New research proves inclusive advertising boosts sales and brand value

The first-of-its-kind research, based on analysis of 392 brands across 58 countries, proves the positive impact of inclusive advertising on business outcomes in both the short- and long-term, and across multiple metrics. It highlights several areas of performance improvement including sales, financial performance, customer preference and loyalty, brand equity and market competitiveness. The findings confirm that inclusive ad campaigns deliver:

• 3.5% higher shorter-term sales and 16% higher longer-term sales
• 62% higher likelihood of being a consumer’s first choice
• 15% higher customer loyalty

The results further show this positive impact extends into the longer term, with a higher sales uptick, as well as brand perception and brand value metrics indicating a stronger and more robust brand reputation. The study covered different product categories, such as confectionary, snacks, personal care, beauty, pet food, pet care, alcohol, consumer healthcare, and household products, across geographies. 

Professor Andrew Stephen, L’Oréal Professor of Marketing, Deputy Dean for Faculty and Research, Director of the Oxford Future of Marketing Initiative, Oxford Saïd, commented: ’It’s crucially important that the decisions we make in business and society are rooted in correct assumptions and scientifically proven facts, rather than anecdotal evidence and unproven truisms. We are very pleased to share the findings which emerged from this study and be able to provide reliable information on this contested topic, allowing businesses to reconsider the role of inclusion in their advertising practices. They can gain a lot from doing so.’ 

These findings challenge the assertion that inclusive advertising has an adverse effect on business performance, which has been used as an argument against inclusive practices and marketing communications, despite the lack of empirical backing or statistical evidence. 

Sara Denby, Head of the Unstereotype Alliance Secretariat at UN Women commented: 'The idea that that inclusive advertising content can commercially damage a business has limited progress for too long. The assertion is consistently unfounded – but we needed to provide evidence to the contrary. This irrefutable data should reassure any business and encourage brands to renew their commitment to inclusivity in all forms, to not only benefit the communities they serve, but to drive growth and financially prosper.'

With the publication of the report, the Unstereotype Alliance is calling on the business community to adapt more inclusive advertising practices, and strongly endorses corporate efforts in this area. The findings highlight the commercial benefits from inclusive advertising and therefore supports the notion that inclusion should be considered a key element of overall corporate strategy and associated communications strategies.