A $78 Billion Problem: Disinformation Jeopardizes Corporate Reputation and Business Value.
Page Principles Hold Communicators Accountable.
Disinformation is in the headlines every day, all around the world. Some recent examples…
“EU Plans Hub to Tackle Disinformation from Russia.”
“Canada Measles Outbreak Control Challenged by Disinformation, Doctors Say.”
“‘COP of Truth’: Countries Commit to Tackling Climate Disinformation.”
And disinformation is not just a political problem—it’s a growing threat to businesses. For communications professionals, actively addressing the ethical and financial challenges posed by disinformation (deliberately misleading information) and misinformation (inaccurate information spread unintentionally) has become a core focus. In the age of AI, false narratives can spread with unprecedented speed, capable of inflicting severe, lasting damage on a brand’s reputation.
Disinformation is a problem of deep concern. At DevryBV Sustainable Strategies, our firm’s principle is truth: each member of our team works to seek, face, follow, and share the truth–it’s fundamental to our work with clients. So we need to shine a light on problems like disinformation and use tools to overcome them.
The High Cost of a Lie.
Until recently, the probability of a company suffering lasting damage from a disinformation campaign was relatively small. That’s no longer the case.
Today, a single storyline can cause a company's share price to collapse. There’s no better example of information spreading like wildfire and impacting share price than the recent Cracker Barrel brand update. Click here to see my colleague Devry Boughner Vorwerk’s comments at the time.
It’s one thing for information to be accurate and customers to act against a brand, and quite another when the information is contrived.
Customers might boycott products and services over manufactured fears that they are unsafe, made unethically, of poor quality, or even linked to extremist groups. The motive? Often, simple financial gain or targeted corporate sabotage.
A History of Manipulation, Amplified.
Manipulating public perception is nothing new—the World Economic Forum recalls the 1835 "Great Moon Hoax," a fake news story written to boost The Sun's newspaper sales.
Companies have also become increasingly targets of disinformation. In 2016, PepsiCo’s shares fell by four percent during the U.S. presidential election campaign after false information circulated that Pepsi’s CEO supported Donald Trump. Two years later, Pepsi’s share price was hurt when fake news spread online that Pepsi products were laced with HIV-infected blood.
More recently, a disinformation post targeting Eli Lilly that promised free insulin led to the pharmaceutical company’s stock dropping 4.37%, erasing over $15 billion in market cap on a single day.
The Global Financial Toll.
The economic cost is growing. According to the World Economic Forum's Global Risks Report 2025, "misinformation and disinformation" ranked as the number one risk among expert poll respondents over a two-year time frame, placing it ahead of "extreme weather events.”
Disinformation costs the global economy $78 billion yearly, according to an oft-cited 2019 University of Baltimore and CHEQ study. That data is now six years old, and the challenges of calculating the financial cost of disinformation today have only grown.
The high cost underscores why tackling disinformation is not just a public relations issue—it's a significant economic threat to businesses and society.
A Blueprint for Ethical Communicators.
What’s the solution for companies and communications executives navigating this challenging landscape around misinformation and disinformation? A part of the answer lies in adopting and adhering to established principles of ethical, strategic communication.
Devry, our firm’s founder, is an active member of the Arthur W. Page Society, the global professional association for senior strategic communication leaders. Page helps its members connect, share fresh insights, and develop useful tools.
The principles its members abide by—the Page Principles—serve as the foundational guidelines by which communications professionals can use to build resilience against fabricated narratives:
The Page Principles.
1. Tell the truth.
Let the public know what's happening with honest and good intention; provide an ethically accurate picture of the enterprise's character, values, ideals and actions.
2. Prove it with action.
Public perception of an enterprise is determined 90 percent by what it does and 10 percent by what it says.
3. Listen to stakeholders.
To serve the enterprise well, understand what the public wants and needs and advocate for engagement with all stakeholders. Keep top decision makers and other employees informed about stakeholder reaction to the enterprise's products, policies and practices. To listen effectively, engage a diverse range of stakeholders through inclusive dialogue.
4. Manage for tomorrow.
Anticipate public reaction and eliminate practices that create difficulties. Generate goodwill.
5. Conduct public relations as if the whole enterprise depends on it.
No strategy should be implemented without considering its impact on stakeholders. As a management and policymaking function, public relations should encourage the enterprise's decision making, policies and actions to consider its stakeholders' diverse range of views, values, experience, expectations and aspirations.
6. Realize an enterprise's true character is expressed by its people.
The strongest opinions — good or bad — about an enterprise are shaped by the words and deeds of an increasingly diverse workforce. As a result, every employee — active or retired — is involved with public relations. It is the responsibility of corporate communications to advocate for respect, diversity and inclusion in the workforce and to support each employee's capability and desire to be an honest, knowledgeable ambassador to customers, friends, shareowners and public officials.
7. Remain calm, patient and good-humored.
Lay the groundwork for public relations successes with consistent and reasoned attention to information and stakeholders. When a crisis arises, remember, cool heads communicate best.
The path ahead.
In a world saturated with manufactured doubt, the greatest asset a business possesses is its authentic character, expressed through the words and deeds of its people.
By remaining grounded in truth, transparency, and consistent action, communications professionals can effectively navigate headwinds and ensure their company’s reputation and value stand resilient against the rising tide of disinformation.
DevryBV Sustainable Strategies is committed to helping our clients implement the Page Principles, fortifying their communications strategies against the threats of misinformation and disinformation to ensure long-term stability and trust in business. Want to get ahead of disinformation? Call us, we can help. Feel free to contact me at erikb@devrybv.com.
Erik Brand is the external affairs and stakeholder relations lead at DevryBV Sustainable Strategies, where he is responsible for cultivating relationships with key stakeholders, bringing new clients to the firm, and engaging with executives to ensure that our work exceeds their high expectations.
