The six traits that define conscientious brands

Multinational software company Atlassian recently did what few brands dare to do: be openly transparent about missing key sustainability targets. In their yearly sustainability report, the company admitted that its travel emissions have risen by 73%, despite a commitment to reduce them. In the end, this reflects one of Atlassian’s unconventional corporate principles, “Open company, no bullshit,” which encourages honesty and transparency both within and beyond the organization. 

Atlassian’s announcement might be bad news, but it can have a significant positive outcome for the brand. While this honesty doesn’t guarantee favorable reactions, according to research, brands that own up to both their successes and failures are perceived as more credible by consumers. Honesty is one of the core attributes that characterize truly conscientious brands, according to their main stakeholders. 

A study published in the Journal of Business Research examines how genuinely conscientious brands do more than just adopt corporate social responsibility (CSR) initiatives, which are often not even tied to overall brand strategy. The study reveals not only which brand attributes actually build trust, but also how consumers, marketing agencies, and managers see the gap between words and action. 

“Conscientious brands go beyond CSR initiatives,” explains Oriol Iglesias, professor in the Master in Marketing Management at Esade and one of the study’s authors. “They embed a moral belief system that drives decisions and actions.” 

The importance of accountability in business

CSR alone is no longer enough. While supporting good causes is worthy, today’s public also expects transparency, moral consistency, and proof that values are more than marketing slogans. CSR strategies often focus on one-off campaigns or donations and serve more as a means to offset negative impacts, rather than forming a core pillar of a brand’s driving strategy. Conscientious branding, as defined by Professor Iglesias and his co-authors, is incorporated on a deeper level: it integrates morality into purpose, which guides every strategic decision. 

Conscientious brands are guided by an internal moral compass to do the right thing, not just the profitable thing

Past research has included conversations mostly with business leaders. This study goes a step further. It includes in-depth interviews with consumers and marketing agencies as well as business managers. The result? A much richer view of what people outside companies expect. Because different stakeholders don’t always all see the same thing. What looks conscientious from inside a boardroom might feel like empty promises to a skeptical consumer. Iglesias and his co-authors shows us those perception gaps—and also how to build trust when brands admit mistakes. 

What defines a conscientious brand?

Conscientious brands are not accidental. Leaders decide to mold a brand with a conscience. The findings reveal six core attributes that managers, agencies, and consumers all associate with conscientious brands: 

1. Transformative purpose — a mission beyond profit. These brands aim to create tangible lasting change for society or the environment, not just add another snappy tagline. One of the stakeholders interviewed explained it as “thinking of the success of the people that you’re trying to help or sell to. Their success should be as important as your own success as a company.”
2. Stakeholder fairness — treating all stakeholders equitably, with respect and transparency. Holistic thinking that considers the effects of every business decision on partners, customers, suppliers, the environment, and communities.
3. Temporal responsibility — thinking beyond quarterly profits. These brands plan for long‐term impact, including effects on future generations. For example, a conscientious clothing manufacturer would consider the longevity of its garments and be committed to reducing waste and throw-away fashion.
4. Organizational openness — being honest about what is going well and what isn’t. Mistakes are acknowledged; voices from inside and outside are listened to. Brands should be transparent about supply chains, working conditions, and environmental impacts.
5. Moral integrity — doing not just what is easy or profitable, but what is morally right. A brand should have a deep and authentic commitment to having a positive impact on society and the environment, and be able to stay true to its values even when that comes at a financial cost.
6. Impact measures — having real metrics. Measuring, reporting, and often using third parties to verify progress. Being able to show genuine, measurable progress towards ESG goals can help build credibility. 

Iglesias and his peers define conscientious brands as being “driven by an internal moral compass that guides decisions to do the right thing, not just the profitable thing.” 

Gaining customers’ trust

Of course, it’s not so simple to be a conscientious brand. Many companies aspire to purpose-led branding, but often consumers just don’t believe them. Companies invest heavily in marketing messages, social media campaigns, and glossy sustainability reports. Managers and investors might appreciate these reports and messages, but consumers often suspect that purposeful branding is just a way to sell more, polish an image, and increase profits. The brand that only shares wins looks like it has something to hide. 

Consumers expect honesty, not perfection

One consumer explained: “I think by doing this great humanitarian work, [brands] make a good name for themselves. And by doing so, attract more customers and therefore make more profit. So, I don’t think it’s a selfless act at all. I honestly think as long as the profits are coming in, then they will be happy to serve their community.” 

Iglesias’ research found that when brands communicate failures as well as achievements — openly, transparently, and honestly — it raises the credibility of the brand in the eyes of the consumer. “Consumers expect honesty, not perfection,” says Iglesias. “When brands communicate failures as well as successes, they build trust.”  

An admission that the company has fallen short of one of its main sustainability goals may spark a wave of criticism, but it also creates opportunities for genuine dialogue with customers and for corrective measures, which have the potential to enhance credibility.  

Lessons for business leaders

Leaders who want their brands to be more than just good PR can take steps to ingrain a conscience into the heart of the business. 

• Embed purpose across the organization. Let the mission guide decisions at every level —product design, operations, marketing — not just in isolated sustainability teams.
• Create KPIs for social and environmental performance. Make them non‐optional. Hold leadership accountable.
• Encourage open dialogue with stakeholders. Listen to consumers, communities, and employees. Admit what went wrong and why.
• Accept that vulnerability can strengthen a reputation. Brands that own up to their limitations and failures often find more loyalty, respect, and trust from their customers. 

As the researchers note, conscientious brands should follow a course of action because they believe it is right, not because it generates short-term profit. Ultimately, when brands admit where they’ve missed the mark—and then show how they will do better—they don’t just protect their reputation, they build it.