37 Canceled Companies That Learned The Hard Way What Happens When Customers Walk Away

The act of boycotting might seem like something driven by social media. After all, we’ve recently seen it skyrocket on TikTok and X, but you might be surprised to learn that scholars trace the term “boycott” back to 19th-century Ireland. That’s when several tenants socially and economically shunned Captain Charles Boycott, who repeatedly refused to lower rents.

Instead of using violence, these tenants chose not to harvest his crops, deliver his mail, or sell him goods. Since the captain cared most about money, being hit where it hurt had a real impact. He ended up having to hire outside laborers, which cost more than the crops themselves, and while he still didn’t lower the rents, he ultimately removed himself from the community altogether.

Other successful boycotts often involve banks and similar financial institutions. Many people might remember the 2008 controversy with Bank of America, when it introduced a $5 monthly fee. It was only when customers united and started leaving the bank altogether that the company got the message and quickly reversed the decision.

So why does this tactic work so well? According to experts, there are a few key reasons behind it. After all, economic pressure is one of companies’ biggest fears. When the public enforces financial pressure and damages a company’s reputation, revenue starts to drop, and stock prices can follow. In the end, it’s all about hitting where it hurts.

Some boycotts are far less political than we might expect — take Starbucks in Adelaide, for instance. The reason the local population boycotted it wasn’t due to political ties or investors — far from it. It came down to taste. The coffee simply wasn’t up to local standards, and many people thought it was just… mid. And the protest worked: to this day, there’s still no Starbucks in Adelaide.

As you can imagine, though, for a company to be effectively blacklisted, it takes quite a large participation for a boycott to succeed. Recent studies show that about a third of consumers in the U.S. have boycotted a business for various reasons, whether political, ethical, or environmental. It goes to show that consumers still have the power to create change.

Now, you might be surprised to see so many big names on that list, especially since they’re still in business and often thriving. Brands like Nestlé, Nike, Gap, and even Xbox have all been under scrutiny for different reasons, ranging from the Nestlé water controversy to child labor concerns, and even something as simple as rising video game prices.

But that raises an important question: how do these businesses continue to thrive despite backlash? Very simply put, experts point to the power of marketing and PR. Take Nestlé, for example: the company invested in PR damage control, launched water-related initiatives, and, soon enough, consumers continued buying its products. When a company is large enough, its chances of recovery are much higher.

Nowadays, though, the reason so many people join this kind of “peaceful” protest may not always be entirely ethical. In fact, experts often point to the phenomenon of “herd mentality.” This suggests that as people feel increasingly judged online for supporting brands that aren’t seen as politically correct or widely accepted, they may choose to boycott simply out of fear of not fitting in with their peers.

Jeremy Bentham would argue that, in the end, as long as actions produce good results, the intentions behind them don’t really matter and they are still morally right. But what do you think? Have you ever boycotted a business and made a difference, or do you believe that, in the end, big conglomerates will win no matter what? Let us know.