Elon Musk was Tesla’s greatest marketing asset. Now he’s a liability. The Drum’s editor-in-chief, Gordon Young, explores why the brand is at a critical turning point.
Tesla’s latest earnings report landed with a thud, but it wasn’t the numbers that rattled Wall Street. Sure, sales dipped. Profits shrank. Competition from China tightened its grip. But the real issue looming over Tesla isn’t a business challenge—it’s a branding crisis. And that crisis has a name: Elon Musk.
For years, marketing leaders have debated the merits of brand activism. Should companies take a stand on social issues? Should they weigh in on politics? And when is a cause worth the risk? The consensus has shifted. Post-2020, brands leaned into progressive causes—sustainability, diversity, LGBTQ+ rights. Some faced backlash, but many won loyal customers.
But what happens when brand activism swings the other way?
Elon Musk has spent the past two years answering that question. While …