Trend Analysis: The Rise of the CCO

There’s no question communications teams have been navigating a challenging environment this year, facing everything from the difficulty of managing brand reputation through mass layoffs, to an onslaught of fraught political issues and weak or tone deaf messaging leading to massive consumer backlash. To avoid becoming the next Bud Light, brands are bolstering their communications support by ushering in new leadership.

A Defense Against Brand Risk

Recently, I’ve been in several conversations with clients about increasing risks to brand reputation, which by and large, play out in the earned and social space where communications teams play a pivotal role. To combat this increasing risk, brands are placing a priority on ensuring they have strategic communications leaders in place to protect the house.

AB InBev — parent company of America's now-second favorite beer — brought on Donna Lorenson, a 20-year strategic communications veteran, as chief communications officer who will report directly to CEO Michel Doukeris. PepsiCo named a former agency president as its global head of communications. Yahoo poached Lyft’s top communicator as its new CCO. And several other brands, including SAP, AMC, and Walmart, have also recently added Chief Communications Officers to their team.

Recent high-level communications hires at major companies indicate an increasing
desire for brand and business leadership.

CCOs vs. Brand Risk

These moves also come at a time when consumer attitude toward brand communications is shifting, with consumers less interested in companies commenting on divisive social and political issues. But many still look to businesses as trustworthy sources of news and information. Recognizing the need to be more intentional about what is said and how, brands are moving PR and comms out from under the marketing umbrella and into its own arena.

As communicators, one of our most important roles is communicating brand purpose. When navigating difficult situations, leading with purpose allows businesses to speak with authenticity and authority. Increasingly, this mandate means communications leaders are becoming involved earlier in the decision making process. Today, half of CCOs consider themselves to be a strategic advisor to their CEO, compared to just 35% in 2021. And more than a quarter now say they’re consulted before a business decision is made, rather than being brought in after to weigh in on potential consumer or stakeholder response.

Communication in a New Era 

The instability of this year has thrust brand communication teams into the spotlight. With the landscape becoming more and more volatile as consumer attitudes shift and brand risk increases, companies are acknowledging the need to strengthen their communications strategies by bringing on leadership. These CCOs are part of a new era of communications leaders, taking on the role of powerful, proactive advisors tasked with guiding businesses with purpose. With the new year poised to bring unpredictable communications challenges, these leaders will be instrumental in leading brands to move with authenticity while also doing no harm.

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