Money Talks (and Drives Social Change)
2018 Survey of Young People and Social Change
You’re reading Part 2/3 of our 2018 Study on Young People and Social Change. Check out Part 1 of this report.
Sure, consumer activism isn’t new and using consumer power isn’t limited to young people, but they have elevated it to a place of primacy. Where politicians and politics increasingly let them down, Gen Z is expecting — demanding even — that brands use their platforms for good. Young people made sure everyone knew who was partnering with the NRA. And they called on advertisers to pull their ads from Laura Ingraham’s show after she took petty shots at Parkland survivor David Hogg. They’re the ones instantly sharing on social media when companies misstep. As explained in a recent CEO Daily from Fortune in regards to a Starbucks employee calling the police on two black men sitting quietly:
“This is just the latest example of how dramatically corporate leadership has changed in the social media era. The incident, while clearly objectionable, would likely have passed with little notice in earlier days. But today, every Starbucks customer has become a potential citizen-journalist, and every social media user feels empowered to react as if he or she has witnessed the event first-hand. It’s up to the CEO to provide the antidote.”
Young people have long looked to brands for leadership in a variety of areas that are important to them — technology, music, entertainment, and fashion. Perhaps it’s no surprise then that they would add social change to that list. They’re saying they want government to do their job, but when that’s not happening, they’re making companies — the other big influence in their lives — responsive and responsible. And companies large and small better take notice — by 2020, Gen Z will account for about 40% of all customers, and they’re prepared to speak with their dollars.
Everyday acts like grabbing a fried chicken sandwich from Chick-Fil-A or a pint of Ben & Jerry’s are now political statements and social action. And young people are the vanguard of this change.
Everyday acts like grabbing a fried chicken sandwich from Chick-Fil-A or a pint of Ben & Jerry’s are now political statements and social action. Shopping can be a point of pride and the refusal to buy can be a very intentional act of defiance. And young people are the vanguard of this change.
In our latest survey, 76% of young people said they have purchased (53%) or would consider purchasing (23%) a brand/product to show support for the issues the brand supported. But perhaps even more importantly — and more costly — 67% have stopped purchasing (40%) or would consider doing so (27%) if the company stood for something or behaved in a way that didn’t align to their values. With new customer acquisition costs anywhere between five and 25 times more expensive than retaining an existing one, businesses simply can’t afford to ignore these numbers!
Compare that to only 29% and 32%, respectively, of respondents who have contacted a representative or attended a political event. If they can’t impact policy with their vote, they’ll vote with their dollars. (Check out film critic and social observer Amy’s Nicholson’s great post about corporate efforts to embrace activism to attract consumer dollars.)
This isn’t to say that social stewardship has replaced price and quality in the buying decision matrix; those factors are still number one. A plurality of respondents said they would not buy a more expensive equivalent product or a lesser quality product even if the brand was clearly superior from a socially or environmentally responsible standpoint.
As TOMS has recently learned, having a clear and well-established ethos can’t make up for the lack of a solid and forward-thinking business plan. But as everything from potato chips to laptops becomes commoditized, stewardship becomes a definable difference maker.
Social stewardship hasn’t replaced price and quality in the buying decision matrix. But as everything from potato chips to laptops becomes commoditized, stewardship becomes a definable difference maker.
For over half of our survey’s respondents, brand reputation and values influence the buying decision. Almost 30% actively seek out socially or environmentally responsible brands and 26% say they often or always decide to purchase solely because they support the brand’s values. The numbers are even higher for people of color.
We hear you thinking it — yes, the extremes on the left and right are the ones vocally driving this new form of consumer activism (and getting all the attention for it), but the quiet majority — moderates in the middle — are not exactly indifferent. They’re just as open to purchasing a brand/product to show support, stop buying a brand because they stood for something or behaved in a way that didn’t align with their values, and engage with a company to advocate for a social cause as those who identify as conservative and liberal.
To truly stand out, companies must engage with young people and make them partners in progress.
In a world in which the ‘Buy 1 Give 1’ model extends from soccer balls to toothbrushes and where the Wendy’s twitter account can win the internet, simply standing for something or having a personality isn’t enough. To truly stand out, companies must engage with young people and make them partners in progress. Nearly 50% of respondents say it’s important for a company or brand to have social change initiatives that consumers can be a part of.
Click through for Part 3 of this Report.
Research & Editorial Team
Meredith Ferguson, Managing Director, DoSomething Strategic
Charlotte Horseman, Data and Research Analyst, DoSomething Strategic
Irene Pedruelo, Director of Research & Insights, DoSomething Strategic
Sohaib Hasan, Director of Analytics, DoSomething.org
Jess Li, Survey Research Analyst, DoSomething.org
Methodology
This survey recruited young people aged 13–25 living in the United States. Data were collected between March 1st and March 23rd, 2018 and the median time to complete the survey was 17 minutes. Prior to analyses, the data were cleaned and weighted as follows:
–Individuals with completion times under one-third the median time to complete were excluded from the results
–Individuals younger than 13 years of age or older than 25 years of age were excluded from the results
–Individuals living outside of the United States were excluded from the results
–Post-stratification weights were applied to reflect young people in the general population (based on gender, age, race, and parental level of education)
The final sample includes 2,461 observations. Results presented here are reported post-weighting to help ensure a nationally representative sample with respect to core socio-demographic variables. Assuming a population size of approximately 56,500,000 13–25 year olds nationwide*, a sample size of 2,461 at a 95% confidence level allows for a 1.98% margin of error (based on the assumption that data are normally distributed).
*Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2016 Source: U.S. Census Bureau, Population Division
About DoSomething Strategic
DoSomething Strategic is the data-driven social impact consultancy arm of DoSomething.org. We help brands and organizations engage young people for positive social change. We combine proprietary data with a deep understanding of what young people care about to help clients build relationships with this unique demographic and activate them for social good. Our expertise is grounded in moving 6 million DoSomething.org members — ages 13–25 in every area code in the United States and in 131 countries worldwide — to take social action, and we’ve been doing this work successfully day in and day out for over 25.
