Wal-Mart Losing the PR War
According to a new Zogby poll, people are not buying the idea that Wal-Mart is good for the American economy (contra Ed Kilgore):
The poll found that 56 percent of American adults agreed with the statement - "Wal-Mart was bad for America. It may provide low prices, but these prices come with a high moral and economic cost." In contrast, only 39 percent of American adults agreed with the opposing statement - "I believe Wal-Mart is good for America. It provides low prices and saves consumers money every day."40% of Americans hold an unfavorable view of the company, nearly double its unfavorable image at the beginning of 2005.
Even more to the point, the number of regular shoppers at Wal-Mart has fallen significantly. At the beginning of 2005, 69% of the population shopped at the company at least once or twice a month. That dropped to 51% by November.
Here's the shocking finding-- progressives have been able to create a significant shift in public opinion and shopping habits, a testament to the strong coalitions built in the last year.
Here's to an even more successful 2006!
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I think Wal-Mart should be a symbol for every progressive campaign -- a company that is up front about its concern for profits over people, corporate power over communities and self-interest against America. There is a great quote early on in Greenwalt's (sp?) film from a shop-owner in western PA who lost his business when Wal-Mart moved there -- "I don't even think of Walmart as an American company; its a Chinese company with Americans as board of directors."
December 8, 2005 9:39 AM | Reply | Permalink
I hope we progressives can sit back quietly and let Wal Mart accept full credit for their loss of prestige. I agree with those who have said that in many parts of the country Wal Mart is considered the really good guy, so our loud opposition to them will lose votes for our candidates. In fact, my guess is that that 56% is made up almost entirely of folks in blue areas of blue states, and in red areas of red states the 56% would drop much closer to 5%.
December 8, 2005 9:41 AM | Reply | Permalink
The logic here is truly puzzling. I don't see you discussing why Walmart is a "good guy"; a lot of us view this as a moral issue as well as a practical one. The poor treatment of workers at Walmart, as well as the negative downstream impact on US manufacturing, are real arguments against it. This is not a Democratic party initiative in any case, so the idea that it will have an impact on partisan elections is dubious. And it is also highly unlikely that preferences will be anything remotely as skewed as you indicate. Remember that the span of partisan opinion for virtually the entire nation runs the gamut from 60-40 to 40-60. If anything, I'd suspect that people in "red states" are more likely to have opinions of any kind on Walmart, since it has very limited reach in the most progressive parts of the country. None in NYC, for example, and very few in New England.
I will not shop at Walmart until they change their labor practices, and I'm very glad to see that the concerted effort against it appears to be significantly shifting public opinion.
December 8, 2005 9:53 AM | Reply | Permalink
They'll change in each individual market when it profits them to change, here's proof. They're far from idiots marketing-wise, here's proof. They're not losing the P.R. war yet where it matters to them, and their P.R. machine can change tactics pretty fast.
Hence, I would say that if boycott techniques somehow acquire the label of "blue state, urban," there is much danger that there will be blowback rather than the desired results, from the "red state" public. You'll polarize rather than gain. And the marketing team at Wal-Mart will know exactly how to handle that to their benefit.
On the other hand, if care is taken to make points about fairness, blue/red/purple, then the meme will spread. Probably most important is to offer alternatives with the message, to praise other businesses when they do it right, and not to tar the movement with a general anti-corporate message, perhaps to stress how other corporate entities are pressured by WalMart's tactics, how they make the system itself "unfair." If your arguments tend socialist rather than "fair capitalist playing field," the numbers will never grow and no change will be the result.
I still think Robert Reich's approach is the right one; and puhleez read the piece beyond the intentionally inflammatory title.(How many of you out there paid full retail for the computer you are using? The last airline ticket? You have to be careful not to bash competitive shopping combined with imported merch, or you'll lose.) I actually think it probably his basic argument that is resounding with most of those in the increased poll numbers. Americans care about fair playing fields, that resounds.
December 8, 2005 10:33 AM | Reply | Permalink
This sounds a bit like the consumer confidence polls. Often consumers behave in ways the belie their sentiment. How many of those polled who think Wal-Mart is bad for America were going to stop shopping at their local Wal-Mart? How many of them would agree to pay more for their regular purchase?
Wal-Mart is Americas larges private employer and has about 110 million customers per month. They are also owned by huge numbers of Americans. My guess is the anti-Wal-Mart campaign will ultimate be another thoughtless Left wing campaign that will cost Democrats votes.
December 8, 2005 10:42 AM | Reply | Permalink
The lower income people in New York just lost out by not getting a Walmart. I have always read how expensive it is in New York. I can see why it is, if those in charge can keep low prices out.
Reich's idea to make those who have over 50 workers pay health insurance for them is terrible. The government has 50 workers and the taxpayers pay theirs.
What his bill would do is keep the health care cost high for everyone else. Why doesn't anyone say health care is too expensive and put pressure on the health insurance and other health care providers?
The lower paid in the Military qualify for unearned income credit. They already get health care.
We pay the health care of the government, Medicare, Medicaid, and Veterans etc. It wouldn't be that many more taxes to nationalize health care.
December 8, 2005 10:57 AM | Reply | Permalink
Their employees are unionized, they have decent health insurance, they treat everyone with respect and still...their profits per employee are higher than Wal-Mart. Their employee turnover rates are lower so training and safety costs are lower. Plus, their marketing department doesn't have to waste time trying to prove what a great company they are. All anyone has to do is contrast and compare.
It's just more profitable to be a good citizen.
December 8, 2005 10:59 AM | Reply | Permalink
I will not shop at Walmart until they change their labor practices, and I'm very glad to see that the concerted effort against it appears to be significantly shifting public opinion.
I don't shop at Walmart either, and have only been in their stores when I used to visit my dad, who lived in Missouri, and there were no other stores left to shop at. I have a Walmart about two blocks from me now, in California, but went into that store only once to see what was there. I talked my neighbor into not shopping there at all. We should definitely keep up the pressure on that corporation, of which the majority of the stock is still held by Sam Wall's family. But, the Democratic Party should keep quiet about it if we hope to gain votes in purple states.
December 8, 2005 11:44 AM | Reply | Permalink
RE: How many of you out there paid full retail for the computer you are using?
Hmmm - neither the laptop nor desktop. Nor the cars or much of anything else. On the other hand, I'm a dedicated Ebayer typing on an HP laptop, driving a Ford Escort (gotta love anything that gets 34/40mpg AND hauls my 110 lb dog), wearing Ferragamo shoes and Brooks Brothers clothes all from Ebay.
Seriously, Walmart is not a nice "person." If one can't persuade potential shoppers that Walmart should be avoided because of its wage and health care policies, and general socio-economic efects, there are other ways.
(1) They have a terrible selection - nothing but the most boring whitebread brands available and poor quality
(2) You can save more money on EBAY
On the next 2, they opened themselves up with the wage and health benefits memo:
(3) They don't want "older" employees so they don't deserve the money of "older" shoppers
(4) They don't want employees with health problems (read: disabled) so they don't want the money that people with health problems would spend in their store. and pharmacy
These last 2 items have not been as strongly emphasized as they should be by the anti-W groups. Its a "Walmart hates its customers" approach.
Not that Walmart didn't say anything in print in that memo that other corporate baords aren't whispering behind their closed doors, it is that they were stupid enough to put it in writing. I can barely tolerate stupid OR greedy but both together is simply too much.
December 8, 2005 12:15 PM | Reply | Permalink
There are two issues with Walmart.
First, they represent what a sucessful US corporation looks like at the beginning of the 21st Century. They have a strict, top down management and planning style. They use the latest technology (even going so far as to push suppliers into adopting it) to stay ahead of the curve. They drive out inefficient competitors and suppliers. All this is the way "Capitalism" is supposed to work. The strongest company drives out competition until it achieves as close to a monopoly as it can. Then it changes tactics and rakes in the profits.
Walmart already charges higher prices in regions where it doesn't have local competition. So it acts as a monopolist on the local scale. If people don't like this type of behavior then they need to discuss the whole issue of how US (and perhaps world) society is going to be structured in the future. You can't blame Walmart for playing by the rules.
Second, Walmart doesn't "play by the rules." They engage in illegal actions with regard to labor policies and control of their overseas suppliers. In addition they use their economic power to extract tax concessions from local communities in return for opening a facility. They also require infrastructure improvements like new roads which are paid by the taxpayers. So they get a subsidy from everyone for their own benefit.
If one is going to appeal to those who shop at Walmart it is necessary to emphasize the areas where they don't "play fair." Everyone hates a bully. So a campaign which highlights employee abuses will resonante with their customers who are primarily blue collar themselves. As will stories revealing the sweatshop conditions of people making their products.
Challenging corporatism should be kept apart from fixing Walmart. If you can reform one you can follow up with larger policy issues.
December 8, 2005 12:57 PM | Reply | Permalink
I really wouldn't give credit to the "progressive" campaign for Wal-Mart's bad polling numbers. I think it is more likely Wal-Mart's aggressive business practices all by themselves. My experience is that labor issues are lower on the list of people's problems with Wal-Mart. People don't like what Wal-Mart does to communities, and that's across the political spectrum. It's a community and smart growth issue for many many people.
December 8, 2005 1:31 PM | Reply | Permalink
Wal-Mart's been dumping on communities for twenty years. Yet the massive drop in its public image happened just in the last year, coincidentally at the same time as unions and other groups mounted a massive campaign against them.
Somehow I think there is a connection. Many folks may have had those views against Wal-Mart in a latent form, but it took mass mobilization to bring those anti-Wal-Mart feelings to the surface.
Which is what mass movements basically do. They don't usually work by changing peoples' views-- they just make them pay attention to issues they weren't focusing on before.
December 8, 2005 2:37 PM | Reply | Permalink