellers do for their local communities.
The message is clear: at a time when consumers are supporting small and independent businesses seen as disproportionately affected by the pandemic — and by extension the digital giants are profiting from the shutdown — eBay is the big guy helping out the little guy.
The pandemic has given us loads of examples of collectivist brands.
Supermarkets, one by one, have pledged to return any economic support they received during the pandemic and also joined forces after Sainsbury’s attracted criticism for celebrating Black History Month. Before Christmas, Burger King ‘donated’ its Instagram platform to smaller restaurants who must now rely on takeaways only. When the economy started reopening in March, Tesco attracted praise for telling people to avoid its supermarkets and go to their local pub instead.
Of course, these actions aren’t entirely altruistic — they contribute to better perceptions and rising awareness of the brand itself. But the fact that they have an economic benefit is precisely why this kind of action is here to stay.
We identified Collectivism Reborn as an accelerating trend in our Post Pandemic Consumer work precisely because in a pandemic — which genuinely does throw us all into it together — it is difficult to impose a more divisionist narrative. But protracted hardship erodes unity.
The second half of 2021 will be characterised not by a public health crisis, but by an economic one. Via the furlough scheme the government is currently paying the wages of 3m people in the private sector. That support, along with benefit payment uplifts, is due to end in the autumn. That sense of all being in it together may well weaken in the months ahead, as governments make the usual ‘tough choices’ on how to pay back the pandemic debt.
The consumer data suggests the collectivist mood may last for longer in this economic crisis than the last one. For brands, it is therefore essential that they adapt and lean into these new social and political debates: emphasising their role in supporting people, society — and even their competitors.
Like all good collectivist moves, there’s even something in it for them.
This piece first appeared on Trajectory Online, an insight and futures resource. For more information, visit https://trajectorypartnership.com/subscribe-to-trajectory/
