The political divisions that fueled near-historic turnout in the US midterm elections could have a lasting impact beyond the ballot box, influencing what consumers buy – and which companies they choose to support or avoid.
A new survey suggests that corporate political positions are increasingly becoming a factor in purchasing decisions, creating both opportunities and risks for brands navigating an increasingly polarized marketplace.
Conducted by shopping transparency organization SmartCustomer and corporate political tracking platform Goods Unite Us, the survey of 1,115 US shoppers found that 67% of respondents consider a company’s politics when making purchasing decisions. Nearly four in 10 also said they planned to make a greater effort to align their spending with their political beliefs ahead of the November midterm elections.
This may hold more true for Democrat shoppers, 64% of whom said they stopped buying from a company because of its political stance in the past year, compared to 47% of Republican shoppers and 32% of Independents who said the same.
Overall, 51% of shoppers said they stopped buying from a company over its political stance in the past year, up from 30% in 2024, according to the survey.
“Politics isn’t background noise anymore,” said Michael Lai, co-founder and CEO of SmartCustomer.
As such, he explained, “brands need to understand their own political footprint and be intentional about how they present themselves.”
He added that even brands that choose to stay out of politics should tread carefully to ensure “they don’t come across as out of touch with what their customers care about.”
The upside to public politics
While taking a political stance could cost businesses, “political alignment” also could boost their sales, according to the survey.
“Nearly half of shoppers (47%) bought from a company in the past year to support its political stance,” and nearly two-thirds (64%) said they “would pay more for a product from a company whose political beliefs align with their own, including 43% willing to pay at least 6% more for an otherwise equal-quality product,” according to the survey.
It also found that more than half of shoppers (53%) want companies to be more open about their political positions, and only 22% want them to remain private – down from 41% in 2024, added Lai.
However, he was quick to point out that “the quality of a brand’s products and service should still come first, because that is what loyal customers are built on.”
How to take a political stance safely
If – after weighing the risks and rewards – a company opts to become politically active, Lai advises it does so carefully to ensure the message fits with its brand identity and isn’t misinterpreted as opportunistic.
“No one knows a brand’s identity and its most loyal customers better than the company itself, so start by asking whether your political activity fits who those customers are,” he said. “Then actively monitor online conversation and customer feedback to see how sentiment changes.”
Sometimes the decision to become politically involved is out of brands’ control, such as when political controversies involving a parent company, executive or investor spill over into consumer perceptions of their products.
In these cases, Lai said, “it is always best to be transparent. Respond quickly to the facts and be clear about what your brand itself does and does not support, because silence lets someone else tell the story.”
3 tips to navigate potential political firestorms in the future
Given how divisive politics have become – and the potential for disagreements to spill into the zeitgeist and influence how consumers respond – companies should consider proactive or preventive steps to manage any fallout.
“First, check where your company’s political donations and lobbying money goes, as it’s part of your brand’s online footprint,” Lai recommended.
“Second, decide how you want your brand to be seen, and make sure your messaging aligns. Staying neutral is a valid choice, but review your content so it doesn’t land as tone deaf,” he added.
And finally, he advised, “pay close attention to customer feedback and social buzz online, since that is often where shifts in loyalty show up first.”
