Why is Diversity Important in Advertising?

Diversity and inclusion are key industry topics right now in advertising. More than ever before, consumers are better informed, and they have more available choices. Data we are seeing states that 69% of consumers want brands to support diverse causes.  This generation cares deeply about diversity and diverse representation in advertising, and their purchases reflect that.

Diversity is important in advertising because media should more accurately reflect the American consumer population and because consumers are more likely to buy something from a company that commits to diversity.

The World Is Changing

If you only experienced the United States through its commercials and ads, you might get the impression we are composed of a nearly homogenous population. While things are greatly improving, there is still room for highlighting diverse voices. 

In fact, the U.S. Census Bureau reported that only 57.8% of the population identified as white alone on the 2020 census. That is barely more than half of the population, indicating that the remaining 42.2% is racially diverse. 

Despite our extremely multicultural population, an article from Forbes reported that “only 26% of African-Americans, 10% of Hispanics and 3% of Asians feel represented in advertising.” 

Part of this may be because 85.4% of the ad industry is white and are simply reflecting their own experiences and subconscious biases in the ads they create. Whatever the cause, this is an issue that needs to change. It is time for advertising to reflect the reality of the beautiful, diverse world we live in. 

Consumers See Themselves

Another reason why diversity is important in advertising is that it allows consumers to see themselves within an ad campaign. Rather than merely sympathize with the actors in a commercial, when consumers see people who look and act like them, that shared experience translates to something stronger: empathy. 

Consumers will be able to make a deeper connection to your advertisement—and to your brand—when they feel seen and understood. On the other hand, when consumers feel they are consistently left out, underrepresented, or misrepresented, it can create negative feelings about you and your company. 

Failure to represent diversity in your advertising may even send a message to your consumers that you only value the business of certain groups. Making a conscious effort to include diversity does not need to be an act of tokenism; rather, it can demonstrate a commitment to equality and fairness within your brand. 

Diversity Is the Future

Perhaps the most compelling reason for companies to demonstrate diversity in their advertising is the increase in consumerism they may experience. Research from Google found that “people are more likely to consider or even purchase a product after seeing an ad they consider to be diverse or inclusive.” 

This was true among all the groups they surveyed, with some ethnic groups such as Black and Latinx reporting even higher percentages than the average. In other words, media diversity is important not just because it makes consumers feel good but because it also translates to more sales for companies. 

An even more sobering fact that shows why diversity matters in marketing is that in a survey of over 1,000 U.S. adults, slightly more than one-third reported ceasing to buy from a brand they felt did not reflect them in their advertising. When consumers feel that companies do not make an effort to include them in their marketing, they do not develop a feeling of brand loyalty. 

Channel Factory Supports Diversity in Advertising

Diversity and inclusion in marketing are important because consumers want to be seen and understood by the companies whose products they purchase. They want to feel as though they matter. When industries succeed at respectfully incorporating diversity into their advertising, they send a message to their consumers that they are heard and valued. 

We support diversity in advertising. We believe it’s the future and the right thing to do. 

To learn more about the future of advertising and doing the right thing by your audience, contact us today

Brand Perception: Everything You Need to Know

Building up your company’s reputation takes years of hard work—yet, it takes only moments for it to crumble.

In today’s digital age, customers have a myriad of options to choose from—in fact, today’s consumers are bombarded with up to 10,000 ads every day. They get to enjoy the freedom to find the ideal product while businesses struggle to position themselves in an increasingly loud market.

Companies looking to break free from this crowded marketplace must focus on improving their brand perception or risk becoming obsolete.

But what is brand perception? And why does it matter?

What Is Brand Perception?

The term “brand perception” can be defined as how your brand is perceived in the market. It’s how your customers feel about your particular product or service based on their thoughts, feelings, and overall experience with your company.

This perception develops across the entire customer buying journey—from product development and marketing to customer service and even packaging. Every customer interaction either helps or hinders your attempts to build a relationship with and connect to your buyers.

For example, ask any random person on the street if they prefer Coke or Pepsi. Coke fans might say they like red more than blue, or they love Coke’s Christmas can designs. They may also discuss why they dislike Pepsi, such as not enjoying the taste or their marketing. Essentially, their response reveals their brand perception of both Coke and Pepsi.

While brand perception is ultimately controlled by customers, you can control your business’s message to consumers. Creating content that showcases your business’s purpose and product can help to elicit a strong emotional response. 

Why Is Brand Perception Important?

Brand perception affects your bottom line—a lot. 

Every time a customer has a positive experience with your brand, their trust in it goes up. As their trust increases, they’re more likely to purchase from you and choose you over your competitors. Additionally, there’s a higher chance they’ll demonstrate loyalty to your brand and recommend you to a loved one. One study found that 60% of customers will tell friends and family about a brand they’re loyal to.

More loyal customers and more promising leads increase revenue. Businesses are more likely to partner with you. Launching new products will become significantly easier. This is why brand perception is important—and why it’s so important to get it right. Once a consumer formulates a perception about your brand, it’s nearly impossible to change their minds.

The consequences of a negative brand perception are endless. Consumers will likely turn to competitors and inform friends and family of their poor experience, which costs you future customers. 

Yet, the biggest threat of a negative experience is your reputation. Customers will quickly lose faith and trust in your business, painting your company in a less-than-ideal light. 

Take, for example, the backlash McDonald’s faced after the documentary Super Size Me was released in 2004. The documentary explored what happened to an individual who ate McDonald’s for all three meals for an entire month. The results were shocking. The man gained 25 pounds, significantly increased his cholesterol and body mass, and sustained liver damage.

Customers quickly became concerned about the restaurant’s commitment to health, and many boycotted the establishment. This eventually led to the company phasing out their supersize fries and drinks. Customer loyalty slowly began to increase only after they added healthy options like salad and fruit to the menu and their “Every Step Counts” campaign.

How Do You Measure Brand Perception?

So how do you measure brand perception? Conducting regular web searches and asking for customer feedback can provide a fairly reliable picture of how customers respond to your brand. 

Some ways your team members can measure brand perception include:

  • Setting up Google alerts for any mention of your brand.
  • Reading customer reviews online.
  • Monitoring your company’s social media accounts.
  • Passing out brand perception surveys.
  • Holding focus groups and forums.

Enhance Your Brand Perception with Channel Factory

Channel Factory has worked with a number of companies across industries to improve their brand perception. We’ve helped business teams create meaningful and focused content that breaks through the noise of today’s business market with our proven methodology. 

For more information about brand perception, check out the rest of our site or contact us today!