Tesla is just the latest brand to find that out

By Mark Huffman of ConsumerAffairs

Opponents of the Trump administration have called for a boycott of Tesla because of Elon Musk's high-profile role in reccomending cuts in government spending. However, Tesla is just the latest company to feel the wrath of consumers not for the quality of the product but for political reasons.

In 2012, Dan Cathy, at the time the CEO of Chick-fil-A, triggered calls for a boycott when he said he opposed same-sex marriage. The boycott had nothing to do with the quality of the product, which surveys have shown to be among the most highly-rated fast-food restaurants.

Since then, politics and cultural issues have become minefields for many American brands that have tried to appeal to consumers of all political persuasions. In 2023, Bud Light sales tanked after the company launched a social media promotion featuring a transgender woman, sparking a conservative backlash.

Target also faced a conservative boycott after a Prime Month promotion. When the retailer backtracked from its DEI policies, it faced a similar reaction from the left.

Since when did making a purchase decision become less about the pros and cons of the product and more about the real or perceived political leanings of the company or company executives? It seems to have developed in concert with cancel culture, with social media providing a megaphone.

Personal investment in brands

Julianna Jacobson, senior vice president of Marketing Communications at Hot Paper Lantern, says people see products they own as an extension of their personal brand and values.

For Tesla owners who dont support Elon Musks current political activities, this means they do not want to be associated with his products, Jacobson told ConsumerAffairs.

Jamye Carpenter, CEO of JRC Consulting, is one of those Tesla owners. She told us she didnt buy her car to make a political statement but purchased it because she believes in the technology. She said driving a Tesla in the current political environment is frustrating and unfair.

To be honest, I recently put an Anti-Elon Club sticker on my car as a way to reclaim the narrative, Carpenter said. I admire the technology, not the personality behind the brand. For me, its about the vehicle and its contribution to a cleaner future not the CEOs Twitter feed."

Practical and emotional

Subimal Chatterjee researches consumer behavior at Binghamton University, State University of New York. Chatterjee said consumers have always had both a practical and emotional connection to the products they buy.

In recent times, and depending upon your political leanings, Tesla's CEO's image is taking a hit, which is affecting the brand's image, Chatterjee said.

To put it very simply, for some drivers, driving a Tesla does not feel all that good anymore as they see Elon Musk's face when they see their car. Although we would like to believe that consumers are rational, that is, their preferences are driven purely by the product's functional benefits, the fact is that you cannot take emotions or feelings out of any purchase.

Reilly Newman, brand strategist and founder of Motif Brands, sees Teslas current problems as rooted in a psychological contradiction. Many Tesla buyers identified with what they believed was Teslas progressive image and perhaps bought the car because of it. While the car hasnt changed, the companys CEO is now constantly attacked by progressives.

This is irrational as many of us do not know the CEOs of the brands we buy regularly, yet they could have opposing views or beliefs, Newman told us.

Virtue signalling?

So the question should be asked: are consumers hurting themselves by allowing their ideology to influence their purchases, perhaps avoiding a superior product in favor of one that is not as good but makes them feel good?

Its instructive to look at past boycott targets and how brands have coped. As a privately-held company, Chick-fil-A sales are not made public. But evidence suggests the chain is doing just fine. Some restaurants now have two lanes for drive-thru service to accommodate the large number of customers.

Bud Light sales have slowly rebounded after the brand hired former NFL quarterback Peyton Manning and conservative comedian Shane Gillis to promote the brand.

It may be too early to tell how Target will fare after being slammed by both the left and right. But Jacobson said recent social and political changes have disrupted brand relevance and a brands ability to maintain a positive reputation.

To thrive in todays geopolitical environment, brands must consider all audiences unless they are willing to forfeit sales, she said.

Ben & Jerrys Ice Cream, a long-time supporter of progressive politics, may be an exception. It sparked calls for a boycott in 2023 with a Tweet saying America exists on land stolen from an indigenous population.

But the people calling for the boycott may not have been customers. There is no evidence there was any decline in sales, perhaps because most of the brands customers share its progressive stance.