What We’re Reading is a monthly roundup of current news, commentary, challenges and trends that impact our industry as well as those of our clients. From Starbucks’ CEO’s firing and hiring to major brands reevaluating their DEI policies amidst activist backlash, here’s a look at what stood out to our team in August.
Reputation Management
Inside Starbucks’ Surprising CEO Firing and Hiring – Heather Haddon, Lauren Thomas, The Wall Street Journal
“A fascinating look at Starbucks’s recent and dramatic top leadership change. While many companies stick with underperforming CEOs and other senior hires for too long, Starbucks board should be commended for how quickly, decisively and confidentially they handled this change. It’s also clear from this article and others they had their story straight and ready – not only why they felt Laxman Narasimhan had to go, but also why they believe Chipotle’s CEO Brian Niccol is the right person to lead the troubled company into the future.” – Nick Kalm
NASA will bring stranded astronauts back on SpaceX — not Boeing’s Starliner – Nell Greenfieldboyce, NPR
“Boeing’s ongoing struggles with its Starliner program have further undermined the company’s reputation which has already been under fire for several months. I was really rooting for a win for Boeing this time, but the odds are not in its favor as competitor SpaceX will step in to return the two NASA astronauts. It’ll be interesting to see how Boeing rebuilds trust among consumers and investors and restores confidence in its position as a longstanding aerospace leader.” – Haley Hartmann
Harley-Davidson is dropping diversity initiatives after right-wing anti-DEI campaign – Nathaniel Meyersohn, CNN
“Corporations are wrestling with their core values and organizational identities. In certain ways, they have been incentivized to appease their multitude of stakeholders: investors, media, internal employees and more, particularly with respect to DEI investments and organizational strategy. In doing so, they have created a conflicting tension when those incentives may not align with their consumer bases’ values, creating reputational and financial risk. All organizations whose primary customers may lean socio-politically in one direction must re-evaluate their external and internal positions, the allocation of resources and general strategies to help avoid crises that Harley-Davidson, John Deere, Anheuser Busch and others have found themselves in.” – Michael Grimm
Employee Communications
How to handle an underperforming employees (sic) according to HR leaders from Salesforce, EY and Microsoft – Emma Burleigh, Fortune
“I’m a kindred spirit with the CHRO leaders at top companies who believe empathy is the best way to respond to employees who are not living up to expectations due to burnout and other issues. Managers who feel empowered to get to the root of the issue will go a long way toward building resilient people and cultures. We’re all better off for it.” – Anne Marie Mitchell
Digital & Social Media Strategy
Thought leaders flock to social media as opinion sections shutter – Eleanor Hawkins, Axios
“For most corporate communicators, the writing has been on the wall that companies would require new ways to reach stakeholders with the fragmentation of the news ecosystem. As various social platforms have vied for the public’s attention, LinkedIn seems to have emerged as one of the leading channels for business storytelling and information sharing that shapes the public discourse much like the op-ed section. For us public relations practitioners, this further shrinking of opportunities in the opinion section reinforces the need for integrated communications strategies that prioritize engaging and consistent content.” – Kristin Monroe
The Influencers Stanning Kamala – And Infuriating the Press Along the Way – Calder McHugh, POLITICO
“By inviting influencers to the Democratic National Convention, the Harris-Walz campaign and the DNC are doing exactly what they need to do to reach their target audiences: meeting them where they are. According to Pew Research Center, Americans aged 18-49 are regular news consumers on TikTok (82%) and Instagram (80%). Those are massive numbers and, despite the concerns from traditional media (a discussion for another time), it makes sense that any organization, no matter its focus, would want to engage with relevant influencers to help its most important messages reach key demographics.” – RJ Bruce
Marketing & Creative Services
Progressive’s commercials go big on humor. Now they’re going big on feelings too – Jeff Beer, Fast Company
“U.S. insurance brands have relied on humor to connect with audiences over the years – Geico’s Gecko, Jake from State Farm, Allstate’s Mayhem and Flo from Progressive to name a few. However, insurance is an incredibly serious business, dealing in people’s health, homes and livelihoods.
Amidst a challenging time for the insurance industry, Progressive Insurance is shifting its marketing strategy, moving from a purely humor-based approach to a purpose-driven approach that emphasizes emotional connection and corporate altruism. This is a great example of how companies can integrate their community support initiatives and purpose-driven values into their public image in a way that is genuine and authentic.” – Paige Borgman
Kendra Scott embraces sports marketing for new campaign – Tatiana Pile, Glossy
“This strategic move by Kendra Scott shows how a brand can connect with “off-brand” consumer passions to expand their reach. By entering the realm of sports and heightening their presence on social media, Kendra Scott is strengthening their relationship with current customers while establishing their presence in a new market.” – Emma Smits
What brands can learn about emotion from Olympic ads by Nike and Coke – Jane Ostler, Marketing Dive
“Last month, I wrote about Nike’s bold decision to depart from the traditional feel-good narratives they’ve embraced over the years in their 2024 Olympics ad campaign. In this piece, Jane Ostler makes the argument that inclusivity and empathy, themes not found in the Nike ad campaign, are the way to develop emotional connections. To her point, very few have or can relate to the elite winning spirit that matches Nike’s ad campaign. Only time will tell if, by setting itself apart, Nike can make itself more desirable.” – Fred Walls
Crisis Communications
Opinion: How smart campuses are preparing for another wave of Gaza protests – Editorial Board, Washington Post
“The Editorial Board provides a good summary of the different ways campuses across the country are trying to anticipate and preempt the type of public crises so many faced last year. While it is right and appropriate to be reviewing their policies and procedures, how effective these changes are will come down to how they are communicated. This includes not just the initial explanation and rationale provided to each campus’s stakeholders, but also how they are able to articulate the application of these policies if and when an activity crosses the new boundaries set. Campus leaders should be prepared to communicate regularly during an event so all involved and impacted understand the decisions being made and how they are rooted in the updated policies.” – Andrew Moyer