USC Annenberg Global Communication Report 2024

USC ANNENBERG CENTER FOR PUBLIC RELATIONS 2024 GLOBAL COMMUNICATION REPORT

GLOBAL COMMUNICATION REPORT 2024

AUTHOR Fred Cook

CONTRIBUTORS MYRIANT BY UNITED MINDS

Ben Kalevitch Emily Caruso KRC RESEARCH

Abby Ferdinando Colleen Learch Ben Davies Allison Smith CENTER FOR PR

Ron Antonette Grayson Wolff MA ‘24 Michael Kittilson MA ‘25 Mystie Ng MCG ‘24 SPECIAL THANKS

David Michaelson Marcie Carson IE Design + Communications

© 2024 University of Southern California | Los Angeles, California

USC ANNENBERG CENTER FOR PUBLIC RELATIONS

2 0 2 4 G L O B A L C O M M U N I C AT I O N R E P O R T LOS ANGELES, CALIFORNIA APRIL 2024

SINCE THE RACIAL JUSTICE PROTESTS IN THE SUMMER OF 2020,

69% of consumers, 71% of employees and 89% of investors

our research, and that of many others, has shown a surge

believe companies have the responsibility to help solve some

in corporate activism. Many companies that had never

of society’s problems. Today, those numbers have dropped

addressed a topic not directly related to their core business

significantly with consumers (-8%) and employees (-7%)

made public statements in response to the events of the

but have increased with investors (+7%).

day. Disney opposed “Don’t Say Gay” legislation in Florida.

Lyft protested anti-abortion legislation in Texas. Nike stood

Over the past decade, the terminology for social engagement

behind Colin Kaepernick against the NFL. Dick’s Sporting

that falls outside of normal business activity has evolved

Goods discontinued gun sales. Yvon Chouinard gave the

from philanthropy and corporate social responsibility to

company he founded, Patagonia, to an environmental group.

PURPOSE — a belief that companies who embed a deeper

According to a Yale study, more than 180 U.S. companies

mission in their business that reflects their stakeholders’

issued statements related to the Israel/Hamas conflict.

values earn brand loyalty, public recognition and a higher valuation. PR professionals became the primary advocates

This dramatic upswing in corporate activism has been

for this powerful narrative, infusing purpose into their

driven by several factors. First, a prevailing sense that

internal messaging and external programs.

government has not fulfilled its role in society, combined with a belief that corporations possessed the resources

Polarization also emerged as a powerful force in the battle

and expertise to solve some of these major problems.

for hearts and minds. At Annenberg, we did a four-year

Our research indicates the primary reason business stepped

study of this phenomenon, which yielded several interesting

up engagement with social issues is the rising expectations

discoveries. Overall, polarization in the U.S. has remained

among its stakeholders. A year ago, we reported that

at the same high level since Trump left office. Yet, the issues

that drive polarization have shifted considerably. For

In this unprecedented year, purpose and polarization are

example, the conversation around abortion has intensified,

colliding head on, posing a challenge for CEOs. They’re

while the debate around climate change has cooled.

walking a tightrope in a hurricane. Balancing the weight

Healthcare, which was a divisive topic during the Trump

of competing demands from their stakeholders, while

administration, has been eclipsed by the disagreement over

withstanding turbulence from a category-five political

the wars in Gaza and Ukraine. Together, these moving parts

storm. It’s tempting to hunker down until it blows over,

form a Rubik’s Cube for corporate communicators, who must

but silence isn’t a sanctuary for companies with strong

anticipate how every word they say, about every topic they

values and close relationships with their employees

face will impact a diverse set of stakeholders, who wield

and customers.

the power to protect or damage their brand, with social media as their primary weapon.

Leaders need to be prepared for this high wire act with a deep grasp of the issues, an intimate understanding

We also discovered that Polarization is no longer simply

of their stakeholders, and sound judgement on when

the result of disagreements between people with different

they should engage. We hope this research will help

opinions. It has escalated into a culture war, where the

you find the right balance.

lines are being drawn by politicians and media who seek to increase ratings, raise money and get votes. Because there is no room for nuance in a polarized environment, operating from the extremes has become an efffective brand building marketing strategy, with no signs of abating.

FRED COOK DIRECTOR, USC ANNENBERG CENTER FOR PUBLIC RELATIONS

3

The first step in the Balancing Act is to gauge stakeholder expectations, which we did for this report.

It is probably no surprise that we found many Americans believe our country is headed in the wrong direction.

4

OVERALL, WOULD YOU SAY THAT EACH OF THE FOLLOWING ARE HEADED IN THE RIGHT DIRECTION, OR ARE OFF ON THE WRONG TRACK?

PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■

DEMOCRATS ■ REPUBLICANS ■

90% 74% 63% 41%

39%

16%

55% 64%

THE COUNTRY

15% 5% 19%

39%

52%

YOUR COMPANY

THE ECONOMY

YOUR POLITICAL PARTY

OFF ON THE WRONG TRACK

26%

30%

66%

THE ECONOMY

47%

15%

14%

THE COUNTRY

54%

39%

31%

26% IN THE RIGHT DIRECTION

59%

29% 31%

40%

49% 59% 80%

You may be surprised that communication professionals are the most pessimistic, with only 16% saying the country is headed in the right direction. Along with investors and business leaders, they give higher marks to the economy, because these groups benefit from it more than the average consumer. Senior executives give themselves an A for leading their companies in the right direction, but employees are harder graders.

78%

Politics also impacts people’s opinion. Republicans are significantly more likely to be feel negatively about the direction of the country and the economy. The percentage that are positive is only in the teens. This negativity will likely continue throughout the presidential campaign, at least with the 47% of Republicans who think their party is headed in the right direction. Democrats are more positive across the board, but they are also mixed on the direction of their party.

EXPECTATIONS

48%

68%

54%

5

IN YOUR OPINION, WHICH OF THE FOLLOWING GROUPS IS PLAYING A POSITIVE ROLE IN ADDRESSING SOCIETAL CHALLENGES?

2024 GLOBAL COMMUNICATION REPORT

■ CONSUMERS ■ EMPLOYEES ■ INVESTORS ■ BUSINESS LEADERS ■ PR PROFESSIONALS

6

NONPROFIT ORGANIZATIONS

LOCAL NEWS MEDIA SOURCES

RELIGIOUS INSTITUTIONS

NATIONAL NEWS MEDIA SOURCES

38% 39% 24% 37% 46%

71%

18%

29% 43% 39% 31%

24% 23% 15%

23% 46%

31%

39%

22%

20%

2024 PRESIDENTIAL CANDIDATES

STATE GOVERNMENT

leaders and PR professionals rank the role played by big business at the top of their lists — much higher than their stakeholders do.

FEDERAL GOVERNMENT

13% 18%

18% 19% 28% 33% 24% 6%

22% 30% 35% 21%

LARGE BUSINESSES/ MAJOR CORPORATIONS

15% 19%

41%

28%

39%

26% 18%

38%

EXPECTATIONS

We found that less than half of Americans believe that any group is meeting their expectations in addressing social challenges.

Consumers and employees give the most credit to nonprofit groups and the least to major corporations. Investors, business

7

DO COMPANIES HAVE A RESPONSIBILITY TO ADDRESS SOCIAL ISSUES?

■ PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS

85% 89%

2024 2023

69%

2023

96%

2024

89%

2023

2024 GLOBAL COMMUNICATION REPORT

61%

2024

2023 NO DATA

8

71%

2023

72%

2024

64%

2024

Most stakeholders agree that companies have the responsibility to address social issues. For consumers, the percentage who agree has dropped 8% from last year. For employees, it declined by 7%. Public relations professionals had a smaller drop of 4%.

GEN Z

66

%

BOOMER

56

%

57

%

Looking deeper, almost three fourths of Democrats agree that business should play a role in society, compared to slightly over half of Republicans. While, 66% of Gen Z respondents believe companies should engage compared with 56% of

These changes are significant and may be a sign of a broader shift away from purpose. On the other hand, the percentage of investors who hold companies responsible for addressing social issues rose to 96%!

70

%

DEMOCRAT

73

%

REPUBLICAN

53%

Boomers. The percentage who expect companies to get involved also rises with personal income levels. These profiles reflect the demographics of polarization.

BIG BUSINESS RESPONSIBILITY TO PLAY A ROLE VS. CURRENTLY PLAYING A POSITIVE ROLE

PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS ■

■ RESPONSIBILITY TO PLAY ■ CURRENTLY PLAYING

96% 72% 38%

64% 39%

61%

41% 18%

When you compare each group’s expectations of big business with their perceptions of the positive role it is playing in society, you see some significant gaps, especially with the most important groups — employees and consumers. These gaps represent

13%

both challenges and opportunities for business. Many CEOs are calculating whether the opportunities are worth the risks and the answer is different for every organization. The only way to find out what works for your company is to ask your stakeholders.

EXPECTATIONS

85%

9

The second step in the Balancing Act is understanding the issues that are important to your stakeholders. The list is long and it changes all the time.

What was important to them last year may not be next year, but rest assured something else will replace it.

10

HOW MUCH DO YOU KNOW ABOUT A COMPANY’S STANCES? HOW MUCH DO BUSINESS LEADERS THINK YOU KNOW?

BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS ■

■ VERY KNOWLEDGEABLE ■ SOMEWHAT KNOWLEDGEABLE ■ NOT KNOWLEDGEABLE KNOWLEDGEABLE 39%

BUSINESS LEADERS EXPECT INVESTORS TO BE

37%

EMPLOYEES SAY THEY ARE

BUSINESS LEADERS EXPECT CONSUMERS TO BE

15%

46%

32%

BUSINESS LEADERS EXPECT EMPLOYEES TO BE

CONSUMERS SAY THEY ARE

46%

17%

35%

23%

48%

20%

47%

42% 36%

Begin by finding out what stakeholders actually know about your company. Executives can easily overestimate the level of awareness both employees and consumers have about their company’s positions and their programs. This knowledge gap

5%

38% 53%

11%

can be a blind spot in decision making and a disconnect in a crisis. Stakeholders can only evaluate an organization’s current actions in the context of their previous ones. The more they know about you, the more they will support you.

ISSUES

INVESTORS SAY THEY ARE

11

WHAT ISSUES ARE YOU, AS A CONSUMER, FOCUSED ON? WHAT ISSUES SHOULD COMPANIES FOCUS ON?

■ CONSUMERS

■ PERSONALLY FOCUSED ON ■ COMPANIES SHOULD FOCUS ON 81%

78%

72%

72%

72%

67%

51%

2024 GLOBAL COMMUNICATION REPORT

THE AMERICAN ECONOMY

12

59%

62%

CLIMATE CHANGE AND SUSTAINABILITY

THE 2024 PRESIDENTIAL ELECTION

53%

42%

THE ISRAEL-HAMAS CONFLICT

MENTAL HEALTH

53%

62%

DIVERSITY, EQUITY, AND INCLUSION (DEI)

65%

MIS/DISINFORMATION

51%

54%

USAGE AND REGULATION OF GENERATIVE AI

In this survey, we asked consumers which topics they were focused on and which ones they thought the companies should focus on. In most cases, consumers want the brands they support to focus on the issues that are important to them,

67%

63%

GUN VIOLENCE

45%

50%

ANTISEMITISM

66%

58%

61%

51%

IMMIGRATION AND REFUGEE ISSUES

ABORTION AND REPRODUCTIVE ISSUES

42%

40%

61%

RACISM AND RACE RELATIONS

57% 40%

POLARIZATION

UNION WORKERS’ RIGHTS

67%

37%

45%

TRANSGENDER RIGHTS

with a couple of exceptions, like the upcoming election which is near the top of their list at 72%, but closer to the bottom of what they expect from companies. This should be welcome news to organizations who want to avoid political controversy.

WHAT ISSUES DO YOU THINK ARE IMPORTANT TO YOUR CONSUMERS? WHAT ISSUES ARE IMPORTANT TO YOUR COMPANY?

BUSINESS LEADERS ■

■ IMPORTANT TO CONSUMERS ■ IMPORTANT TO COMPANY

79%

73%

65%

73%

72% 57%

61%

THE AMERICAN ECONOMY

DIVERSITY, EQUITY, AND INCLUSION (DEI)

CLIMATE CHANGE AND SUSTAINABILITY

MIS/DISINFORMATION

61%

61%

59%

57%

59%

45%

UNION WORKERS’ RIGHTS

USAGE AND REGULATION OF GENERATIVE AI

52%

GUN VIOLENCE

43%

ANTISEMITISM

To find out how well senior executives know their customers, we asked them which issues they thought consumers cared about the most. Then we compared that to the issues which their companies were focused on. They freely admit that many issues are not as important to them as they are to consumers.

68%

66%

MENTAL HEALTH

56%

45%

ABORTION AND REPRODUCTIVE ISSUES

68% 53%

RACISM AND RACE RELATIONS

56%

53%

TRANSGENDER RIGHTS

63%

61%

62% 45%

THE 2024 PRESIDENTIAL ELECTION

IMMIGRATION AND REFUGEE ISSUES

48%

44%

45%

POLARIZATION

39%

THE ISRAEL-HAMAS CONFLICT

There are too many social issues for one company to tackle effectively. Our previous research says they should focus on no more than three, which should be aligned with their values, legacy and expertise. They can address the other issues that matter to their stakeholders in more measured ways.

ISSUES

81%

13

■ BUSINESS LEADERS ■ CONSUMERS

BUSINESS LEADER PERCEPTIONS VS. CONSUMER REALITY 90%

OVERESTIMATE FOCUS

14

BUSINESS LEADERS PERCEPTION OF IMPORTANCE

2024 GLOBAL COMMUNICATION REPORT

80%

DIVERSITY, EQUITY, AND INCLUSION (DEI)

70%

UNION WORKERS’ RIGHTS

GENERATIVE AI ANTISEMITISM

TRANSGENDER RIGHTS 60%

POLARIZATION 50%

40%

THE ISRAEL-HAMAS CONFLICT

30% 30%

PERSONAL IMPORTANCE TO CONSUMER

40%

50%

This graph is a good illustration of the tightrope executives must walk. As you can see, their preconceived opinion about the importance consumers place on the economy is right on the money, but there are sizable gaps between the perceived

and real importance with many other topics. When the issue is serious, the divide can become difficult to bridge. Comparing different stakeholder groups to each other exposes the existing friction points and helps avoid creating new ones.

THE ECONOMY

CLIMATE CHANGE

MIS/DISINFORMATION

RACISM

MENTAL HEALTH IMMIGRATION AND REFUGEE ISSUES

THE 2024 PRESIDENTIAL ELECTION GUN VIOLENCE ABORTION

UNDERESTIMATE FOCUS

70%

80%

90%

ISSUES

60%

15

■ PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES

WHEN SHOULD A COMPANY LEAD, FOLLOW OR AVOID?

62% 55%

MENTAL HEALTH

50%

26% 28%

17%

30%

20%

64% 42%

2024 GLOBAL COMMUNICATION REPORT

16

RACISM AND RACE RELATIONS

23% 34%

62%

THE AMERICAN ECONOMY

15%

35% 7% 30%

17%

52%

29%

20%

43%

31%

26% 46%

27% 67%

53%

15%

31% 31%

11% 21%

This is an interesting look at what issues stakeholders feel a company should take a leadership position on. The first three groups — employees, investors and executives — are strikingly similar in their opinions on almost every topic. Surprisingly,

32%

39%

31% 35% 31%

28% 65%

47%

25%

13% 28% 19% 27% 42%

37%

29%

39%

28%

44%

21%

41% 30%

19% 28%

26%

41% 43%

GUN VIOLENCE

24%

39%

50%

33%

15%

27%

44%

MIS/DIS INFORMATION

26% 35%

29%

22% 10% 24%

29%

45%

UNION WORKERS' RIGHTS

18% 10%

50%

21%

23%

57% 48%

45%

CLIMATE CHANGE AND SUSTAINABILITY

13%

53%

39%

72%

24% 23%

57%

52%

DIVERSITY, EQUITY, AND INCLUSION

12%

28%

34% 33% 28%

the communication professionals are the contrarians. They think companies should lead on DEI, climate change, misinformation, but be more reticent to get out in front on immigration, gun violence and union workers’ rights. This data can be viewed

■ LEAD ■ FOLLOW ■ AVOID

26% 9%

39%

USAGE AND REGULATION OF GENERATIVE AI

34%

48% 39%

IMMIGRATION/ REFUGEES

TRANSGENDER RIGHTS

33%

35%

32%

48%

26%

33% 26%

32%

32%

33%

36%

31% 44%

26%

30%

37%

34% 40%

31%

32%

26%

34%

26%

22%

42% 46%

31% 40%

in two ways. As communication experts, they gravitate toward familiar subjects that are natural for a business to address.

Or, as corporate counselors, they shy away from controversial

28%

39%

31%

39%

72%

44%

39%

31%

29%

POLARIZATION

40%

33%

44%

29%

46%

19%

46%

28% 9% THE ISRAEL-HAMAS CONFLICT

29% 31%

22% 22% 28%

17%

29%

24%

29%

28%

21% 29%

THE 2024 PRESIDENTIAL ELECTION

35%

37%

41%

33% 7%

44%

32%

31%

43%

23%

28%

31%

ABORTION AND REPRODUCTIVE ISSUES

28%

36%

28%

ANTISEMITISM

15%

38%

40%

22%

27% 37%

28%

35% 43% 60% 55%

23% 33%

44%

25%

47%

subjects with a higher risk factor. In either case, they should be conscious of the expectations of their stakeholders and willing to assume some level of risk for the right cause.

ISSUES

64%

17

■ BUSINESS LEADERS ■ EMPLOYEES

HOW FOCUSED IS YOUR COMPANY ON EACH OF THE FOLLOWING TOPICS?

79%

THE AMERICAN ECONOMY

2024 GLOBAL COMMUNICATION REPORT

GUN VIOLENCE

52% 48%

MENTAL HEALTH

66% 63%

UNION WORKERS’ RIGHTS

45% 48%

DIVERSITY, EQUITY, AND INCLUSION (DEI)

65% 64%

TRANSGENDER RIGHTS

45% 43%

ABORTION AND REPRODUCTIVE ISSUES

45% 40%

IMMIGRATION AND REFUGEE ISSUES

45% 45%

THE 2024 PRESIDENTIAL ELECTION

18

65%

MIS/DISINFORMATION

61% 45% 61% 48%

USAGE AND REGULATION OF GENERATIVE AI

59% 48%

POLARIZATION

45% 36%

CLIMATE CHANGE ANS SUSTAINABILITY

57% 47%

ANTISEMITISM

43% 39%

RACISM AND RACE RELATIONS

53% 57%

THE ISRAEL-HAMAS CONFLICT

39% 36%

To gauge the alignment and the perceptions of employees and employers, we asked them both to rank their companies focus on issues and then rate how they are performing against their goals. The employers reported they were most focused on the economy, mental health and DEI. Employees said their

employers were focused on the same issues, but with less intensity. Although some employees surveyed stated their knowledge is limited, this chart shows that employees are fairly well aligned on what their companies are focused on overall.

THE AMERICAN ECONOMY

78% 78%

GUN VIOLENCE

MENTAL HEALTH

75% 86%

UNION WORKERS’ RIGHTS

DIVERSITY, EQUITY, AND INCLUSION (DEI)

82% 85%

TRANSGENDER RIGHTS

BUSINESS LEADERS ■ EMPLOYEES ■

74% 77% 82% 78% 71% 75%

THE 2024 PRESIDENTIAL ELECTION

79% 74%

ABORTION AND REPRODUCTIVE ISSUES

65% 73%

MIS/DISINFORMATION

73% 76%

IMMIGRATION AND REFUGEE ISSUES

65% 74%

USAGE AND REGULATION OF GENERATIVE AI

80% 79%

POLARIZATION

76% 71%

CLIMATE CHANGE ANS SUSTAINABILITY

84% 82%

ANTISEMITISM

72% 75%

RACISM AND RACE RELATIONS

84% 83%

THE ISRAEL-HAMAS CONFLICT

Notably, the executives gave themselves high marks for delivering on their goals. Employees, despite their overall critical view of big business, also feel that their employers are delivering on their commitment across the long list of issues, even on the

81% 76%

tough topics, which demonstrates the importance of effective internal communications. Moving forward, if organizations begin to pull back on purpose-driven messaging to employees these scores will likely decline.

ISSUES

HOW WELL IS YOUR COMPANY DELIVERING ON ITS GOALS RELATED TO EACH OF THE FOLLOWING TOPICS?

19

The third step in the Balancing Act is to become fluent in the language of the stakeholder, especially the ones who speak the loudest.

20

AS A CONSUMER, WHAT ACTION WILL YOU TAKE IF A COMPANY’S POSITION ON AN IMPORTANT ISSUE ALIGNS WITH YOURS?

CONSUMERS ■

50%

30%

20%

49%

INCREASE MY SUPPORT FOR THE COMPANY

BY PURCHASING MORE

44%

SHARE POSITIVE REVIEWS OR TESTIMONIALS

37%

DEFEND THE COMPANY FROM CRITICISM

33%

ENGAGE WITH THE COMPANY ON SOCIA MEDIA

23

%

10%

SHARE THE COMPANY'S CONTENT OR POSTS ON SOCIAL MEDIA

23%

ATTEND EVENTS SUBSCRIBE TO OR PARTICIPATE THE COMPANY'S IN ACTIVITIES NEWSLETTER ORGANIZED BY OR BLOGS THE COMPANY

20%

20%

I WOULD NOT TAKE ANY SPECIFIC ACTION

19%

0%

In every group, there’s a subset of people who are more “active” than the rest — more political, more outspoken and more extreme. If they’re fans of your brand, they will be your biggest advocates. If they aren’t, they can be your biggest detractors.

In a polarized society, the negative voices often receive the most attention, but the activist stakeholders, who believe your values align with theirs, will buy your products, promote your brand and defend you in a crisis.

STAKEHOLDERS

40%

RECOMMEND THE COMPANY TO FRIENDS, FAMILY, OR COLLEAGUES

21

■ CONSUMERS

AS A CONSUMER, WHAT ACTIONS WILL YOU TAKE IF YOU DISAGREE WITH A COMPANY’S POSITION ON AN IMPORTANT ISSUE?

SEND A LETTER TO THE COMPANY EXPRESSING DISAPPROVAL

EXPRESS MY OPINIONS TO FRIENDS AND FAMILY

8%

19%

2024 GLOBAL COMMUNICATION REPORT

KEEP MY OPINIONS TO MYSELF

8%

EXPRESS MY OPINIONS ON SOCIAL MEDIA

22

NOT MAKE DIRECT CONTACT WITH THE COMPANY ITSELF

17%

9%

SELL MY SHARES IN THE COMPANY

7%

BOYCOTT THE COMPANY

13%

LEAVE A NEGATIVE RATING OR REVIEW ABOUT THE COMPANY’S PRODUCT OR SERVICES

9%

Based on our research, we believe activist stakeholders who are willing to publicly protest, criticize online, or boycott products represent less than 10% of the stakeholder population. But, their actions have the ability to influence the other 90%,

NOT POST MY OPINIONS ON SOCIAL MEDIA

22%

17%

11%

14%

KEEP MY FINANCIAL DECISIONS SEPARATE

KEEP BUYING THE PRODUCT BECAUSE I LIKE IT

NOT LEAVE ANY NEGATIVE RATINGS OR REVIEWS

if those are the only voices they hear. In the media echo chamber, negative new travels faster and farther than positive news.

If a company is planning to make a statement on a politicallycharged issue, introduce a divisive policy or launch a

AS AN EMPLOYEE, WHAT ACTIONS WILL YOU TAKE IF YOU DISAGREE WITH YOUR COMPANY’S POSITION ON AN IMPORTANT ISSUE?

SPEAK WITH MY CO-WORKERS ABOUT THEIR OPINIONS ON THE ISSUE

13%

EXPRESS MY OPINIONS ON SOCIAL MEDIA

RAISE MY CONCERNS WITH A MEMBER OF HR OR A SENIOR COLLEAGUE

ORGANIZE A PROTEST OR PETITION AGAINST MY EMPLOYER

STAY AT MY JOB

12%

11%

KEEP MY OPINIONS TO MYSELF

9%

21%

6%

NOT RAISE MY CONCERNS

10%

12%

6%

controversial product, the PR team can anticipate the response by taking a deeper look at their most vocal employees, investors and consumers with their own research, instead of relying only on the opinions of HR, IR and Sales. Being fluent with your stake-

NOT POST MY OPINIONS ON SOCIAL MEDIA

20%

NOT TAKE PART IN ANY TYPE OF ORGANIZING

holders is critical to decision making. In our digital world, social media has added a new dimension to Newton’s third law, which now should read: Every action creates an equal and opposite chain reaction.

STAKEHOLDERS

LOOK FOR ANOTHER JOB

EMPLOYEES ■

23

WHAT FACTORS WOULD PREVENT YOUR COMPANY FROM ENGAGING WITH AN IMPORTANT SOCIAL ISSUE?

■ BUSINESS LEADERS

60%

50%

40%

53% ALIENATING CUSTOMERS

43% ALIENATING EMPLOYEES

37% 35%

REPUTATIONAL RISK 30%

ALIENATING INVESTORS

30% 29% 28% 27% 25%

2024 GLOBAL COMMUNICATION REPORT

ACTIVIST ATTACKS

24

20%

10%

GOVERNMENT PRESSURE

PERSONAL BELIEFS OF LEADERSHIP

BUSINESS PRIORITIES SET BY LEADERSHIP

INDUSTRY PEERS NOT TAKING A STAND

12% NOTHING

0%

When deciding whether to speak out on an issue, there are a lot of audiences to consider, especially for a global company operating in countries with different cultural and legal standards. When considering speaking out on an issue, the U.S. executives we surveyed said they were more concerned about alienating customers and employees than angering government

officials. This is a legitimate point because those two groups are the normally the most important stakeholders. But in our current political environment, when Congress is considering banning companies from operating in the U.S., it is wise to include the reaction of elected officials and prospective candidates in your calculations, especially in an election year.

HOW MUCH INFLUENCE DOES EACH GROUP HAVE ON A DECISION TO TAKE A STANCE ON AN ISSUE?

BUSINESS LEADERS ■

■ A GREAT DEAL ■ SOME ■ ONLY A LITTLE ■ NONE ■ NOT SURE/DON’T KNOW

7% 1%

EXECUTIVE LEADERSHIP

6% 13% 48%

9%

10% 32%

INVESTORS

17%

2%

3% 34%

CUSTOMERS OR CLIENTS

37% 40%

16%

37 %

Although senior executives state that customers and employees are their most important consideration when they are pondering involvement on an issue, they admit their executive leadership has more influence on their decision making. Even If they’re right, it’s important to find out if your customers and employees agree. Communicators are always talking about their audience,

12%

28%

EMPLOYEES 21%

26%

2%

1% 24%

29%

REGULATORS OR POLICYMAKERS

33%

37%

17%

EXTERNAL ACTIVIST GROUPS 17%

36%

which implies a large group of people sitting quietly in front a theater stage, waiting for an important person to tell them what they think. We should ban the word “audience” from the PR vocabulary, because today the roles are reversed. Stakeholders are not sitting quietly for anyone.

Stakeholder fluency isn’t: “This is what I think.”

Instead it’s: “This is what our stakeholders think.”

Whether you are in Chicago or China, understanding your stakeholders is the secret to maintaining your balance. Once that is accomplished, the rest of the trip becomes a walk in the park — unless an unprecedented election knocks you off your feet.

STAKEHOLDERS

7%

25

■ PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ CONSUMERS

HOW COMFORTABLE ARE YOU COMMUNICATING ON THE FOLLOWING TOPICS?

51%

78% 82%

THE AMERICAN ECONOMY

67%

70%

76%

67%

77%

66%

71%

MENTAL HEALTH

63%

CLIMATE CHANGE AND SUSTAINABILITY

70%

67%

RACISM AND RACE RELATIONS

57%

2024 GLOBAL COMMUNICATION REPORT

74%

26

67%

48%

42% 62%

GUN VIOLENCE

48%

IMMIGRATION/ REFUGEES

58% 46%

72%

68%

36% THE 2024 PRESIDENTIAL ELECTION

45% 67% 67% 68%

In our survey, we ask each group how comfortable they are talking about the topics in our survey, communication professionals again ranked themselves lower than the other groups on the tougher topics, including gun violence, immigration and abortion, but higher on workplace issues like DEI and Mental Health.

ABORTION AND REPRODUCTIVE ISSUES

51% 61% 68%

It’s doubtful they’re less informed on these topics than consumers and employees. It’s more likely they understand the risks associated with engaging on difficult topics, like the Israel/Hamas conflict, which ranks the lowest on their list. Many PR people believe this war is one of the most challenging issues they’ve

78% 70% 54%

ANTISEMITISM

53% 35%

65%

53% 81%

67%

DIVERSITY, EQUITY, AND INCLUSION (DEI)

70%

33% THE ISRAEL-HAMAS CONFLICT

50% 31%

63%

53%

35% UNION WORKERS' RIGHTS

42% 54% 74%

TRANSGENDER RIGHTS

56%

51% 69%

USAGE AND REGULATION OF GENERATIVE AI

53% 43%

59% 72% 55%

ever tackled, because they cannot publicly support either side without alienating another group of passionate stakeholders.

Unfortunately, we are going to see a lot more situations like this in the future as the issues increase in complexity and the

49% POLARIZATION

51% 41% 44%

stakeholders embrace them more passionately. Companies will need the courage to address them, even when they know they’re going to anger someone in the process. Those who try to avoid every controversy are going to find themselves in one of their own.

STAKEHOLDERS

MIS/DISINFORMATION

52%

27

“ It doesn’t matter how many people hate your brand, as long as enough people love it.

And as long as you have that attitude, you can’t be afraid of offending people. You can’t try and go down the middle of the road. You have to take a stand on something.”

Phil Knight NIKE, Inc.

28

HOW IMPORTANT IS IT TO YOU THAT A COMPANY TAKE A PUBLIC STANCE ON THE FOLLOWING ISSUES?

THE 2024 PRESIDENTIAL ELECTION %

58% 51% 65% 76%

MIS/DISINFORMATION

GUN VIOLENCE

58% 75% 52% 65% 57%

IMMIGRATION/ REFUGEE ISSUES ABORTION/ REPRODUCTIVE ISSUES RACISM/ RACE RELATIONS

THE ISRAEL-HAMAS CONFLICT

82%

MENTAL HEALTH

47% 53% 36% 80%

DIVERSITY, EQUITY, AND INCLUSION (DEI)

44% 65%

USAGE AND REGULATION OF GENERATIVE AI

48% 64%

ANTISEMITISM

POLARIZATION

63%

78%

CLIMATE CHANGE/ SUSTAINABILITY

41% 53% 31% 71%

UNION WORKERS’ RIGHTS

42% 81% 53%

When we examine previous charts through a political lens, the impact of polarization comes into focus. It becomes clear that consumers are sticking to party lines, with no hope of consensus.

On every issue we researched, the percentage of Democrats who support corporate involvement exceeds the percentage

TRANSGENDER RIGHTS

47% 65% 26%

of Republicans who agree — often by 30 or more percentage points. For example, 80 % of Democrats say companies should be engaged on DEI versus 37% of Republicans. This is staggering gap on a topic that many view as a basic corporate necessity and there are many more like it.

PURPOSE & POLITICS

82% 78%

THE AMERICAN ECONOMY

DEMOCRATS ■ REPUBLICANS ■

29

WILL COMPANIES TAKE MORE OR LESS OF A PUBLIC STANCE ON ISSUES...

■ PR PROFESSIONALS ■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS

DURING THE 2024 ELECTION CYCLE? 49%

50%

43%

42% 33%

32%

23%

19%

17%

21%

29%

30%

30%

35%

20% 3%

MORE OF A PUBLIC STANCE

LESS OF A PUBLIC STANCE

ABOUT THE SAME AS CURRENTLY

3%

4%

7%

11%

NOT SURE/ DON’T KNOW

2024 GLOBAL COMMUNICATION REPORT

DURING THE NEXT 4 YEARS?

30

49% 30%

39%

39%

31%

26%

31% 18%

22%

17%

16%

16%

19%

26%

28% 2%

MORE OF A PUBLIC STANCE

LESS OF A PUBLIC STANCE

Interestingly, a significant percentage of overall stakeholders, including those in the C-suite, expect companies will turn up the volume during the election. Communication professionals are the only group to lean toward a lower profile strategy. When asked about the future, one-fourth of them said the results of the election would determine their stance over the next four years. Are they being too cautious or do they understand the political peril better than the others? The answer is both.

ABOUT THE SAME AS CURRENTLY

3%

2%

5%

10%

NOT SURE/ DON’T KNOW

In turbulent times, the objective is often to stay out of the news, especially when it is bad. For PR pros, the ability to kill a negative story has long been a valued asset. Today, the ability to avoid media altogether may be considered even more valuable.

These are the kinds of choices that CEOs will make every day this year and probably for the next four. Do they speak out or stay silent? They will look to their PR people for those answers.

WILL YOUR LEVEL OF INVESTMENT IN TRACKING AND REPORTING ESG INCREASE?

29% DURING THE NEXT 5 YEARS?

79%

2023

42% DROP

46%

Last year, we stated that “Woke” had become a four-letter word. This year, ESG has achieved a similar status, with one less letter. The comparisons are remarkable. In 2023, 79% of corporate communicators said their companies would be investing more in ESG in the next five years. Twelve months later that number has decreased 33 points, which is a 42% drop.

A review conducted by the USC Center for PR , with data analytics firm Cometrics, found those three letters are being wiped from the corporate vocabulary. The majority of the 50 largest US companies are de-emphasizing their ESG reports and their sustainability efforts. Many have lowered their overall communication on climate change and other social issues, while quietly moving cause-related information deeper into their websites.

This is a concerning trend in a time when these global issues need more attention, not less.

PURPOSE & POLITICS

DURING THE 2024 ELECTION CYCLE?

PR PROFESSIONALS ■

31

■ PR PROFESSIONALS

WHAT IS GOOD ADVICE FOR A CEO WHO IS CONSIDERING ADDRESSING AN ISSUE BEING DEBATED DURING THE UPCOMING PRESIDENTIAL CAMPAIGN?

17 %

2024 GLOBAL COMMUNICATION REPORT

Twenty-nine percent of the professional communicators in our survey believe it is good advice to tell a CEO to “stay silent” on issues that were being debated in the Presidential campaign.

But 57% said it wasn’t. Forty-one percent agreed that “not taking a stand” was good advice and 30% disagreed. More than half said that “waiting to see what others do” was the way to go versus 29% who called that bad advice.

32

Obviously, counsel to a CEO varies widely depending upon the nature of the issue and the mindset of the stakeholders. But the range of responses to this question reflects the complexity of these decisions. There is no playbook for choosing when to stay silent and when to speak up. Those decisions are best made case-by-case, based on knowledge of the stakeholders.

The majority did agree that if a CEO is going to take a stand on an issue it should be relevant to the business, its values and its stakeholders — not just the C-suite’s personal beliefs.

9% 20%

40

%

STAY SILENT

15%

■ VERY GOOD ■ SOMEWHAT GOOD ■ NEUTRAL ■ SOMEWHAT BAD ■ NOT SURE/DON’T KNOW

5%

6%

21

%

15%

23%

25%

20% 29

%

17

%

SEE WHAT OTHER COMPANIES DO

39% PURPOSE & POLITICS

AVOID TAKING A STAND

33

■ BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS

WHAT IMPACT WILL THE ELECTION OF JOE BIDEN HAVE ON THE FOLLOWING ?

When you compare the overall numbers for both candidates, the impact of who wins the election doesn’t appear to be that significant. More than half of each stakeholder group believe that polarization will improve under Biden.

But for Trump, the numbers are not far behind.

39% STAKEHOLDER DEMANDS ON COMPANIES TO ENGAGE ON SOCIETAL ISSUES WILL INCREASE

32% 46% NO DATA

30% 32%

CORPORATE INVESTMENT IN ESG WILL INCREASE

49%

2024 GLOBAL COMMUNICATION REPORT

NO DATA

34

33% COMPANY ENGAGEMENT WITH SOCIETAL ISSUES WILL INCREASE

52%

25% 47%

50%

POLARIZATION OF THE AMERICAN PEOPLE WILL IMPROVE

63% 63%

NO DATA

26% GOVERNMENT OVERSIGHT OF CORPORATE CONDUCT WILL INCREASE

37%

32% 41%

THE HEALTH OF THE ECONOMY WILL IMPROVE

29% 61% 57%

NO DATA

33% ACADEMIC FREEDOM OF SPEECH WILL IMPROVE

50%

25% 51% 51%

CIVILITY IN PUBLIC DISCOURSE WILL IMPROVE

25% 60% 60%

WHAT IMPACT WILL THE ELECTION OF DONALD TRUMP HAVE ON THE FOLLOWING ?

BUSINESS LEADERS ■ INVESTORS ■ EMPLOYEES ■ CONSUMERS ■

44% STAKEHOLDER DEMANDS ON COMPANIES TO ENGAGE ON SOCIETAL ISSUES WILL INCREASE

23% Under Trump’s administration, twice as many business leaders think government oversight will increase than under Biden.

51% NO DATA

44% 31%

CORPORATE INVESTMENT IN ESG WILL INCREASE

51% NO DATA

38%

45%

27% 52%

POLARIZATION OF THE AMERICAN PEOPLE WILL IMPROVE

31% 59% 61%

NO DATA

56% GOVERNMENT OVERSIGHT OF CORPORATE CONDUCT WILL INCREASE

31% 54%

24% THE HEALTH OF THE ECONOMY WILL IMPROVE

23% 45% 47%

NO DATA

36% ACADEMIC FREEDOM OF SPEECH WILL IMPROVE

44%

31% 49% 52%

CIVILITY IN PUBLIC DISCOURSE WILL IMPROVE

23% 59% 62%

PURPOSE & POLITICS

COMPANY ENGAGEMENT WITH SOCIETAL ISSUES WILL INCREASE

35

WHAT IS THE IMPACT OF EITHER BIDEN OR TRUMP BEING ELECTED PRESIDENT?

■ DEMOCRATS ■ REPUBLICANS

44% 61%

49% 54%

COMPANY ENGAGEMENT WITH SOCIETAL ISSUES WILL INCREASE

64% 51%

46% 51%

GOVERNMENT OVERSIGHT OF CORPORATE CONDUCT WILL INCREASE

66% 26% 70% 16% 55% 16% 66% 17% 60%

ACADEMIC FREEDOM OF SPEECH WILL IMPROVE

POLARIZATION OF THE AMERICAN PEOPLE WILL IMPROVE

THE HEALTH OF THE ECONOMY WILL IMPROVE

CIVILITY IN PUBLIC DISCOURSE WILL IMPROVE

WILL INCREASE/IMPROVE When the data is segmented by party affiliation, the numbers mirror each other in a portrait of polarization that is spread by cable news and shared on social media. On many topics there is a huge opinion gap, but over half of Republicans and Democrats agree

44% 72% 28% 57% 25% 77%

TRUMP WINS

BIDEN WINS

2024 GLOBAL COMMUNICATION REPORT

40%

36

53%

STAKEHOLDER DEMANDS ON COMPANIES TO ENGAGE ON SOCIETAL ISSUES WILL INCREASE

33% 55% 23% WILL INCREASE/IMPROVE

that stakeholder demands and corporate engagement on societal issues will increase, regardless of who is elected. This will be a challenge for tomorrow’s CEOs who want to do the right thing.

Because what’s “right” for some has become “wrong” for others.

Americans disagree about many things, but they have one thing in common. They respect companies who stand up for their values, whether it’s Chick-fil-A or Nike. A few may refuse to eat their sandwiches or buy their shoes, but most people aren’t surprised when these companies speak out against something that threatens their values. In fact, they’re more surprised when they don’t.

If we live in a time when it is impossible to make everyone happy, does it make sense to keep trying? Isn’t it better to stand for something and accept that some people will disagree?

How will this saga end for the PR profession? Will we be the cautious ones, who are hesitant to stand up for what we believed? Will we be the wise ones, who provided sage counsel to protect our reputations? Or will we be the bold ones, who did what was right, regardless of the consequences?

The correct answer is all of the above.

We have to be nimble to solve anomalous problems. We have to be smart to understand complex issues. We have to be brave to make difficult decisions. If we stay focused on purpose, we won’t fall.

This is the essence of the balancing act.

PURPOSE & POLITICS

Regardless of who wins and who loses, the outcome of this election will have a long-term impact on corporate communication. Some companies will feel less constrained after the battle is over, while others will wait until the dust settles, which may take a long time.

37

METHODOLOGY This survey developed for the 2024

members of the USC Center for Public

Global Communication Report sought

Relations mailing list, PR-related email

to delve into the crucial question of the

lists and social media posts by the

role that companies should play in

Center for PR and affiliated PR member-

addressing social issues. Its objective

ship organizations.

2024 GLOBAL COMMUNICATION REPORT

was to gain a comprehensive under-

38

DESCRI PTI ONS OF SURVEY S AMP L E S

PR Professionals: Department/role is Communications/PR across various industries, N=163

standing of how different audiences

Each sample was asked similar questions,

Investors: Institutional investors in

perceive corporate communications

but tailored to their group’s specific

various sectors including commercial

across specific social issues that hold

interests and knowledge. Responses

banks, hedge funds, insurance companies

immense importance in today’s society.

were subjected to extensive data

and mutual funds, N=54

Furthermore, the survey aimed to

cleaning to eliminate dubious response

Business Leaders: Position titles

analyze the influence of the 2024

patterns and respondents who had

including C-Suite, President/CEO, Owner,

presidential election on individuals’

misclassified themselves. The samples

or VP/AVP/SVP and hold primary

perspectives regarding corporate

for this survey are “convenience

decision-making role at their company,

communications.

samples.” Consequently, we cannot

N=100

say that the responses are represen-

Employees: A subset of the sample of

The survey was conducted online from

tative of the respective populations.

February 28, 2024, to March 12, 2024,

Nevertheless, we believe this data offers

targeting consumers, investors, and

numerous directional insights into the

business leaders. Additionally, communi-

attitudes and beliefs of the public

Consumers: A census representative

cation professionals were surveyed

relations and related communities.

sample of U.S. adults, N=1,537

online from February 20, 2024, to March 12, 2024, with invitations sent to

U.S. adults who have part-time or full-time employment, N=709

UNDERWRITING PARTNER

METHODOLOGY & PARTNERS

PARTNERS

39

LEADERSHIP

BOARD OF ADVISERS

DIRECTOR

Jennifer Acree* JSA+Partners

Chris Deri Weber Shandwick

Seema Kathuria Russell Reynolds Assoc.

Barby Siegel Zeno Group

Jonathan Adashek IBM

Dani Dudeck* Instacart

Megan Klein* Warner Bros. Discovery

Charlie Sipkins FGS Global

Jessica C. Adelman Mars Wrigley

Bob Feldman* Feldman + Partners

Chris Kuechenmeister PepsiCo

Hilary Smith NBCUniversal

Christine Alabastro* Prenuvo

Beth Foley Edison International

Maryanne Lataif* AEG Worldwide

Don Spetner* Weber Shandwick

Ron Antonette ron.antonette@usc.edu

Vanessa Anderson AMPR Group

Matt Furman ExxonMobil

Elizabeth Luke* Pinterest

Kirk Stewart** KTStewart

S E N I O R S T R AT E G I C A D V I S O R

Dan Berger Amazon

Robert Gibbs Bully Pulpit Interactive

Kelly McGinnis Levi Strauss

Michael Stewart* Hyundai

Tina Vennegaard tinaven@usc.edu

Clarissa Beyah Union Pacific

Gulden Mesara City of Hope

Grant Toups* Hill & Knowlton

SENIOR RESEARCH FELLOW

Tala Booker* Via Group

Brenda Gonzalez* US Citizen & Immigration Services

Josh Morton Nestlé North America

David Tovar Grubhub

Torod B. Neptune* Medtronic

Gerry Tschopp Experian

Glenn Osaki** USC

Mya Walters Athleta

Erica Rodriguez Pompen Micron

KeJuan Wilkins Nike

Ron Reese* Las Vegas Sands

Julia Wilson* Wilson Global & Hampton Univ.

Fred Cook fcook@usc.edu A S S O C I AT E D I R E C T O R

Burghardt Tenderich, PhD tenderic@usc.edu CHIEF PROGRAM OFFICER

2024 GLOBAL COMMUNICATION REPORT

Ulrike Gretzel, PhD gretzel@usc.edu

40

DEVELOPMENT DIRECTOR

Janine Hurty hurty@usc.edu

Judy Gawlik Brown Downtown Agency Adrienne Cadena** Havas Street Dominic Carr Starbucks Vijay Chattha VSC Janet Clayton* Vectis Strategies Stephanie Corzett* Nordstrom Carrie Davis CD Consulting Doug Dawson Microsoft

Cynthia Gordon* Nintendo of America Jennifer Gottlieb Real Chemistry Simon Halls* Slate PR Matthew Harrington Edelman Jon Harris Conagra Brands Sona Iliffe-Moon* Yahoo Bill Imada* IW Group Megan Jordan* Claremont McKenna Nina Kaminer Nike Communications

Heather Rim* Optiv Melissa Robinson Boingo Wireless Josh Rosenberg Day One Agency Kristina Schake The Walt Disney Company

Deanne Yamamoto** Golin Melissa Waggener Zorkin WE Communications

*USC alumnus

*CPR founding member

FOR MORE INFORMATION ABOUT OUR WORK VISIT

annenberg.usc.edu/cpr

RESEARCH PARTNER