FMCG Reputation: What is the impact of the Russia-Ukraine war?

alva’s analysis highlights the impact of stakeholder activism and consumer boycotts on FMCG companies.

This report reviews the reputations of seven FMCG companies over a six-month period, to evaluate the success of their responses to the Russia-Ukraine crisis.

Companies that have delayed the removal of their operations in Russia have seen a decline in sentiment, leading to a need to redeem their reputations through community and employee focused initiatives.

Key findings of the report are:

• Russia’s invasion of Ukraine has led to a strong display of stakeholder activism from NGOs, politicians, trade unions and consumers expressing disapproval of major brands that continue to operate in Russia.
• Companies that delayed the removal of their operations in Russia have seen a decline in sentiment. However, AB InBev and Heineken immediately withdrew their operations at the start of March, allowing for an increase in positive visibility.
• Community and employee support initiatives can provide reputational redemption for the FMCG sector – Heineken, AB InBev and Nestle provided immediate support for employees, while PepsiCo, Coca Cola and Danone supported communities through humanitarian missions in the region.

Download the full report here.